India accounted for almost 11% of global cryptocurrency trade in the past month, according to data from a Bitcoin trade analyst, Chris Burniske, who tweeted about it here.
There are a number of startups that have opened Bitcoin exchanges in India, making it easy to buy the cryptocurrency in Indian rupees. Unocoin, Coinsecure and Zebpay are the three main bitcoin players in India, with over a million users among them.
Because of the ubiquity, security and ease of use of fiat currency, Bitcoin today fulfils the "store of value" function of money more than the "medium of exchange" function that economists traditionally use to define money.
For a new entrant to disrupt an incumbent solution, it has to be better, not just by a few degrees, but by a margin big enough so as to shake users out of their inertia.
Flybit calculates the Bitcoin-INR exchange rate by taking the mean of all the rates on the Indian exchanges at any moment in time, which also means that those who buy their Bitcoins from US exchanges (where it' cheaper by 1.5%-2%) can save even more money.
Flybit is currently running on a break-even basis to provide the cheapest possible domestic air tickets for users, to promote adoption of Bitcoins in India.
But it is in beta phase, so it has some limitation, you can read about it from here.
