Trading Crypto Assets in India: A Beginner’s Guide
India has shot past other countries to be the fifth largest economy in the world. Naturally, Indian investors look to global trends to trust. The new and emerging crypto sector is something that is being considered by many. Officially classified as virtual digital assets (VDAs), it is estimated that India has 25 to 30 million investors who have parked part of their portfolio in this sector. We believe this will grow many times over the next 3-5 years.
India has shot past other countries to be the fifth largest economy in the world. Naturally, Indian investors look to global trends to trust. The new and emerging crypto sector is something that is being considered by many. Officially classified as virtual digital assets (VDAs), it is estimated that India has 25 to 30 million investors who have parked part of their portfolio in this sector. We believe this will grow many times over the next 3-5 years.
The crypto sector experiences massive volatility that even experienced investors find difficult to navigate. However, there are clear ways to find your feet in the crypto landscape where the projects (coins, tokens associated with them) are evaluated based on their usability and viability (explained in their whitepapers). To summarize, crypto is a lucrative market that can offer significant returns if approached correctly.
The crypto sector experiences massive volatility that even experienced investors find difficult to navigate. However, there are clear ways to find your feet in the crypto landscape where the projects (coins, tokens associated with them) are evaluated based on their usability and viability (explained in their whitepapers). To summarize, crypto is a lucrative market that can offer significant returns if approached correctly.
Today, we use the right ways to approach and trade in this high-risk, high-return market.
Today, we use the right ways to approach and trade in this high-risk, high-return market.
Understand the basics of cryptocurrency
Before you start trading, it is important to understand the basics of cryptoassets. Cryptocurrencies use encryption techniques to secure and verify transactions. Unlike traditional banking, cryptoassets are decentralized and not controlled by any central authority. Bitcoin and Ethereum are considered the most reliable assets in the market.
Understand the basics of cryptocurrency
Before you start trading, it is important to understand the basics of cryptoassets. Cryptocurrencies use encryption techniques to secure and verify transactions. Unlike traditional banking, cryptoassets are decentralized and not controlled by any central authority. Bitcoin and Ethereum are considered the most reliable assets in the market.
Choose a reliable Indian stock exchange
To start trading, you need to choose a reliable and compatible India crypto exchange. Exchanges help you seamlessly convert INR to crypto assets. It is crucial to do your research and choose an exchange that is safe, has a good reputation and offers the crypto assets you want to trade.
Choose a reliable Indian stock exchange
To start trading, you need to choose a reliable and compatible India crypto exchange. Exchanges help you seamlessly convert INR to crypto assets. It is crucial to do your research and choose an exchange that is safe, has a good reputation and offers the crypto assets you want to trade.
Given India’s classification of the sector under PMLA ambit, a compliant exchange is a must. Read up on an exchange’s management team/founders and their vision to understand their capabilities.
Given India’s classification of the sector under PMLA ambit, a compliant exchange is a must. Read up on an exchange’s management team/founders and their vision to understand their capabilities.
Set up your account
Once you have chosen the exchange, you must set up your account. The process usually involves providing your personal information and verifying your identity under advanced KYC norms. You must link your bank account to the exchange to deposit or withdraw money.
Set up your account
Once you have chosen the exchange, you must set up your account. The process usually involves providing your personal information and verifying your identity under advanced KYC norms. You must link your bank account to the exchange to deposit or withdraw money.
Most exchanges have well-customized customer support that can take you through the process like a breeze. Some also offer language-based support (Hindi, Tamil, Telugu, etc.).
Most exchanges have well-customized customer support that can take you through the process like a breeze. Some also offer language-based support (Hindi, Tamil, Telugu, etc.).
Two-factor authentication is a must
Centralized exchanges can be your real sentinels when entering the crypto world. Exchanges offer built-in wallets where you store your assets. Most exchanges have their own cyber security personnel who work to secure transactions and the business. Exchanges also have two-factor authentication. This is a deterrent to hackers and fraudsters. Always choose to implement this in your account.
Two-factor authentication is a must
Centralized exchanges can be your real sentinels when entering the crypto world. Exchanges offer built-in wallets where you store your assets. Most exchanges have their own cyber security personnel who work to secure transactions and the business. Exchanges also have two-factor authentication. This is a deterrent to hackers and fraudsters. Always choose to implement this in your account.
Learn about different trading strategies
There are different trading strategies you can use to make money trading cryptocurrency. Some investors prefer to buy and hold cryptocurrencies for the long term, while others engage in short-term trading to take advantage of price fluctuations. It is crucial to research and understand different trading strategies and find the one that works best for you. We recommend that you stick to the long-term as a beginner.
Learn about different trading strategies
There are different trading strategies you can use to make money trading cryptocurrency. Some investors prefer to buy and hold cryptocurrencies for the long term, while others engage in short-term trading to take advantage of price fluctuations. It is crucial to research and understand different trading strategies and find the one that works best for you. We recommend that you stick to the long-term as a beginner.
Manage your risks well
Crypto trading can be risky and it is crucial to manage your risk to avoid significant losses. Don’t invest borrowed money or your emergency funds in crypto. Make sure you only invest less than 20 percent of your total portfolio in crypto. In the 20 percent, keep a lion’s share of major coins like Bitcoin and Ethereum. Cost averaging via weekly/monthly purchases helps you enter the market at a good price point.
Manage your risks well
Crypto trading can be risky and it is crucial to manage your risk to avoid significant losses. Don’t invest borrowed money or your emergency funds in crypto. Make sure you only invest less than 20 percent of your total portfolio in crypto. In the 20 percent, keep a lion’s share of major coins like Bitcoin and Ethereum. Cost averaging via weekly/monthly purchases helps you enter the market at a good price point.
Crypto is not MLM
Crypto is a futuristic technology. One should not fall prey to MLM like schemes floating around. The best thing you can do is stop and think twice before pressing the “go” button. If you are in doubt, call the center you have registered with and seek clarification. No professional exchanges promote MLMs. No products or schemes that provide unrealistic returns in the short term are considered reliable in this ecosystem. Also, beware of phishing websites that copy the exchange’s style to take your information.
Crypto is not MLM
Crypto is a futuristic technology. One should not fall prey to MLM like schemes floating around. The best thing you can do is stop and think twice before pressing the “go” button. If you are in doubt, call the center you have registered with and seek clarification. No professional exchanges promote MLMs. No products or schemes that provide unrealistic returns in the short term are considered reliable in this ecosystem. Also, beware of phishing websites that copy the exchange’s style to take your information.
Keep up to date with the market
It is important to stay up to date with the latest news and market trends. Follow crypto-based news sites, social media channels and newsletters to stay informed about market developments, regulatory changes and other factors that may affect the price of crypto assets.
Keep up to date with the market
It is important to stay up to date with the latest news and market trends. Follow crypto-based news sites, social media channels and newsletters to stay informed about market developments, regulatory changes and other factors that may affect the price of crypto assets.
Author: Vikram Subburaj, CEO, Giottus Crypto Platform
Author: Vikram Subburaj, CEO, Giottus Crypto Platform
