2024

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<p>Crypto traders in India operate in a climate of constant uncertainty. At times, the government promises a regulation paving the way for a stable legal framework, while at other times it raises the threat of a crackdown on bitcoin and other crypto-assets. This instability keeps crypto users on edge. However, despite taxes considered discouraging, India shows impressive crypto adoption, driven by its youth and technological advancements.</p>
<h2 id="h-l-inde-et-sa-jeunesse-moteur-d-un-marche-crypto-dynamique">India and its youth: engine of a dynamic crypto market</h2>
<p>With <strong>over 100 million holders</strong> of crypto-assets, India, known for <a href="https://www.cointribune.com/en/india-maintains-its-crypto-leadership-despite-unclear-regulation/" target="_blank" rel="noopener noreferrer nofollow">its crypto leadership</a>, is a true global locomotive in terms of digital asset adoption. <a href="https://cointelegraph.com/news/crypto-india-thrives-discouraging-taxes" target="_blank" rel="noopener noreferrer nofollow">This momentum</a> relies on <strong>a young and connected population</strong>: more than half of Indians are under 25 years old.</p>
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<p>Raj Karkara, COO of ZebPay, explains that “<em>India is one of the most vibrant crypto markets in the world</em>“, thanks to an ecosystem blending blockchain innovations and suitable exchange infrastructures.</p>
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     <p lang="en" dir="ltr">Crypto just became legal in India, with a 30% tax on income from sale of digital assets <a href="https://t.co/u0qmwJpMd9" rel="noopener noreferrer nofollow">https://t.co/u0qmwJpMd9</a> <a href="https://twitter.com/hashtag/Budget2022?src=hash&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">#Budget2022</a> <a href="https://t.co/zClfT7G0rT" rel="noopener noreferrer nofollow">pic.twitter.com/zClfT7G0rT</a></p>— Bloomberg (@business) <a href="https://twitter.com/business/status/1488410549046353922?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">February 1, 2022</a>
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<p>Despite a <strong>30% levy on crypto gains and a 1% withholding tax</strong>, trading continues to grow. Ajay Kashyap, an influential YouTuber on cryptos, highlights:</p>
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 <li>A strong penetration of smartphones;</li>
 <li>A low-cost internet access;</li>
 <li>A marked enthusiasm for <a href="https://www.cointribune.com/et-la-blockchain-quest-ce-que-cest/" target="_blank" rel="noopener noreferrer nofollow">blockchain</a> solutions.</li>
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<p>All these elements create <strong>a fertile ground</strong> for crypto users. Nevertheless, these heavy taxes hinder the frequency of transactions, reducing profits for traders.</p>
<h2 id="h-vers-une-adoption-crypto-plus-complete-le-role-des-regulations">Towards a more complete crypto adoption: the role of regulations</h2>
<p>While India leads in crypto adoption according to <a href="https://x.com/chainalysis/status/1833838773332840573" target="_blank" rel="noopener noreferrer nofollow">the Chainalysis ranking</a>, its full potential remains untapped. Sumit Gupta, co-founder of the CoinDCX exchange, asserts that <strong>a clear and adaptable regulatory framework</strong> would be a crucial key for development. Adoption could further widen if the government eased its current tax regime, according to Balaji Srihari of CoinSwitch.</p>
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     <p lang="en" dir="ltr">Our 2024 Global Crypto Adoption Index is here! The top 10 countries spanned 5 continents, but Central &amp; Southern Asia and Oceania (CSAO) dominated the list. Read on to see the top 20 countries and learn about global adoption trends: <a href="https://t.co/F2nqkELtd2" rel="noopener noreferrer nofollow">https://t.co/F2nqkELtd2</a> <a href="https://t.co/bbuG1lQ8vB" rel="noopener noreferrer nofollow">pic.twitter.com/bbuG1lQ8vB</a></p>— Chainalysis (@chainalysis) <a href="https://twitter.com/chainalysis/status/1833838773332840573?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">September 11, 2024</a>
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<p>However, India has made some progress by stating it is ready to <a href="https://www.cointribune.com/en/crypto-is-india-ready-to-reopen-its-doors-to-offshore-exchanges/" target="_blank" rel="noopener noreferrer nofollow">reopen its doors to offshore exchanges</a>. Last May, giants like <strong>Binance and KuCoin received regulatory recognition</strong>. However, more flexible regulation could transform India into a global crypto hub, attracting more investors and talent. In short, the momentum is there, but administrative hurdles slow its growth.</p> 
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<p>Thus, while India positions itself as a champion of CBDCs and gold, Bernstein advocates for a strategic diversification by integrating Bitcoin. This choice could strengthen <a href="https://www.cointribune.com/en/?p=744426" target="_blank" rel="noopener noreferrer nofollow">its financial future</a> against economic and technological uncertainties.</p>

India: 100 Million Crypto Users Challenge Repressive Taxes

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