India’s Portfolio

2023

How India Invests in Crypto

India’s Portfolio

2023

How India Invests in Crypto

Market Resilience

2023 was a year of resilience. While the year started off on a somber note, the market picked up significantly towards the end of the year, bringing much needed cheer to crypto investors. Bitcoin, the most prominent crypto, ended more than 150 % year on year*. Meanwhile, Ethereum and several Meme coins also ended the year in green. After touching a low of less than $1 trillion (T) in June 2022, total crypto market capitalization grew to over $1.5 T by December. 

The prolonged downturn of the previous 12 months or so had inspired the crypto ecosystem to refocus on first principles—fortifying foundational protocols for the future of finance. The renewed developer activity on Layer 1 and Layer 2 protocols coincided with the growing interest in crypto instruments by large financial institutions—TradFi, as the saying goes. 

The year also coincided with some much-needed regulatory progress in crypto, globally and in India. The G20 member-nations, under India’s presidency, brought together the voices and concerns of various stakeholders to move the needle on a global consensus. Over in the US, regulatory actions against bad actors enhanced consumer protection and brought more clarity to the ecosystem. Closer home, India brought the crypto ecosystem under the anti-money laundering framework, strengthening the monitoring and reporting protocols at platforms. 

The net effect of these changes turned the crypto market green in 2023. 

How did India’s crypto investors respond to this? What crypto assets were being traded the most, and who were trading them? This report, India’s Portfolio, provides the answers.

* As compared to 20 Dec 2022, 11.30 am IST. 

Note: This report is based on data from the CoinSwitch platform and does not include crypto users on other platforms.

India Overview

India Overview

19+

million
crypto
users

9%

Women
USERS

India Overview

19+

million
crypto
USERS

9%

Women
USERS

Market Signals

BTC in 2023

Market Signals

BTC in 2023

Cities Love Crypto

In 2023, Delhi maintained its lead in India’s crypto adoption (measured in terms of value invested). Bangalore closely followed, with Mumbai climbing a spot since our India’s Portfolio 2022 report. This shows that three big metros account for more than 20% of the total crypto investment in the country.

Cities Love Crypto

In 2023, Delhi maintained its lead in India’s crypto adoption (measured in terms of value invested). Bangalore closely followed, with Mumbai climbing a spot since our India’s Portfolio 2022 report. This shows that three big metros account for more than 20% of the total crypto investment in the country.

Top Cities x Market cap

Here’s how the top 10 cities with the highest crypto adoption allocated their digital assets portfolio in 2023

Top Cities x Market cap

Here’s how the top 10 cities with the highest crypto adoption allocated their digital assets portfolio in 2023

Top Cities x Market cap

Top Cities x Market cap

Investors Who Love Crypto

About 75% of the invested users are below the age of 35 years, signaling a growing interest in crypto among the younger generation.

Investors Who Love Crypto

About 75% of the invested users are below the age of 35 years, signaling a growing interest in crypto among the younger generation.

Coins India Loves The Most

In 2023, a new crypto favorite emerged: Dogecoin (DOGE). Surpassing both Bitcoin (BTC) and Ethereum (ETH), DOGE now claims 11.1% of the total invested value.

 

Here’s the shocker- with a 633%* rise in 12 months, Solana (SOL) was the best performing asset in the Indian crypto investors’ portfolio.

 

Cardano (ADA) secured a spot in the top 5, commanding a 5.1% market share.

Coins India Loves The Most

In 2023, a new crypto favorite emerged: Dogecoin (DOGE). Surpassing both Bitcoin (BTC) and Ethereum (ETH), DOGE now claims 11.1% of the total invested value.

Here’s the shocker- with a 633%* rise in 12 months, Solana (SOL) was the best performing asset in the Indian crypto investors’ portfolio.

Cardano (ADA) secured a spot in the top 5, commanding a 5.1% market share.

How India’s Crypto
Portfolio Looked in 2023

More than 50% of Indian crypto investments are parked in top-tier CRE8 coins, with DeFi utility tokens and Ethereum alternatives (Layer1 networks that rival the blue-chip smart-contract chain) following behind.

How India’s Crypto
Portfolio Looked in 2023

More than 50% of Indian crypto investments are parked in top-tier CRE8 coins, with DeFi utility tokens and Ethereum alternatives (Layer1 networks that rival the blue-chip smart-contract chain) following behind.

