Cryptocurrencies are digital, non-physical and decentralised money. They work on the concept of blockchain technology, which is a distributed ledger that records transactions that can not be altered and deleted. Since last year, crypto markets have seen a rally and more people started investing in it. As such, many cryptocurrency trading platforms have been formed so that people can easily invest, buy and sell crypto assets such as Bitcoin, Dogecoin, Shiba Inu, Ethereum, among others. If you are looking to invest or trade in cryptocurrency then you will first need to understand the concept of cryptocurrency exchange. Secondly, you will need to create a crypto trading account. Bitcoin & Ethereum Hit All-Time High Again, Crypto Market Cap Exceeds 3 Trillion.
A cryptocurrency exchange helps you to trade in cryptos and currencies like Indian Rupee, US Dollar. It acts as a broker between the buyers and sellers. The broker's main source of income comes from the commission and transaction fees on any trade that you execute on their platform. In this article, we have demonstrated how to open a cryptocurrency trading account in India.
The account opening process is simple but it is advised to do proper research in choosing a broker. One of the most popular trading platforms/brokers is WazirX that allows Indians to buy, sell and invest in cryptocurrencies.
1. Head over to Google Play Store and search for WazirX. Then download and install it on your smartphone.
2. Click on the 'Sign Up' button. Then you will be asked to enter your email address, set a password and tap on 'Sign Up'.
3. Then you will receive a verification email. Click on 'Verify Email' and then you will be asked to enter your mobile number for an OTP for security.
4. Enter the received OTP and your account will be secured.
5. Then you will be asked to select your country. In addition to this, there will be two options to select from:- 'Without KYC and 'With KYC'.
6. By choosing the 'Without KYC' option, you will only be able to deposit and trade in crypto assets but will not be able to withdraw the profited amount.
7. On the other hand, if you opt for the 'With KYC' option, you will get be able to deposit, trade and withdraw the amount profited by trading.
Here's how to complete KYC:-
1. After tapping on the 'With KYC' option, you will need to enter your first name, middle name, last name, date of birth, address, state, city, Pincode, PAN card number.
2. You will also need to attach a digital image of your PAN card. You can also use other identity proof documents like Aadhaar card, passport or driving license if you don't have a PAN card.
3. Then you will have to upload a selfie while holding your original identity proof that you would attach in step 2.
4. Click on 'Submit For Verification' and you are done.
You will receive a confirmation email stating whether your KYC is approved or not within 24 hours after submitting your documents. It is important to note that different exchanges or brokers have different processes. You can also choose from other platforms like CoinDCX, CoinSwitch Kuber, UnoCoin and Bitbns to open your account.
(The above story first appeared on LatestLY on Nov 11, 2021 03:40 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).