crypto investment volatility – ‘Invested Rs 70 lakh in unregulated crypto projects…’: Financial planner on crypto investment
Despite significant regulatory hurdles and high taxation, Indian investments in cryptocurrencies have shown remarkable growth in the last few years. According to Chainalysis’s Global Crypto Adoption Index, released last year, India has emerged as one of the top global adopters of cryptocurrencies for the second year in a row. This trend is being driven by the country’s younger generation.
Looking at the trend, CA Nitin Kaushik pointed out that some investors have invested blindly in unregulated cryptos and incurred losses. However, he noted that if one is not prepared to handle the possibility of loss, then they are not prepared to make an investment.
“🟢 Monthly income: ₹5L (Startup founder). 🔴 Invested ₹70L in unregulated crypto projects last year. 🔴 Entire portfolio now worth ₹4L. If you’re not ready to lose it, you’re not ready to invest in it.?
Crypto investment trend
Cryptocurrencies in 2025 have shown a mix of volatility and promise. The market has been boosted by the pro-crypto stance of US President Donald Trump, leading to significant surges in digital assets and crypto-related stocks. Despite some setbacks, overall market sentiment remains optimistic.
The latest survey by the World Economic Forum (WEF) indicates a growing trend among retail investors towards cryptocurrencies instead of traditional stocks. According to the Global Retail Investor Outlook 2024, 29% of investors cite a lack of understanding as a reason for avoiding stocks, while only 24% say the same about cryptocurrencies. This shift in perception suggests that digital assets are now viewed as a more accessible investment option, especially among younger investors.
The survey gathered insights from over 13,000 respondents in 14 countries, such as India, the US, China, and the UK.
According to the report, more than half of investors aged under 44 are allocating at least one-third of their portfolios to cryptocurrency, highlighting its increasing recognition as a mainstream asset class.
Crypto investment in India
In India, there continues to be uncertainty surrounding regulations. Ajay Seth, Secretary of the Department of Economic Affairs (DEA), has mentioned that the government will review its cryptocurrency framework in light of changing global regulations on stablecoins and cross-border payments.
Coinbase Global Inc. has recently registered with India’s Financial Intelligence Unit (FIU), enabling it to provide trading services legally in the country. The US-based exchange intends to reintroduce its retail trading platform in India, marking its second effort to expand in the market.
According to the ‘India’s Crypto Portfolio 2024: How India Invests’ report by CoinSwitch, a domestic crypto exchange, Delhi-NCR leads the adoption for the third year in a row, accounting for 20.1% of India’s total crypto investments. Bengaluru and Mumbai follow with 9.6% and 6.5%, respectively.
Dogecoin has emerged as the most invested coin, with SHIB being the most frequently traded, signalling a strong interest in meme coins among Indian investors. PEPE stands out as the top-performing asset of 2024, delivering an astonishing return of 1,373%, outshining Solana’s 633% return in the previous year. This trend highlights the evolving investment strategies among Indians, who are increasingly exploring a diverse range of crypto assets.
The report noted: “PEPE delivered a staggering 1,373% return, emerging as the best-performing asset in 2024, far surpassing Solana’s 633% return in 2023.”