Crypto’s Youth Surge: Millennials Fuel India’s Digital Asset Boom as Kolkata Leads Gains

Image Source : Business Standard

India’s cryptocurrency landscape is undergoing a generational transformation, with millennials—particularly those aged 26 to 35—emerging as the dominant force behind the country’s digital asset adoption. According to CoinSwitch’s Q2 2025 report, this age group accounts for nearly half of all crypto investors, reshaping investment trends and regional dynamics across the nation.

Investor Demographics and Age Trends

- Individuals under 35 now represent 71.7 percent of India’s crypto investor base
- The 26–35 age group leads with 44.4 percent, followed by 18–25 at 27.3 percent
- Investors aged 36–45 make up 20.1 percent, while those above 46 comprise just 8.2 percent
- The average investor age continues to rise, indicating growing maturity and long-term interest

This demographic shift reflects a broader cultural acceptance of crypto as a legitimate asset class, moving beyond its earlier reputation as a speculative trend.

Regional Adoption and Portfolio Performance

- Kolkata tops the charts with 75.61 percent of investors reporting positive portfolio returns
- Delhi leads in overall investment volume with 14.6 percent, followed by Bengaluru (6.8 percent) and Mumbai (5.2 percent)
- Tier 2 and Tier 3 cities such as Jaipur, Lucknow, and Patna are witnessing strong adoption, signaling grassroots-level expansion
- Smaller towns like Botad and Barbaka are emerging as niche hubs for specific crypto categories, including meme coins and DeFi tokens

The geographic diversification of crypto participation underscores its growing appeal beyond traditional financial centers.

Asset Preferences and Trading Activity

- Bitcoin remains the most preferred crypto asset, capturing 6.5 percent of investor interest
- Dogecoin follows closely at 6.49 percent, with Ethereum at 5.2 percent
- Meme coins account for 13.2 percent of total investments, led by Dogecoin, Shiba Inu (4.7 percent), and PEPE (2 percent)
- Bitcoin also leads trading volume at 7.2 percent, followed by Ripple (XRP) and Ethereum (ETH) at 4.2 percent each

The continued dominance of Bitcoin and meme coins reflects both investor confidence and speculative enthusiasm.

Investment Categories and Market Composition

- Layer 1 tokens led Q2 2025 with a 35.52 percent share of total interest
- Meme coins followed at 19.5 percent, while DeFi and gaming tokens gained traction
- Layer 2 tokens rounded out the top five, contributing to a combined 81.08 percent of total crypto investments
- This distribution indicates evolving investor preferences and a shift toward utility-driven assets

The rise of DeFi and gaming tokens suggests increasing interest in blockchain applications beyond simple trading.

Global Context and Regulatory Momentum

- International developments are influencing Indian sentiment, including:
- Former US President Donald Trump’s pro-crypto stance and proposals for a national Bitcoin reserve
- The European Union’s MiCA regulations, which formalize crypto oversight
- Hong Kong’s approval of Bitcoin ETFs and Thailand’s five-year tax exemption on crypto gains
- These global signals are reinforcing investor confidence and accelerating mainstream adoption in India

India’s crypto market is increasingly shaped by global regulatory and political trends, despite domestic taxation and policy ambiguity.

Conclusion

India’s crypto boom is being driven by a young, tech-savvy generation that sees digital assets as both a financial opportunity and a cultural shift. With Kolkata leading in portfolio performance and smaller cities joining the fray, the market is becoming more inclusive and dynamic. As global momentum builds and investor preferences evolve, India’s crypto ecosystem is poised for sustained growth—powered by millennials and diversified across regions and asset classes.

Sources: Business Standard, CoinSwitch, The Economic Times, Investing.com, The Crypto Times, Times of India, Reuters India, MSN India