If it’s your first time and you want to buy Bitcoin in India, then:
India’s Bitcoin is gaining traction, and buying and selling Bitcoin in India is legal. However, where you can buy Bitcoin, there are only a handful of quality Indian crypto exchanges.
The best way to buy/sell cryptocurrencies in India is still the P2P model. To encourage Indian traders, several exchanges offer creative P2P solutions.
Note: Do not use any word such as crypto, exchange name in the remark, when making a P2P transfer for cryptos that could identify the intent of the transfer.
Here, I list the Bitcoin exchange and trading websites in India that you can use to buy and sell Bitcoin. Based on their popularity and ease of use, I’ve mentioned these websites.
With almost all of the Indian Bitcoin exchange websites, one thing I have found is that their pricing varies in real-time. So I’d say you don’t put all your eggs in one basket, either. Buy Bitcoin from different sites instead.
Related Article : Top Cryptocurrencies to buy in 2021
Before Purchasing Bitcoins In India, A Few Things To Know:
In India, Bitcoin is not illegal, and RBI made this clear in 2020 that cryptography in India was not banned.
Well, it’s a no-brainer that, as it’s being embraced by more users internationally, RBI & the Indian government will begin to take Bitcoin seriously. You are already aware of how influential Bitcoin & Blockchain technology has been in the past three years, I’m pretty sure.
Bitcoin is quite stable, in fact. The latest speculation is that in 2021 it will surpass the mark of $50,000. Ok, only time can say that…
But for now, it is sound advice & a gamble worth taking to buy Bitcoin.
Let’s follow the steps below without further ado, get our first Bitcoin wallet for free and buy Bitcoin afterwards.
Must Read: What Is Cryptocurrency?
Exchange to Buy Bitcoin or Altcoin in India
In India, Wazirx is another famous crypto exchange that has only recently joined the party.
It is established by an experienced team that constantly innovates with the mission of involving every Indian in the blockchain revolution.
In the current situation, they have devised a new method of peer-to-peer trading that allows Indians to withdraw and deposit INR when trading cryptocurrencies. Deposit and Withdrawal has made the purchase of Bitcoin in India quick and instantaneous using the UPI method. The mobile WazirX app is rich in features and lets you trade crypto from anywhere.
Here’s a sneak look at Wazirx methods:
- Price the cryptocurrency for 5000 USDT (BTC in this case). Since our USDT market has excellent liquidity, your trades will be completed immediately! Since USDT is a reliable coin, its value would not fluctuate as much as unpredictable cryptos.
- Put your 5000 USDT up for sale on WazirX P2P.
- If anyone buys 5000 USDT on WazirX P2P, they can send 3.4 lakhs to your bank account through UPI or NEFT.
- The assistance is prompt and dependable. Wazirx’s Twitter and Telegram communities are very involved.
Using cash, do you want to buy Bitcoin?
Ok, this is where the image comes into play with LocalBitcoins. You will find a seller here who wants to sell Bitcoin using various payment modes (including cash). You can see the different choices available for an Indian to purchase Bitcoin in the below screenshot.
Among those who are looking to buy Bitcoin using PayPal, LocalBitcoins is also common. They also introduced a 2-factor authentication from a security perspective, and when you log in from a new device, another level of authentication gets enabled.
The cost of buying Bitcoin is higher here, but it is an ideal choice for those looking to buy Bitcoin ‘off the radar’. Make sure you do the transaction in a public place if you wish to buy Bitcoin through cash. This is a perfect choice for you if you are looking to sell Bitcoins in India at a higher rate.
Bitbns is an Indian crypto exchange created by IIT graduates, also crypto enthusiasts that began operations in December 2017. The Bitbns team focuses right from the start on ease of use, protection, and customer service. Do search our comprehensive analysis of BitBNS.
Despite tough times in the Indian crypto scene, the Bitbns team has also pioneered the groundbreaking P2P model of exchange cryptocurrencies and INR.
Since 2014, Zebpay has been in the cryptocurrency market, growing to over 3 million customers and $2 billion in flat transactions. It allows users to quickly buy Bitcoin and a variety of altcoins with guaranteed execution and minimal slippage. Controls to block all outgoing transactions with the Disable Outgoing Transactions feature are one of the robust security devices.
BuyUcoin is another innovator in India’s cryptocurrency space. It provides an easy and safe platform for the purchase and exchange of a variety of cryptocurrencies, like Bitcoin, Ethereum, Ethereum Classic, List, NEM, Civic, Litecoin, Bitcoin Cash, as well as many others.
Buy You Coin now has the functionality of periodic transactions, helping users to participate in crypto as a SIP. To avoid a blanket ban on cryptocurrencies in India, BuyUcoin has proposed a “sandbox” system that tracks cryptocurrencies in the country. The platform stores 95 percent of your funds offline for unhackable protection.
Coinbase is a cryptocurrency exchange based in the United States. The platform has received praise for its user-friendly interface and amazing experience. By trading volume, Coinbase is the world’s second-largest exchange. To keep up with increased demand all around the world, it has been developing features such as customer service. There has never been a major event on the platform.
To take advantage of advanced trading options, Indian investors can open a Coinbase or Coinbase Pro account. Coinbase, on the other hand, has even fewer altcoin opportunities than Binance, with just a little more than 50 coins to choose from.
What to Look for in a Bitcoin Broker?
While it is still important to manage your investments from a competitive Bitcoin trading platform, when selecting a broker, there are many other considerations to consider to ensure that you deposit your money in a healthy, stable and transparent environment.
Here are some characteristics that any Bitcoin broker has to excel at:
- Regulation: Always make sure you trade with a broker that is monitored. It does not have a 100 percent assurance that well-hidden malpractice will not be encountered, but it goes a long way to ensure that you remain safe from outright fraud and theft. Traders, irrespective of how tempting an offer might be, must avoid dealing with an unregulated broker.
