India's Financial Intelligence Unit (FIU) has introduced rigorous Know Your Customer (KYC) guidelines for cryptocurrency exchanges, marking a significant regulatory shift. The new rules require exchanges to implement a multi-layered verification process, including real-time biometric checks, geolocation verification, and bank account authentication. These measures aim to address concerns about cryptocurrencies facilitating illicit financial activities and tax evasion. The updated KYC framework mandates users to submit a live selfie, confirm their physical presence in India through geolocation, and authenticate their bank accounts via a small transfer. This approach seeks to create a robust audit trail, enhancing oversight and transparency in the crypto sector. The move aligns India with other jurisdictions enforcing strict crypto regulations, though its use of live biometrics and bank linkage is notably stringent. The implementation of these rules presents challenges for exchanges, requiring technological upgrades to comply with the new standards. While the measures may complicate the onboarding process, they are intended to foster a more secure and regulated crypto environment in India.