When the spreading epidemic created a global economic downturn in 2020, the Indian economy warmly embraced cryptocurrencies. In India, the demand for electronic financial assets is increasing. Indians have begun utilising bitcoin exchanges to invest in cryptocurrencies. Millions of people opened accounts with numerous renowned cryptocurrency exchanges across India within a year.
A certain exchange cannot be regarded as the best owing to market risks and volatility. The country’s crypto marketplaces in India still lack seasoned investors from the country’s crypto community. Let’s have a look at some of the top cryptocurrency exchanges where traders and investors may place their trust for sound investing guidance.
A cryptocurrency exchange, also known as digital currency exchange (DCE), is a company that enables clients to swap cryptocurrencies or other virtual currencies for traditional fiat cash or other assets. Credit card payments, wire transfers, and different modes of income may be accepted through exchanges in trade for virtual currencies or cryptocurrencies.
A cryptocurrency exchange can function as a matching platform that just levies fees or as a market maker that often uses the bid-ask margins as a transaction commission.
Cryptocurrency cannot simply be purchased from a bank or investment firm. Once you’ve decided to buy Ethereum, Bitcoin, or another cryptocurrency, you must register for an account on a cryptocurrency trading platform to convert your U.S. dollars into that currency (or other currency)
A cryptocurrency exchange is an online marketplace where you may buy and sell digital money. Interactions can be used to exchange cryptocurrencies, such as converting Bitcoin to Litecoin, or to purchase cryptocurrencies using fiat money like the U.S. dollar. The pricing of cryptocurrencies on exchanges is based on current market rates. On a business, you may also switch cryptocurrencies back into dollars or other currencies, leaving the proceeds as cash in your account (in case you wish to turn them back into cryptocurrencies later) or withdrawing them to a standard bank account.
Since there isn’t a single cryptocurrency exchange that is suitable for all users, it might be useful to assess your personal crypto preferences and choose a platform that supports them.
What to Consider Before choosing an exchange
Ease of access
Due to local or international legislation, you might not be able to purchase or sell cryptocurrency where you are due to specific exchanges. Some nations, like China, have outright forbidden their citizens from using cryptocurrency exchanges.
There is a lot of regulatory ambiguity around cryptocurrencies in the U.S., and several states have implemented their own rules.
Protection
Your cryptocurrency assets are not safeguarded the same way that bank deposits or conventional investments are since any centralized authority does not back cryptocurrencies. Certain exchanges, like Coinbase and Gemini, maintain any U.S. dollar amounts you have with them in FDIC-insured bank accounts. However, the FDIC does not cover bitcoin holdings.
Some exchanges provide insurance plans to shield customers’ digital currency from fraud or hacking in order to secure their crypto.
The exchange’s security should be your top concern, whether you want to retain your cryptocurrency holdings there or merely have them there for a short period before transferring them into your wallet. Consider, for instance, how much of the exchange’s assets are kept offline in hard storage.
Look at the exchange’s offline asset retention rates. While businesses must keep a portion of their crypto active in order to allow trades, it is wise to keep the bulk of holdings offline or in cold storage, where access by hackers is more difficult.
Additionally, you may search for standard online security features like two-factor authentication that you could already be acquainted with from other sites.
Expenses
The extra safeguards and security that the larger, more well-known exchanges offer can potentially make up for higher rates.
Although they frequently take a cut of your deal, exchange fees might be a predetermined amount. Some platforms, like Cash App, have variable fees depending on the market’s volatility. Whether you’re the buyer or the seller, fees are frequently assessed for each transaction. Additionally, the costs might vary based on the currencies you trade. Before giving over your money, know exactly when and how an exchange intends to bill you for your cryptocurrency transactions.
Liquidity
The exchange you pick should have significant transaction volume if you intend to purchase, sell, or deal with your cryptocurrency to guarantee that your holdings are comparatively liquid and that you may sell them whenever you want. Again, in this case, size may be important. The exchanges with the highest trade volumes are sometimes the most well-known ones.
You have a better chance of purchasing or disposing of the cryptocurrency you own at the best possible price when several trades occur inside a platform at any given moment.
If your buyer doesn’t go through until the price has shifted back, if you’re on an exchange with a low transaction volume, you can pay a different amount than you believe.
