- 1 How to Invest in Cryptocurrency in India- Steps you Need to Follow
- 2 Is it safe to invest in Cryptocurrency in India?
- 3 Conclusion
Invest in Cryptocurrency in India– I know what drew you to this blog. You are looking at how to invest in Cryptocurrency in India and it’s true there aren’t any proper instructions anywhere to help you through it. So, you can keep on reading until the end and there is a 100% possibility you might have already started your investment.
Let’s take a step back a little and learn a little about what’s going in the Crypto market. We all know that Cryptocurrency is a highly volatile market and no one can predict what is coming next.
If we speak of our country India, the Government is still unclear on the regulations and limitations that need to be put up on Crypto trading. However, you can choose to invest in Cryptocurrency in India through a national platform with millions of user bases.
I have created this guide that will help you start with your investment and learn the basics of all the steps you need to take. However, you need to do your research on the coins you wish to invest in and understand the risks involved. I am no professional or financial advisor, rather a fellow investor writing my experience.
Let’s not waste any more time and get on with all you need to know to invest in cryptocurrency in India.
How to Invest in Cryptocurrency in India- Steps you Need to Follow
To start off with this, you need to follow all the steps I have mentioned here. It is everything you need and hopefully, all your doubts will be cleared. Cryptocurrency is a vast field and surely a single blog can never cover all of it. Hence I am going to stick to the topic here and get on with it.
Step 1: Do Your Research (Super Important)
I almost started with our first step with choosing the right platform, but then you need to do start off with some research to know more about Cryptocurrency. By research we mean you need to watch videos on YouTube or any other platform to learn about the market. There are a lot of courses as well that will help you know about the history, how to read the charts, about different coins, etc.
We always tend to start things on the wrong foot and directly dive into something we know nothing about. In fact, you can type on Binance Academy on Google and then learn everything there is to know about Crypto.
Just a basic knowledge is enough to get started and as soon as you start with your first investment, you can keep learning on the way.
Step 2: Choose the Right Platform
So, the second step you need to take and rather important to get started is by choosing the right platform to invest in Cryptocurrency in India. If you are going to simply type on Google for this, people are going to recommend you multiple platforms just for the sake of it and you might get stuck.
However, I am going to recommend to you something that I started with and that is WazirX. It is one of the most popular and also the best cryptocurrency exchanges in India.
The biggest reason that I am recommending this platform specifically is because of its user interface and also it is perfect for beginners. Anyone who is just starting up can simply create an account on the platform and get started.
Other than that, we have Binance as well. It is an international exchange that acquired WairX in late 2019s. Since Binance does not support the direct transfer of INR to its wallet, you can still use P2P and buy USDT to trade other coins.
A lot of users in India prefer to trade on Binance than WazirX due to multiple reasons, one being the fact that it has more coins listed. Furthermore, some other popular platforms you can go with are CoinDCX, Zebpay, etc. They are safe too, but my experience speaks otherwise.
But I would without a second thought ask you to create your account WazirX, learn more about how things progress, and then you can turn it over to Binance since it can be a little complicated to work on.
Step 3. Create an Account
Since I have been rigorously talking about WazirX, your next step is to create an account on the platform taking the right steps. Well, it is not complicated in any manner.
However, it might get take a little time and you need to have all the documents with you while you are at it. You will need your Aadhar card, Pan Card, or any other identifying information with you. These are necessary for your KYC verification.
Here are the steps you can follow not only for Wazir X but also for any other platform you will come across.
- Enter your email ID or Phone number to Sign up.
- Verify your Email ID.
- Next, set up security for your account such as two-factor authentication where you will get OTP every time you try to log in to your account.
- Select your country and head over to Verify KYC.
- Now, add all the details required such as Name, Address, Identity info such as Aadhar and Pan Card. Also, add images of your ID proof.
- Tap on Submit.
After you have done all of the above, you need to wait for at least 24-48 hours to get your account verified. The same goes for all the other platforms you have decided to go for. Also, if you are not willing to go with KYC verification, you can choose the option, however, your features on the app will be limited.
