https://www.bloomberg.com/news/arti...-indians-are-now-pouring-billions-into-crypto Even Gold-Obsessed Indians Are Now Pouring Billions Into Crypto By Suvashree Ghosh and Ronojoy Mazumdar June 27, 2021, 5:00 PM PDT Daily trading values are up nearly 900% in last 12 months Investors pile in, regulators give conflicting signs on future The cryptocurrency aficionados’ mantra that Bitcoin is equivalent to digital gold is winning converts among the world’s biggest holders of the precious metal. In India, where households own more than 25,000 tonnes of gold, investments in crypto grew from about $200 million to nearly $40 billion in the past year, according to Chainalysis. That’s despite outright hostility toward the asset class from the central bank and a proposed trading ban. Richi Sood, a 32-year-old entrepreneur is one of those who swerved from gold to crypto. Since December, she’s put in just over 1 million rupees ($13,400) – some of it borrowed from her father – into Bitcoin, Dogecoin and Ether. Richi Sood Source: Richi Sood. To read more articles based on your personal financial goals, answer these 3 questions that will tailor your reading experience. And she’s been fortunate with her timing. She cashed out part of her position when Bitcoin smashed through $50,000 in February and bought back in after the recent tumble, allowing her to fund the overseas expansion of her education startup Study Mate India. “I’d rather put my money in crypto than gold,” Sood said. “Crypto is more transparent than gold or property and returns are more in a short period of time.” She’s part of a growing number of Indians -- now totalling more than 15 million -- buying and selling digital coins. That’s catching up with the 23 million traders of these assets in the U.S. and compares with just 2.3 million in the U.K. The growth in India is coming from the 18-35 year old cohort, says the co-founder of India’s first cryptocurrency exchange. Latest World Gold Council data indicated Indian adults under age 34 have less appetite for gold than older consumers. “They find it far easier to invest in crypto than gold because the process is very simple,” said Sandeep Goenka, who co-founded ZebPay and spent years representing the industry in discussions with the government on regulation. “You go online, you can buy crypto, you don’t have to verify it, unlike gold.” Virtual Boom Crypto investments surged in India after a ban was lifted by the top court Source: Chainalysis Note: Data is monthly value of cryptocurrency received in India One of the biggest barriers preventing wider adoption is the regulatory uncertainty. Last year, the Supreme Court quashed a 2018 rule banning crypto trading by banking entities, resulting in a trading surge. However, authorities show no signs of embracing cryptocurrencies. The nation’s central bank says it has “major concerns” about the asset class and six months ago the Indian government proposed a ban on trading in digital coins – though it has been silent on the topic since. “I am flying blind,” said Sood. “I have a risk-taking appetite, so I’m willing to take a risk of a ban.” For now, the increasing adoption is another sign of Indians’ willingness to take risk within a consumer finance sector that’s plagued with examples of regulatory short falls. “I think over time everyone is going to adopt it in every country,“ said Keneth Alvares, 22, an independent digital marketer who has invested more than $1,300 in crypto so far. “Right now the whole thing is scary with regulation but it doesn’t worry me because I’m not planning to remove anything for now.” — With assistance by Swansy Afonso
This is being parroted everywhere. Now that the pikers are getting in it's over. Call me a gay bear or whatever but I think this is the sign crypto has jumped the shark. It's only a matter of time it gets regulated so that one of two things happen: (1) Fed creates a stablecoin and everyone adopts it thereby giving central banks leverage over yet another free economy. (2) Governments make crypto illegal. Crypto is worthless if you cannot use it in trade (buying actual goods like food and shelter) and cannot convert it to fiat. For (2) I count "governments" as people that matter. No one cares you'll always be able to convert your currency to bolivar.
1. Bitcoin and other crypto digital assets are classified as property in the US and treated and taxed accordingly 2. I don't know what governments you are referring to, but the important one for me is the US The US Government does not seem to be planning to ban bitcoin and cryptos If the USG bans bitcoin and cryptos, then why a. Does CME have a bitcoin futures market b. PayPal integrated bitcoin and cryptos c. Visa is planning to support bitcoin d. Mastercard is planning to support bitcoin e. Square allows purchase of bitcoin f. Investors are allowed to invest in GBTC g. Investors are allowed to invest in COIN h. Morgan Stanley allowing its HNW clients to invest in bitcoin i. Goldman Sachs allowing its HNW clients to invest in bitcoin j. Fidelity is allowing its clients to invest in bitcoin k. a16z starting a $2.2B crypto fund l. NYDIG allowing its clients to invest billions in bitcoin m. Guggenheim invested in bitcoin n. Bank of New York investing in bitcoin o. NYDIG will allow hundreds of banks to invest in bitcoin p. Some US lawmakers invested in bitcoin q. Whitehouse Advisor Tim Wu owns millions of $ worth of bitcoin r. Robinhood allows buying and selling of bitcoin and cryptos s. eToro allows trading t. Other US brokerage platforms allow trading u. many more stuff that I forgot to list My guess is that the US will put additional regulations to solidify the status of bitcoin and other cryptos as investment assets for taxation and in turn this will open up bitcoin in every brokerage account even retirement accounts People who hate bitcoin and other cryptos on ET will continue to miss out as you continue to wish for this to all crash and burn The bitcoin price may "crash" every now and then but it will come back up along with the other cryptos I think bitcoin will be above $100K by eoy
About organized entrenched obsolete economic setups A bitcoin guy the other day said something to the effect of "If the US decides they don't want the taxes from my bitcoin, "If the US doesn't like my money, then I can go to a country that does." He said he could memorize (some number to access his wallets of digits) and strip down to skivvies, stroll though the airport with nothing at all, arrive at destination, and have funds available same as it ever was. No ten day wait. Being that money on the barrelhead talks, I'm inclined to believe he makes a good point. To be Long in the Short Age. As it were.
They are banned for retail but Archegos family office managed to be long billions of dollars worth when they blew up.
After so much institutional sponsorship govt no longer can make it illegal atleast govts like the class of US. In communism it is a matter of bribe money reaching the appropriate level in the communist party.
It's funny how the prime minister of India had talks about banning crypto, and this article comes out during a Bitcoin dip. I guess they have filled their bags and now waiting for the market to pick back up. (Hopefully)
FOMO is there. People just got used to getting lots of something for Little of nothing. Allure is irresistible.