SEBI-Regulated Wealth Firm Finally Backs Bitcoin – Thanks to US ETFs!
Big Shift in India’s Finance: Hedge Equities MD Endorses Bitcoin in SEBI-Regulated Statement as Institutional Tone Changes
In what many analysts are calling one of the most unexpected turns in India’s conservative financial landscape, Hedge Equities Ltd, a SEBI-regulated wealth management company, has publicly signaled support for Bitcoin allocation for clients. The endorsement comes from the company's Managing Director during an interview circulated online, marking one of the strongest pro-Bitcoin remarks yet from a traditional Indian money manager operating under regulatory oversight.
The statement, first appearing in a video uploaded by crypto influencer Zakhil Suresh from BitSaveClub, has captured notable attention across India’s investment space. For years, domestic institutions have maintained caution toward digital assets due to tax burdens, unclear regulatory frameworks, and concerns around custody. Yet, this recent endorsement indicates a shift that may reflect both global market behavior and rapidly expanding institutional adoption of Bitcoin abroad.
A Regulated Voice in Finance Urges Bitcoin Exposure
In the interview, the Hedge Equities MD explicitly recommended that clients consider allocating a portion of their portfolio to Bitcoin. While specifics on allocation percentage were not disclosed, the endorsement is significant for one primary reason: Hedge Equities is supervised by the Securities and Exchange Board of India (SEBI), making it one of the few regulated entities to speak positively about Bitcoin as an investment asset class.
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| Source: CryptoIndia X |
The Managing Director cited two factors driving the endorsement:
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Access through U.S. spot Bitcoin ETFs ensures higher security relative to self-custody.
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Regulated investment vehicles provide transparency suitable for SEBI-compliant portfolios.
By referencing U.S. spot Bitcoin ETFs, particularly those issued by BlackRock and other major asset managers, the interview signals growing confidence in Bitcoin being treated similarly to traditional commodities and exchange-traded products. While Hedge Equities has not released a formal corporate directive supporting crypto investments on their official channels, the MD’s position stands as an important personal-level recommendation that could influence future portfolio advisory norms.
Financial analysts note that while this does not yet constitute institutional integration, it represents a tone shift. The endorsement pushes the narrative that Bitcoin is no longer viewed solely as a speculative digital asset but increasingly as a long-term macro hedge similar to gold.
Why India's Conservative Market Matters
India has historically adopted a slow approach toward cryptocurrencies. High taxes on crypto trading profits, lack of comprehensive regulatory clarity, and security risks associated with private wallets have kept many institutional investors sidelines. Bitcoin gains are currently taxed at 30 percent domestically, with no loss offsets permitted, making speculative adoption difficult for retail investors.
However, a lesser-discussed pathway exists. Indian investors can legally gain Bitcoin exposure through the RBI’s Liberalised Remittance Scheme (LRS), which allows individuals to invest up to USD 250,000 annually abroad. This regulatory window allows investors to buy U.S.-based Bitcoin ETFs without facing domestic crypto transaction taxes.
Industry experts argue that such institutional commentary may push Indian regulators to re-evaluate crypto taxation, especially as regulated foreign channels become more accessible and capital continues flowing offshore. India’s digital economy is aggressively expanding, and ignoring investment migration could pose a long-term policy concern.
Global Numbers Back the Institutional Trend
The Hedge Equities endorsement aligns closely with global institutional data. The PwC Global Crypto Hedge Fund Report 2025 reveals that hedge fund exposure to digital assets increased to 55 percent in 2025, up from 47 percent a year earlier. Notably, a substantial portion of these allocations occurred post-spot ETF approvals in the U.S. and Europe, signaling that regulatory clarity remains the primary adoption catalyst.
Bitcoin crossing USD 100,000 in 2025 further strengthened the narrative. As the asset matured, volatility remained but long-term demand stabilised due to corporate treasuries, pension funds, sovereign wealth funds, and institutional portfolios entering the market. For many firms, Bitcoin is no longer a speculative asset but a macro hedge against inflationary risk, debt cycle instability, and weakening fiat purchasing power.
In India, however, institutional participation remained muted — until now.
The Hedge Equities interview places India at the early edge of a transition seen previously in the U.S. between 2020–2022. First came influencer education, then hedge funds, followed eventually by licensed advisors, ETFs, banks, and retail platforms. If history repeats itself, India could be entering stage three: regulated advisory acknowledgment.
Why This Moment Could Mark a Turning Point
Multiple analysts have described the endorsement as potentially symbolic, yet symbolic moments often precede policy reorientation. Consider the banking sector’s stance on mutual funds two decades ago — what began as selective advisory soon evolved into mainstream distribution channels. The same evolution occurred with equity derivatives, gold ETFs, and REITs.
Current sentiment suggests crypto could follow a similar trajectory:
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More SEBI-registered advisors may start suggesting Bitcoin exposure indirectly through ETF routes.
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High-net-worth individuals (HNIs) may formalise crypto allocations in diversified portfolios.
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Retail investors could gain smoother, tax-efficient access if domestic ETFs launch in the future.
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Government policy and tax reform discussions may accelerate, particularly with growing international pressure.
Should multiple regulated wealth managers adopt similar views, Bitcoin could transition from a forbidden asset to an asset class that responsible advisors cautiously recommend under controlled exposure.
This does not imply immediate mass adoption. The Indian market continues facing compliance uncertainty, and digital assets remain volatile. But tone matters. Institutional tone shapes public perception, and perception shapes regulation.
India and the Global Race for Crypto Integration
Countries across Asia have diverged significantly in digital asset strategy. Singapore and Hong Kong embraced regulatory frameworks early, seeking to attract capital. Japan approved Bitcoin ETFs in regulated channels. The United States legitimized Bitcoin through spot ETF approvals and growing corporate adoption. Meanwhile, India has maintained a cautious stance, leaning on taxation rather than integration.
With its massive population and global tech influence, India has the capacity to become one of the largest digital asset markets worldwide. Yet without regulatory clarity, capital often flows outward instead of inward.
The Hedge Equities endorsement suggests that the sentiment on crypto may be shifting from fear to interest — driven not by hype, but by global macroeconomic alignment.
Conclusion
The endorsement of Bitcoin allocation from a SEBI-regulated wealth management executive marks a pivotal moment for India’s financial sector. While not a formal institutional directive, the statement indicates that crypto is gradually achieving legitimacy among advisors serving regulated client portfolios. As Bitcoin integration increases globally and access channels become more secure through ETFs, India may soon face growing pressure to modernize its tax framework and regulatory stance.
For now, the statement acts as a signal — subtle, yet powerful. Bitcoin is no longer outside the room. It is at the door, and Indian finance is finally looking toward it.
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