Cryptocurrency is “a technological tour de force” or simply a masterpiece, as Bill Gates puts it. You certainly don’t want to miss out on this technological revolution! So, why not learn how to invest in cryptocurrencies in India?
Cryptocurrencies are absolutely a fad! It’s no surprise that it’s climbing the investing ladder, despite stiff competition from traditional asset classes like equity, debt, gold, and so on.
Let’s face it… when we’re sitting on the couch preparing our financial portfolio, cryptos are often on our minds, aren’t they? But we dismiss the suggestion, either because we believe cryptos are illegal or because we have no idea how to invest!
First and foremost, cryptos are not illegal, at least not in India. So, while you can invest in and hold cryptocurrencies as assets, you can’t use them as legal cash to buy things. In any case, you can still build your wealth with it. You now know that you can invest in cryptocurrencies in India.
In India, There Are Several Ways To Earn Money From Cryptocurrencies:-
1. Cryptocurrency Trading:
- Trading in cryptocurrencies is comparable to stock trading. You can buy any coin like a stock market stock and then sell it for a profit. It offers additional benefits to traders, including the ability to trade cryptocurrencies 24X7. The stock market, on the other hand, is only open on government working days.
- How many prominent stocks, in addition to coins, can be exchanged on cryptocurrency exchanges? This ensures the system’s entire legitimacy. You can place an order for an indefinite amount of time here.
2. ICO, IDO, and IEO Investment:
- ICO is for Initial Coin Offering, IDO stands for Initial Decentralised Exchange Offering, and IEO stands for Initial Exchange Offering. When a Crypto project begins, this is the initial process of purchasing coins.
- It is similar to the initial public offering (IPO) of any stock market company. People can invest at the start of any currency initiative and receive a large return. If you forget, I’ll tell you that someone recently sold his 2000 Bitcoins for merely one pizza. And the present value of one Bitcoin is approximately 45 to 50 lakh Indian rupees.
3. Investing (Buying & Holding):
- Cryptocurrencies operate on blockchain networks. Each coin is blocked and a record is kept of it. The quantity of coins mined on any blockchain has been fixed since the first day.
- As a result, the usefulness of coins grows over time. If you buy a coin and hold it for 5 months, 8 months, a year, two years, or however long you like. With time, you will notice incredible development in your portfolio.
- The longer you wait, the more patience you will have, and the more money you will make.
4. Cryptocurrency Staking:
- Stacking is the process of locking your funds in exchange for a set length of time, such as 15 days, 30 days, 90 days, and more. You can use your asset during this period. After finishing your staking term, you will be rewarded for your stacking.
- Staking rewards might range from 2% to 80% or more, depending on the offer made by the exchange you trade on.
5. Use Crypto To Sell:
- If you are a Merchant, you can sell your product IN EXCHANGE FOR cryptocurrencies such as Tron, Bitcoin, Ethereum, and any other coin you like to keep. It will not grow if you get payment in Fiat money.
- On the other side, if you receive payment in cryptocurrencies, your portfolio balance will grow over time. I’ve witnessed numerous merchants make a tenfold profit on their product sales.
6. Mining For Cryptocurrency:
- Cryptocurrency, as we all know, is built on blockchain technology. When we receive or move funds from one wallet to another, certain devices must solve the algorithm or verify the transaction.
- As a result, the blockchain rewards verification. Mining is the process of verifying transactions. We can make a lot of money in India by mining cryptocurrencies.
- If you wish to earn bitcoin, choose a coin with a low difficulty level and begin mining.
7. Earning Dividends:
- Some corporations pay dividends to stockholders who buy the company’s stock on the stock exchange. Similarly, some bitcoin companies pay out dividends to investors.
- It is a portion of the company’s profit. By doing so, the company attracts new investors to its initiative. As a result, the market’s demand for that company’s stock rises.
- Similarly, cryptocurrency investors can easily make a lot of money by purchasing several coins. The finest example is the Binance coin. If you purchase a BNB coin on the Binance exchange, you will receive a dividend on your investment every time.
8. Earnings From Referrals:
- You’ve probably heard of your multi-level marketing. When we bring in new customers, we receive a referral fee from them.
- Almost all bitcoin projects have referral systems of some type. You will receive a share of a new member’s reading costs if you introduce him to any exchange.
- This is one of the best and most consistent passive income opportunities available in the cryptocurrency market.
- Assume you introduce ten people to the WazirX exchange. They all trade rupees 100 on their exchange every day. As a result, they will each pay 0.2 INR to the Exchange. The total charge will be 1INR. You will receive half of the total fee. This implies you will earn 0.50 INR without having to do any tasks. This is the amount you will earn as a result of your referrals. And it will be credited to your account regularly.
Highest Paying Exchanges For Referral Earnings:
- WazirX India’s top Exchange
- Binance World’s top exchange
- FTX Exchange Offer Stock trading
- Huobi Global
- MXC Exchange
- KuCoin Exchange
In India, Investing In Cryptocurrency
- For the neophyte, there are two main routes to enter the crypto world. The first is Mining, a sophisticated and intellectual approach. Take, for example, bitcoins. So, if you want to try your hand at bitcoin mining, you’ll need to enforce bitcoin policies by adding blocks of transactions to the blockchain network, which will earn you bitcoins. Miners, in other words, are paid with bitcoins for their efforts in and for the bitcoin system.
- But here’s the catch: to mine these bitcoins, you’ll have to go into all sorts of intricate mathematical equations and other overly technical stuff. It will also necessitate the use of specialized equipment. And, of course, it isn’t for everyone, is it?
- This brings us to a more convenient and straightforward manner of accessing the crypto markets:- Crypto exchanges.
- A cryptocurrency exchange is a website where you can buy and sell digital currencies like Bitcoin and Ethereum. Crypto exchanges, unlike stock markets, are self-regulated and open 24 hours a day, 365 days a year.
- Without a doubt, retail investors who don’t want to get mired down in the complexities but yet want to add a tiny amount of cryptos to their portfolio should use crypto exchanges.
So, here’s a step-by-step approach to investing in cryptocurrency via exchanges:
Procedure To Invest Using Crypto-Exchanges
- Choosing a suitable Crypto-exchange
- Setting up KYC and payment options
- Placing the trade order
- Post the trade order, and you can store the cryptos in wallets or withdraw your money.
Investing In Cryptocurrency Is Simple & Convenient
Many ordinary investors invest in the stock market through smartphone applications. Have you ever thought if you could do it in cryptos as well? So, FINAXIS will assist you with the best crypto investment in India, which is a great blend of ease, security, and simplicity.
Cryptocurrencies are unfamiliar to most of us. As a result, just like a new market trend, it will encourage you to participate. However, be careful not to get swayed by the bitcoin mania. This isn’t something you can learn overnight, especially if you’re a neophyte. Instead, first, get information and training, and then proceed with the investment.
Finally, remember what we constantly say: Invest in what you know.
Hello, I am Jyoti Bhardwaj, an lawyer pursuing LLB, having completed Bachelor of Commerce (B.Com) and Post Graduate Diploma in Computer Applications (PGDCA). I am a professional working with Finaxis Business Consultancy Pvt. Ltd. who believes that reading is a bliss and sharing knowledge is the virtuous way of acquiring knowledge. Thus, an avid reader who loves blogging and writing pretty much sums up who I am.