India’s interest in the cryptocurrency market is expected to skyrocket this year, with over 156 million people estimated to become members of the country’s crypto community by the end of 2021, according to a recent Statista report. The majority of new adopters are younger individuals with middle-income status, seeking alternatives to the traditional banking system.
Indians Show Strong Crypto Adoption Rates
The survey revealed that over 11% of India’s population will have engaged with the cryptocurrency industry by 2023, surpassing adoption rates in many developed countries such as the United States, United Kingdom, Japan, and Russia. Most Indian digital asset investors are between the ages of 18-40 and highly educated.
India’s crypto market could generate profits of $3.3 billion this year, an amount expected to grow to nearly $6 billion by 2027 as more people become involved in the industry. The capital Delhi and the city of Bengaluru, in the state of Karnataka, have the highest number of long-term cryptocurrency holders, or HODLers, in India.
The search for higher returns and uncertainty in traditional financial systems are major factors driving Indian residents towards digital assets. However, some individuals remain hesitant due to insufficient investor protection, the lack of appropriate regulations, and major concerns about hacking attacks.
Crypto Adoption Rates Across the Globe
Despite crypto’s bear market in 2022, the asset class remains popular around the globe. Gemini’s survey from April 2021 determined that Indonesia and Brazil are the countries with the highest crypto adoption rates, with 41% of participants owning cryptocurrencies. Other countries with significant adoption rates include Argentina, Turkey, and Lebanon, all of which have previously faced political and monetary turbulence.
Vietnam and Thailand also have notable crypto adoption rates among Southeast Asian countries, with nearly 17% of Vietnamese investors holding digital assets, primarily bitcoin.