According to a new report, India has approximately 115 million crypto investors, the country’s crypto economy is growing despite the recent market downturn, and over half of the crypto investors surveyed plan to increase their crypto investments in the next six months, according to the report.
India’s crypto ecosystem is growing, report shows
Cryptocurrency exchange Kucoin on Tuesday released areporton India’s cryptocurrency ecosystem, featuring findings from a survey conducted from October 2021 to June 2022, in which the company took a “deep look at the development of the blockchain industry and crypto space in India It explains that the survey “took an in-depth look at the development of the blockchain industry and crypto space in India.
Survey respondents included 2,042 Indian adults between the ages of 18 and 60, of whom 1,541 were self-identified crypto investors and 501 were consumers who were interested in crypto and would be interested in investing in crypto in the next six months, the company explained.
Citing the survey results, the report details as of June.
There are approximately 115 million crypto investors in India who either currently own crypto or have traded crypto in the past six months, representing 15% of the Indian population aged 18-60.
“The size of the crypto investor base has grown modestly over the past few months, despite the enactment of the new tax regime.” The company writes.” With the country’s large tech-driven young population, rapidly growing internet users and fintech advancements, crypto is headed for greater adoption, making India an important crypto hub.”
The United Nations Conference on Trade and Development (UNCTAD) also recently estimated the number of crypto investors in India; in a report released in June, the organization said 7.3% of India’s total population owns digital currency. In July, the UN estimated India’s population at 1.41 billion.
Kucoin’s report adds that despite the recent downturn in the crypto market.
More than half of crypto investors plan to increase their crypto investments over the next six months, indicating optimistic sentiment about the market.
The report also notes that “despite the local government’s stance on digital assets and a 30% tax on income received from digital assets, the Indian crypto market is expected to reach $241 million by 2030.” It notes that.
According to survey respondents, the top barriers to investing in crypto assets are knowledge, regulation, and security.” Ambiguity in government regulations is a key factor deterring potential investors.” The report elaborates.
33% report that government regulation is a concern when considering investing in crypto.
“The safety of investing in crypto is also a concern for many, as 26% worry that hackers are a threat and 23% are concerned that they may not get their money back in case of a security incident,” the report adds.
India is still working on cryptocurrency regulation. The Indian government is discussing crypto policy with global organizations such as the International Monetary Fund (IMF) and the World Bank. Meanwhile, the country’s central bank, the Reserve Bank of India (RBI), has recommended a ban on all cryptocurrencies, including Bitcoin and Ether. This week, the central bank governor warned that the crypto market could crash and small investors would lose out; the RBI is also preparing to issue a Central Bank Digital Currency (CBDC).
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