The National Association of Software and Service Companies (NASSCOM) has published a report on the growing India Web3 Startup Landscape.
Let’s look at some significant milestones achieved by India in Web3.
Global response & adoption to web3 is on the rise & India is poised to be one of the leaders in the web3 markets due its favourable positioning in:
🔸Economic
🔸Demographic
🔸Technology adoption
India’s Web3 startup ecosystem – overview:
🔸450+ total no. of Indian web3 startups
🔸4 web3 unicorns
🔸70+ active institutional investors in 2021
🔸160+ web3 startups founded in 2021-22
🔸$1.3+ billion total investments raised by Indian startups in last 2 years (till April 22′)
Web3 startups in India have grown ~6X+ since 2015.
Focus areas for Indian web3 startups:
🔸BFSI – 33%
🔸Enterprise Tech – 18%
🔸Consumer Tech – 5%
🔸EdTech – 5%
🔸Others – 39%
🔸80%+ web3 startups in established hubs (Tier 1), & 50% in emerging hubs (Tier II/III) are building finance & enterprise tech solutions, respectively.
🔸~60% of the Indian web3 startups have already expanded their footprint outside India, delivering global products from India.
source:google
Polygon emerged as the global leader in #web3 space (envisioned & created in India) with over:
🔸150+ hackathons sponsored in India
🔸30+ grassroot communities launched in India
Indian web3 startups have focused less on purely speculative crypto trading, instead, are focusing on building diverse web3 solutions across all major application areas:
🔸Finance (DeFi) – 29%
🔸Entertainment – 28%
🔸Infrastructure – 24%
🔸Decentralized communities – 19%
Web3 grew rapidly in India in 2015-17 with the launch of Ethereum, in line with global growth, but grew phenomenally in 2020-21 after the national cryptocurrency ban was lifted.
Business model of web3 startups:
🔸B2C – 49%
🔸B2B – 51%
source:google
Investments in India’s web3 ecosystem grew ~37X from 2020.
Investments raised by Indian web3 startups, by stage:
India has the third largest web3 talent pool worldwide, with the fastest growth rate likely in the next 1-2 years.
Key challenges in scaling web3 talent pipeline in India:
🔸The need of ‘web3 ready’ mindset
🔸Blockchain demand-supply gap is high
🔸Limited academic coursework focused on blockchain/web3
🔸Technical re-skillability of current tech talent
Diverse stakeholders are coming together to promote large-scale blockchain initiatives.
There is a high degree of priority being given to steer STEM talent towards blockchain/ web3 careers.
source:google
There are various sectors that can benefit from a blockchain-based web:
🔸Government & Public Services
🔸BFSI
🔸IT
🔸Education
🔸Healthcare & Pharma
🔸Travel, Tourism, & Transportation
🔸Gaming, Media & Entertainment
🔸Mfg. & Supply Chain
🔸Retail & CPG
🔸Energy & Utilities
Focus areas for web3 ecosystem development:
India’s promising opportunities with web3 lie in decentralizing governance and public services, identity-based social development solutions, and delivering world-class tech stack.
Primary challenges indicated by #web3 startups in operating in the India market:
🔸High Taxes
🔸Lack of Policy Clarity
🔸CBDC & implications on Private Cryptocurrencies
India has emerged as a leading global player in the web3 market, with a competitive talent pool, high rates of adoption and products built for the world.
With continued work & collaboration between all the stakeholders, India can lead web3 development by leaps & bounds!
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Read the full report by NASSCOM here:
