This Diwali, Are Indians Ready To Gift Crypto Instead of Gold?

For Indians, Diwali is not just a festival of lights but also a symbol of prosperity and wealth. For years, it has been a custom for us to gift physical gold or silver coins to our loved ones, wishing them luck for the rest of the year. Over time, we have seen a shift towards digital assets like stocks, digital gold, and even ETFs. And this year, there is more interest in gifting Bitcoin and other crypto assets as a gift, considering that Bitcoin is now seen as "Digital Gold."

Interestingly enough, demand for physical gold by volume fell 25% this Dussehra, reaching 18 tonnes. With Dhanteras and Diwali right around the corner, this trend is expected to continue as the new-age millennials and Gen Z gifters choose crypto over physical gold. Here's why.

The Changing Face of Gifting

Indian festive gifting traditions have always evolved with time. From silver utensils to gift cards to mutual fund SIPs and now to digital assets, every generation has found new ways to express prosperity. With access to smartphones and the internet, today's generation is far more comfortable with digital wealth.

"As Bitcoin's appeal as the "Digital Gold" increases, both millennials and Gen Z are much more accepting of crypto as a symbol of wealth than Gold by itself. Today's younger gifters see much more potential in Bitcoin than in gold. While the assets gifted for Diwali have changed over the years, the intention remains the same. It is about wishing your loved ones with wealth and prosperity. Crypto has become the go-to asset for such an occasion," said Mr Edul Patel, CEO of Mudrex.

A Shift in the Investor Sentiment

Recent data shows an interesting trend. The numbers tell an interesting story. According to Chainalysis' 2025 Global Crypto Adoption Index, India ranks #1 globally in crypto adoption. The report notes that India's activity is heavily retail-driven and not by institutions like those seen in the US.

At the same time, while global gold demand increased by 3%, India witnessed a 10% decrease in gold demand in the second quarter of 2025.

"Such data shows that there is a fundamental shift in how the current investors are moving away from traditional investments while favoring emerging assets. Today's investors are moving towards digital-first assets rather than physical-only assets," Edul Patel added.

Tokenised Gold Gaining Traction

Another significant change is the changing form of gold. While gifting physical gold was the norm in the early years, digital gold became a mainstream choice of gifting gold, avoiding making charges, storage issues, etc.

"Today, there is a shift from digital gold to tokenised gold, enabling users to gift gold to loved ones across the world within minutes. Additionally, tokenised gold allows fractional ownership, which lets you gift gold worth any amount of your choice without any limitations like physical gold," Edul Patel commented.

As per Edul Patel, more importantly, the ownership of the gifted gold is recorded on the blockchain, maintaining utmost security for your assets.

This means that you could be staying in India and gift gold to your loved ones in the US almost instantly.

Not only will tokenised gold grow in value just like the physical gold, but it is 100% backed by real gold stored in secure locations worldwide.

Conclusion

For many Indians, gold will always have emotional appeal. It's tangible, shiny, and steeped in culture. Crypto, on the other hand, is intangible. For most, it's just a number on a blockchain. But every generation redefines what value means.

When our grandparents gifted gold, they were teaching security. When our parents gifted fixed deposits, they were teaching discipline. Gifting crypto has become a way for today's generation to promote innovation and financial independence. This change in mindset does not mean that gold is being abandoned; it means that this generation is embracing both tradition and technology.

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