Abstract

Cryptocurrency has emerged as a transformative force in global finance challenging traditional banking systems and introducing new possibilities for decentralized transactions. India with its growing digital economy and fintech advancements finds itself at a crossroads in determining the role of cryptocurrencies in its financial landscape. While the government and regulatory bodies have expressed concerns over financial security money laundering and market volatility the potential benefits of blockchain technology and digital currencies for economic growth cannot be ignored. This research paper examines the impact of cryptocurrency on the Indian economy analyzing the regulatory challenges potential economic benefits and the future trajectory of digital currency adoption in India. Through a comparative analysis with global case studies this paper explores how India can navigate the complex dynamics of cryptocurrency to achieve financial innovation while mitigating risks.