A Guide to Buying Bitcoin in India
With advancements in technology and cashless transactions, people are looking for more and more secure ways to make money transfers and gain profit over the internet. Like the share market, Bitcoin has its own market where its value has only been soaring at 10% every year. It brings substantial returns to those who invest in it. One gets full security, easy access for tracking and expanding their assets in the Bitcoin market. Hence, it can be a quite useful investment opportunity.
What is Bitcoin?
A type of encrypted digital currency, or cryptocurrency, can be transferred via computer nodes based on Blockchain technology. One can use it like physical currency to buy assets or buy and sell Bitcoins like shares to increase their value. The Bitcoin transactions are recorded completely virtually in Blockchain so that nobody can misuse any Bitcoin that is not their own. It is the only form of currency that allows international exchange without converting to any country-specific currency.
How to buy Bitcoin in India?
The following steps will help any beginner to make their first Bitcoin transaction in India easily:
- Many platforms like Unocoin, Local Bitcoins, WazirX, CoinDCX and BuyUcoin have a detailed system of setting up an investor’s account before letting them deal in Bitcoins.
- The first step is to set up a digital wallet by creating a Bitcoin investor’s account. One can visit the registration page of any of the aforementioned Bitcoin platforms. Once they click on the link, they will have to sign up with their Google Account or create a new account by providing all required details.
- Then they have to verify their KYC (Know Your Customer) and AML details. They need to upload their photo, scanned image of PAN card, and cellphone number linked to their Aadhar card.
- Once completed, they will be asked to verify their account by two-step authentication. They need to set up their secure password for the Bitcoin user account.
- To initiate a transaction, one must enter their bank account details and link it to the Bitcoin platform. Then they can withdraw a certain amount from the bank and deposit it in the Bitcoin account for starting exchange.
The lower limit of purchasing Bitcoin in India is negligible. One can invest in Bitcoin at just 100 INR. The minimum exchange value varies between 100 and 500 INR.
Best Indian platforms
The best methods and platforms for buying Bitcoin in India are manifold. One can either buy them via apps or via websites. The best method is an exchange platform, for it facilitates transactions better than peer to peer or Bitcoin mining platforms. Some of the best Bitcoin exchange platforms are WazirX, ZebPay, BuyUCoin, and Giottus. Among them, BuyUCoin is highly preferred because it charges no extra or hidden amount. One can also purchase several forms of cryptocurrencies like NEM and Ethereum without fear of loss of funds. Why? For, BuyUCoin’s storage system for funds is 95% offline. However, If you are aiming to gain much profit from Bitocin then you must know about the Immediate Edge trading platform. It is an automated trading platform that aims to gain profit from Bitcoin. Check Immediate Edge Review by industry experts to know more about this crypto robot.
How to store Bitcoin safely?
There is no way to store Bitcoin that is safer than a Bitcoin wallet. Often cold storage, known as offline wallets, is used to store Bitcoins. They are probably the most secure wallets, as the chances of hacking are minimal. However, some people find it convenient to store them online. In that case, digital wallets are the best option.
There are both hardware and software-based digital wallets. One can keep one’s digital wallet in your personal computer or the smartphone device one uses. However, they should print the private and public keys/addresses on paper and keep the keys in a separate location to avoid confusion. Hence, the most prudent method to store Bitcoins safely is to divide the currency between online and offline wallets. Only a small amount should be kept in the online wallets, though. However, the security level will be affected by the user’s handling of the wallet. If they forget or lose access to their private key, they won’t be able to retrieve the Bitcoins. Hence, keeping private keys safe is the topmost priority.
Is it legal to buy Bitcoin in India?
Although the RBI issued regulation against exchanging Bitcoin in 2018, they revoked it in 2020. Hence, one can legally purchase Bitcoin in India. But then, India does not have any specified guidelines or regulations for conflict in business interests involving Bitcoin. Hence, it is advisable to make Bitcoin transactions cautiously in India.
Finally, investing in Bitcoin has both pros and cons. It requires a prudent investor to benefit from exchanging Bitcoins. However, the high level of security provided makes up for the lack of legal regulations. They are much faster to transact and are becoming increasingly popular as the best digital payment system.
Melvin holds a degree in Mass Media & Journalism. Writing is his passion. Earlier he used to work as a freelancer and had an experience of writing multiple news articles for various news agencies. When he is not writing, you can find him engulfed in playing sports like golf or basketball.