A Review of the Impact of Cryptocurrency on the Indian Economy

Abstract

The emergence of cryptocurrencies has introduced significant shifts in the global financial landscape, and India is no exception. This research paper examines the impact of cryptocurrency adoption on the Indian economy, focusing on three primary dimensions: economic growth, financial inclusion, and regulatory challenges. Through a comprehensive analysis of market trends, policy developments, and case studies, the paper reveals cryptocurrencies have the potential to stimulate economic growth by fostering is dual-faceted, as they also pose risks related to market volatility, financial stability, and regulatory uncertainty. The study further explores how cryptocurrencies can enhance financial inclusion by providing alternative financial services to underserved populations but also highlights the challenges in integrating these digital assets into the existing financial system. By evaluating both the opportunities and risks associated with cryptocurrency adoption, the paper offers policy recommendations aimed at harnessing the benefits while mitigating potential downsides. The findings underscore the need for a balanced approach in formulating regulations that support innovation while ensuring economic stability and investor protection.

DOI - https://doi.org/10.65525/SVUP.9788199651593.2025.90-105