Trader Speak

Let’s hear from one of our users… about their crypto journey

Ayushi Abhay Agarwal

Bengaluru

Who:  A 28-year-old from Bengaluru

Trading Experience:  Began trading during Pandemic; became full-time trader due to the flexibility and financial freedom

Motivation:  Driven by a long-term perspective, focussed on accumulating substantial funds

Investment Diversification:  Also invests in mutual funds, indicating a diversified approach

Discipline:  Methodical and keeps daily records of earnings and expenditures

Future Outlook:  Foresees a bull market on the horizon; optimistic for crypto in 2024

Q. What was your introduction to crypto trading?

Originally from Gujarat, I relocated to Pune post my wedding, and then to Bengaluru in September 2021. Over time, I lost enthusiasm for the 9-to-5 routine. I looked for alternative options that allowed me to work from home. It was during this period that my husband introduced me to the CoinSwitch platform. While still holding onto my job, I delved into the platform and began experimenting with trading. A little later, I made the life-altering decision to quit my job and fully embrace trading on the CoinSwitch platform.

Q. What convinced you to go full-time on crypto trading? 

I began my crypto trading journey with arbitrage trading, which proved to be quite profitable. It was evident that there were significant profit margins to be seized. What drew me further into crypto trading was the flexibility it offered—the ability to work from the comfort of home, and the financial freedom it promised. Of course, it comes with its inherent risk. There are days when profits may be elusive, or losses may be incurred. I’ve learned over time that balance and discipline are key. I keep a daily record of my earnings and expenditures to ensure that I stay on course with my trading activities.

Q. How was 2023 different from the previous year for your trades? 

With more users adopting similar strategies, the benefits tended to be concentrated among a few, and declining arbitrage percentages. But then, API trading emerged as an appealing alternative. It offers the flexibility to trade without the need for constant manual monitoring. This technological advancement has notably enhanced the convenience and efficiency of trading.

Q. How do you foresee the future of crypto in India?

I believe a bull market may be on the horizon, maybe as early as next year… by March or around that time. This could present us with excellent opportunities in the market. But when it comes to specific crypto assets, you cannot predict their performance with surety.

Q. Do you invest in assets other than crypto? 

Yes, I do invest in mutual funds.

The opinions of the user are their own and not an investment advice; Please do your own research before making any trading decisions

Trader Speak

Let’s hear from one of our users… about their crypto journey

Ayushi Abhay Agarwal

Bengaluru

Who:  A 28-year-old from Bengaluru

Trading Experience:  Began trading during Pandemic; became full-time trader due to the flexibility and financial freedom

Motivation:  Driven by a long-term perspective, focussed on accumulating substantial funds

Investment Diversification:  Also invests in mutual funds, indicating a diversified approach

Discipline:  Methodical and keeps daily records of earnings and expenditures

Future Outlook:  Foresees a bull market on the horizon; optimistic for crypto in 2024

Q. What was your introduction to crypto trading?

Originally from Gujarat, I relocated to Pune post my wedding, and then to Bengaluru in September 2021. Over time, I lost enthusiasm for the 9-to-5 routine. I looked for alternative options that allowed me to work from home. It was during this period that my husband introduced me to the CoinSwitch platform. While still holding onto my job, I delved into the platform and began experimenting with trading. A little later, I made the life-altering decision to quit my job and fully embrace trading on the CoinSwitch platform.

Q. What convinced you to go full-time on crypto trading? 

I began my crypto trading journey with arbitrage trading, which proved to be quite profitable. It was evident that there were significant profit margins to be seized. What drew me further into crypto trading was the flexibility it offered—the ability to work from the comfort of home, and the financial freedom it promised. Of course, it comes with its inherent risk. There are days when profits may be elusive, or losses may be incurred. I’ve learned over time that balance and discipline are key. I keep a daily record of my earnings and expenditures to ensure that I stay on course with my trading activities.

Q. How was 2023 different from the previous year for your trades? 

With more users adopting similar strategies, the benefits tended to be concentrated among a few, and declining arbitrage percentages. But then, API trading emerged as an appealing alternative. It offers the flexibility to trade without the need for constant manual monitoring. This technological advancement has notably enhanced the convenience and efficiency of trading.

Q. How do you foresee the future of crypto in India?

I believe a bull market may be on the horizon, maybe as early as next year… by March or around that time. This could present us with excellent opportunities in the market. But when it comes to specific crypto assets, you cannot predict their performance with surety.

Q. Do you invest in assets other than crypto? 

Yes, I do invest in mutual funds.

The opinions of the user are their own and not an investment advice; Please do your own research before making any trading decisions

Market Movers

“Explain inflation like I’m 5!” 

Here’s a story for you;

Market Movers

“Explain inflation like I’m 5!” 

Here’s a story for you;

Market Movers

“Explain arbitrage like I’m 5!” 

Here’s a story for you;

Market Movers

“Explain arbitrage like I’m 5!” 

Here’s a story for you;

Disclaimer 

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. The information provided in this post is not to be considered investment/financial advice from CoinSwitch. Any action taken upon the information shall be at the user’s risk. 

Credits

Data Analytics: Monica Reddy, Piyush Kothari, Sai Kiran

Research: Shubham Hudda

Editorial: Sumil Sudhakaran, Surbhi Jain, Santosh Kamatam

Design: Rajesh Subramanian, Rishi Jacob

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