It is quite known that India is one of the world’s major players in the cryptocurrency space. In fact, according to a post on EuroNews, it was ranked number 4 in the list of countries with the most cryptocurrency users, just after the US, Ukraine, and the UK. Lots of cryptocurrency exchanges have made their way into the Indian market to take advantage of the growing number of traders and the economy.
The increase in the popularity and adoption of cryptocurrencies has also brought about a rise in the number of cryptocurrency exchanges that are functioning in India. Generally, the exchange you choose to work with matters when you are planning to invest in cryptocurrencies.
The general function of a cryptocurrency exchange is to act as an intermediary or a middleman between a buyer and a seller of cryptocurrency. While they might all have similar functions, they are all quite different in the way they offer these services.
So, it is important to settle down and do your research to choose the one that benefits your need. Before choosing one, there are several things to consider which will be discussed subsequently in this post.
In India, cryptocurrency has not fully been recognized legally, but since the government has not charged anybody or launched investigations into people who trade or earn cryptocurrencies, it might be safe to assume that the Indian government is gradually coming to terms with the phenomenon.
The Indian market has been one of the fastest-growing economies for cryptocurrency trading in recent times. Be aware that while there is fast growth and recognition in the country, not all cryptocurrency exchanges function there. There are several factors to check before making a choice, see them below.
As a newbie, there are some cryptocurrency exchanges for beginners you should check out, but before then, there are features you might want to look out for to enable you to choose a platform that is tailor-made to suit your need and make your crypto journey easy.
- Transaction Fees
- Supported Coins
- Customer Service
- User Interface and Experience
This is one very important thing to take note of. You need to be sure that the exchange platform in mind is available in your location. Some countries have barred you from engaging in cryptocurrency activities, so you need to check and be sure your location isn’t on said lists. Some other locations have some regulations that guide the use of crypto exchanges, so you have to be very sure which one applies to you before you make a choice.
As you may already know, cryptocurrency is a decentralized asset and there is no regulating body that oversees and control the trade of cryptocurrencies, which is why security is such a big deal when it comes to trading crypto. The last thing you will want is for your assets to be stolen as there is little or no way to recover stolen funds.
Crypto scams have been on the rise, and lots of people have lost their life savings to hackers, so it is important to look at the security structure of the cryptocurrency exchange before partnering with them. Additionally, check if they have policies in place in case of hackers breach the platform. Make sure you pay close attention to this. Read our extensive post on how to avoid cryptocurrency scams.
Different cryptocurrency exchanges with their different transaction fees. Transaction fees are paid when crypto transactions are instigated. Some exchanges charge higher fees than others. This is something you should consider and work with the one that fits your budget. Understand the fee structure of the platform.
Some platforms charge a fixed price, others charge percentages on the transaction. The fees can also differ based on the cryptocurrency you are trading. That a crypto exchange charge lower fees than another doesn’t make it better, the one with higher fees just might have better security than the other. It is best to confirm this before you proceed.
There are thousands of cryptocurrencies available in the crypto market, but unfortunately, not all cryptocurrency exchanges support all of them. There are lots of other altcoins available aside from Bitcoin and Ethereum. If you are a beginner, it is advised to stick with the popular ones until you have learned more about the crypto market.
However, having a wide range of cryptocurrencies in your portfolio can help to diversify your assets, so make sure to register with an exchange that has a wide range of cryptocurrencies and also the one(s) you are interested in investing in.
It has been proven that not all exchanges take customer service as a priority. As a newbie, you will want to work with a platform that has your interest at heart. There might be situations that will arise and you will need to contact a representative to help you out, if you signup with an exchange with poor customer service, then it might be a problem for you.
Time is crucial in trading cryptocurrency, any little delay can cause you a lot, so you might want to work with an exchange that has readily available customer care service when you need them.
Not all cryptocurrency exchanges have easy-to-use interfaces. As a trader, especially as a beginner, it is paramount to go for exchanges that have very good user interfaces. Note: An exchange might be user-friendly but not beginner friendly, and some others can be both.
It is good to go for the one that is both, as an excellent user interface can help you navigate the platform easily.
Different countries have their regulations when it comes to cryptocurrencies and crypto exchanges. There are lots of crypto exchanges available to traders in India, but I have listed the top 5. In no particular order:
WazirX was founded in 2017 and was launched in 2018 by Sameer Mhatre and Siddharth Menon. It is our first choice for the top cryptocurrency exchanges in India. It is located in Vashi, Maharashtra, India. It is also a very good choice for traders who are residents of India.
It prides itself as one of India’s best and most trusted cryptocurrency exchanges. There are over 250 cryptocurrencies supported on the platform and they also have very good transaction speed.
WazirX is very particular about its security, and they employ the KYC (Know Your Customer) procedure during registration. If you decide to skip the KYC process, you won’t be able to withdraw from the platform. However, completing the KYC process gives you full access to deposit and withdraw funds.
- Supports over 250 cryptocurrencies including Bitcoin and Ethereum
- It has one of the lowest trading fees in the industry. Fees go as low as 0.10% per trade
- Live chat support is available 24/7
- It is both user-friendly and beginner-friendly
- Verification takes about 2 hours
Founded in 2017, CoinDCX is a blockchain company that was co-founded by Sumit Gupta and Neeraj Khandelwal. It prides itself as India’s largest and safest cryptocurrency exchange.
CoinDCX supports over 300+ cryptocurrencies and requires INR 100 minimum investment. The company is currently valued at $1.1 billion. Users of CoinDCX can enjoy a good user experience and interface.
Funds on CoinDCX are insured by Bitgo, so in case of any security breach and funds get stolen, customers will be reimbursed for their losses. Before you can start investing, you must first deposit money in INR or cryptocurrency. Payment methods supported by CoinDCX include bank transfers, net banking, NEFT/RTGS, IMPS, and UPI payments.
CoinDCX also supports the option of withdrawing INR directly to your local bank account.
- Supports over 300 cryptocurrencies
- Trading fees go as low as 0.10%. There is a 0.001 BTC (~₹4,400) withdrawal per BTC
- CoinDCX provides customer support via email and lives support.
- It is beginner friendly.
- It takes approximately 24–48 hours to complete the KYC process.
Choosing a crypto exchange in India is pretty straightforward. There are lots of exchanges out there and each of them has different features to offer. I have taken time to go through these exchanges and delivered the top 5.
WazirX is my pick for the top cryptocurrency exchanges in India for October 2022. If you are looking for an easy and cost-efficient way to buy cryptocurrency in India, I recommend using WazirX. Also, it is very easy to set up your cryptocurrency exchange account on the platform.
Disclaimer: This is not financial advice. You are advised to do your due diligence and conduct your research before using any crypto platform and investing in any crypto asset.
Originally published at https://36crypto.com on October 25, 2022.