The Rise of Institutional Investments in India’s Crypto Market
India’s cryptocurrency market is undergoing a significant transformation, with institutional investments taking center stage in 2025. This growth is noteworthy, especially as it outpaces global trends. Major exchanges like CoinDCX, CoinSwitch, ZebPay, and Mudrex are experiencing an institutional participation surge between 30–50% year-on-year.
What’s Driving This Shift?
Unlike SEBI-regulated funds, which are cautious due to regulatory uncertainties, High Net-Worth Individuals (HNIs), ultra-HNIs, family offices, and corporates are spearheading the movement. These entities are focusing on blue-chip cryptocurrencies like Bitcoin, Ethereum, Solana, and XRP, ensuring portfolios remain anchored in high-liquidity and proven assets.
For instance, CoinSwitch reported an impressive 93.23% growth in institutional participation compared to 2024. Similarly, Mudrex highlighted that almost one-third of its trading volumes now come from institutional players, with an annual growth rate of 25-30%.
Adopting a Risk-Managed Approach
Interestingly, while growth is evident, Indian institutions remain cautious in their approach. Most investors allocate only 2–5% of their overall portfolios to cryptocurrencies, reflecting a conservative and risk-managed strategy. In comparison, hedge funds globally hold approximately 7% of their portfolios in digital assets.
Potential for Further Growth
Experts believe India has significant room for growth in institutional crypto investments. According to CoinDCX’s Co-founder and CEO, Sumit Gupta, “With clearer regulations and a more balanced tax framework, domestic institutional allocations are well-positioned to move closer to global norms.”
Globally, 55% of hedge funds have already ventured into crypto investments, highlighting India’s potential to catch up as the regulatory environment evolves.
The Future of Crypto in India
Siddharth Bharwani, JMD and CFO of Jetking Infotrain Limited, recently revealed that over 40 Indian companies are ready to adopt Bitcoin as part of their financial strategies. This signals a promising future for the crypto landscape in the country.
Conclusion: The Time to Pay Attention is Now
As institutional players continue their slow yet steady entry into India’s crypto market, retail investors and the general public should keep a close eye on these trends. With the majority of activity focused on established digital assets, tools like Ledger Nano X hardware wallet can serve as a secure option for both retail and institutional investors looking to protect their cryptocurrency holdings.
Stay updated on the latest developments and opportunities by following top Indian exchanges such as CoinDCX, CoinSwitch, and Mudrex. 2025 marks a potentially transformative year for India’s crypto economy!
