Cryptocurrency regulations are shifting worldwide, and two major exchanges—Bybit and Deribit—are navigating these changes in drastically different ways. While Bybit is reentering India after securing regulatory approval, Deribit is pulling out of Russia due to new European Union sanctions. These contrasting moves highlight how regional policies are shaping the future of the global crypto market.
Update Feb 25: Bybit announced they are now fully registered with Indian authorities. Full services have resumed, and new users from India can once again sign up and use the exchange.
Bybit Resumes Operations in India After Compliance Settlement
Bybit has officially resumed operations in India. The exchange had temporarily withdrawn from the Indian market in January 2025, citing licensing requirements. However, after registering with India’s Financial Intelligence Unit (FIU-IND) and paying a $1 million fine, Bybit is now back in business. The exchange promised to resume operations within weeks, and today they made good on that promise.
Bybit will temporarily halt crypto trading and account openings in India starting January 12, 2025, due to regulatory compliance efforts. Withdrawals remain unaffected, and the platform expects to resume operations soon after securing necessary approvals.Read Now
According to Bybit’s latest statement, the company is committed to operating within India’s regulatory framework and ensuring full compliance with the Prevention of Money Laundering Act (PMLA). The firm also emphasized its dedication to Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) measures.
This move comes at a time when Indian officials are reconsidering the country’s rigid stance on cryptocurrency. Recent statements from India’s Economic Affairs Secretary suggest a potential shift toward more lenient crypto regulations. Bybit is positioning itself as a key player by actively engaging with India’s blockchain community.
To further solidify its presence, Bybit has joined the Bharat Web3 Association and partnered with top universities such as IIT Delhi and IIT Kharagpur to promote blockchain education. The company plans to host hackathons, workshops, and awareness campaigns in the coming months.
Despite Bybit’s return, challenges remain. The Indian government continues to impose a 30% tax on crypto gains and a 1% tax deducted at source (TDS) on transactions. However, with crypto adoption on the rise in India, Bybit’s comeback signals optimism for the industry’s future in the country.
What’s Next for Bybit in India?
Bybit is expected to fully resume its trading services in the coming weeks, with an official operations license anticipated soon. The exchange will continue expanding its partnerships with Web3 associations and universities while maintaining strict compliance with Indian crypto laws.
For Indian crypto traders, Bybit’s return offers renewed opportunities to access global crypto markets, participate in blockchain education programs, and engage with an industry leader actively shaping India’s crypto future.
Update: As of September 8, 2025, Bybit resumed full access for Indian users, after working to fully comply with Financial Intelligence Unit of India (FIU-IND). All services including web, Android and iPhone apps are restored. Spot, derivatives, options, copy trading, and other services are fully available.
Deribit Withdraws from Russia Due to EU Sanctions
While Bybit is expanding in India, Deribit is taking a step back from Russia. The Dubai-based crypto derivatives exchange has announced a complete withdrawal from the Russian market following new EU sanctions.
Deribit, which operates under a Dutch parent company, is required to comply with EU regulations. As a result, it has banned Russian nationals and residents from using its platform, except for those holding European Economic Area (EEA) citizenship or permanent residency. Russian firms have been entirely blocked from the exchange.
This development is significant, as Russian traders make up the second-largest user base on Deribit, according to Wu Blockchain. However, other major exchanges continue to dominate the Russian market, meaning the broader crypto community in the country may not be heavily impacted. In contrast, Deribit itself could face financial setbacks from the loss of a substantial user base. According to the same research, other major CEXs with a large Russian trading community include Bitfinex, HTX, and Bybit.
Russia’s crypto ecosystem has long been intertwined with economic sanctions. Digital assets have provided an alternative financial route for Russian entities restricted by Western sanctions. At last year’s BRICS Summit, Russian officials even endorsed crypto as a tool to bypass financial barriers.
Despite US sanctions already targeting the Russian crypto market, Deribit had continued its operations in the country. However, the latest EU restrictions have forced the exchange to take a stricter stance. Even Russians living in Dubai, where Deribit is headquartered, are now barred from registering on the platform.
The withdrawal from Russia is just one of several challenges Deribit has faced in recent months. The exchange recently explored a buyout deal with Kraken and has encountered regulatory hurdles in other jurisdictions.
Top Deribit Alternatives in Russia
If you were impacted by Deribit’s exit, there are still many exchanges in Russia that offer a top tier trading experience:
All of these mentioned CEXs still service customers from Russia. In total, Cexfinder lists 23 exchanges in the country, so alternatives are always available.
Regulatory Pressure Intensifies
Bybit’s return to India and Deribit’s exit from Russia demonstrate the growing influence of government policies on crypto exchanges. While India appears to be softening its regulatory stance, the EU is tightening restrictions on Russian financial activities, pushing some platforms out of the market.
These contrasting developments showcase the importance of regulatory adaptability for crypto exchanges. Bybit’s swift reentry into India underscores the potential for compliant exchanges to thrive in emerging markets. Meanwhile, Deribit’s departure from Russia demonstrates how external political factors can significantly impact an exchange’s operations.
For crypto traders and investors, these shifts reinforce the need to stay informed about regulatory changes. While decentralized finance (DeFi) offers alternatives, centralized exchanges like Bybit and Deribit continue to play a major role in shaping the industry’s future.