- Reputation: Regulation, as reputation is equally significant, is not all that traders can rely on. A Bitcoin broker that enjoys the confidence of a rising number of traders and has been operational in a stable trading environment for over a decade.
- Price: While the Bitcoin price might be the same across all exchanges, you need to look at the difference, known as the spread, between the bid and the requested price. It is how brokers make their money, and the mark-up can have significant variations, which will have a direct effect on your profitability. To gain more from each deal, pick a broker with tight spreads. With a slightly higher mark-up, market makers with commission-free trading typically offset the difference.
- Collection Fees: Most brokers waive deposit fees, but internal withdrawal fees apply to others. Check the payment processor’s expenditures, too, as most payment options bear costs. You will want to make sure your broker supports your payment processor, depending on your choice and circumstances. If you deal in a currency that varies from the base currency of your account, you will also face currency exchange charges.
- Customer Support: When anything unexpected happens, you never know, and trading with a Bitcoin broker that provides easy access to customer support will help. Look for a broker with 24/7 customer service, as cryptocurrency trading takes place 24/7. Otherwise, it’s less useful than you would like it to be.
- Design & Ease of Use: A user-friendly interface would feature the best Bitcoin trading platforms, allowing traders to manage their portfolios with ease. To achieve improved usability for Bitcoin trading, the MT4 and MT5 trading platforms need updates, which are available at a discount. Some brokers sell them free of charge, while others have built a trading network that is proprietary. To see the variations and find the one that suits you the best, do not be afraid to try them all as demo accounts.
- Variety of Coins: By market value, all brokers offering cryptocurrency CFDs will have access to the top four properties. It is suitable for new retail traders to get started, but the scope of brokers will dramatically narrow if you need wider access.
- Leverage: Trading CFDs without leverage defeats the intent of a derivative contract, but leverage and good risk management are still used together. It remains the most useful trading instrument and the most overlooked and misused one as well. The limit is often much lower than on other properties, as cryptocurrencies remain highly volatile. Trading with a Bitcoin broker with a minimum of 1:5 overall leverage would provide enough of competitive advantage.
- Demo Account: All brokers typically have a demo account open. Use it to test the trading platform, or first run it in a trial version if you have an automated trading solution. In a demo account, several brokers create more favorable circumstances to draw deposits from new traders. Many think a demo account is perfect for learning how to trade, carried out more efficiently with a small initial deposit in a live trading environment.
- Initial Deposit: The lower the initial deposit, the greater your financial management flexibility. Many brokers have cut their minimum to $100, others have it as low as $1, and some completely waive it. Also, search for follow-on deposits, as most brokers need an initial one that is more substantial and lower after that.
Pros & Cons of Bitcoin Trading with a Broker
Instead of being exchanged on an official exchange, there are pros and cons of selling Bitcoin with a broker. Sometimes, it relies on your preferences.
The Benefits of Using a Broker to Trade Bitcoin
- CFDs do not need a wallet for crypto-currency
- There are no regulatory limitations
- More asset leverage
- Wider variety of payment options
- Customer service 24/7
- Trading instruments, science, and education
- User friendliness from adaptable trading platforms
The Drawbacks to Using a Broker to Trade Bitcoin
- Higher expenses due to mark-up spreads
- Not suited to investors and hodlers in the long term
- Less assets
How do Bitcoin Brokerages Work?
Many Bitcoin brokerages write derivative contracts that allow traders to take advantage of price action without owning the underlying asset, usually CFDs. The best assets for traders, developed for short-term trading with leverage, remain CFDs. Since the instruments are not owned by traders, there is no need to sign up for a cryptocurrency wallet. Brokers earn their profits through spreads, commissions, or a mix of both. Some offer direct investments in the asset and provide a crypto-currency wallet for customers.
Related Article : How To Trade Cryptocurrency
How do I know if it controls a crypto broker?
You should only use monitored Bitcoin brokers to avoid scams. To check the regulatory status of a broker, first, decide the legal name and country of the broker, and then find the appropriate website for the regulator to look them up. A broker in the UK, for example, must be approved and regulated by the Financial Conduct Authority (FCA).⠀
Do I need a broker to buy bitcoin?
Yes, use a controlled bitcoin broker to purchase Bitcoin at all times. You will safeguard yourself from scams using a controlled broker, and your bitcoin will be safe. Never buy Bitcoin from anyone directly on a third-party website or auction to prevent scams.
How do you buy bitcoin?
There are three key methods of purchasing and selling bitcoin cryptocurrencies:
Buy bitcoin (the underlying asset) – Purchasing physical bitcoin from an online bitcoin exchange such as eToro is the most popular way to buy bitcoin. In a digital wallet supplied by the broker, the bitcoin is then stored and secured.
Buy a Bitcoin CFD (Contract for Difference) – Using CFDs is another common way to trade Bitcoin. With a CFD, you do not own the bitcoin underlying it. Instead, you are betting on the way that the price of bitcoin will go, either up or down, and when you are right, you benefit.
Buy an exchange-traded note (ETN) – Although much less common and inaccessible in many countries, the popularity of exchange-traded notes (ETNs) is rising quite slowly. ETNs are similar to exchange-traded funds (ETFs), which means that they trade on a structured stock exchange like stocks. ETNs, like ETFs, are aimed at mirroring the price of the underlying asset they control. See this guide from Xena Exchange and this guide from ETF.com for more on bitcoin ETNs, including pros and cons.
The article is not an offer to buy or sell cryptocurrency on any of the Exchanges listed. its subsidiaries, partners, and the author take no responsibility for any losses or damages.