Major Indian investors still do not see an easy way to enter the crypto markets despite recent regulatory liberalization regarding virtual currencies.
A comprehensive survey from India’s CoinDCX exchange has found that most local investors don’t see an “easy way” to access exposure to crypto assets. That’s despite the country reversing a ban on financial institutions providing services to digital asset businesses earlier this year.
According to the OKEx-affiliated exchange’s findings, 56% of respondents under the age of 40 assert there is stil “no easy way to enter” the markets. This sentiment is also shared by 60% of respondents earning less than 500,000 Indian Rupees ($6,700) per year.
Many segments of India’s population also cite a lack of “legal & regulatory clarity” as the largest barrier to entering the crypto sector, including 22% of respondents aged 40 or above, 32% of undergraduates, and 23% of real estate investors.
Graduates and respondents aged from 20 to 30 identified “knowledge & education” regarding crypto as the biggest challenge to its adoption.
CoinDCX queried more than 11,300 participants digitally for its survey, including 3,512 of its own customers.
The findings indicate that 40% of India’s crypto investors hail from one of three professional backgrounds — IT, finance, or education.
While 12% of respondents working in the banking industry stated they have owned crypto assets, 22% agree with the statement that virtual currencies are a strong alternative investment suggesting this could be a growth sector in the country.
Nearly two-thirds of crypto investors are salaried, while 12% are self-employed, and just 8% are students. Despite the low-level of crypto-ownership among students, 87% of hodlers were found to have at least graduated university.
Interestingly there were very few survey respondents willing to write off crypto entirely with less than 5% of retired, unemployed, or homemaker respondents asserting cryptocurrencies offer “zero utility.” This figure drops below 1% among graduates.
In May of this year, India’s Supreme Court overturned a ban on banks providing financial services to businesses handling crypto assets that had been enacted by the Reserve Bank of India in July 2018.