How to Invest in Bitcoins & Cryptocurrency in India

Introduction

Bitcoin is the currency in digital mode created in 2009 by a shady and hideous developer named Satoshi Nakamoto, who has still been shrouded in mystery. It is a decentralized digital currency without any physical form and also not regulated by any central bank or law. But as of the bitcoin price is the highest among currencies.
Actually it’s only the balance that is recorded in a public ledger stored in the cloud, whose transaction is rigorously checked by a series of computers.  Although it is not a legal tender, Bitcoin is highly popular all throughout the globe which has led to the creation of many virtual currencies called altcoins. Undoubtedly, Bitcoin price is very high as compared to the dollar and other currencies.

Bitcoin: Some Vital Statistics

Surprisingly, the total market capitalization across the globe,  for cryptocurrencies is almost $256 Bn. However, one might be astonished to know that this figure is about $65 Bn above than in the starting of the Year 2020 and $10 billion more than the annual GDP growth of India.

Live Cryptocurrency Price:

• Total Supply    → 1,82,91,575 BTC
• Max Supply    → 2,10,00,000 BTC
• All Time High    → $20,089.00 USD.(Dec 17, 2017)All Time Low    → $65.53 USD.  (Jul 05, 2013)

As per the above data, bitcoin stock, Bitcoin (BTC) has nosedived by  -6.24% to $6,231.96 USD in view of the recent Coronavirus Pandemic.

Bitcoin INR Price Chart

The previous exchange rate of Bitcoin is with respect to the US dollar. Now let’s check the conversion rate of BTC to INR as per the latest stock price in India.

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How to Invest in Bitcoin Step by Step

There are various methods in which one can invest in Bitcoin using a cryptocurrency exchange.

Step 1# Signup

There are three major cryptocurrency exchanges active for Indian investors :

• Zebpay 
• Unocoin 
• Koinex

Step 2# KYC & Validation

First of all, the above cryptocurrency exchanges require the complete KYC of the investor to be done using –

1. Aadhar Card
2. PAN Card
3. Mobile Number
4. Bank Account Details

Step 3# Add Fund

You will have to transfer money to the bank accounts of these cryptocurrency exchanges using your bank account and buy the number of Bitcoins desired.

Step 4: Wait for Fund Credit Confirmation

The money to these cryptocurrency exchanges takes time for credit of the invested money in their account.

Step 5: Add Bitcoin to your Wallet

After one has bid for the bitcoin, it can be stored either on the cryptocurrency exchanges itself or can be download cryptocurrency wallets on the mobile or computer.T he above method will definitely guide one on how to buy bitcoins in India.

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Ultimate Guide on ‘How to buy bitcoin with a credit card or Pay Pal?’

• PayPal: It uses a term called chargebacks wherein if physical goods are bought using PayPal, and the buyer doesn’t get the goods within the stipulated time, then the buyer can ask for a refund of the entire amount from PayPal which has to be born by it. Bitcoin is only a digital currency which takes a lot of time to get credited to one’s account, so, if PayPal is used to buy the bitcoin, then he can claim that he has not received the bitcoin and can claim refund or charge, which has to be obliged by PayPal.That is why Paypal doesn’t allow direct buying of bitcoin from its platform.
• Credit Cards: Just like the issue of PayPal’s chargeback, credit cards not allowed to buy bitcoins.

Consequently, both the means of payment at one time or the other has been used to commit fraud, the PayPal and credit companies, direct buying or selling of bitcoins are not possible using these. As a result, one can buy Bitcoin using a cryptocurrency exchange.

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Most Asked Questions:

Are Investment  In Bitcoin India Legal?

In April 2018, the Supreme court of India restricted the trading in bitcoin, amidst growing cases of money laundering. This led to the crashing of the Cryptocurrency trading in India. Consequently, the court made it clear that, since platforms dealing in Cryptocurrencies like bitcoin conduct proper KYC so it can’t be banned. Following this order, RBI clarified in the Supreme Court that trading in bitcoins we’re never banned Hence this led to the start of the normal trading of bitcoins in INDIA.  So the problem on how to buy cryptocurrency in India after the rbi ban has been solved and now anyone can trade in bitcoins in INDIA.

How to earn free bitcoin?

There are three methods to earn Bitcoins:

1.) Mining – It is done using a specially designed computer hardware called a bitcoin miner. In this case, you will have to invest in hardware to maintain zero power cuts 24by7, consequently, you will start mining bitcoins on a daily basis.

2.) Trading – this involves investing in Binary Trading Options through a bitcoin trading broker using real currency.3.) Working in Faucet Sites: It is a reward program in the form of a website that pays one, a bitcoin, after completing small tasks like solving captchas. However to get the bitcoin as a reward one has to have an account in Blockchain.

What is Bitcoin?

It is a form of crypto-currency. As explained earlier, the  Balances of tokens of Bitcoins are maintained using “keys,” held by public and private holders. Keys are made of long strings of letters and numbers linked using the encryption algorithm of mathematics which was employed to create Bitcoins. Just like a bank account, the public keys act as the address of the bitcoin holder to the world. And anyone can then send the bitcoin to anyone using this address. Similarly one’s private key acts as an ATM PIN which is o be kept as a  secret and should only be used in an authorized Bitcoin transmission.

A bitcoin physical or digital equipment that helps in trading of Bitcoin and also allows users to track the ownership and quantity of coins.

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Useful Information of Bitcoins & Blockchain Technology

Working of Bitcoin

Peer-to-peer technology is used by bitcoin o allow instant payments. The independent individuals along with companies controlling the governing computing strength and also play a vital role in the Bitcoin network are called  “miners,” who are only motivated through the generation of new bitcoin and whose transaction fees are paid in the only bitcoin. Actually one can think of the miners as the decentralized core authority of bitcoin that adds to the feasibility and credibility of the said  Bitcoin network.

 Till the total number of bitcoins globally reaches  21 million, new bitcoin is awarded to the manners in such a way that the limit of 21 million bitcoin is not breached. Currently, there are roughly 3 million bitcoins that have yet to be mined. As a decentralized system marks the cut off of release rate for a future time as per a set algorithm, so is the nature of Bitcoins.

Mining of bitcoin

The process where new bitcoins are put into circulation of the bitcoin network is called bitcoin mining. In other words Bitcoin mining is simply the processing of large no.of  transactions in the digital currency system, which in turn records all ongoing Bitcoin transactions, which is also known as a block, are continuously added to the ledger record of past transactions, referred to as the blockchain. The digitally signed record of Bitcoins transactions since starting with the creation of bitcoin defines the actual bitcoin. Whatever work is put in creating bitcoins, is then encrypted using a compute-intensive algorithm and results in certain awards to miners. Finally for their hard work Miners are given a fixed number of Bitcoins per block.

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Final Word: Future of bitcoin

Since the launch of the bitcoin in the year 2009, it has seen an increase in the value to exponential times. It’s still in a transactional stage based on the cloud without any regulatory body to regulate it like physical currency. Bitcoin is not only complex to understand by the layman but also an easy target of hackers. Also if the severs containing bitcoin transaction records crash, one may lose his entire money. Moreover, bitcoin and the other cryptocurrencies are being used to conduct illegal transactions like money laundering, drug peddling, etc. Under these circumstances, it’s difficult for bitcoin to be accepted as a mainstream currency. Therefore, any investment will be just like an investment in a gamble which can either make one rich or lead to extreme poverty.in other words,

Declaration

Bitcoin price may be very high as per the cryptocurrency exchange but it’s a related failure as a safe investment is highly risky. So it’s advised to be extra cautious while dealing with bitcoin.