The number of young stock and crypto investors in rural India has increased by 45% compared to last year
Coupled with the outbreak of the Coronavirus and the long period of social distancing, stock and cryptocurrency trading is growing rapidly in India, especially in rural areas, the Economic Times reported.
Crypto and stock trading in India increase 45%, more than 70 million, compared to last year
Because of this development, India has added many other businesses, such as crypto trading platforms and asset managers. The number of new investors registered on crypto trading platforms and wealth management players also increased significantly. This has resulted in a boom in the stock markets, listings by new-age startups, and targeted advertising targeted at this group.
“User signups in Uttar Pradesh have increased by almost 60% as of August 23 compared to the previous year. It has grown by 70% in Odisha, 191% in Assam, 85% in Bihar, and 80% in Madhya Pradesh in the same period”, the state-wise user registration data from the BSE noted.
Overall, there has been a 45% increase in registered investors to more than 70 million compared to the previous year.
According to Paytm Money, investor registrations from 30 cities in rural India, such as Varanasi and Warangal, have increased by more than 30% compared to comparable growth seen for municipalities in the region this year. This shows that users from non-metros are more attracted to investing in equity than direct mutual funds.
Meanwhile, 60% of total new users are recorded from the online wealth management platform INDMoney. Most came from tier II and tier III towns this year compared to 30% eight months ago.
Similarly, crypto-selling platform CoinSwitch Kuber has reported a 135% monthly growth in signups from non-major cities since June of last year, with Patna leading the way.
Apart from reduced entry barriers to the capital markets, the non-metro regions present a young, aspirational India to these companies where financial freedom is a big theme.
There are three factors behind the growth of new users coming from rural areas. First, it can be seen that advertising growth has also increased over the past 18 months. Furthermore, crypto, as well as stocks, can provide flexible earning opportunities for young users. Finally, financial platforms also provide quality content and use local languages to make it more accessible to local users.
As AZCoin News mentioned, crypto adoption in India has grown strongly this year. According to U.S. Census Bureau data, India’s total population is one of the largest in the world with $1.33 billion inhabitants, second only to China’s 1.39 billion. It can be seen that with the support of India, the crypto market is still likely to grow strongly in the future.
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