A major hurdle for crypto investors is the 30% tax levied on profits from digital currency investments. Many believe this tax is significantly hindering wider participation in the market. Additional concerns include restrictions on offsetting losses, the prevalence of scams, the 1% tax deducted at the point of transaction (TDS), and the 3% exchange fee.
Despite these challenges, India remains a leader in the global cryptocurrency sphere. According to a 2025 Chainalysis report referenced by Mudrex, India has held the top spot for crypto adoption worldwide for the third year in a row. This highlights India’s position as one of the rapidly expanding global markets for digital assets.
A survey conducted by Mudrex revealed that a large majority of participants are investing in digital currencies with the aim of building long-term wealth, rather than engaging in short-term, speculative trading.
An intriguing finding from the survey indicates that cryptocurrency regulations could influence the political choices of those invested in digital assets. Approximately 91% of respondents stated that crypto-related regulations might play a role in their voting decisions.
The Mudrex survey encompassed responses from 9,352 individuals across various regions of India, representing diverse age groups, income brackets, professions, and geographical locations, according to the report.