Some trend also showcased the fact that those with disposable income, were marginally higher and more bullish towards crypto, vis-à-vis the others.
The Indian financial sector could see similar transformative change through the wider adoption of cryptocurrency and crypto and blockchain-based finance systems.
CoinDCX, a cryptocurrency exchange platform, today released a national survey report capturing interesting crypto investor behavior trends and analysis titled ‘Mood of the Nation’. Some of the highlights of the report showed that 60 per cent of the respondents earning below Rs 5 lakh per annum found it extremely challenging to invest in crypto owing to the lack of easy and seamless options available. On the other hand, 68 per cent of the respondents earning above Rs 10 lakh per annum cited legal and regulatory clarity as a major concern for considering investments in cryptocurrencies.
Post-Supreme Court’s judgment in March to lift the banking ban, experts say the Indian crypto industry has witnessed a huge influx of crypto demand from investors. The CoinDCX survey also received great responses from more than 11,000 respondents, majorly belonging to the age group of 25-35. Of the total respondents, 53 per cent were crypto investors and 47 per cent were non-crypto investors. CoinDCX claims the “Mood of the Nation” survey shows the sentiments of India’s 1 Billion consumers around cryptocurrency, the technology, and the investment potential of the new and emerging asset class.
The study showcased that 78 per cent of investors in crypto have also invested in mutual funds earlier, 22 per cent of investors in crypto have never invested in any new age investments, whereas 63 per cent of respondents from the IT, Finance, and Education sector barring banking felt crypto is a good asset class to invest in. Further, only 12 per cent of the respondents from the banking sector felt regulation is the biggest challenge from crypto and stated the reason behind their reluctance to invest in this asset class.
Sumit Gupta, CEO and co-founder of CoinDCX said, “This survey is an important benchmark in the Indian crypto discourse. It highlights the requirements of options for investing in crypto on one side and also emphasizes the requirement of smart regulation in the country. It is clear from the report that, while outwardly India is set to become the next global player on the international scene, it is extremely important that smart and sensible regulations become a part of the discourse.” He further added, “Knowing how an average Indian perceives cryptocurrency puts the Indian cryptocurrency community in a position of responsibility to ensure that every single Indian can understand and adopt cryptos, and join this ever-growing community.”
Some trend also showcased the fact that those with disposable income, were marginally higher and more bullish towards crypto, vis-à-vis the others – For instance, 72 per cent of full-time employees and 62 per cent of self-employed respondents felt crypto is a good asset class to invest in while less than 5 per cent of Indians comprising homemakers and unemployed respondents said crypto has zero utility.
Considering the education levels among the respondents, the survey realized around 72 per cent of graduates felt a lack of knowledge and awareness was their biggest challenge to enter cryptos. Graduates, however, took a lead whereby 73 per cent believed that crypto is an alternate investment class, while 67 per cent of postgraduates cited crypto as a new asset class and a good investment option.
Considering the age group criterion of the respondents, the survey report highlighted 71 per cent of respondents below the age of 35 said they had invested in crypto at least once while 27 per cent of respondents above the age of 40 said they had never invested in cryptos. Besides 69 per cent of the respondents below the age of 35 considered crypto as a good asset to invest in. A significant number of respondents below the age of 40 felt that there is no easy way to enter cryptos while 52 per cent of respondents within the age group of 20 to 30 felt a lack of knowledge and awareness is a huge challenge.
Kashif Raza, Co-founder of Crypto Kanoon, a platform dedicated to clearing regulatory ambiguities in crypto said, “This survey will be a gamechanger for all of us in the cryptocurrency community. The results coming from this survey will help us, as a crypto community, how to bridge the gap between the crypto community and people who want to be a part of this community.”
The report reiterated that being internet savvy and having a better understanding of the digital economy led to increased interest among millennials for crypto as compared to the older generations. Furthermore, considering the majority of millennials are currently working and have a good amount of disposable income added to their inclination towards the asset.