India has banned the trading of privacy coins and required crypto platforms to remove anonymous tokens.

PANews reported on January 23 that, according to The Economic Times, India's Financial Intelligence Unit (FIU), under the Ministry of Finance, has ordered domestic cryptocurrency exchanges and platforms to cease offering Anonymity Enhancement Tokens (ACEs), prohibiting deposits and withdrawals of these tokens, and classifying them as "unacceptable assets" under the risk mitigation framework. The FIU also warned that mixing tokens using tools such as "tumblers" and "mixers," as well as transferring funds to self-custodial wallets, could allow funds from sanctioned or blacklisted addresses to enter the system and become difficult to trace. Platforms are required to collect data related to non-custodial wallets and assess whether to set limits on such transfers.