How To Purchase Bitcoin Legally in India?

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How To Purchase Bitcoin Legally in India

Are you looking to invest in Bitcoin but do not know exactly how? Are you an amateur in this crypto market? Do you need guidance to help you out in owning your share of Bitcoin? Here we are to help you in buying your share of Bitcoin from the correct and secured platforms. Bitcoin is the world’s first cryptocurrency retaining its popularity to date. It has become an attractive substitute to fiat currencies due to its decentralized nature. It promises high growth and comes across as an alternative platform to Gold for hedging funds to cut losses. Selling and buying Bitcoins is legal in India, get started with exchanges practicing self-regulation under specific KYC guidelines to facilitate secure and legitimate transactions in Indian finance.

  1. On Crypto Exchanges: Cryptocurrency exchanges facilitate trading cryptocurrencies like Bitcoin, Ethereum, etc. Here, digital ledgers or blockchain records all such transactions. These exchanges provide 24×7 assistance and are not under any centralized agency. An ideal exchange should be user-friendly with a simplified interface and minimal transaction fees. It should have a wide-ranging database and be welcoming to all investors. The best exchanges in India are Binance India, WazirX India, Coinbase India, Bitstamp India, etc. Investors can add money in their wallets in INR and use it to purchase Bitcoins, also other cryptocurrency assets like Ethereum and Litecoin as well.

After registering to such exchanges with your mobile number or email ID, you must submit certain documents under KYC guidelines such as Aadhaar Card, Bank details, PAN, etc. One Bitcoin, after accounting for fees, can cost up to 26 lakh, but most exchanges allow the purchase of fractional units with an amount as low as Rs. 500.

  1. P2P Transaction: Digital exchanges sometimes charge fees for transactions. To avoid such fees, you can choose peer-to-peer trading (P2P). Crypto exchanges provide sellers, ready for purchasing and completing the transaction. In the case of P2P transactions, you need to have some information on that person – Bitcoin wallet address, location, IP address, or username. P2P transactions are more transparent in the sense that you directly deal with your buyer or seller without intermediaries like the exchange platforms. However, these transactions can take more time to complete depending on the availability of the seller and are indeed regarded as insecure without an identification.
  2. Mining: Mining is one additional source to collect Bitcoins. It involves adding blocks of transactions and then solving cipher puzzles for collecting new Bitcoins as rewards every 10 minutes. The person who solves the puzzle first places the next block on the blockchain and then claims his rewards. The reward for mining includes both the transaction fees and the newly mined Bitcoin. However, it isn’t quite inclusive as it requires specific equipment.

Now that this article has provided you with A-Z of Bitcoin trade in India feel free to explore these areas of crypto trade.

Note: This article is for information purposes and does not endorse cryptocurrencies nor promise any returns. Please make an informed choice when considering finances and be advised to seek proper financial advice before making investments.

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