A third of India’s 1115M crypto users are concerned with regulations according to a recent report by KuCoin which surveyed tech savvy Indian investors who are engaged with crypto.
According to the research, India currently has an estimated 115 million cryptocurrency investors, despite the government’s traditionally unfavorable attitude toward the sector.
The KuCoin Research
The most recent estimate of user numbers in India comes from cryptocurrency exchange KuCoin, which published the results of its ‘Into The Cryptoverse India Report’ poll on Aug. 23. The estimated 115 million crypto users account for around 15% of the Indian population aged 18 to 60.
A noteworthy finding was that 33% of survey respondents (a third of India’s crypto users) were concerned about confusing government laws, which might dissuade potential investors. Concerns about security were also clear, with 26% worrying about hackers and vulnerabilities and 23% anxious about losing money in the case of a security issue.
The research is based on a survey of 2042 Indian individuals aged 18 to 60, conducted between October 2021 and June 2022. 1541 respondents described themselves as cryptocurrency investors who either own cryptocurrencies or had traded in the last six months and expect to do so in the future.
Barriers of Acceptance
The main barriers to continuous acceptance and onboarding of new users include education, regulatory, and security concerns for individuals in the nation. 41% of respondents said they were unsure what form of cryptocurrency to invest in, and 37% said it was difficult to manage portfolio risk. Another 21% of respondents had no idea how bitcoins function.
A significant proportion of cryptocurrency users in India are under the age of 30, with 39% of investors aged 18 to 30 identified in the first quarter of 2022. Investing for the future was also a significant subject, with 54% of respondents believing that cryptocurrencies have the potential to deliver a greater return on investment than traditional assets.
KuCoin’s CEO Thought On Research
KuCoin CEO Jonny Lyu unpacked the findings of their report on India. He admitted that the number of crypto users was just a confirmation of expectations. Logically, given that India is a very populous nation, with a developing middle class that is very tech savvy, Lyu expected to see a strong layer of investors that are engaged in crypto:
“Despite the government’s stance affecting local crypto market sentiment, people still continue exhibiting interest in new means of value accumulation and accrual.”
Jonny Lyu had something to say about regulatory concerns in India, stating that it is just one factor affecting the rate of new users in the country, and even tight regulations cannot curtail the rise of investors engaged with cryptocurrency in India.
The report overall paints a positive picture of the growth of crypto adoption in the country, but it does note that there is a disparity in the government’s stance toward the whole sector, which might be a hindrance. Because of this a third of India’s 1115M crypto users are concerned with regulations now, and those that are yet to come.
See the latest crypto news.