As a seasoned analyst with extensive experience in the global financial market, I find it fascinating to witness India’s resilience and commitment towards crypto adoption despite the government’s discouraging stance. Having closely followed the cryptocurrency landscape for years, I can confidently say that the Indian investors are not only determined but also innovative in their approach to decentralized finance.


As an analyst, I find myself once again reporting that India leads the pack, with local investors embracing cryptocurrencies. This recent data point emerges despite ongoing attempts by the government to dissuade the use of digital assets.

Based on the latest findings from Chainalysis, as reported by CryptoPotato, it was India that topped the Cryptocurrency Adoption Index for the previous year.

India Leads Crypto Adoption

This research evaluated and categorized nations according to their involvement with centralized systems (like services), retail centralized services, decentralized finance (DeFi) platforms, and retail DeFi services. Unlike previous assessments from 2023, this year’s data did not include the volume of transactions through peer-to-peer exchanges due to a marked decline in activity across multiple regions. The closure of LocalBitcoins.com, a well-known P2P exchange, last year is believed to have contributed significantly to this performance drop.

In terms of centralized cryptocurrency involvement, India held the top spot. But when it comes to retail Decentralized Finance (DeFi) activities and DeFi services, it ranked second and third respectively. It’s worth noting that in these areas, India previously held the number one position, but has now slipped to a lower rank over the past year.

Investors in the Asian nation are showing their dedication to increasing cryptocurrency acceptance by continuing to hold onto their dominant position, even though the government takes a firm stance against crypto assets. A recent report reveals that India’s finance minister has set a 1% tax withheld at source (TDS) for crypto trades and a 30% income tax on profits derived from cryptocurrencies.

Moving forward, it’s unclear if the Indian crypto market will continue to hold its top spot starting next year, given the significant hacking incident on a local crypto exchange, WazirX, which resulted in a loss of $230 million. Data publicly available indicates that approximately 4.2 million Indians suffered substantial financial losses due to this breach.

CSAO Captures $750B in Crypto Inflow

According to recent studies by Chainalysis, there’s been a slight rise in the number of prominent nations hailing from Central and Southern Asia and Oceania (CSAO), with seven now represented among the top 20. These countries encompass India, Indonesia, Vietnam, the Philippines, Pakistan, and others within the region.

From July 2023 to June 2024, a massive $750 billion worth of cryptocurrency assets flowed into CSAO, accounting for approximately 16.6% of the market share. This influx has solidified CSAO’s position as the third-largest adopter of cryptocurrencies among major regions.

Read More

2024-09-11 15:10