DeFi & Yield

Is DeFi legal and regulated in India?

DeFi is not illegal in India, but it operates without a dedicated regulatory framework, meaning there is no specific authority supervising decentralized protocols or protecting participants. Crypto activity is taxed under the virtual digital asset rules and exchanges fall under anti-money-laundering reporting, yet decentralized applications themselves sit largely outside this perimeter. For example, using a self-custody DeFi protocol is not prohibited, but it carries no investor-protection backstop if something fails. Because the policy landscape is still developing, confirm the current legal and tax position with a qualified professional before acting.

Crypto investments are subject to market risk and volatility. Past performance is not indicative of future returns. This is general information, not investment advice — consider your own circumstances or consult a qualified adviser before investing.