96 Copyright © 2023, IGI Global. Copying or distributing in print or electronic forms without written permission of IGI Global is prohibited. Chapter 6 DOI: 10.4018/979-8-3693-0082-4.ch006 ABSTRACT Modern advancement in technological feld has brought changes into the banking, fnancial, and capital market in India. Blockchain is a new-age transaction mode that has come into the radar after scams had raised concern pertaining to the regulatory mechanism of blockchain in the legal system of India. Cryptocurrencies that are used as a mode of transfer or payment in India is not regulated by any of the centralized authorities; nor there are any rules, regulations, laws, or guidelines provided for settling of any of the disputes between parties who are dealing the cryptocurrency. They are dealing with their own risk as investors, as there is no involvement of banking or capital market regulators like Reserve Bank of India (RBI) or Securities and Exchange Board of India (SEBI). Cryptocurrency is used anonymously to conduct transactions globally between account holders. Regulatory Mechanism of Cryptocurrency Blockchain in Banking, Financial, and Capital Markets in the Indian Panorama Nanda Pardhey https://orcid.org/0000-0002-5348-7989 University of Petroleum and Energy Studies, India Yahya Hameed Issa Al Yarmouk University College, Iraq Libeesh P. C. NSB Academy, India