Indian Economy Holds USD 1.1 Trillion Digital Asset Opportunity by 2032: CrossTower and USISPF Report
India: CrossTower, one of the world’s fastest and leading crypto and digital asset exchanges in partnership with US-India Strategic Partnership Forum (USISPF) released its research report on “India’s USD 1.1 trillion Digital Asset Opportunity”. The report highlights India as having the potential to add USD 1.1 trillion of economic growth to its GDP by 2032. It shows how India can leverage the digital asset opportunity by adopting Web 3.0 and why blockchain technology is self-sufficient for digitising India’s financial ecosystem.
In 2013, the market capitalisation of the digital asset market was approximately USD 1.5 billion. The report by CrossTower suggests that today, market capitalisation is at nearly USD 3.0 trillion. It also states that most of India’s USD 1.1 trillion in the total economic growth in next 11 years can come from ancillary digital asset-related businesses that are yet to be invented.
Some of the key highlights from the research report are as follows:
The adoption rate of digital assets (as reflected by accounts opened on centralised cryptocurrency exchanges) is growing nearly twice as fast as that of the Internet. It took the Internet approximately 7.5 years to go from around 100 million users to one billion users. The same growth at cryptocurrency exchanges will take about four years.
Web 3.0 can drive USD 1.1 trillion economic growth for India over these 11 years, but only with the right policies and regulatory framework. The global financial services market is estimated to be over USD 22 trillion in 2021 and will grow to over USD 28 trillion by 2025.
From digital art to ticket sales, music, collectables, luxury items and gaming, non-fungible tokens (NFTs) could transform the way people interact day-to-day. While still nascent, NFTs are projected to emerge into a market of USD 1 trillion or more.
Dr. Mukesh Aghi, President and CEO of USISPF, said, “India is poised for growth to become a USD 5 trillion economy by 2024-25 as envisioned by Prime Minister Narendra Modi. Digital assets are expected to have tremendous potential in the next 11 years across countries, due to their rapid adoption. They are expected to help India achieve the GDP of USD 5 trillion economy.”
Kapil Rathi, Co-founder and Chief Executive Officer of CrossTower, said, “Data shows that the citizens of India tend to be natural visionaries and with Web 3.0, India has the opportunity to harness its core resources — its technologically savvy youth — to be a global leader in digital assets and Web 3.0. With the right policies and regulatory framework, India’s regulators can bring safety, combined with hope and prosperity to India.”
Kristin Boggiano, Co-founder and President of CrossTower, said, “The Internet sector contributed approximately 10 per cent to US GDP in 2018 and 16 per cent to India’s GDP in 2020. Given the Web 3.0 growth across all industries, digital assets and blockchain technology is expected to create profound impacts on economies globally. With the right framework, India is positioned to be a key catalyst to the new technological era.”
The research reports also highlight the sectors that blockchain technology has the potential to contribute to and transform:
Government Projects: Government-related blockchain projects are estimated to drive close to USD 0.1 billion of GDP to India in 2021, ramping up to USD 5.1 billion in 2032.
Digital Identity: The report projects that the digital identity could contribute USD 8.2 billion to India’s GDP in 2032.
Payments and Remittances: The report projects this sector to contribute nearly USD 21.7 billion to India’s GDP in 2032, as blockchain drives efficiencies for payments.
The report was released at Oberoi Hotel in New Delhi in the presence of Dr. Mukesh Aghi, President and CEO of USISPF; Kapil Rathi, CEO and Founder of CrossTower and Kristin Boggiano, Co-Founder and President of CrossTower; along with other delegates present at the launch.
