As WazirX prepares for its comeback, its Singapore court case offers a clear lesson—future crypto operations in India will need FIU-IND compliance at the core.
India's crypto landscape needs to be shaped by regulation, compliance, and platforms focused on long-term trust. And with WazirX’s comeback underway, we may finally be seeing the start of a revolutionary shift in how this space evolves.
As WazirX prepares to rebuild and serve users again, global regulatory clarity is becoming critical. A recent case in Singapore involving Zettai Pte Ltd offers important insight into what this next chapter might look like—not just for WazirX, but for any crypto exchange operating across borders.
At the center of the case is a question that many in the industry are asking: Can international platforms and entities serve Indian users without being registered with India’s Financial Intelligence Unit (FIU-IND)?
The short answer, based on signals from Singapore’s courts and regulators: Not anymore.
FIU-IND: From Optional Badge to Operational Backbone
Until 2023, FIU-IND registration was often viewed as a compliance bonus—helpful, but not always required. That changed when India mandated VDA (virtual digital asset) service providers to register with FIU-IND or risk being blocked from operating legally.
Today, FIU-IND registration is not just a formal requirement. It has become the foundation for lawful crypto operations in India.
In the Zettai case, the Singapore High Court highlighted this shift. When evaluating the company’s proposed crypto distribution to platform users, the Court raised concerns about non-FIU-IND registered entities playing operational roles in the recovery process. That single concern became a turning point in the structure of Zettai’s proposed comeback.
How Zettai Restructured Its Operations Around FIU-IND
Zettai originally planned to distribute crypto assets directly to users through its Singapore entity. However, the Court stated that users in India might receive services from a company not registered with the FIU-IND. This raised potential issues under Indian law—even if the entire process was court-approved in Singapore.
So Zettai pivoted. It made changes to the restructuring plan and brought Zanmai India, an FIU-IND registered entity that Indian users already recognize, to the forefront.
Under the final scheme:
All crypto-crypto operations will be run through Zanmai India
User withdrawals will be facilitated by Zanmai India
Digital assets will be transferred to wallets controlled by Zanmai India
This architecture ensures WazirX users** will be interacting with an FIU-IND compliant entity**—not indirectly relying on an overseas entity.
Why This Matters for WazirX’s Comeback
The lesson here is clear: compliance can’t be outsourced anymore.
As WazirX moves forward with its platform restart, it’s already signaling a commitment to FIU-IND-aligned architecture. That matters not just for user trust, but for legal clarity.
The Zettai ruling—and Singapore’s broader regulatory clarity—shows that even if a crypto entity is incorporated abroad, if it wants to serve Indian users, it **must operate through an FIU-IND registered body **on the ground.
For WazirX, this plays to its strength. Zanmai India, already FIU-IND registered, is positioned to lead the operational comeback. As user withdrawals and crypto services resume, it will be Zanmai—not any offshore entity—that manages the process end-to-end.
Setting a Standard for Global Crypto Exchanges
Zettai’s restructuring scheme is not just about solving a one-time challenge. It’ll be a playbook for every global exchange looking to operate in India in 2025 and beyond.
What this case makes clear is:
Cross-border crypto operations must localize to remain compliant
Technical infrastructure (wallets, cloud services, trading software) should be FIU-IND compliant
Legal clarity + operational transparency = future-proof platform design
This isn’t just a compliance checkbox. It’s a framework for resilience, user protection, and long-term success.
Regulation Is the Road to Rebuild
The crypto industry in India is maturing. With that comes more responsibility—and more opportunity.
Zettai’s case shows that regulators in Singapore and India are aligned on one thing: user-facing operations must be transparent and compliant.
This comeback isn’t just about recovering momentum. It’s about building a platform that’s better aligned with the rules, and better designed for long-term trust.
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