How to Buy Crypto in India? Best App to Buy Bitcoin in India
In 2021, the global volume of transactions with major cryptocurrencies has grown almost 7 times to a record $16 trillion, according to Chainalysis, a Singapore-based software development, blockchain analysis, and cybersecurity consulting company. This value is comparable to the size of the second economy in the world, China. According to Chainalysis as of October 2021, 15% of respondents from India owned or used cryptocurrencies. Learn more about how to buy crypto in India in the new StealthEX article.
The number of people who own cryptocurrency has grown by more than a third over the past year and, according to various estimates, varies from one in 16 to one in ten adults on the planet. There are almost two hundred crypto-exchanges operating in the world, where more than 13,000 various cryptocurrencies are represented.
Is Crypto Banned in India?
- Since 2018, work on the creation of a legislative framework for the circulation of cryptocurrencies has been underway in India. In recent years, the public has received conflicting signals from the authorities: from a complete ban and criminal liability to possible regulation as an asset class.
- Back in 2018, the Reserve Bank of India ordered banks and other financial institutions to warn customers against digital asset transactions. However, in March 2020, the country’s Supreme Court declared this order illegal.
- At the beginning of last year, India announced a possible ban on cryptocurrencies and even criminal liability for its owners. A few months later, there were reports in the media that the country’s authorities intended to legalize cryptocurrency, but in November, discussions about a ban on “private currencies” resumed. This led to a panic in the Indian cryptomarket and a significant decrease in the price of BTC.
- In December, the country’s authorities announced that they did not plan to ban cryptos but to regulate their circulation. However, at the time of writing, the regulatory framework is still missing.
- On March 25, the lower house of the Indian Parliament approved the Finance Act, with amendments relating to the taxation of cryptocurrencies. Presumably, the new rules will come into effect on April 1, 2022.
India Has Introduced a Tax on Income from Crypto
The law provides for a 30% tax on digital asset transactions (the same tax rate applies to profits from betting on horse racing and other similar gambling) and a 1% fee on TDS.
The new rules have made the daily trading of cryptocurrencies and the operation of crypto exchanges almost impossible. Since the country’s parliament refused to take into account industry participants’ views, the latter intended to appeal to the Supreme Court.
The legal status of cryptocurrencies remains uncertain: the new taxation rules do not establish it. For its part, the country’s Central Bank continues to insist on a complete ban on cryptocurrencies, believing that they “threaten the sovereignty of the country.”
Can You Buy Bitcoin in India?
Despite the pandemic and the economic crisis as a result of a lockdown, the Indian crypto industry is booming, with exchanges seeing an unprecedented increase in new users and trading volumes.
Last May, the Reserve Bank officially announced that transactions with cryptocurrencies are not prohibited, and financial institutions do not have the right to warn customers against them.
Then, many exchanges perked up and began offering Systematic Investment Plan (SIP) products and funds, which can be invested to buy crypto assets. According to some estimates, in 2022, there are between 15 and 20 million crypto investors in India. The total volume of the crypto assets market is 400 billion rupees ($5.37 billion). In terms of growth rates, the region is only ahead of the Middle East and Europe. As soon as the regulatory framework is established, India can become a cryptocurrency investment hub.
In April 2022, India plans to launch the state digital currency – the digital rupee. If this happens, India will become the second country after China to launch a digital national currency.
In January 2022, Torus Kling and the International Stock Exchange of India signed an agreement on plans to launch ETFs based on BTC and ETH futures. If approved by the regulatory authorities, they will be launched by the end of the first quarter of 2022. The partners intend to raise $1 billion through this financial instrument during the first two years of operation.
How Can You Buy Cryptocurrency in India?
After the State Bank of India (SBI) banned crypto exchanges from receiving funds on its UPI platform in 2021, Indian crypto investors began to look for workarounds for trading cryptocurrencies. Up to 60-80% of all transactions occur through such methods as P2P transfers, spot trading, and WhatsApp or Telegram groups
And even after the Supreme Court overturned the ban and most of the leading exchanges are seeing an increase in buying activity, most users still prefer P2P banking to deposit/withdraw Indian rupees.
Besides that, you can buy cryptocurrency in India via instant cryptocurrency exchanges such as StealthEX. It is a service providing non-custodial cryptocurrency exchanges. You do not have to create an account or disclose any personal information to use this platform.
Moreover, users do not store the funds on StealthEX – the exchanges are performed wallet-to-wallet. No upper limits for the exchanges performed through StealthEX – you can exchange as much as you want. As for the minimum amounts, you will only need to have enough to cover the network fees.
The Easiest Way to Buy Bitcoin with Credit Card
- Then select fiat currency and choose the cryptocurrency that you want to buy. For example, USD to BTC.
- Enter your crypto wallet address.
- Agree with the Terms of Service of StealthEX. When buying crypto for the first time you will need to confirm your identity and enter data requested by the Mercuryo system. Once all the provided information will be confirmed, you will be able to purchase crypto without passing this procedure again.
- Send in the fiat and wait for your purchase to go though!
The views and opinions expressed here are solely those of the author. Every investment and trading move involves risk. You should conduct your own research when making a decision.
You are more than welcome to visit StealthEX exchange and see how fast and convenient it is.