Services & Features
Consider your desired access to trading and investing tools while looking for the finest crypto exchange in India.
For instance, the CFD trading platform Capital.com is a terrific choice if you desire to be able to go long or short on your preferred cryptocurrency. Additionally, our platform is commission-free.
Consumer Assistance
Customer service is a crucial factor that has the power to either make or break even the greatest cryptocurrency exchange in India.
You may live chat with customer care at Capital.com whenever you like. If you have any questions, you can also email the staff. Furthermore, live customer help is available 24/7 on Crypto.com.
What Kinds of Cryptocurrency Exchanges Exist?
HEX, or hybrid exchanges
The advantages of both centralized and decentralized exchanges are combined in hybrid discussions. A hybrid cryptocurrency exchange is still being developed. It preserves anonymity and security, exactly like decentralized exchanges, and has the liquidity characteristic of centralized platforms. There are no taker fees or gas expenses associated with this type of HEX trading, which is one of its most noticeable advantages.
CEX, or centralized exchanges
These platforms are the most typical ones that provide straightforward, easy operations and a highly pleasant user experience for cryptocurrency trading. As the name implies, these exchanges are governed and controlled by a central authority.
Every purchase or transaction is documented and verified by the business to prevent any additional inconsistencies. The user deposits money into the CEX-managed wallet. Additionally, the user must meet the KYC standards, which involve sharing personal data, in order to establish an account here.
Top Exchanges for Cryptocurrencies
WazirX
With more than 6 million registered customers, WazirX is one of India’s most rapidly expanding cryptocurrency exchanges and is supported by the highly regarded Binance ecosystem. At affordable trading costs, this exchange provides a huge selection of coins and tradeable pairings. Additionally well-known for its user-friendly design and sophisticated trading charts, WazirX offers applications for the web, Android, iOS, and Windows. Additionally, it has a referral program that allows customers to receive bonuses of up to 50% on each trade.
It enables users to conduct peer-to-peer (P2P) transactions and invest in INR, USD, and Bitcoin. WazirX’s own WRX cryptocurrency may be bought using INR and traded for other cryptocurrencies like Bitcoin and Ethereum.
There are More than 450 trading coins available on WazirX.
Full-featured smartphone app with instant buy/sell options, current market status, and sophisticated, comprehensive charts. It allows consumers to use the Lightning Network to make quick payments. Multi-signature wallet system with superior security features that abide by tight KYC standards and Various instructional resources are available via WazirX blogs.
UnoCoin
One of the most popular and established exchanges for buying, trading, and storing Bitcoin, as well as carrying out other merchant processing functions is UnoCoin. On this site, users may trade in more than 80 different types of digital currencies. Users receive free Bitcoins when they sign up, and they also get 15% back in trading fees.
For as little as INR 10, UNO launched the first-ever systematic purchasing plans (SBP) for Bitcoin and Ethereum.
It charges a 0.5% fee to purchase or sell bitcoin and facilitates the over-the-counter (OTC) loan function that allows for bulk trading.
Users of the Crypto Basket feature may diversify their cryptocurrency holdings based on volume or market capitalization.
CoinDCX
One of India’s most secure cryptocurrency trading platforms is CoinDCX. This platform offers a broad range of cryptocurrency-related goods and services, including staking, futures trading, lending options, and margin trading. Both the iOS and Android mobile platforms support the CoinDCX app. Additionally, it provides its members with various cutting-edge learning resources on cryptocurrency trading techniques via blogs and vlogs. An extensive manual on generating passive income from dormant cryptocurrency is available at CoinDCX.
As well to the P2P option, the user has access to NEFT, RTGS, and IMPS for making deposits.
Offers facilities for fast purchase and selling along with choices for current and future trading.
Benefit from up to 10x leverage when trading on margin.
Bitbns
Bitbns allows its customers to trade in a wide range of cryptocurrencies, including Bitcoin, Litecoins, Ethereum, Binance Coin, and more, thanks to their listing of approximately 400 different cryptocurrencies. More than 40 lakh people have registered on this platform overall. Through several research studies and Bitbns Academy, Bitbns provides significant educational materials on the cryptocurrency field. It offers many refer-a-friend and predict-and-win competitions to both current and new customers.
