How blockchain-based cryptocurrencies will boost Indian MSMEs

By
Unocoin Growth
-
0
912

How do we achieve a 5 trillion economy?

How blockchain-based cryptocurrencies will boost Indian MSMEs
How blockchain-based cryptocurrencies will boost Indian MSMEs

Unocoin, which is India’s first bitcoin exchange company, is doing a part of it.

India is home to over 6.3 crore MSMEs — Micro, Small and Medium Enterprises that contribute to nearly 30% of the nation’s GDP and employ over 110 million Indians. India is presently the 3rd largest unicorn generator in the world, behind only the USA and China. If the goal is of achieving a 5 trillion economy by 2025, the roadmap for the same must be in place. But what is it? The answer is leveraging and boosting Indian MSMEs.

Until the COVID-19 pandemic burst out, we were somehow on the right track with our GDP growing above 5. But everything came to a standstill when the first case of COVID-19 infection was reported in Kerala, India on January 27, 2020. On the evening of 24 March 2020, the Government of India under Prime Minister Narendra Modi ordered a nationwide lockdown for 21 days, limiting movement of the entire 1.38 billion (138 crores) people, as a preventive measure against the COVID-19 pandemic. The consequences were a nightmare. Hospitals ran out of resources, businesses were shut, schools were locked, workers were on their way home for a long-term leave and our GDP saw a decline of 23.9% in Q1, 2020 — the highest in the major economy.

Nevertheless, this young economy showed resilience, and 2021 saw a quick recovery. Businesses are now back on track this time with a better approach. Youth is taking up entrepreneurship, investing more and the number of Demat accounts in the India Stock market and crypto wallet is increasing hugely. Unocoin: India’s first bitcoin and crypto exchange platform serve more than 1.5 million active crypto wallets today. Other crypto exchanges in the country saw similar growth in the same period. Now, the million-dollar question is, how do we leverage this growth and channelize it to India’s MSMEs which greatly need capital?

Nandan Nilekani, the co-founder of Infosys and the pioneer of Aadhar development pointed out that to achieve a 5 Trillion economy, we need to close the $250B financial gap for India’s small businesses by attracting global, risk-tolerant pools of capital.

With a huge youth talent, connectivity, and access to global information, India just needs to add another piece to the puzzle.

The COVID-19 pandemic has affected every sphere of our life. It halted the economy, our education, and even our social system. But if there is anything the pandemic has taught us, it is this — the world is moving online. Since the start of lockdown, the entire economy shifted from on-field oriented to home-oriented. During this unprecedented time, we have seen changes overnight that usually took decades in normal time. Massive Open Online Courses (MOOCs) have been around since a decade ago but until the pandemic, online education was less relevant and hard to implement. But today more than 90 per cent of education is moving online.

As of 2021, there are 624 million internet users in India with an increase of 47 million just in 2020–21. Over 80 per cent of Indians already have access to financial banks — thanks to the Aadhar project that makes e-KYC completely seamless. Aadhar was and has always been necessary to open a bank account. The young populace has open-source global information at their fingertips.

Today, we have lakhs and lakhs of our youths graduating every year. Many of them remain unemployed, yet many of them look for new opportunities to venture into every day. With our young growing economy, we have enormous youth talent in our pool. We need to make sure we provide them with the required financial resources.

India’s service sector has grown massively too. TCS is now the largest IT service provider in the world. The government has also invested massively in infrastructure, healthcare, and agriculture in recent years.

With enough youth talent, massive internet connectivity, and access to open-source global information on one end and progressive infrastructure, healthcare, and agriculture on the other end, what more do our MSMEs need in their puzzle?

Cryptoconomy from the International Crypto capital pool is the required piece to the puzzle

Today, the entire crypto market cap is over 1.4 trillion. More than 60 cryptocurrencies have more than a billion market cap, with bitcoin and ether having the highest market share. Interestingly, Indian origin Polkadot’s native asset DOT has been ranking in the top 10 cryptos.

So, how do we benefit from the crypto economy and solve the capital problem for our MSMEs?

Balaji S. Srinivasan, former Coinbase CTO has written a detailed account of how we can add crypto to our existing IndiaStack.

IndiaStack is a set of national APIs for payment, identity, KYC, e-signature, and document verification that scales to billions of people in the country. According to the RBI’s report, the UPI transactions crossed two billion in October 2020. With UPI payment — a feature that connects billions of Indians domestically and adding crypto to IndiaStack for payment, can connect billions, if not trillions of new foreign capital to India’s economy, as it will open the gateway for merchants, creators, businesses to the international crypto capital pool.

Conclusion

If we look at the major innovation shift in the history of human civilization, the bitcoin blockchain is one of the major innovations that include the whole population because of its network effect. It does not only include the elite, rich or powerful nations but also everyone and from everywhere. We are in one of the greatest periods of wealth distribution in a free open market economy, and distributed technology only empowers this. It is time India takes the chance and brings a better future to its 1.3 billion citizens.

Unocoin is India’s first and the most secure bitcoin trading app. This exchange app was founded in 2013. You can buy and sell bitcoin instantly using the Instant Buy and Sell feature. Not just this, you can also buy ETH and Sell ETH in no time. With more than eighty-seven coins listed on this best cryptocurrency exchange in India, you can also accept bitcoin from your friends from any location. You can also know which cryptocurrency works best for you with the price ticker and notifications. The most popular cryptocurrencies like Bitcoin (BTC), Ether (ETH), USDT (Tether), BNB, Ripple (XRP), Cardano (ADA), Solana (SOL), Binance USD (BUSD), Dogecoin (DOGE), Polkadot (DOT) and other popular altcoins can be traded on the go. The new Android and iOS applications make Unocoin the best cryptocurrency app. With the unique feature of the
Systematic Buying Plan, you can buy and sell bitcoin and Ether periodically. What more? You can start your crypto journey using SBP for as little as INR 10. With another exciting feature called Crypto Basket, you can diversify your crypto portfolio based on market capitalisation (Market Cap) or Volume. These two excellent features make Unocoin the best cryptocurrency platform.

Love Crypto Coins. Love Unocoin.

Please find the list of authentic Unocoin accounts for all your queries below:

Disclaimer:

Crypto products are unregulated as of this date in India. They could be highly volatile. At Unocoin, we understand that there is a need to protect consumer interests as this form of trading and investment has risks that consumers may not be aware of. To ensure that consumers who deal in crypto products are not misled, they are advised to DYOR (Do Your Own Research).

RELATED ARTICLESMORE FROM AUTHOR

LEAVE A REPLY

Please enter your comment!
Please enter your name here