India's Crypto Risk Shifts from Market Volatility to Investor Protection

Radhika Gupta, managing director and CEO of Edelweiss Mutual Fund, has warned Indian investors not to buy cryptocurrency. Speaking at the India Today Woman Summit 2026, Gupta said that while market risk is a concern for any investment, including Bitcoin, investor-protection risk in India is more pressing.

Gupta noted that India's regulatory framework lags behind its adoption of cryptocurrency. The country has one of the largest crypto markets, with Chainalysis ranking it first in the 2025 Global Crypto Adoption Index and first across various categories, including retail centralized activity and DeFi. However, investor-protection rules are not developing at the same pace.

Gupta emphasized that intermediary failure creates a different problem than market volatility. Insolvency, hacking, or withdrawal restrictions can make it uncertain whether investors will regain access to their assets, even if the price recovers.