India, one of the world's most active crypto markets, is facing a tightening supply of the USDT stablecoin after a crackdown on informal money transfer networks drove the token's premium to more than 8.5% above the local rupee-dollar exchange rate, according to The Economic Times.
India’s USDT Premium Tops 8.5% amid Enforcement Crackdown: Economic Times
29 June 2026 - 18:10 CEST
Issued by Tether, USDT is the world's largest US dollar-backed stablecoin, with a market capitalization of about $313bn. Designed to maintain a value close to $1, it is widely used for crypto trading, cross-border transfers and market liquidity. In India, USDT typically commands a 3%-4% premium over the interbank rupee-dollar exchange rate because of limited domestic crypto liquidity.
The premium reportedly widened to more than 8.5% on 27 Jun, with USDT quoted at 102.88 rupees compared with the previous day's USD-INR closing rate of 94.65 in the local foreign exchange market.
The surge followed searches by the Enforcement Directorate, India's financial crimes agency, into alleged unauthorised cross-border money transfers using crypto assets, including USDT. The agency said preliminary findings showed potential violations of the Foreign Exchange Management Act.
