How to Buy Bitcoin in India - Best guide of 2018

Ready to buy Bitcoin, but don't know how to get started? We have a tailored made guide on how to buy Bitcoins in India in 2018. Including What it is and common term used in it. Sure to read, follow and invest the best with your saving.
Buy Bitcoin in India


Bitcoins, who don't want to owe even a fraction of it today. But the question arise is, who can afford it. Buying a bitcoin is not as simple as it once has due to inflation or hike of their price. But with the technology it is easy to owe a fraction with your Rupee than it used to be at certain point at past. The reason is, our own Startups start showing interest on it.

Before you started, please consider this site as Wiki. Your suggestion, updation and comment over any line of statement will be considered. Please help to make this page resourceful via comment.

If you're in hurry. Don't go TL;DR. Download this bitcoin beginner guide pdf and how to buy guide. And read it later via your mobile phone. [Download Link]


Bitcoin Guide India - Know How of Crypto Currency

Now, if you have made some saving or has a pile of cash to invest. But, being a beginner you've no idea where to start. This will be the best beginner guide to bitcoin buying in India. 
Let's we start with what is bitcoin and important jargon, regulation and buying structure. The terms you need to know while buying for your investment are - 

  • What are Bitcoins?
  • Where Can I buy Bitcoin in India?
  • Minimum amount to invest.
  • Procedure to buy Bitcoin in India

What are Bitcoins?

bitcoin Logo
Official Bitcoin Logo

If you google "what is bitcoin" you will receive over 9 crore result. Almost all of them repeat the same wikipedia description.

Bitcoin is a cryptocurrency and worldwide payment system. It is the first decentralized digital currency, as the system works without a central bank or single administrator.
It started as all bits no coins, paper, silver or gold. Some one from Japan (if right) writes a code of 31 lines and published it on internet. That's how it started. 

Bitcoin is now the most popular and the most expensive decentralized digital currency. It requires a digital media to be purchased or sell. We call these digital media as wallet in India. The easiest way to buy for investment is to go for any best bitcoin wallet sign up and buy using Debit/Credit Card. 
But its not a cup of tea or coffee (whatever you prefer) in reality. You need to have a good knowledge of trading if not then have a good amount in pocket with which you can take risk. And we will read what risk is involved with Bitcoin in India in same post.

Is Bitcoin Legal to buy in India?

Their is no answer for it. Either most of the sites, wallets owner or random peoples on quora call it any of them. Their is no answer for it. 
There is no regulating authority regarding crypto currency in India. Which simply means no established framework to solve problems, disputes, etc. dealing with bitcoins. But it is safe to say that it is not banned in India.

Is Bitcoin Taxable?

No, the answer is no. You don't pay tax right to government to buy a Tax. Its not taxable because India does not mention any law regarding digital asset anywhere.
But, the answer is Yes too.

[Point #1] 
As per Income Tax Act Section 2[24] any Kind of profit or gains (see the first point) is taxable.

We would like to quote this quora answer here.

Bitcoin tax in India
Click here to enlarge image

The answer itself is a quote of Zebpay mail send to account holder.

[Point #2]
You also pay charges to buy Bitcoin from exchange platform in India, like Zebpay or Unicoin. 

is bitcoin taxable


What is Bitcoin Private Key

Take bitcoin as any stock-in trade. The risk involved while investing in stock is -
  1. Either its price go down
  2. Or the agent/investment firm may snake you
What if Bitcoin price go down? This is the question we can't answer. 

But what if you trade with wolves? You should have watch Wolf of the Wall Street or Boiler Room?
This two are the fabulous example of stock manipulation. The second movie is even more practical than the first.

Now back to Crypto. In Crypto currency like Bitcoins. The risk involved is related to Private Keys. It is like your credit card information. Which is not be shared with anyone.

What is Private Key now?

... as per Bitcoin wiki [source below]

A private key in the context of Bitcoin is a secret number that allows bitcoins to be spent. Every Bitcoin wallet contains one or more private keys, which are saved in the wallet file. The private keys are mathematically related to all Bitcoin addresses generated for the wallet.
You can call it a Token which help you to spend or send it to anyone. If a token get stolen. Anyone with a great knowledge of Bitcoin mining/hacking can use it to sweep money from your wallet.

Unfortunately, we have an example of second biggest bitcoin breach which happened in August 2 2016. The bitcoin exchange platform Bitfinex has to suffer over $72 million USD at that time.

What and how in the world it happened?
The answer is in the snapshot.

Bitfinex Bitcoin Breach
The lesson behind this, is to keep your private key private. Never share it online or never expose it to your wallet representative.

Anyone with your private key and knowledge of how to hack it is a threat for you. 

Only invest in trusted Bitcoin wallet in India. A snake or a wolf can use your information and later steal your account. Also, once you make account you share your Aadhaar number with them. So, double check your wallet on google before signing up with them.

Here is another great quora answer pointing the same. Sure to check out with from this link.


Who own Bitcoin?

Now comes the big question. Who own bitcoin or what company holds the right of bitcoins? Just like who owns Internet, we apparently have same answer. Nobody.

Though there are lots of debate regarding 'Who owes you when you hold Bitcoin". Their comes only two aspects. Nobody or the body who interested in transaction.

