India stablecoin premium surges above 8.5%, with the ED cracking down on cross-border USDT remittance channels

Deep Tide TechFlow news: On June 29, according to the Economic Times, the USDT supply in the Indian market has shown a clear shortage. The local premium has jumped from the usual 3-4% to over 8.5%. On Saturday, the quoted price was ₹102.88, while the same day’s USD/INR closing rate was only 94.65.

The immediate trigger for the widening premium is the recent crackdown by India’s Enforcement Directorate (ED) on relevant entities involved in using USDT for cross-border fund transfers. Previously, a large number of Indian expatriates bypassed banking channels and sent remittances to the home country in the form of USDT. This model has been popular for more than two years due to its fast speed, low cost, and higher exchange gains, but it now faces disruption. The ED believes that even if the source of funds is legal, such cross-border crypto transfers also violate the Foreign Exchange Management Act (FEMA).

Industry insiders say the lack of regulatory rules in itself has become an additional cost borne by the market. At present, India’s Parliamentary Standing Committee on Finance is scheduled for July 2 to discuss the direction of crypto policy with the central bank and ICAI. Meanwhile, FATF data shows that in 2025, stablecoins accounted for 84% of the global $154 billion in illegal virtual asset transactions, and the urgency for India to strengthen VDA regulation continues to rise.