India's Cryptocurrency Market Defies Lack of Clear Regulations

India has emerged as a hotbed for cryptocurrency investment, despite the lack of clear regulations in the country. According to a report by the Organisation for Economic Co-operation and Development (OECD), India received the largest absolute flows into crypto assets in the 12 months to June 2025, along with South Korea.

Ashish Singhal, co-founder of CoinSwitch, estimates that there are between 70 million and 90 million crypto investors in India. However, the number of active participants is significantly lower.

The value of India's Virtual Digital Asset (VDA) transactions grew by 131% cumulatively from FY23 to FY25, reaching Rs 1,09,580 crore. The majority of traders are between 20-30 years old, with the typical investor being a 34-year-old working professional.

Nischal Shetty, founder of WazirX, attributes the decline in spot market volumes to the 1% TDS introduced by the government. However, this has not affected long-term investors.