The A16z-backed Indian Crypto Exchange launches the first rupee-based crypto benchmark index, which includes eight of the top assets by market capitalization.
CoinSwitch, Indian crypto exchange, introduced the country's first benchmark altcoin index to measure the success of the rupee-based crypto market.
CRE8 – the Crypto Rupee Index – analyzes eight of the most actively traded cryptocurrencies in the Indian market based on real-time transactions on the CoinSwitch app. Bitcoin, ether, BNB, XRP, Cardano, Solana, Polkadot, and Dogecoin are among them.
"The index fills a market gap: Previously, Indian users had to rely on international indices denominated primarily in US dollars to analyze the market," Ashish Singhal, co-founder and CEO of CoinSwitch, told Blockworks.
“These [dollar] indices, however, do not provide a true picture of the Indian market as they do not take into account the demand and supply specific to the Indian rupee-based market, nor the INR exchange rate.”
The index shows the entire market value of all crypto assets traded in the Indian market as of October 1, 2020, using a base value of 1,000 Indian rupees ($12.90) rather than US dollars.
Data will be refreshed 1,400 times each day to ensure the most recent information for observers, and will be changed each quarter to incorporate new constituents.
The CRE8 index was up 0.88% at press time, but it is down 44% over the last year.
Investors in the United States can follow similar benchmarks such as the S&P Cryptocurrency Index and the Nasdaq Crypto Index.
CoinShares, a digital-asset investing firm, also maintains multiple indices that monitor crypto-assets, geared to accommodate investors with different exposures.
CoinSwitch, a leading crypto exchange in India, is valued at about $2 billion and is backed by investors like Andreessen Horowitz (a16z), Coinbase Ventures, Tiger Global, and Sequoia Capital. According to business estimates, it has 18 million registered users.
Trading volumes in India fell by as much as 60% in April after the government imposed a 30% tax on crypto revenues, which some decried as a draconian step that would demolish the country's digital asset sector.