The cryptocurrency industry in India has witnessed a significant shift towards regulatory compliance in recent years, as highlighted by James Smith, the co-founder of Elliptic, a crypto compliance firm established in 2013. Smith emphasized the evolution of compliance practices, noting that initially, only a few companies prioritized compliance seriously. However, with the increasing interest of regulators, such as those in New York State, and the participation of traditional financial institutions like Fidelity and DBS Bank in the crypto space with established compliance standards, the industry has seen a notable transformation. Fidelity launched its first crypto service for customers in 2019, while DBS Bank introduced a digital exchange for accredited and institutional investors in 2020. This shift indicates a growing emphasis on compliance among global exchanges to integrate into the broader ecosystem. Compliance remains a crucial aspect, especially in light of recent incidents like the Bybit hack, where the Lazarus Group engaged in a sophisticated money laundering scheme. Smith raised concerns about the ease with which hackers could exploit decentralized platforms lacking KYC requirements for money laundering. He emphasized the need for stricter controls and checks on liquidity providers in such protocols to prevent illicit activities. The industry must address compliance issues effectively to maintain trust and security within the evolving crypto landscape.