How to Buy Bitcoin? Best Crypto Exchanges in India.

Whenever someone wants to sell his/her assets and someone wants to buy the assets, this process is called Exchange.

What is cryptocurrency exchange? How does it work?

Before blockchain technology, There are only Centralized exchanges in the world for buying Stocks, Mutual Funds, and ETFs. After Blockchain technology came a new type of Exchange came into the world called Decentralized Exchange(DEX). In these exchanges, you can buy and sell Crypto Tokens all our the world 24/7.

These exchanges are live, the whole time, and everyone from the world can exchange their token in seconds. Some exchanges are decentralized and some are centralized. These exchanges allow users peer-to-peer payment.

List of cryptocurrency exchanges.

1)Binance: The world’s biggest exchange with its own Blockchain.
2)Coinbase: Largest cryptocurrency exchanges, present in more than 100 countries.
3)Ftx: Started by Sam Bankman-Fried. “By traders, for traders.”
4)Gemini: This is a Privately-owned exchange that was launched in 2015 by Cameron and Tyler Winklevoss.
5)Kraken: Founded in 2011, by Jesse Powell.
6)Cex.io: It allows you to add Funds from MasterCard, Visa card, or Paypal Debit Card.
7)Bitstamp: It has no withdrawal limits and encrypts all personal data.
8)Bitmex: All the funds are kept in cold storage. Offer Great security.
9)Robinhood: Famous for Dogecoin trading and you can buy Bitcoin, Ethereum, etc.
These are the top exchanges in the world, And there are many more crypto exchanges in the world.

Cryptocurrency exchanges in India.

1)CoinSwitch Kuber: If you are new to crypto and want to use the most simple interface without getting frustrated, You can give it a chance.
2)CoinDCX: This exchange became a crypto unicorn from India. Little Complex than CoinSwitch Exchange.
3)WazirX: I Personally prefer Wazirx, Because it’s a peer-to-peer trading option and a very helpful supporting team. Has Good Interface with Different peer options.
4)Zebpay: There Slogan is bitcoin ki dukaan, But you can trade other tokens too.
5)BuyUCoin: Delhi-based exchange started in 2016.
6)Unocoin: Started in July 2013.

How to buy Bitcoin and how to invest in bitcoin in India?

You have to choose the right exchange with good security for your funds. For example, You want to use Wazirx exchanges, simply complete your KYC with them. After that you can add money by P2P or UPI, Then you can choose in which peer you want to buy bitcoin from USDT Or INR peer. I Prefer USDT PEER. Do some analysis of price and then places an order. Boom now you have bitcoin in your portfolio.

Buying bitcoin is not hard, but buying it at the right price and protecting your funds from fraud is more important. Many people buy tokens and kept their funds in exchanges which is risky. Because exchanges are centralized and your funds are not much safe there. If your funds are higher in the number you should consider wallets for holding them. On this topic later.

What is Dex?

Dex means Decentralized Exchange. This type of exchange has a peer-to-peer function that helps users to transact without any intermediary or a middle man taking fees cut in the transaction. This helps person-to-person transactions easily without extra fees.

These exchanges offer you different types of functions to use your tokens for staking and earning interest by use of mining pools.

What is mining pools?

When all the miners are joined together and share their computer powers to mine blocks and get rewards for mining.
Mining pools are groups of miners and coin holder who stakes there tokens in mining pools for getting chance to create a block for the chain. After that, the reward is shared between all the miners and the coin’s stakes in the pay-per-share portion.

What is a cryptocurrency wallet?

Crypto wallets are used to save funds from hackers and frauds. In this wallet, you have your own private key and public key to transact and check your portfolio in secure way.

Many people keep their funds in crypto exchanges without worry about their funds. Because exchanges are in control of person and organization, your funds are not safe there. If any exchanges get hacked or bankrupt your funds will be gone forever.
You have to protect your funds from any exploitation by securing them in wallets.

There are two types of wallets:

1)Hot wallets
2) Cold Wallets

What is a Hot wallet?

It’s a Virtual wallet that keeps your tokens in it and is online all the time. For example, Exchanges wallets. You should keep a very little portion of your funds in exchange wallets.

These wallets are handle by exchanges, It’s their shared public ledger. They have all transactions and the private key to your wallet.

Web wallets, Mobile wallets, and desktop wallets are in the category of hot wallets. They are less secure and have a higher chance of online hack. If you are going to hold your crypto funds for a longer time, you should consider putting your funds in cold wallets.

What are cold wallets or Hardware wallets?

These types of wallets are offline and way better secure than hot wallets. Because they are mostly offline and all control is yours, you have the private key that helps to access the funds and transactions. It’s like having your own Safe Locker at home, rather than putting your funds in the bank’s locker.

Coinbase wallet

It’s a cryptocurrency wallet and gives you the power of your funds by the private key option that is store on your mobile device. This means your crypto is not stored in their exchange. It’s controlled by you and its security is yours.

Ledger wallets

Ledger is a company that makes hardware wallets for cryptocurrency. Its wallets security is top in the world for crypto funds to hold for a long-time. It looks like Pendrive if you want to transfer your funds from the ledger wallet to the exchange wallet. You have to connect with your Laptop and then that funds are easily transferred to exchange. Where you can sell or trade in your way. Hardware wallets are almost offline and very hard to hack. You should use it if your portfolio is more than 6 zero.

Best crypto wallet

1)Exodus
2)Trust wallet
3)Ledger Nano S, X
4)Trezor
5)Electrum