Mumbai, July 24, 2023: In a comprehensive survey aiming to understand how people have engaged with digital assets over the years, WazirX, India’s leading crypto exchange, has uncovered investing trends and the purpose of investing for crypto enthusiasts in the country. The survey covers respondents from varying age groups of 18 to 60+ and also sheds light on investor awareness around the nuances of taxation in virtual digital assets.
The survey published by WazirX covers interesting aspects such as the frequency of investment and the total amount invested and highlights how investors are using their digital assets. India has a growing population of crypto owners, and the survey is aimed at understanding the engagement trends of Indian crypto enthusiasts over the last few years.
“Crypto has become quite popular among Indian investors in the last few years. However it’s been encouraging to see that even in a bear market, users have continued to engage with virtual digital assets. With global regulatory developments in place, this adoption will see exponential growth.”, said Rajagopal Menon, VP, WazirX
Some interesting findings from the survey include:
Frequency of Investment in Crypto:
While most respondents were not frequent investors, 19.4% are active traders, and 21% revealed investing once a month. Interestingly, 7.1% of male respondents invested in Crypto weekly.
18-30-year-old investors from our survey have revealed that they started investing in Crypto as early as 2017. 40% of investors have invested more than INR 40,000 in digital assets to this date, indicating the growing appetite for digital asset investing. In fact, despite the bear market, 80% of investors in this age group indicated that they have invested in Crypto in the last one year.
Among 31-45-year-old investors, 50% have invested more than INR 40000 in virtual digital assets. 40% of investors in this age group have invested since 2021, whereas 3% started investing as early as 2014. In the last one year, 84% of investors have invested in Crypto.
Among 45-60-year-old investors, 40% of respondents have invested more than INR 40000 in virtual digital assets. 60% of respondents from this age group started investing between 2021-2023.
Uses for Digital Assets:
A majority 53.2% of all respondents were HODLers, which means that they invested in Crypto for long term returns. 85% of female respondents were HODLers, whereas the proportion of male respondents stands at 53.8%.
In the last 1 year, for a significant number of both male and female respondents, HODLing and Trading Crypto went hand in hand with 27.4% having reportedly done both. 14.5% among all respondents (male and female) were active traders.
The most common reason behind investing was high ROIs, followed by the intent to stay ahead of the curve in emerging technologies.
Among 18-30-year-olds, 56% of investors wanted to invest for high ROI, whereas 28% wanted to invest in order to stay ahead of the curve. Among 31-45-year-old investors, 38.5% wanted to invest for high returns. 19% wanted to invest as they wanted more control over financial assets indicating their knowledge of digital assets beyond an investment tool. Interestingly, among 45 to 60 and 60+ (age) investors, the scope of high ROI and gaining from speculative assets were the most important reasons.
The survey revealed that 75% of respondents understood how Crypto is taxed in India, 16% claimed to have some knowledge, whereas 8.9% weren’t aware of it. 19.4% of respondents will use a Crypto tax filing platform whereas 24.2% mentioned that they would file taxes by themselves.
WazirX is an India-based crypto exchange platform that allows users to buy, sell, and trade various crypto assets like Bitcoin, Ether, Litecoin, and more. WazirX is India’s largest crypto exchange (by volume) and has over 15 million users. WazirX is on a mission to make crypto accessible to everyone in India.Disclaimer: Cryptocurrency is not a legal tender and is currently unregulated. Kindly ensure that you undertake sufficient risk assessment when trading cryptocurrencies as they are often subject to high price volatility. The information provided in this section doesn't represent any investment advice or WazirX's official position. WazirX reserves the right in its sole discretion to amend or change this blog post at any time and for any reasons without prior notice.