Cryptocurrency is one of the most talked-about topics in the world. Over the past few crypto assets have been making the headlines. Considering the higher volatility and unpredictable fluctuations, there are diverse perceptions regarding the future of digital currencies in India. What future does cryptocurrency hold in India? What views the current legislation contains, and what things can we expect to see in the coming years?
Let’s unfold the answers to the questions above.
India’s Tech Potential
India is not only the largest democracy, but it also has appreciable youth demographics. And being the youth dominated nation, there is a considerable increase in tech-based ventures. A lot of youths are turning towards modern technology and entering into entrepreneurship. This is also providing the much-needed pace to Blockchain technology.
According to the 2019 Nasscom Blockchain Report, startups in India invest in at least 50% of blockchain projects. Plus, many top organizations are looking out for large scale implementation. Thus, there is a favorable ecosystem for cryptocurrency to bloom in India.
What does the cryptocurrency future look like?
As per statistics, digital currency technology is gaining traction of youths and investors in India on a wide scale. People are also looking forward to adopting a currency system that is resistant to inflation, government regulations, and economic conditions. And fortunately, cryptocurrency accords these benefits.
Moreover, the lifting of the ban on crypto trading by the Supreme Court is augmenting the adoption of digital currencies. With this removal of the ban, now traders can easily exchange rupee to bitcoin and vice versa. Soon after this, the cryptocurrency popularity grew incredibly across India.
A lot of exchanges came up, making it more accessible for investors to buy ethereum in India and the other digital assets. Ever since, the investment in cryptocurrency has been growing, making it clear that people in the country were interested in buying crypto assets. Thus, there is no doubt that cryptocurrency is emerging as a new investment option for people.
However, there is still a section of people against bringing cryptocurrency in India. But despite all the growth observed in the use of Bitcoin is quite impressive. Furthermore, as per the research paper Impact of Demonetisation on Bitcoin, the Indian government is also expected to launch its digital currency as an alternative to Indian Rupee. With this being implemented, the effect of value on the economy will be mitigated.
In addition to this, the research paper also states that the Central Government is also forming a committee to devise a regulatory framework for crypto trading in India. All these measures are likely to bring positive transformations to the economy.
Considering these trends, India’s cryptocurrency sector may witness some significant shifts in the coming years. Since India is turning optimistic about investment in crypto assets, the number of financial technology firms and digital currency firms is expanding their business. As such, fruitful opportunities are waiting ahead for cryptocurrency in India.