Huge growth is being recorded in cryptocurrency markets in India, especially since the pandemic began, despite the fact that players in Asia’s third largest economy have expressed concerns about digital currencies, and the government has even put on the table the possibility of banning them.
A survey conducted by CNN Business among Indian businessmen suggests that the Asian country has the potential to even become a cryptocurrency superpower, given that it is one of the world’s major online powers with 750 million users and the potential to add many millions more new ones.
In the past year, India ranked second – after Vietnam – among the list of countries with the fastest rate of cryptocurrency adoption, according to data from data firm, Chainalysis.
Although the Indian government does not have data on the number of investors who own cryptocurrencies, experts estimate that in the country over 20 million people transact in cryptocurrencies.
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The push, of course, is being driven by young investors – mostly under 35 – and many of them come from smaller cities, having even set up two of India’s leading cryptocurrency buying and selling apps.
According to Sumit Gupta, CEO and co-founder of CoinDCX, many Indian 20-somethings have started their journey into the world of cryptocurrency investing.
Although 20 years ago, his parents chose to invest in gold, many youngsters today are more interested in bitcoin, says Sumit Gupta.
Buying gold is an investment, but also a habit that stems from the culture of the people of India, which is and remains one of the most important markets for the precious metal.
However, Mumbai-based CoinDCX became India’s first cryptocurrency unicorn last year – the first company whose value exceeded $1 billion.
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Correspondingly, WazirX already has over 10 million users and its management has described 2021 as a “phenomenal” year for cryptocurrency trading in India.
Over 65% of the company’s users are under the age of 35 and, according to an official company statement, there has been an increase of over 700% in new users from small towns and villages.
Recall that last November, bitcoin was trading at a record high of $68,990, but has since lost a significant portion of its value, which currently stands at $30,000 – as of writing this news article.