Delhi and Bengaluru Lead in India’s Crypto Investment

Delhi and Bengaluru emerged as players in India’s cryptocurrency landscape, and contributed notably to the national investment portfolio, especially in the Layer-1 category. According to a recent report, Delhi and Bengaluru accounted for 30.5% of India’s overall crypto investments, showcasing its growing influence.

Key Contributors to Crypto Investments

Delhi-NCR led the nation with 20.9% of crypto investments. Bengaluru followed with 9.6% while Mumbai secured third place with 6.5%. Collectively, these three cities represented over 36% of India’s crypto market.

Performance of Tier 2 and Tier 3 Cities

Pune distinguished itself with 86% of its investors reporting positive returns. Other cities like Jaipur, Lucknow, and Botad also demonstrated robust growth in crypto adoption. Notably, Kolkata and Botad entered the top 10 cities for crypto investments for the first time.

Investor Preferences in 2024

Indian investors showed a clear preference for blue-chip and large-cap tokens, which are favoured for their stability. Layer-1 tokens attracted 37% of investor interest, while DeFi tokens followed at 17%. In Bengaluru, blue-chip investments led at 38%, with large-cap tokens at 30%.

The under-35 age group constituted nearly 75% of crypto investors. The 36–45 age group also exhibited steady growth. Women represented 11% of the investor base, denoting increasing female participation in the market.

Rise of Meme Coins

Meme coins gained traction, with Dogecoin leading at 55%. PEPE emerged as the top-performing asset in 2024, achieving a remarkable 1373% return. This outperformed Solana’s 633% return from the previous year.

The report indicated a substantial increase in crypto investments across India in 2024. While historically concentrated in major cities, crypto adoption is now expanding to smaller cities. Investors are diversifying their portfolios by exploring various asset types, including meme coins and DeFi tokens.

GKToday Notes:

1. Layer-1 Tokens: Layer-1 tokens are foundational blockchain networks. They support decentralised applications. Their popularity surged, attracting 37% of investor interest in 2024.
2. Pune: Pune had the highest percentage of investors with positive returns. An impressive 86% reported gains. This reflects the city’s growing crypto investment landscape and investor confidence.
3. PEPE: PEPE emerged as the top-performing asset in 2024. It delivered an astounding 1373% return. This performance outshone other cryptocurrencies, denoting its popularity among investors.
4. Botad: Botad made its debut in the top 10 cities for crypto investments. This marks milestone for the city. Its growth signifies the expanding crypto landscape in India.

Month: Current Affairs - December, 2024

Category: Economy & Banking Current Affairs