The user can order a Bitbns digital wallet instead of a normal e-wallet to store money.
For new and inexperienced traders, an advanced and updated teaching system
BuyUCoin
Because of its simple user interface and features like real-time spot trading cashback and lifelong reward on referrals, BuyUCoin is well-liked by millennial users. More than 10 lakh people have registered overall. Users receive free Bitcoins when they sign up and can continue to receive free prizes for life through referral programs. Additionally, the exchange holds competitions like “predict to earn crypto.”
- Offers limited orders and charts and enables customers to purchase and sell virtual currencies using INR.
- Offers services such as spot trading, futures trading, and over-the-counter wholesale trading.
- No deposit fee or know your customer (KYC) cost is charged.
- OTC wholesale trading-related transactions are free of charge.
- Provides several benefits and discounts.
CoinSwitch Kuber
CoinSwitch Kuber is particularly fit for novices because it has no trading fees for any Bitcoin transactions. And over 80 cryptocurrencies may be traded by consumers for as little as INR 100. The trading pairings available on this platform include INR to cryptocurrency exchange, cryptocurrency to cryptocurrency trading, and cryptocurrency to INR trading. Additionally, it introduced the crypto rupee gauge, a benchmark index for gauging the success of the cryptocurrency industry in India denominated in Indian rupees. In the form of blogs, videos, and educational training materials, it also provides a wide range of information about blockchain, non-fungible tokens (NFT), and cryptocurrencies.
Supports the Rupees as a national money. Hence withdrawals and deposits are only accepted in the INR.
Accepts payments made by NEFT, RTGS, IMPS, and P2P for deposits.
Giottus
Giottus, one of India’s most rapidly expanding crypto exchanges, enables users to invest in, trade-in, and profit from various crypto products. For those wishing to invest in cryptocurrencies for a longer period of time, it provides services including common financial goals, fixed deposits, and the ability to create a crypto basket of thematic coins.
The user also has the choice to participate in the refer-and-earn programs, which offer the opportunity to earn up to ten thousand tokens. Giottus is getting ready to launch its non-fungible token (NFT), staking, and lending services, giving investors new ways to increase their passive income from cryptocurrency.
Zebpay
Investors in cryptocurrencies are familiar with ZebPay since it pays interest on unutilized assets. For lending crypto, it offers a 4% fixed return that is guaranteed. With approximately 50 lakh registered customers, the exchange currently supports more than 100 cryptocurrencies on its platform. It is particularly ideal for intraday cryptocurrency trading since it enables extremely quick payments with minimal maker costs. The exchange furthermore pays incentives on a regular basis to the top transactions, and numerous alluring cashback offers on initial trades.
The user may earn a set return of up to 4% by lending cryptocurrencies, including Bitcoin, Ethereum, Polygon, Binance Coin, and Tether.
ZebPay has robust security procedures in place, and about 98% of its cryptocurrency is stored in cold wallets.
Are cryptocurrency exchanges permitted in India?
A restriction on cryptocurrency transactions was enacted in 2018. The Indian Supreme Court did, however, legalize the usage of digital currencies in the banking sector in 2020.
Dealing in cryptocurrencies is not illegal in India according to the country’s legal system, and neither are deposits made with fiat money on such sites.
However, as of the beginning of 2022, several Indian banking institutions and providers of payment services have prohibited transfers to and from cryptocurrency exchanges.
- Some cryptocurrency exchanges can get around this by allowing deposits using wallets like MobiKwik.
- Additionally, some payment providers’ bans aren’t anticipated to persist indefinitely.
- The larger picture is that the Reserve Bank of India’s objections has been successfully overruled by the Indian crypto community.
- Any Indian legal provision permits trading and dealing in cryptocurrency. Cryptocurrency exchanges are certainly allowed to operate in India as far as the laws are concerned.
END NOTE:
According to your own tastes, you may also take into account other variables, such as customer service, how much you enjoy the platform’s smartphone application, and how simple the market is to use in general. But one of the most helpful things you can do is to take the time to understand as much as you can before investing money in cryptocurrency, as we continually hear from professionals in the field.
Consider the fee schedules, security precautions, additional actions you’ll take to keep your money, and your objectives.
Throwing money into risky markets is far different from recklessly investing in more secure ones. So it’s crucial to educate yourself.