Indians are investing in digital tokens in greater numbers than ever before, with cryptocurrency exchanges setting several milestones in terms of both the number of investors and the amount of money invested. According to crypto research and intelligence firm CREBACO, Indians’ investment in cryptocurrencies has climbed to over Rs 75,000 crore ($10 billion) from $923 million in April last year, when the market was at an all-time high.
According to the report, over 105 million Indians, or 7.90 percent of the population, have invested in some form of digital token. According to experts, this is due to increasing awareness. According to Siddharth Sogani, creator of CREBACO, people are more aware of how the centralized banking system works, and once they realize how defective it is, they have no choice but to shift to decentralization.
“There isn’t much to be concerned about for regular investors. There is a risk for HNIs (high net worth investors) and institutional investors. There are also hazards for anyone investing more than $250,000 beyond the Liberalised Remittance Scheme (LRS) limit.”
The number of investors and the value of their assets is both increasing at most cryptocurrency exchanges. This comes as exchanges launch a slew of new products, including systematic investing programs and fixed deposit plans.
In just one year, BuyUcoin grew by 600 percent, while the value of the assets they controlled increased by a staggering 1000 percent, reaching $250 million.
“The key causes for the spurt include positive bull cycles, worldwide regulatory backing, prominent influencers like Elon Musk, VC funding, investing awareness and education,” said Shivam Thakral, CEO of BuyUcoin, to the News Media.
“India needs to regulate cryptocurrency in order to protect investors,” he said.
Cryptocurrencies are currently unregulated in India, as they are in most other markets, and officials agree that they should be taxed.