Indian elites have now started to bank on a new emerging trend. This trend is enabling the Indian HNIs, or high net worth individuals, to explore cryptocurrency actively, especially after allocating a portion of their gold investments towards the crypto domain. While the cryptocurrency domain in India is largely independent and neutral, the demand for a variety of crypto coins within the elite Indian community signals a rising trend that cannot be stopped anytime soon.
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Indians Are Ditching Gold for Crypto
Indians are getting creative with their finance portfolios, with a sudden pivot towards assets like Bitcoin. A new trend is noting high-net-worth individuals allocating a portion of their gold investment into sturdy crypto assets like Bitcoin, ETH, and Solana (SOL) to diversify their portfolios and explore the spiking crypto demand.
Per Edul Patel, CEO and co-founder of Mudrex, Indian HNIs have started to push a portion of their gold investments into BTC, SOL, and ETH, exploring the surface by making investments worth 2% to 5% to begin with. Patel further shared how the rising demand of crypto on a global plane as well as US political backing of the domain, are the primary reasons sparking this new change:
“Since the US elections last year, interest in crypto has gone up globally, boosting overall confidence. In India, more HNIs and family offices are starting to add crypto to their portfolios—mainly for diversification and as a hedge. At Mudrex, about 30% of our volumes now come from this group. They usually invest 2–5% in digital assets like Bitcoin, ETH, and Solana; these three alone make up nearly 70% of those investments,” Patel shared.
Indian Markets Are Exploring Crypto Actively
Indian investors are now becoming bold in their attempt to curb inflationary pressure. Most high-net-worth individuals are turning towards crypto to hedge their assets, while the market reacts sharply to the escalating geopolitical issues.
“The mindset among wealthy Indian investors is changing, from asking why they should invest in crypto to how much they should allocate to it in a well-diversified portfolio”, as stated by Sumit Gupta, founder of CoinDCX.
Per the latest statistics, Indians are now investing nearly 2% to 5% of their money towards crypto, prioritizing safety above all:
“We typically see them allocating no more than 2–5% of their portfolios to digital assets, which reflects a clear understanding of the inherent risks and volatility. This conservative allocation allows them to tap into the potential upside of crypto while maintaining overall portfolio stability,” Patel shared.
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