Growing demand and interest in Cryptocurrency since the pandemic started Indian Crypto Market has seen a boom, and now India ranks Second on the Global Adoption of Crypto as per the report of blockchain data platform Chainalysis.
Digital Assets based on a network distributed has gained a lot of strength in India over the recent years known as “Cryptocurrency”.
Cryptocurrency is relatively a new concept as it was first introduced to the world in 2008 in the form of Bitcoins.
Since 2017, the Indian market for Cryptocurrency saw a rise and continues to grow, resulting in the appreciation of value despite fear associated with it.
India ranked second in terms of cryptocurrency adoption, the market experiencing substantial growth, or we can say bull run in crypto assets this year, as per the report by blockchain data platform Chainalysis.
Crypto Adoption
According to the report published by Chainalysis, which ranked 154 countries, worldwide crypto adoption has grown by over 881% in the last year.
In comparison, Global Adoption grew by a landmark of 2300% since the third quarter of 2019.
Chainalysis report has considered factors like peer-to-peer exchange trading Volume and Value received.
Vietnam Ranks One on this list, then Pakistan, Ukraine, Kenya and Nigeria follow India on the ranking table.
What Crypto Reports Say
India’s crypto bull market saw a boom late in 2020 when the Supreme Court of India ruled out the RBI April 2018 directive banning banks and finance companies from dealing in Crypto or virtual currencies.
The report said, “In emerging markets, many turn to cryptocurrency to preserve their savings in the face of currency devaluation, send and receive remittances, and carry out business transactions.”
Over the last year, the adoption in North America, Western Europe, and Eastern Asia has been mainly powered by institutional investment.
“Growing transaction volume for centralized services and the explosive growth of Defi are driving cryptocurrency usage in the developed world and in countries that already had substantial adoption, while P2P platforms are driving new adoption in emerging markets,” Chainalysis said, adding a key question is whether new approaches will disrupt those trends.
This report also learned that many emerging markets are represented here to limit the amount of national currency that residents can move out of the country.
Cryptocurrency gives those residents a way to circumvent those limits so that they can meet their financial needs.
The fall has been seen in global adoption as the mature market like the United States of America ranks 8th on the list.
In contrast, China ranks 13th, showing declining in peer-to-peer trade volumes weighted for the internet-using population.
Indian Legislature on Cryptocurrency
The Indian government has been examining the issues on cryptocurrencies in the country.
A much-awaited cryptocurrency bill was supposed to be discussed in parliament during the Monsoon Session, but it did not happen.
On Monday, Finance Minister Nirmala Sitharaman said that the Cabinet was ready on the bill and waiting for Cabinet to clear that.
The central government had formed the inter-ministerial panel on Cryptocurrency for examining the issues related to digital currencies.
There is speculation that the committee recommended all private cryptocurrencies should be prohibited in India.
Reserve Bank of India on Cryptocurrency
Earlier in 2018, RBI brought to an advisory notice to all the entities regulated by it not to deal in Cryptocurrency.
However, later in 2020, the supreme court lifted the central bank’s ban and allowed all banks and financial institution to provide their services even if they are related to digital currencies.
In May 2021, the Deputy Governor of RBI said they were considering bringing out a Central Bank Digital Currency.
The cryptocurrency bill could help in its coming.
Popular cryptocurrency exchanges in India
Thanks to cryptocurrency exchanges aiming to reshape the country’s crypto industry, billions of dollars have been poured into digital coins.
CoinDCX
It is the most popular trading platform in India.
It has more than 3.5 inventors registered on its platform, launched back in 2018 in Mumbai City. Here inventors can trade in more than 200 cryptocurrencies.
WazirX
It is one of the largest cryptocurrency exchanges in the world. It is a subsidiary of Binance Holdings. It has 6.5 million registered inventors.
CoinSWITCH KUBER
It has around 3 million inventors; it allows its inventors to trade in 100 different cryptocurrencies, enabling inventors to trade with as little as Rs. 100.
What future looks like?
Some business has already started their businesses transaction in the form of Crypto.
This technology is not only used in Cryptocurrency but also the insurance, fintech and medical industries.
As per the trend, there is more acceptance for technology as it helps solve everyday problems. A part of this Cryptocurrency is very secure.
Blockchain has never been hacked, and it is open source which shows the level of security it has.
Yes, hacking is possible if there any vulnerability is put on the site by the companies.
But generally, Crypto is widely secured and can be used for a long time.
As Crypto matures with time, it will gain stability and be easy to transfer and store value.
