Regulatory clarity remains the primary driver of Bitcoin's risk premia, despite transient price fluctuations and peripheral concerns.

Regulatory clarity indeed significantly influences Bitcoin's risk premia, as seen in the RBI's cautious approach to cryptocurrencies, which has led to a cautious investor base. A key point to consider is how the RBI's stance on cryptocurrency regulation, particularly its potential impact on the banking sector, could further exacerbate risk premia volatility.