According to RationalStat analysis, the India cryptocurrency market is expected to reach US$ 250 million by 2023, and it is expected to grow at a CAGR of 9.2% during the forecast period 2023-2028. Because of their volatility, cryptocurrencies have often been popular with economic chaos and attract users to that volatility to make money from speculation.
With the help of blockchain technology and smart contracts, the growing field of “decentralized finance,” or DeFi, aspires to replicate and enhance existing financial services. DeFi eliminates the need for intermediaries like banks, brokers, or other financial institutions by utilizing the decentralized characteristics of cryptocurrencies and blockchain networks.
Decentralized blockchain platforms like Ethereum, Binance Smart Chain, and others are used for DeFi apps. These platforms do away with the requirement for centralized management and enable peer-to-peer transactions. DeFi programs are frequently open-source, meaning the source code is accessible to everyone for review and input. This encourages openness, creativity, and everyone’s ability to engage with the ecosystem.
The use of smart contracts increases the possibility of faults, vulnerabilities, or code mistakes that bad actors could abuse. Users may suffer financial damages as a result of this. DeFi uses cryptocurrencies, which are extremely erratic investments. The value of collateral, interest rates, and the stability of decentralized financial services can all be impacted by price changes.
Alternative Methods for International Remittances will be the driving reason for Cryptocurrency adoption
Cryptocurrencies have gained popularity as an alternate method for sending money overseas since they may provide advantages like speed, efficiency, and accessibility. Traditional means of sending money abroad often take days or weeks. Near-instantaneous transactions are made possible by cryptocurrencies, particularly by blockchain-based cryptocurrencies with quick confirmation times. This speed can be quite helpful for beneficiaries that might want fast access to funds.
Due to their universal nature, cryptocurrencies are a substitute for conventional currency in international transfers. In situations when several currency conversions would be necessary using conventional transfer techniques, this can streamline transactions and possibly save on exchange rate expenses.
Bitcoin to dominate the cryptocurrency market both in terms of market capitalization and usage
Satoshi Nakamoto originally unveiled Bitcoin in 2009. Since then, it has taken some time for it to reach the Indian market. In 2012, cryptocurrency quietly entered the Indian market, but it wasn’t until 2013 that bitcoin began to earn some disrepute. It has the most users in the nation because it was the first cryptocurrency ever created and is the oldest. A sizeable portion of the populace knew the currency and had been accustomed to using it for a longer time. Additionally, because bitcoin dominated the India cryptocurrency market, it took some time for other cryptocurrencies to make an appearance.
Maharashtra in West and Central India is dominating the India cryptocurrency market. There are numerous cryptocurrency exchanges, fintech firms, and blockchain-focused businesses in the financial center of India. Its thriving financial and IT sectors draw talent and promote innovation in the cryptocurrency industry. Bengaluru, sometimes referred to as the Silicon Valley of India, is home to a large number of tech firms and startups. It boasts a robust cryptocurrency community that actively participates in blockchain development, cryptocurrency trading, and different conferences and events focused on the subject.
Market Structure and competition landscape
The India cryptocurrency market is fragmented, with several players offering a wide range of product portfolios. Some of the key market players include Bitmain Technologies Ltd., Intel Corporation, Ripple Labs, Inc., BitGo Inc., Coinbase, CoinDesk.com, Ethereum Foundation, Intel Corporation, Bitfury Group Limited, and Nvidia Corporation, among others.
- In September 2022: The historic ‘Merge’ of Ethereum, hailed by the Indian blockchain industry will build a more energy-efficient network based on the second-largest cryptocurrency (after Bitcoin). The Merge, which changed Ethereum from a proof-of-work consensus method to a proof-of-stake Blockchain in order to make it at least “99% more energy efficient,” was the most difficult upgrade to the platform to date.
Also explore related report on Global Cryptocurrency Market
Key market segmentation
RationalStat has segmented the India cryptocurrency market based on type, product type, end use, and region.
- By Type
- ASIC (Application-Specific Integrated Circuit)
- GPU (Graphical Programming Units)
- FGPAs (Field-Programmable Gate Arrays)
- By Product Type
- Ethereum (ETH)
- Litecoin (LTC)
- Bitcoin (BCH)
- Dogecoin (DOGE)
- Monero (XMR)
- Dash (DASH)
- Others (Ripple, Ether Classic)
- IOTA (MIOTA)
- EOS (EOS)
- Exchange Union (XUC)
- Veritaseum (VERI)
- Ontology (ONT)
- By End Use
- E-commerce & Retail
- Peer-to-Peer Payment
- By Region
- North India
- Uttar Pradesh
- West and Central India
- Madhya Pradesh
- East India
- West Bengal
- South India
- Tamil Nadu
- Andhra Pradesh
- North India
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RationalStat has developed a state-of-the-art research methodology to crunch numbers and provide the best possible real-time insights to clients. We combine a varied range of industry experience, data analytics, and experts’ viewpoint to create a research methodology for market sizing and forecasting.
RationalStat combines a mix of secondary sources as well as primary research to assess the market size and develop a forecast. Key steps involved in accurately deriving the market numbers are:
- Defining the problem by understanding the type of market and data required by the client.
- Data gathering and collection through relevant paid databases, publicly available sources, company reports, annual reports, surveys, and interviews.
- Formulating a hypothesis to create market numbers, forecasts, influencing factors, and their relevance.
- Evaluating and analysing the data by referring to data sources utilized and leveraged.
- Validating, interpreting, and finalizing the data by combining the details gathered from primary and secondary sources with the help of experienced analysts.
- RationalStat utilizes surveys, questionnaires, focus groups, and one-to-one interviews with CXOs, industry partners, trade bodies, association members, ex-employees, and industry professionals to collect insights and quantitative/qualitative data specific to client needs. RationalStat quickly gets to the ‘why’ behind the ‘what’ demonstrated by secondary data.
- RationalStat takes a unique approach to arrive at market conclusions and actionable insights for clients.
- We have the technology and strong in-house resource pool with extensive experience in the Indian and regional markets, across a wide variety of categories and stakeholders.
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- Annual reports, company filings, investor presentations, product catalogs, and company documents.
- Industry and market-related documents available in the public domain
- Paid databases including Bloomberg, Factiva, S&P Capital IQ, FactSet, Refinitiv Eikon, ICIS, EUWID, and Thomson Reuters, among others.
- Whitepapers, research papers, and industry blogs.
Why Buy this Report?
The report is intended for Indian cryptocurrency manufacturers and producers, government organizations, educational organizations, regulatory agencies, and market research firms, among others. The report provides an in-depth analysis of market size, consumption patterns, ongoing market trends and challenges, and future market opportunities. The report will serve as a source for a 360-degree analysis of the market thoroughly delivering insights to clients to find the right answers to their business questions.
Key Questions Answered in the Cryptocurrency Report:
- What will be the market value of the India cryptocurrency market by 2030?
- What is the market size of the India cryptocurrency market?
- What are the market drivers of the India cryptocurrency market?
- What are the key trends in the India cryptocurrency market?
- Which is the leading region in the India cryptocurrency market?
- What are the major companies operating in the India cryptocurrency market?
- What are the market shares by key segments in the India cryptocurrency market?