How to buy Bitcoin in India
Cryptocurrencies have become one of the most trending options for investment. And why not? They offer huge deals for return and this is why in a span of 9 years, the oldest decentralized cryptocurrency, Bitcoin has gained tremendous popularity. In any and every part of the world, enthusiasts look forward to buying Bitcoin. Even in developing countries like India, people eagerly hunt for opportunities to trade in Bitcoin. Here’s how you can buy Bitcoin in India.
Step by step guide to buying Bitcoin
It may sound “techy”, but it’s actually as easy as using online wallets like Paytm. Here’s a step-by-step guide for beginners looking to buy Bitcoin in India.
Step 1: Choose a Bitcoin wallet for your trade
Bitcoins are decentralized digital currencies. This implies that there’s no central bank regulating this currency and there’s no physical “coin” or a “note” that you can carry in your pocket. All you can have is digital currency in your online wallet. Therefore, you need to choose an online wallet based on security, policies, platforms they can be used on and other features. In India, there are various options to choose from. We’ll be discussing top Bitcoin exchange companies in the latter half of this article.
Step 2: Create an account
Once you are sure about which Bitcoin wallet to go for, register yourself with the Bitcoin service provider. In order to create this account, you will be required to submit your contact information (like phone number and email id) along with a photo of any of your valid IDs such as Voter ID, PAN card or driving license. On completion of registration process, you are all set to store your digital currency in your online wallet, make payments, and trade in Bitcoin.
Step 3: Start buying Bitcoin
You can now start trading in Bitcoin via your Bitcoin wallet. On choosing to buy Bitcoin, you’ll be taken to the exchange rate status which shows you real-time rate at which you can buy Bitcoin. You can keep a track of these rates and buy or sell Bitcoin accordingly.
Top Bitcoin exchange companies in India
There are a lot many options that you can choose from. Remember to consider each of the variables such as security, convenience, and ease of use. Here are some of the top exchange companies that allow you trade in Bitcoin
Established in 2013, Unocoin is one of the leading Bitcoin exchange company in India. You can buy Bitcoin in exchange of Indian currency (through NEFT or RTGS) with any of our Indian bank accounts. For every trade, Unocoin charges a fee which is usually 0.7 to 1% of the traded amount depending on the trading volumes.
It is an India based Bitcoin trading platform that allows you to deal in Bitcoin via Android and iPhone apps. All you need to do is link your Indian bank account with Zebpay and start trading.
Introduced in 2015, Coinsecure is a reputed India based Bitcoin exchange platform. It allows users to buy Bitcoin at a fee as low as 0.3% and offers multiple deposit options apart from cash deposit such as NEFT, RTGS, and IMPS.
Risks associated with Bitcoin trade
There are a number of risks that one needs to consider before investing in cryptocurrencies, especially if you are staying in a country where government and financial authorities aren’t really in support.
Warnings from the Government
Cryptocurrencies like Bitcoin are decentralized ones and aren’t favored and regulated by financial institutions or governmental bodies. In India, finance minister, as well as RBI, has issued caution stating that
“Any user, holder, investor or trader dealing with virtual currencies is doing it at their own risk,”.
There have been several other warnings being repeatedly issued by RBI regarding probable financial security-related risks associated with the crypto trade.
Irreversible nature of Bitcoin transactions
On creating an account on Bitcoin trading platforms, you’ll be provided with a username and password. His password is the only key to proceed with transactions. If you somehow lose this password or your Bitcoin wallet has been hacked, there’s no way out to recover your investment. If you are an Indian, even the government won’t be there to help you out.
Apart from the well-known ones like Bitcoin, there are a lot many other cryptocurrencies. They may or may not be real. You need to consult a financial advisor or research well by yourself before investing.
As a beginner, you may need an advisor to help you out with where to invest, when to invest, and how much to invest. But make sure your advisor is reliable. There may be fraud agents all around you looking forward trap you with the false promise of high returns. So play smart.
Volatile nature of the cryptocurrencies
One day your digital currency shows a price rally, the next day is a downfall forcing you to sell your Bitcoins and as you do so, the next morning says it’s a high again. So you cannot really predict what’s next (until you are an expert with a good luck!).
Like every other thing, this investment option has pros and cons as well. The takeaway note is to play smart, consider all the factors, decide wisely, and then invest in cryptocurrency.