Exploring the Landscape of Digital Currency in India

ABSTRACT This quantitative study investigates the adoption, perception, and usage patterns of digital currency in India, with a particular focus on private cryptocurrencies and the Central Bank Digital Currency (CBDC). As India transitions toward a digitally enhanced financial ecosystem, it becomes essential to understand the behavioural, technological, and regulatory factors influencing digital currency usage. To address this need, a structured questionnaire was administered to 250 respondents from major metropolitan and semi-urban regions. The collected data were analysed using descriptive statistics, reliability testing, correlation analysis, and multiple regression modelling to identify the significant determinants shaping digital currency adoption in India. The study examines six major constructs: perceived usefulness, perceived risk, trust in digital systems, regulatory awareness, technological readiness, and financial literacy. Findings indicate that perceived usefulness, trust, and financial literacy have strong and positive influences on digital currency adoption, suggesting that users are more inclined to adopt digital currency when they recognize its utility, trust its technological functioning, and possess adequate financial understanding. Conversely, perceived risk demonstrates a negative and statistically significant effect, highlighting concerns related to price volatility, cybersecurity threats, and regulatory ambiguity. Regulatory awareness and technological readiness also positively influence user adoption, though with comparatively moderate effects. Overall, the results emphasize the importance of clear regulatory communication, robust cybersecurity architecture, user-friendly digital platforms, and targeted financial literacy programs to promote sustainable and safe digital currency adoption across India. These insights provide valuable guidance for policymakers, financial institutions, and fintech innovators working toward strengthening India’s digital financial landscape. Keywords: Digital Currency, Cryptocurrency, CBDC, Adoption Behaviour, Quantitative Study, Blockchain, India