CoinSwitch Kuber is “completely working” with India’s Enforcement Directorate, according to the CEO

Ashish Singhal, co-founder and CEO of CoinSwitch Kuber, tweeted on Saturday that his company is cooperating with India’s Enforcement Directorate and that last week’s reported searches had nothing to do with money laundering.

Bloomberg and CoinDesk both reported the previous week that the searches were related to the country’s foreign exchange laws. Authorities in India have been investigating the country’s cryptocurrency exchange ecosystem for several months.

Singhal did not elaborate on the reasons behind the Enforcement Directorate’s actions, but he did emphasize the unresolved nature of crypto regulation in India.

“Cryptocurrency is a novel asset class. Due to their infancy, cryptocurrencies are not yet clearly classified in the majority of the world. Currently, the law (in India and elsewhere) is still determining whether crypto is a ‘commodity, “security,’ ‘currency,’ or something else entirely “Singhal authored. This is an ongoing project.

Reuters reported on Saturday that, according to a source familiar with the process, financial records were seized during the office visits and officials inquired about “foreign investments, income, and outflows to check compliance.”

CoinSwitch “is dedicated to developing a responsible crypto ecosystem that helps to the Indian economy and produces wealth and jobs for millions of Indians,” Singhal remarked on Twitter.

CoinSwitch raised $260 million in Series C funding in October 2017 and is backed by Andreessen Horowitz, Tiger Global, and other VC heavyweights.

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