Rule 241 - Definitions for crypto-asset reporting rules 242 to 244

Definitions for purposes of rules 242, 243 and 244. 241. For the purposes of rules 242, 243 and 244— (1) "Anti Money Laundering or Know Your Customer Procedures" means the customer due diligence procedures of a reporting crypto-asset service provider under the Prevention of Money-Laundering Act, 2002; (2)-(3) "branch" means a unit, business or office of a reporting crypto-asset service provider treated as a branch under the regulatory regime of a country or territory, with all such units in a single country or territory treated as one branch; (4) "entity" means a legal person or legal arrangement, such as a company, partnership firm, trust or foundation; (5) "excluded person" includes entities with regularly traded stock on established securities markets, their related entities, governmental entities, international organisations, central banks, and financial institutions (subject to specified exceptions); (6) financial-institution categories (custodial institutions, depository institutions, investment entities, and specified insurance companies) are defined with detailed criteria including 20% and 50% gross-income thresholds; (7) "partner jurisdiction" means a country or territory outside India that has put in place equivalent legal requirements and is specified by the Central Government by notification; (8) "related entity" means an entity that controls, or is under common control with, another entity, applying a greater-than-50% ownership threshold; (9) "relevant crypto-asset" means a crypto-asset excluding Central Bank Digital Currencies and specified electronic-money products; (10) crypto-asset-related terms establish the meaning of digital representation of value, CBDCs, and electronic-money products, including specific redemption and regulatory conditions; (11) "relevant transaction" means any exchange transaction and any transfer of relevant crypto-assets; (12) transaction-related definitions cover exchange transactions, reportable retail payment transactions (exceeding a $50,000 threshold), transfers, and fiat currency; (13) "reporting crypto-asset service provider" means any individual or entity that, as a business, provides a service effecting exchange transactions for or on behalf of customers; (14) further criteria clarify exclusions, counterparty roles, intermediary functions, and platform definitions relevant to service-provider status; (15) "reportable user" means a crypto-asset user that is a reportable person; (16) further definitions establish crypto-asset user categories, the individual/entity distinction, pre-existing users, reportable persons, controlling persons, and active-entity criteria including detailed passive-income tests; (17) "telegraphic transfer buying rate" means the rate of exchange adopted by the State Bank of India for foreign currency, per Reserve Bank of India guidelines; and (18) "TIN" means the Taxpayer Identification Number (or functional equivalent) assigned to the crypto-asset user.