India’s RBI and FIU scrutinize offshore crypto cards used for rupee payments

India’s financial regulators have reportedly begun examining offshore cryptocurrency payment cards that allow residents to spend digital assets in rupees, following concerns over foreign exchange compliance and transaction monitoring. Summary India’s RBI and FIU are reportedly examining offshore crypto cards used for everyday purchases and ATM withdrawals. RedotPay is among the providers whose cards allow cryptocurrency balances to fund payments through traditional card networks. Several Indian users have reported card deactivations, although regulators have not announced a formal enforcement action. Legal experts have raised concerns about foreign exchange rules, customer verification and cryptocurrency transaction monitoring. The scrutiny comes as RedotPay continues preparing for a potential U.S. initial public offering. According to The Economic Times, the Reserve Bank of India (RBI) and Financial Intelligence Unit-India (FIU-IND) are scrutinizing prepaid crypto cards offered through overseas companies, including RedotPay. Two people familiar with the matter told the newspaper that authorities were examining how the products operate within India’s payment system. Several residen...