Step 4. Add funds to your Wallet
By wallet, I mean the crypto exchange platform where you just made an account. Once your account is verified and ready to be worked on, you can now move over to the next step of adding funds to your wallet. If you are using WazirX or any other Indian Exchange, you need to first add your bank account details or UPI ID that also needs verification.
Due to multiple regulations, WazirX does not currently support IMPS, RTGS, and NEFT transactions. But with other platforms, you might be able to. Once you have added your bank details, you can now head over to the Deposit section under INR and use the option available to add funds.
If you are new to this, I can assure you that all your money is safe. There are times when your payment might fail and the money gets deducted. It has happened to me too several times, but I did get it back. It might take few days or simply hours and you will get all your money back to your bank account.
Furthermore, with adding funds, you may have to pay a very small fee to the third-party payment gateways for every transaction you make. There is simply no escape to it whatsoever and hence you need to pay that small fee every time.
Step 5. Choose the Right Coins to Invest
Now, as I have already mentioned you cannot simply invest in Crypto without any research. Here we are not talking about any general research on learning about Crypto, rather about the coins you need to invest. You may come across multiple recommendations from people, however, it is better to always learn more about that coin and move forward.
For example, the biggest cryptocurrency in the market is Bitcoin and there is nothing more valuable and of high potential than this. However, I had done my research before I even invested in it. You can simply pick up the top 10 coins from the market and learn about them and their potential.
Currently, the coins with the most potential that I found among hundreds of them are Bitcoin, Ethereum, Polygon, Litecoin, Uniswap, etc. However, I am not a financial advisor and based on the market have mentioned the above names.
Step 6. Place the Order
Now, the ultimate goal here is to place the order on any platform you wish to go with. If you have opened a WairX account, you can go to Exchanges and select the coin you are sure about and ready to invest in.
Tap on the coin or pair (INR) and click on the Buy option. Here you will be required to either enter the Amount (INR) or the number of coins you wish to buy.
There are also options to place the buy order. If you want to place the order using the market price, select Limit under the drop-down menu. Or else you can use Stop Limit where you can set up a Stop Price. As soon as the market or the coin reaches the limit you have set up, the Buy Order will be executed.
Once you are done with all the selections, tap on Buy. If your order is executed, it will be under the History section in My Orders. Or else if it is pending, it will be in the Open section.
Furthermore, with each transaction, every Crypto Exchange charges a small fee depending on the platform you are using.
Is it safe to invest in Cryptocurrency in India?
We have already discussed this particular topic briefly above. However, as a newbie things might get a lot tricky since you are just starting things up. To be on a clear page, the Government has still given out no clear regulations on the tax structure or any other aspects for investing in Crypto.
In 2018, RBI had strictly banned any Banks or Institutions from dealing with any virtual currency. In fact, all the exchanges operating then were given a notice to completely shut down their operations before a specific date as it had been considered illegal to deal in Crypto.
However, a landmark decision by the Supreme Court came into action in 2020 that lifted up all the decisions made by RBI and allowed all the exchanges to open as they were.
There have been multiple times where Crypto Bills have been proposed to the Government, and though they aren’t looking to Ban the trade but will bring up certain regulations to make things clearer.
As of now, RBI has strictly asked all the banks that they are free to allow the Account holders to deal in Crypto and they cannot put any regulations from their side.
So, as of now, it is safe to invest using the Exchanges that are into play. However, we still need to wait for the Government to bring in better reforms and be more clearer to whether or not Crypto trading will be made legal or it’s the end of it for India.
Well, here we are with all the steps you can take on how to invest in cryptocurrency in India. It does look simple, but the process takes time. You can simply follow the steps I have mentioned and make things easier for you.
Also, it is highly important to learn more about the market before investing.
A lot of people may not tell you but there are loads of terms in Crypto that you need to be aware of even if you are simply in for investing some of your money.
For example, we have Bear and Bull Market, which helps you take action when you should invest or sell these coins. Like I had said, the Crypto market is volatile and one can never determine what will happen in the next second. Hence, it requires patience and if you are in for the long term, you can earn good profits.
If at all you are stuck somewhere and have simply no idea how to take things forward, let us know how we can help you with. Since you are starting up, this small tip might help you better in the long run.
Never invest a single penny based on other people’s portfolios or recommendations. Always do your own research for better results.