Indian Crypto Users Flock to Stablecoins Over Bitcoin Exposure

India's crypto market has seen a significant shift in recent years, with stablecoins becoming a crucial component. According to data from WazirX, stablecoins generated 38.5% of its H1 2026 trading volume, surpassing Bitcoin and Layer-1 assets.

This trend is not unique to WazirX, as CoinSwitch found that Bitcoin was the preferred asset in nine out of ten of its largest state markets in Q2. However, stablecoins provide a dollar-linked liquidity that users can trade, transfer, or hold without taking direct exposure to Bitcoin's price.

Indian users are not necessarily buying Bitcoin to gain dollar exposure, but rather using INR (rupees) to convert into USDT/USDC as a bridge to global crypto markets. This allows them to access global exchanges and on-chain applications that operate around USDT/USDC.