Web3 To Create 2.2Mn Direct Jobs In India In Next Decade: Report

A recent report on Wednesday revealed that in the next decade, the Web3 sector can create around 2.2 million direct jobs in India, creating a significant employment base.

The report by Primus Partners said that India is home to more than 900 enterprises in the Web3 sector and accounted for 11 percent of the global Web3 developer community in 2022.

It underlined that the transformative potential of Web3 extended across various sectors and stressed some of its promising use cases in supply chain management, privacy in healthcare, education and experience certificates, voting systems, and identity management.

Furthermore, the report shed light on the challenges that persisted in the form of taxation issues and ease of doing business. It said the higher deduction in tax at source introduced by the Finance Act of 2022 led to a change, creating a trade shift to foreign platforms and the grey market that undermined consumer protection efforts of compliant Indian platforms.

The report recommended a recalibration of the tax framework, emphasising that taxation should support compliance and encourage participants in monitored transactions, rather than driving them away.

It underscored clear guidelines and specific regulations that are significant for Web3 businesses, aligning with Startup India recognition. Additionally, the study found that access to UPI and banking rails within the virtual digital assets' ecosystem remained restricted, leading users to choose foreign platforms compromising their payment security.