India's crypto landscape has a new demographic at its forefront. For the first time, investors aged between 18 and 25, commonly known as Gen Z, have surpassed millennials to become the nation's largest crypto investor group. A recent report from CoinSwitch indicates that Gen Z now represents 37.6% of India's crypto investors, slightly ahead of Millennials (aged 26–35) at 37.3%. The 36–45 age group follows with 17.8%.
The report, titled "India's Crypto Portfolio Q3 2025: How India Invests," is based on data collected from over 2.5 crore users. It offers insights into how individuals across India are engaging with cryptocurrencies, detailing their investment and trading habits and their growing familiarity with this emerging digital asset class. The findings suggest that cryptocurrency is increasingly becoming an integral part of India's financial narrative.
A Generation Raised in the Digital Age
For Gen Z, cryptocurrency is not an unfamiliar concept; it is simply another facet of the online environment they have grown up in. Having been raised alongside technologies like UPI, various fintech applications, and social media platforms, the act of acquiring cryptocurrencies such as Bitcoin or Dogecoin feels natural and integrated into their existing digital experiences, akin to investing in traditional mutual funds.
Unlike older generations, Gen Z is not necessarily waiting for definitive regulatory clarity. Despite the anticipated crypto regulation paper from the government being delayed, young investors are actively participating in the market. They acknowledge the inherent risks but are motivated by the desire not to miss out on potential early-stage opportunities.
The accessibility of the market also plays a significant role. Many platforms allow individuals to start investing with as little as ₹100. Coupled with the influence of online personalities, discussions in various online communities, and late-night conversations about crypto, it becomes understandable why Gen Z is readily embracing this asset class.
Metropolitan Areas Lead, but Tier-2 Cities Show Strong Growth
Major metropolitan cities continue to be dominant hubs for crypto investment. Delhi leads with 19.3% of investors, followed by Bengaluru at 8.9%, and Mumbai at 7%. However, smaller cities are rapidly gaining ground, with locations like Jaipur, Lucknow, and Patna emerging as significant centers for crypto activity, reflecting the expanding reach of digital finance across the country.
Balaji Srihari, Vice President at CoinSwitch, commented on these findings: "Our insights reflect one of the largest retail investor bases in the country. The data clearly shows India’s crypto market is entering a more mature phase. What we’re seeing is financial empowerment beyond the big cities. Though metros continue to lead, the next phase of India’s crypto story will be shaped by Tier 2 & 3 cities."
This trend is not new. A previous report from CoinSwitch highlighted Botad, a small town in Gujarat, ranking tenth nationally for crypto investors, surpassing larger cities like Ahmedabad and Surat. With a population of approximately 13 lakh, Botad had over 3.8 lakh crypto investors, demonstrating the deep penetration of cryptocurrency into India's smaller economies.
Dominant Cryptocurrencies in India
In terms of holdings, established cryptocurrencies continue to be the most popular. Bitcoin holds the top position with 7.2% of investments, followed by Dogecoin at 6.1%, and Ethereum at 4.9%. Seven of the top ten cryptocurrencies are major, well-established assets, indicating a trend towards long-term, utility-focused investments rather than speculative short-term plays.
Other notable cryptocurrencies attracting investment include Shiba Inu, Ripple, Cardano, Solana, and Polygon. Even newer, community-driven tokens such as Pepe continue to garner significant interest from investors.
Diverse City-Specific Investment Patterns
CoinSwitch's data reveals distinct investment behaviors across different Indian cities, each showcasing unique patterns:
- •Mumbai demonstrates a strong preference for Blue-Chip investments, accounting for 37.4% of its portfolio, suggesting a leaning towards more secure assets.
- •Hyderabad leads in Large-Cap allocations with 37.3%, indicating a patient investor base focused on established, significant market players.
- •Patna stands out with a substantial 42% of its investments in Mid-Cap coins, hinting at a growing confidence in assets with higher growth potential but less established market presence.
- •Jaipur shows a higher willingness to take risks, topping small-cap portfolios at 9.4%.
- •Kolkata exhibits a high success rate, with 77% of its crypto portfolios reporting profits.
These varied patterns illustrate the multifaceted nature of India's crypto market, characterized by a mix of risk-averse, balanced, and risk-taking investors who collectively contribute to market growth.
Trading Volume Peaks in July 2025
July 2025 emerged as the most active trading month for the quarter. This surge coincided with Bitcoin reaching new price highs and the passage of the GENIUS Act in the U.S., which positively impacted market sentiment globally.
The busiest trading days within July were the 11th and the 18th. Ethereum led the trading volume charts with 8.9%, closely followed by Ripple and Bitcoin, each accounting for 7.6% of the trades.
Judicial Recognition Provides a Confidence Boost
Alongside market activity, a significant legal development has bolstered investor confidence. In a landmark ruling, the Madras High Court declared that cryptocurrency qualifies as property under Indian law, marking a historic first in the country's judicial history.
Justice N Anand Venkatesh stated, "There can be no doubt that ‘crypto currency’ is a property. It is not a tangible property nor is it a currency. However, it is a property, which is capable of being enjoyed and possessed (in a beneficial form). It is capable of being held in trust."
While this verdict does not establish cryptocurrency as legal tender, it provides investors with a legal basis to assert ownership rights, offering a crucial layer of reassurance in an environment characterized by regulatory uncertainty.
The Broader Implications for India's Digital Economy
The data from CoinSwitch, combined with the Madras High Court's ruling, underscores the significant evolution of the cryptocurrency space in India. Crypto is no longer a niche interest confined to traders; it is increasingly driven by young individuals who view it as a viable avenue for wealth creation.
With a user base exceeding 2.5 crore and growing international investor interest, the crypto market in India is poised for further expansion. Despite the absence of comprehensive regulations, India's youth are proactively engaging with digital assets. For Gen Z, cryptocurrency represents not merely a trend, but a means to actively shape and control their digital future.