Bitcoin is the oldest and biggest virtual currency in the market. This virtual currency has been creating buzz ever since its launch. Bitcoin hogged attention -particularly after – auto giant, Tesla made an announcement that the company invests in Bitcoin and will soon begin accepting it as a payment option. This led to a dramatic increase in crypto investments, to an extent that Bitcoin reached its all-time high. Bitcoin as a safe-haven investment avenue is driving massive interest among people across the world. But many investors in India are still struggling to understand what this cryptocurrency actually is and how to buy bitcoin in India.
Let’s uncover answers to these questions.
What is Bitcoin?
Bitcoin is the first decentralized virtual currency that leverages peer-to-peer technology to promote fast and efficient real-time payments across the globe.
As per experts, there are limited bitcoins and they have a finite supply cap of 21 million. Out of this, by June 2021, 18 million bitcoins have already been mined and the remaining 3 million are yet to be mined.
The best thing about Bitcoin is that it is decentralized i.e. it does not involve any intervention from third parties or intermediaries. Also, it has no single administrator or governing body to control it. Since it is a virtual currency it is only transferred from one wallet to another over the internet. As such, bitcoin transactions are safe as well as secure.
How Does Bitcoin Work?
The bitcoin transactions work on blockchain technology. The funds are transferred online from one person’s wallet to another person’s wallet. All the transactions executed are stored in a public ledger called a blockchain. These transactions are identifiable in the ledger through their wallet IDs and not the buyer or seller’s name.
The blockchain is named so because of its structure. It has units of data blocks storing information about transactions. These blocks are arranged in a chronological manner forming a chain thus referred to as a blockchain. Moreover, here, it is worth noting that information in each block is verified and cannot be erased or modified by any means.
How to Invest in Bitcoin in India?
If you are keen to invest in Bitcoin, you can approach bitcoin exchanges in India. Several platforms in India allow you to buy, sell, and hold bitcoins at a very reasonable fee. Popular exchange platforms like CoinSwitch permits you to start trading with as low as INR 100, that too at zero brokerage charge.
To invest in Bitcoin, all you need to do is:
- Register on the Exchange platform.
- Complete basic KYC details.
- After you have submitted KYC documents, wait for verification.
- Once verification is done, you can deposit funds in your account.
Now you are all set to invest or exchange your bitcoin to INR or vice versa online.
Investing in Bitcoin is not rocket science. You just need to look for a reliable exchange platform. Rest everything will be simplified with your exchange’s friendly services. So, be sure to do thorough research on exchanges in India even before thinking of investing in bitcoin.