So, we have again two points here, let's look at the first one first.

[Point #1]

Who owns Bitcoin?
Bitcoin was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009.

... that's what Wikipedia read to us.

Satoshi Nakamoto, as per internet, was 36 years old Japanese guy (at that time) who coded 31 thousand lines of code and announced it on internet. If you like to dig more check out the second source below.

You will be happy to know that Satoshi is used as mathematical term in Bitcoinology too. A Satoshi is the smallest unit of Bitcoin which reads 0.00000001 BTC.


[Point #2]

Now come to the debate who owes you? 

The answer comes in two shapes, Nobody and the body who likely to transact with you. Though, you may not agree with us, we consider bitcoin as a fiat currency. Fiat currency? Like rupee or dollar. Which goes ups and down and has the power to purchase something.

Being decentralized, Bitcoin is used as a mode of transaction in few countries, on some online stores and on deep web. Or we say, Bitcoin is the only currency used in Dark net.

Bitcoin is only worth the price that people are willing to pay for it.
 ... a quote from Evar Dion answer on same question. Checkout the third link in source.

This is related to our favorite movie Fight Club quote in some way.

Fight Club Quote


The other answer is, exchange platform also owes you when you hold bitcoin. The company, say Zebpay or Unicon allow you a trade platform to use it in real world. So basically, they you with their charges as well.


How to Check Bitcoin Price Today?

You can check the price through any wallet app or site. We suggest Coinsecure website. They also embed inr to btc converter on their homepage. Check out their website.


Now come to the actual part.

How and Where to buy Bitcoin in India

Bitcoin as a digital asset can be brought through a 3rd part company (we call it exchange platform). You can relate them with investment firms. Though, both allow you to purchase stocks, the working required is entire different.

In the case of Bitcoin, you buy using either website or using mobile app. Most popular process to buy it in India is mobile apps. Like Zebpay, Unicoin and Coinbase. Coinbase is a global website to sell and buy currency. The other two listed earlier are India based company which help you to buy using Debit Card or Paytm.

So, the most popular among Indian investors are.

  1. Zebpay
  2. Coinsecure
  3. Unicoin
  4. Coindelta
  5. Koinex.in
  6. Coinbase
All Indian website allow you to buy Crypto using Indian cards like RuPay. Now before you install and snag your money on it. First learn what is the minimum amount you should spend on bitcoin.

How Much Minimum Amount I should Invest in Bitcoin?

Thanks to best bitcoin wallet in India. We can buy a fraction of bitcoin in as low as 1000 INR. But, is that 1000 really worth? 
Suppose you brought BTC worth of 1000 INR. After few months it rises to 35% it means now you have 350 added to your original amount. 

The answer is yes it worth. Now suppose if it goes down by 35%. You now owe 750 but still its not a big lose and it can be recovered with time. 

For a test purpose or if you don't have much higher income you can spend upto 5K INR. 

If you're an early investor or serious in investment but on ealry track. The best budget to go with atleast 15K - 20K.

Though we recommend you to go with atleast 15,000 INR

We would also like to point something important. Invest only the amount with which you can take risk without any issues.
Nothing is predicted so the Bitcoin. They may go up or down. Better not to snag your hard earned income or not to spent when you have trouble in home. 

Never try bitcoin as a Wheel of Luck if you have financial problem. The spin can be stop at Loss too.

Procedure to buy Bitcoin in India with Wallet Apps

Requirements

  1. Installing an App
  2. Personal information - Name, Number, Address
  3. Customer Information - Aadhaar number, PAN number, Bank account, Photograph (optional)

The first process is to install the desired mobile app from play store or app store. Though before you go with the wallet. Ensure that you have counted its ups and down of them. For this purpose, google your desired app name with special keyword review

coinsecure review, is coinsecure scam, is zebpay fake, etc (or any other keyword suggested by google)

Never go with reviews suggesting other related app or their own promo code. Their are variety of peoples who - 
  • Like to bring down a particular app
  • Want to earn money with promo code
  • Company representative like to beat competitions or promote themselves
You can also check out their reviews on mouthsut. Which is a popular social network that pay you for writing review. So generally you will find a higher percentage of honest review rather than Referrals or so. 

The wireframe of buy Bitcoin using mobile app is.

  1. Install the app from your app store.
  2. Open it and create an account. You will require to enter your email ID, phone number and or personal information like address.
  3. The app then ask for verification using OTP. Proceed with it.
  4. While setting up, you maybe asked for setting a 4 digit PIN to protect. Please be sure to use only the digit you are comfortable to recall. We faced difficulty resetting it from Zebpay.
  5. Now once you setup with basic operations. You need to do KYC (know your customer). 
  6. It requires you to have your PAN Card and Aadhar Card. Some app also requires you to have photographs and bank account information. 
  7. The process of confirming you as a customer may takes upto 3 days. So, don't loose patient. 
  8. Your KYC might not complete in case you have any difference in details. 


Anything left over?

That's all you need to know about Bitcoin buying guide. We hope we have cover lot more details than required. If you have any suggestion please write a comment. Help to improve How2BuyGuide by adding more details in this topic.

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