Key Takeaways
Bombay Stock Exchange (BSE) denied Jetking Infotrain’s listing because the company planned to invest 60% of raised funds in virtual digital assets, mainly Bitcoin.
Indian regulatory framework allows companies to use profits for crypto purchases but not public fundraising for such investments.
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The Bombay Stock Exchange denied Jetking Infotrain’s listing application after the IT training company disclosed plans to allocate around 60% of raised funds to virtual digital assets as a treasury strategy.
Jetking, which planned to raise over ₹6 crore through share sales, intended to invest primarily in Bitcoin using the public fundraising proceeds. The company said it was evaluating the situation and considering an appeal to the Securities Appellate Tribunal after BSE’s rejection.
The decision reflects India’s current regulatory stance that permits companies to purchase crypto assets using internal cash profits but prohibits raising public funds specifically for such investments. Stock sale proceeds directed toward digital assets remain restricted due to speculative concerns and pending clearer guidelines on treasury funding.
This marks the first known case of an Indian exchange denying a listing explicitly over crypto treasury plans, signaling heightened scrutiny on virtual digital asset-related fundraising as regulations continue evolving.
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