Gupta Warns: 'Don't Buy Crypto' in India Due to Weak Investor Recourse

Radhika Gupta, managing director and CEO of Edelweiss Mutual Fund, issued a warning to Indian investors: 'Don't buy crypto.' Her statement was made at the India Today Woman Summit in 2026. While Gupta's caution may seem extreme, it highlights a crucial issue for Indian crypto investors: weak investor recourse.

Gupta emphasized that her warning is specific to India and may not apply globally. She drew a distinction between market risk (volatility) and investor-protection risk. Bitcoin can lose value, but platform failure can block access entirely. Gupta's focus is on the infrastructure surrounding ownership, custody, and investor recourse.

India has become one of the world's largest crypto markets. Chainalysis ranked India first in its 2025 Global Crypto Adoption Index. The country also leads in retail centralized activity, overall centralized activity, DeFi, and institutional centralized activity. Approximately $338 billion in on-chain value entered the country between July 2024 and June 2025.

Gupta's argument is that better regulation could reduce India's non-market risks. Stronger rules would not prevent Bitcoin price drops but could establish minimum standards for exchanges, ensure asset segregation, and provide formal grievance mechanisms. Investors should monitor regulatory developments in areas like licensing, custody, segregation, insolvency treatment, and dispute resolution.