Cryptocurrency is the new buzzword for investors. Although it promises quick returns, cryptocurrency is volatile and risky. The entire concept of cryptocurrency is built on a distributed ledger, which stores all transactions and trades.
High-grade cryptography protects the trade. Trading (buying and selling of crypto coins such as Bitcoin, Ethereum, Dogecoin or Cadence) is the easiest way to invest in cryptocurrency. These transactions can be done online through exchanges, where investors open an account to start trading.
Cryptocurrency Trading For Beginners
What Is A Cryptocurrency Exchange?
These platforms allow cryptocurrency trading to be done in digital and fiat currencies. They act as intermediaries between buyers and sellers and charge a transaction fee or commission.
There are several online exchanges in India, such as Coin DCX and CoinSwitch Kuber. Investors can also convert crypto coins into fiat currency (Indian Rupee, US Dollar) online to withdraw the funds from their bank accounts.
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What Is The Process Of Crypto Trading?
An intermediary, or brokerage firm, acts as a broker between buyers and sellers of the cryptocurrency. The exchange allows buyers to deposit money via a variety of methods, including UPI, direct bank transfer, debit or credit card, and also by using direct bank transfers. Each transaction made using its services is subject to a fixed commission.
First, a buyer or investor will need to locate the right online platform. This will require extensive research on the platform’s history, credibility, as well as what trading benefits it offers. Next, you will need to open a trading account. This is quite simple.
Install the app for the exchange you’ve chosen and create an account. It will ask for information such as your email address. The email will be sent to the address as verification and may ask for KYC information.
Complete the KYC process by verifying the email address. You can then create a password and launch yourself into the cryptocurrency world.
Passwords that are related to the app, wallet or exchange should not be lost. They might not be recoverable.