According to the recent article INDIA TODAY: A number that is approximate to 1.5 crore of Indians practice exchange of cryptocurrency assets worth billions, even during the uncertain times as the pandemic. Financialists prove there is a promising future of the digital coin ecosystem in the country.
About 1.5 crore Indians investing in crypto coins seems to be a good signal for the future of cryptocurrencies in India. The impact of this new digital money has now left a greater impact on the nation than any other financial revolution in history. In this article, we decode the factors driving rapid cryptocurrency adoption in the country and study the things that influenced such rapid growth in cryptocurrencies.
Some of the major reasons for Indians to be influenced to invest in crypto coins are:
1. For its alluring benefits that attract young investors & the tech-savvied:
The adoption of crypto-coins has brought a wide input towards practising in India, despite the fact of the bills passed, and the steps taken by the government to ban it or regularize it over time. Such discrepancies haven’t stopped the driving demand that crypto has laid in the minds of young investors. It is by these young investors for the reason to shoot the growth of such practices high in India. Investors have made a booming remark over the major coins, especially Bitcoin, which has registered a breathtaking rise in India since 2020.
After Bitcoin is one of the leading cryptocurrencies, it is Ethereum that has been seeing great success by investors all over the world. Its effectiveness has made investors multiply their numbers through the activities of buying and selling in India. Ethereum holds a very high value. When converted, it holds about 2,43,486.91 which is Ethereum price INR as of 17th JAN 2022. These two coins: Bitcoin & Ethereum have been a good buy in the market by investors in India. These rates have been feeding to the number of 1.5 crores of Indians going gaga about crypto coins in India, and this proves all of them to be potential investors. The growing number of crypto adopters also suggests a shift in the investment paradigm, driven mostly by the country’s younger population. The paradigm of shift largely depends on the audience who were thought to invest into assets as tangible assets like gold, land and other resourceful assets by the elders of their households, but fortunately, the Millenials and the younger business enthusiasts see greater potentialities in crypto coins and invest in it. According to the recent data, between the age group of 18 and 35 years — find cryptocurrency is a better option compared to gold.
The latest World Gold Council data also show that Indian adults, aged 34 or less, have a lower appetite for gold. A number of cryptocurrency experts said the tech-savvy younger population find it easier to invest in cryptocurrency than gold due to the processes involved.
2. The Covid-19 pandemic crisis brought success in inviting many investors.
Another driving demand for Indians to find reason in investing in crypto coins is the crisis of Covid-19. More Indians started investing in cryptocurrencies from 2020 as the Covid-19 pandemic led to a global economic crisis, resulting in higher volatility and depreciation in traditional assets like currencies, bonds and equities. As a result, more people around the globe started investing in cryptocurrencies.
Moreover, other traditional investments have not been easily accessible by the general public. As it consumes multiple offline procedures for investing. Buying gold, land, and other forms of dependable assets have just been impossible by people and hence there has been a paradigm shift towards many investing in cryptocurrencies. Investing in digital coins makes the process easier as everything is taken care of online allowing the investors to keep safe in distance by keeping them away from harm amidst the pandemic.
For the next few years, financial advisories believe this to be a promising “type” of investment at least till the time they can easily be among the crowd or depend closely in conversation with another human being. Up until then, buying and selling coins online seems to be affordable and a way to keep your health safe during these uncertain times.
3. Top leading coins invested by Indians.
Now that we have seen some of the major key reasons that have driven great demand into the crypto world.
Experts have tracked that coins like Bitcoin, Litecoin, Ether, Dogecoin have been seeing a great rise by investors, particularly in India. Alongside these coins, investors are seeking to invest largely in small coins as they are affordable and might not lose much each time there is a dip in the market. Investors have realised that investing in smaller cryptocurrencies could reap as much profit as Bitcoin or Ether. As Indian investors dive deeper into the world of cryptocurrencies, they have started looking beyond just Bitcoin and Ether, which are expensive compared to altcoins, — a term is given by other popular cryptocurrencies in the virtual coin ecosystem. One such coin is Litecoin, its price is not high as Bitcoin or Ether, but its value in the market has lately been catching up and so many are driven to buy it. As of JAN 2022, the Litecoin price in India is 11,264.33 INR. Such value of coins do have a long run in the world of cryptocurrencies since they have so much to offer to investors and its dip might not bring loss or a great vain to them.
With such promising facts, it’s clear to believe that there’s life to crypto coins more than just Bitcoin. With possibilities for investors to not just see Bitcoin as equal to cryptocurrencies but other small/emerging coins too are worth investing in, especially in India.
In conclusion: Many Indians have lined up to invest in the year 2022 as a potential saving benefit to opt for. But are worried about the asset’s uncertain future in the country?
Popular cryptocurrency exchanges in the country including CoinSwitch, WazirX, ZebPay, Unocoin and CoinDCX have seen massive growth in retail investors on their platform since 2020. They have recently seen a sharp rise in investors, days before Bitcoin’s value crossed $50,000 after a period of three months.
Therefore, if you are up to face the volatility in nature, there’s room for you in the world of cryptocurrencies in India. There are suitable investors that you can have guidance from, all the more, be dependent on crypto exchange platforms such as CoinSwitch as they will have your back as you tread on a new journey of investment.