India’s regulatory uncertainties have not affected the investor’s sentiment towards crypto as the latest data from crypto exchanges suggests a rising influx of users.
Binance-owned Indian crypto exchange WazirX reported a 2,648% growth to date in user signups from smaller cities across India, also known as tier-II and tier-III cities, that can host up to 100,000 citizens. The Mumbai-based exchange reported:
“Tier-II and tier-III cities have driven almost 55% of total user signups on WazirX in 2021.”
The data also highlighted a rise in the number of women investors and enthusiasts across the country. Out of all the sign ups attributed to Indian women on WazirX, 65% of the accounts are based out of India’s tier-II and tier-III cities.
Citing pandemic-induced lockdown as a primary catalyst, WazirX reported a an average growth of 2,950% in tier-II cities like Ahmedabad, Lucknow and Patna, followed by a similar 2,455% spike in tier-III cities like Ranchi, Imphal and Mohali.
A fiat payments gateway provider out of Bengaluru, Razorpay, also showed that smaller cities were responsible for around 54% of traffic on its network, highlighting a 92% growth in digital transactions.
Based on an immediate follow up with female traders, WazirX reported that investors are looking to crypto as a means to attain financial independence, a higher standard of living and a source of secondary income.
Related: Indian crypto exchange becomes unicorn after $90M funding round
Amid the resistance from mainstream finance, the Indian crypto landscape continues to achieve new milestones. Yesterday, Mumbai-based crypto exchange CoinDCX raised $90 million in a Series C funding to become India’s first crypto unicorn.
As of recently, IndiaTech.org, an independent body has also recommended a regulatory framework for the Indian government, suggesting ways to handle crypto assets and exchanges. CoinDCX CEO Sumit Gupta supported the move by stating that the recommendations can potentially “open immense potential for Indians to participate in this new global asset class.”