Author: Aditya Pareek | EQMint | General News
India’s cryptocurrency adoption story in 2025 has taken a decisive turn away from metropolitan centres, with Tier-II, Tier-III and Tier-IV cities emerging as the primary engines of growth. According to a new report by crypto exchange CoinSwitch, non-metro cities accounted for nearly 75 per cent of the country’s total crypto activity this year, underscoring a structural shift in how and where Indians are participating in digital asset markets.
The report, titled “India’s Crypto Portfolio: How India Invests”, is based on data from more than 25 million users on the CoinSwitch platform. It highlights that while India’s largest cities continue to show strong interest in cryptocurrencies, the real momentum in 2025 came from smaller cities and towns—mirroring trends seen in India’s equity markets, where non-metro participation has surged in recent years.
Tier-II and Beyond Take the Lead
A deeper look into the data reveals the scale of this shift. Tier-II cities accounted for 32.2 per cent of CoinSwitch’s user base, while Tier-III and Tier-IV cities together contributed an even larger 43.4 per cent. Combined, these non-metro centres formed the backbone of India’s crypto activity in 2025, decisively outpacing metros.
This geographic diversification suggests that access to digital financial products is no longer limited by location. Improved internet penetration, widespread smartphone adoption, vernacular content, and greater financial awareness have all played a role in enabling crypto participation beyond India’s traditional financial hubs.
“2025 has been a year of clear maturation for India’s crypto market,” said Ashish Singhal, co-founder of CoinSwitch. “We are seeing investors move beyond early excitement and make more informed, conviction-led decisions. While metros continue to drive strong interest, the broader story of adoption is unfolding across India’s non-metro geographies, which now account for over 75 per cent of the country’s crypto activity.”
Singhal added that similar dynamics are visible in Indian equity markets, where non-metro cities are increasingly contributing the next wave of investors.
State-Wise Leaders: Uttar Pradesh at the Top
At the state level, Uttar Pradesh emerged as the single largest contributor to crypto investments, accounting for 13 per cent of total activity on the platform. Maharashtra followed closely at around 12.1 per cent, while Karnataka ranked third with a 7.9 per cent share.
The prominence of Uttar Pradesh is particularly noteworthy, given its large population base and growing digital infrastructure. The state’s leading position reflects how crypto adoption is expanding into regions traditionally underrepresented in financial markets.
Maharashtra’s strong showing continues its long-standing role as a financial powerhouse, while Karnataka’s presence highlights the influence of technology-driven investor communities, particularly in cities such as Bengaluru.
Bitcoin Regains Dominance
In terms of asset allocation, Bitcoin (BTC) reclaimed its position as the most-invested cryptocurrency in 2025. The report shows that BTC accounted for an 8.1 per cent allocation in investor portfolios, surpassing Dogecoin (DOGE), which had previously enjoyed significant popularity among Indian retail investors.
Bitcoin’s resurgence has been attributed to renewed institutional interest globally and relatively favourable macroeconomic conditions, which reinforced its perception as a more established and resilient digital asset.
Among actively traded cryptocurrencies, Ripple (XRP) stood out as one of the biggest gainers in terms of activity compared to the previous year. XRP secured a leading position on the CoinSwitch platform, reflecting increased investor interest amid developments in its global regulatory and adoption landscape.
A Youth-Driven Market, Slowly Broadening
Demographically, India’s crypto ecosystem in 2025 remains largely driven by younger investors. The 26–35 age group emerged as the most dominant, contributing 45 per cent of total investments—up from 42 per cent in the previous year. This increase suggests growing confidence and higher allocation sizes among investors in this age bracket.
The 18–25 cohort accounted for 25.3 per cent of investments, marking a slight dip of around 4 per cent from last year. This decline may indicate a maturing market where younger participants are becoming more selective or transitioning from experimentation to longer-term investment strategies.
Participation among older age groups remained relatively stable, pointing to a gradual broadening of the investor base beyond youth-centric adoption.
Women Investors Gain Visibility
While women currently represent 12 per cent of CoinSwitch’s total user base, the report highlights notable regional variations. Andhra Pradesh stood out with a significantly higher proportion of female investors, where women accounted for 59 per cent of the state’s crypto participation—exceeding male participation by 18 per cent.
This trend signals the potential for more inclusive growth in India’s crypto ecosystem, particularly in states where women’s financial participation is gaining momentum. It also reflects broader shifts in digital finance, where barriers to entry are lower and access is increasingly democratized.
Risk Profiles Vary Across States
The report also sheds light on how investor risk appetite differs across regions. Karnataka recorded the highest allocation to blue-chip crypto assets at 30.1 per cent, indicating a preference for relatively established tokens. Andhra Pradesh showed the strongest inclination towards large-cap assets, with 33.3 per cent allocation.
In contrast, Bihar displayed a distinctly risk-forward approach. Investors from the state had the highest exposure to both mid-cap (24.4 per cent) and small-cap (36.5 per cent) cryptocurrencies, reflecting a growth-oriented mindset.
Meanwhile, Uttar Pradesh and Maharashtra emerged as leading states for “buy-the-dip” activity. Investors in these regions demonstrated strong conviction by increasing their exposure during market corrections, suggesting a more disciplined and long-term approach to crypto investing.
A More Representative Crypto Ecosystem
Taken together, the findings of the CoinSwitch report paint a picture of a crypto market that is becoming more geographically distributed and demographically diverse. From Bihar’s aggressive growth strategies to Andhra Pradesh’s high participation of women investors, India’s crypto ecosystem in 2025 appears increasingly reflective of the country’s broader investing population.
As non-metro cities continue to drive adoption and investors demonstrate greater maturity in asset selection and risk management, India’s crypto landscape seems poised for its next phase of evolution—one that extends well beyond metropolitan boundaries and into the heart of the country’s emerging digital economy.
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Disclaimer: This article is based on information available from public sources. It has not been reported by EQMint journalists. EQMint has compiled and presented the content for informational purposes only and does not guarantee its accuracy or completeness. Readers are advised to verify details independently before relying on them.
