What do the new regulations cover?

In its gazette notification, the Finance Ministry specified the nature of transactions, among other things, that would fall under this anti-money laundering law. 

This includes:

• The exchange between virtual digital assets (VDAs) and fiat currencies.
• Exchange between one or more forms of virtual digital assets.
• Transfer of virtual digital assets.
  
  

Other activities that fall under the umbrella of this money laundering law are:

• The safekeeping or administration of virtual digital assets 
• Participation in financial services related to the offer and sale of virtual digital assets.

This essentially means that exchanges, custodians, and wallet providers, among other crypto-related entities, will now fall under the PMLA. The notification also mentioned that the government will now consider all entities dealing in VDA as reporting entities.