US-based cryptocurrency exchange Coinbase is in talks with Indian regulators to potentially re-enter the market after halting operations there in 2023. Coinbase is engaging with India’s Financial Intelligence Unit (FIU) to explore compliance with regulatory requirements. The company's interest comes as Coinbase's chief legal officer Paul Grewal joins the US-India Business Council (USIBC) board, emphasizing the importance of their role in fostering financial innovation between the US and India. Coinbase had previously suspended its operations in India in September 2023 due to regulatory challenges, particularly concerning UPI payments, which are not recognized for crypto exchange use by Indian authorities. Despite challenges, Coinbase's potential revival in India could align with the country's growing Web3 ecosystem, which has seen significant growth in both developer engagement and crypto startups since 2018.

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