You can buy, sell and trade cryptocurrency via crypto exchanges.
Cryptocurrency is a relatively new concept in India; however, it has seen a sudden jump in transactions due to the good returns which it guarantees. Unlike trading in shares and debentures, which are governed by the Reserve Bank of India and the Securities and Exchange Board of India, which ensures the safety of transactions, cryptocurrency is not governed by any third party.
All transactions done in the cryptocurrency market are governed by the crypto community and not by any government body. While the returns on investment in cryptocurrencies are very high, the market is very volatile and transactions once done cannot be reversed. It's important to trade in the currency at the right time and via reliable platforms.
Cryptocurrency is a digital currency that uses digital files as money. The files are usually created using cryptography. It has digital signatures which can be used to keep the transactions safe and ensure that all transactions done are real.
Crypto mining is the computation of complex mathematical algorithms to create a virtual digital coin. Each cryptocurrency has its unique model of mining and distribution. Bitcoin is one of the most popular cryptocurrencies and the oldest as well. You can buy bitcoin easily via crypto trading platforms.
Trading in cryptocurrencies like Bitcoin, Ethereum, Dogecoin, and other cryptocurrencies has become a trending topic in India. With the increase in trading in the currencies the centre is likely to introduce a bill on cryptocurrencies during the winter session of Parliament.
If you are interested in buying or selling cryptocurrencies then you can check the following steps. It is advisable to know about the pros and cons of crypto trading including the risk factors.
1. The first step in trading Crypto is creating storage for the crypto. This can be done by creating an online wallet or storing cryptocurrency like Bitcoins via a third party.
2. Next you have to select an exchange service, which is the easiest way to purchase cryptocurrency. You have to remember that while signing up for an exchange service you have to fill a KYC to create an account.
3. Once your exchange account is set up you can link it to your existing bank account to manage the transactions.
Once you have created an account on a crypto exchange like WazirX, Coinbase, etc., you can easily buy crypto in India. Follow the below-mentioned steps to easily purchase crypto.
1. First, sign in to your crypto trading account.
2. You will be able to see the Buy / Sell options on the upper right-hand side.
3. Next click on the Buy option of the asset you'd like to purchase.
4. Then enter the amount you'd like to buy of the crypto in your local currency.
5. Choose your payment method for the transaction.
6. Check the Preview Buy option to confirm your purchase.
7. If all the details given are correct, then click Buy to complete your purchase.
8. In case of recurring purchases, you can click One-time purchase and select how often you’d like the purchase to repeat.
Selling cryptocurrency is also easy, and can be done by following the below-mentioned steps.
1. First, login to your crypto trading account.
2. Next, click the Buy / Sell option and select Sell.
3. Then, choose the cryptocurrency that you want to sell and enter the amount.
4. Always recheck the transaction by selecting the Preview sell option.
5. Now click on Sell Now to complete the transaction.
You can sell Bitcoins on an exchange like WazirX or Coinbase, etc. and withdraw cash into your bank account. This is considered the safest way to trade bitcoin, however, the transaction time is about 4-6 days. Apart from these crypto exchanges charge a small fee for the transactions which may vary from broker to broker.
1. First, open your bitcoin trading website or app.
2. Click on the Funds option and open the INR option to see the account transactions, deposits, and withdrawals.
3. Next, you will be able to see ‘Deposit’ and ‘Withdrawal’ options on the platform.
4. Just click on the withdrawal option, and enter the amount you wish to withdraw.
5. Enter the amount and click on the submit option.
6. You will get an email to authorise your withdrawal transaction.
7. Once you have verified the withdrawal, the funds from the crypto exchange will be deposited into your bank account.