India accounts for 10% of total international bitcoin transactions

Despite bitcoin's obvious popularity in India, the government's regulation prohibits businesses and retailers from introducing bitcoin to the country's mainstream economic sector.
At the very least, citizens of India have a complicated relationship with bitcoin. While the Indian citizens seem eager to accept the novel idea of a digital economy, the government seems dead set on preventing this from ever happening.

According to Quartz, the Indonesian company, Pundi X, conducted a study recently which confirmed that every 10% of bitcoin transactions are conducted within the India's borders.

Constantin Papadimitriou, President of Pundi X, even explained his firm’s approach during the study. The firm conducted a survey consisting of 3,000 participants located in the US, India, UK, Indonesia, Russia, and Japan.

While bitcoin is hugely popular in India, Indian citizens seem mostly interested in investing in the popular cryptocurrency for a quick, short-term profit. This approach seems logical, as Indian citizens enjoy little to no utility within their own country when it comes to bitcoin. Last year, mainstream bitcoin payment options seemed much more promising, as several retailers, merchants, and restaurants started introducing bitcoin payment points, especially in large cities. However, since then, most business and restaurants owners were forced to remove their bitcoin payment points by local authorities.

The Indian government has been notably proactive in warning their citizens against bitcoin. So far, the Indian Finance Ministry has issued several warnings reminding potential investors of the risks involved in cryptocurrencies and cautioning them against investing. The country's Minister of Finance, Arun Jaitley, has previously confirmed to the Indian press that the government does not view bitcoin and its alternatives as legal tender. The minister has also previously denounced bitcoin as being little more than a Ponzi scheme.

In addition, several of India’s most powerful traditional economic institutions have publicly stated their distaste for the cryptocurrency industry. The country’s Central Bank and Reserve Bank has made no secret of their distrust of cryptocurrency, while the Indian tax office has launched an investigation into cryptocurrency exchanges. In addition, the tax authority has targeted over half a million Indian residents who have a high-net worth and documented investments in cryptocurrencies.

Meanwhile, Pondi X plans to expand their business, yet has strategically decided to avoid entering the Indian market.

Pondi X’s initial coin offering (ICO) is scheduled to take place between January 21-31, 2018. After the conclusion of their ICO, the firm hopes to erect their cryptocurrency-based point-of-sale terminals in countries such as Brazil, Singapore, Africa, and Indonesia. However, considering bitcoin’s popularity in India, the firm has stated that they hope to break through to the Indian market in the near future.

However, bitcoin is not the only popular option in India. Recently, several altcoins have risen in popularity on the Indian continent, including ethereum and ripple. Only a handful of cryptocurrency exchanges offer users the option of trading XRP/USD. However, Koinex provides this option and, in the last 24 hours, the platform has enjoyed $34 million worth of trade. This is significant, as the XRP/USD trading option usually averages $3 million per day.