A cryptocurrency exchange in India has allowed many traders to try their luck and avail the opportunity at the best rates. A cryptocurrency exchange is better known as a digital currency exchange (DCE). It is a business that permits users to buy or sell the digital currency or cryptocurrency they own for other assets. These assets can be standard fiat money or other digital assets.
A fiat currency is declared as a legal tender by the government like rupees, dollars, euros, etc. Whereas digital assets are those which have electronic existence like domain names, virtual property, or digital currency.
Location of Cryptocurrency Exchange
Due to cryptocurrency’s decentralized nature, they are vulnerable to move around. Following are some of the most important exchanges across the globe:
- Cryptocurrency Exchange in India
WAZIRX IS MOST TRUSTED CRYPTOCURRENCY EXCHANGE IN INDIA. Buy, Sell & Trade Cryptocurrency like Bitcoin, Ethereum, Ripple, Litecoin and more cryptocurrencies in India.
2. Exchanges located in the United States of America
Coinbase: it is one of the most popular exchanges which offers a systematic and streamlined way to its users for buying Bitcoin, Ethereum, and Litecoin. Apart from these three, it furnishes 50 more coins to choose from.
Kraken: It is open to accept deposits from citizens of Europe, Canada, Japan, and Britain. It puts forward a good selection of trading pairs at very low fees.
- Exchanges located in China
Binance: As of April 2021, in terms of trading volume this crypto exchange company was the largest in the world.
Huobi: It was founded in China and now has operational offices in Hong Kong, South Korea, Japan, and the United States. It ceased its bitcoin withdrawals as a result of the ban by the Chinese government in 2017 and now functions as a blockchain consulting and research platform.
- Exchanges located in South Korea
Upbit: On October 24, 2017, Bittrex, a South Korean cryptocurrency exchange partnered with Upbit. A couple of months after its launch Upbit became the world’s largest cryptocurrency exchange according to the trading volume per day.
Important Parameters for comparing Cryptocurrency Exchanges
Cryptocurrency Exchanges may broadcast loud claims which are not always correct to attract customers. Being vigilant can be the only knight in shining armor.
- Security: Users evaluate security as the most basic feature before they trust a crypto exchange with their investment. This necessitates users to compare the security and privacy options offered.
- Fees: Companies tend to differ based on their adopted pricing models. These may include trading fees, percentage fees, the amount charged for extra features, etc.
- User-friendly: A smooth and simple user interface is preferred by users who are dealing with crypto for the first time. A layout that reflects positivity attracts users to invest and trust the company.
- Customer Care: A resourceful and knowledgeable customer support team will help the users to resolve any type of glitch. It turns out to be an important parameter for comparison.
- Supported Coins: It Is vital to identify the list of supported coins for each cryptocurrency exchange before making a final call.
- Mode of Payment: All cryptocurrency exchange have their unique mode of payment acceptance medium. It can be through Visa or Mastercard, or bank wire transfers, or crypto.
- While trading in cryptocurrency users have a crypto wallet called a digital wallet.
- The person or organization that put their minds together to develop Bitcoin is unknown.
- Around 75% of the mining of cryptocurrency is done in China.
- There are few countries that have banned cryptocurrency. These are:
Types of Cryptocurrency Exchange
- Direct Trading Platform: It is a platform that allows peer-to-peer (P2P) trading between sellers and buyers. In simple words, it permits the two parties to directly deal with each other. Such a trade does not pose a fixed market price rather allows sellers to set their exchange rates.
- Traditional cryptocurrency exchange: Here the exchange plays the role of intermediary wherein the buyers and sellers trade on the current cryptocurrencies’ market price, similar to a stock exchange.
- Cryptocurrency brokers: It is exclusively operational online and is similar to the currency exchange at a bank. The cryptocurrency broker sets a price and allows its customers to trade in cryptocurrencies.
- Cryptocurrency Funds: The general public purchases and holds cryptocurrencies through the fund which is managed by professionals. This allows the users to invest without actually purchasing a cryptocurrency.
Cryptocurrency Exchange In India
- WazirX: It was founded in 2017 and was later acquired by Binance Holdings, which is the largest cryptocurrency exchange in terms of the trading volume. It employs safety and security by auto–matching a buyer with a seller. This in turn sets speedy transactions. WazirX is easily available for Android, iOS, Web, Mac, and Windows users.
- CoinDCX: Offering more than 200 cryptocurrencies; it is one of the most famous cryptocurrency exchanges in India with over one lakh active users. It allows deposits and withdrawals at no cost and commands a low trading fee. CoinDCX is beneficial for investors who wish to trade between INR and BTC.
- Zebpay: It offers a simple user interface with fast payments and strict security features. Zebpay permits trade across six EUR-Crypto pairs and five crypto-crypto pairs.
- CoinSwitch Kuber: It extends more than 100 cryptocurrencies and has over 3 million users. It allows new entrants to the cryptocurrency market to begin trading with just 100 rupees. The investors of this crypto exchange are Sequoia, Ribbit Capital, and Paradigm.
- UnoCoin: Launched in 2013, it is one of the first cryptocurrency exchanges in India with over 1.2 million users currently. It offers traders a special bitcoin address that automatically sells Bitcoin. An interesting feature of UnoCoin is that it permits users to make use of their bitcoins to recharge cell phones and DTH. By supporting the Merchant Gateway system, it empowers online businesses to take up Bitcoins as a payment mode.
Cryptocurrency Exchange in India and in other countries allow the buyer or seller to protect their identity. These exchanges work around the clock on all days. They allow instant transactions with cryptocurrencies which are secure as they are end to end encrypted.
Usually, the exchanges accept credit cards, wire transfers, or other forms of payment in exchange for digital currencies or cryptocurrencies.
Buying and selling cryptocurrency is no longer a difficult task. For those who want to try their hands on this virtual currency, it’s important to know the technicalities and accordingly base their decision.
Many Cryptocurrency Exchanges are offering a unique set of features to make your trading easier. Before making a final investment, step by step analysis and comparison among these exchanges will help you retain a position that brings profits at the lowest possible risks.
- What is cryptocurrency exchange?
Cryptocurrency Exchange is an online platform where we can buy or sell cryptocurrencies.
- Name top 5 Cryptocurrency Exchanges in India.
The top 5 cryptocurrency exchanges in India are UnoCoin, Zebpay, WazirX, CoinSwitch Kuber, CoinDCX.
- What parameters should be analyzed before selecting a cryptocurrency exchange?
Customer care, fees, user interface, security, supported coins and mode of payments are some important parameters for selecting a cryptocurrency exchange.