Crypto trading is now more popular in India than ever before. Cryptocurrencies are profitable, but the Indian government hasn’t decided how to regulate the market yet. That means both the investors and traders have to focus on protecting their funds while keeping an eye out for legal changes. In this article, we’re going to tell you whether crypto is legal and how to start trading it.

The situation with cryptocurrencies in India is mostly the same. While many traders start seeing crypto as a viable trading asset, there’s still much uncertainty about what broker you should choose or how you can make sure your money is safe. In this article, we are going to provide a brief overview of crypto trading for Indian traders.

Is crypto trading legal in India?

This is definitely the most crucial question for Indian crypto traders since many countries seem to frown upon cryptocurrencies as a whole. Indeed, the Central Board of Digital Tax and other financial authorities were against crypto trading at first, and all the Indian banks and payment processors were prohibited from working with crypto exchanges.

However, these restrictions were lifted in 2020, and now Bitcoin, Ethereum, and other cryptocurrencies are perfectly legal in India. You can freely buy, sell, or own them, but do not forget that crypto is still not regulated. While the authorities won’t punish you for trading crypto, the government won’t protect your funds in case anything goes wrong with them.

Moreover, the Indian government considers any profit made from trading cryptocurrencies as taxable, just like with any other regular asset. The tax rate for such income is set on 30 percent, but it’s still unclear how the authorities are going to make sure traders and investors don’t hide their profits.

How to start trading?

In most cases, cryptocurrency trading in India starts with choosing a broker. The most crucial difference here lays between CFD brokers and crypto exchanges. The former usually have low fees but a limited array of crypto assets, too. You also don’t really trade the currencies, instead you operate with derivatives based on their prices.

On the contrary, crypto exchanges really allow you to trade crypto or exchange it for some fiat money. However, the transactions between buyers and sellers may prove to be quite costly in terms of commissions. There are many available crypto exchanges in India, and newbie traders should look at something like Coinbase or Binance.

Traditional currencies are gradually becoming a thing of the past, giving way to electronic ones. Now bitcoins appeared in 2009 are at the peak of popularity. With this currency, you can pay for goods on the Internet and invest in securities or other assets on exchanges. Experienced traders know about the main advantages of cryptocurrency, so they actively use it on exchanges. Crypto trading is suitable for beginners too. It’s necessary to study the types of digital currency, choose a working strategy and go to the financial market.

What is a cryptocurrency?

Cryptocurrency refers to all types of digital currencies protected by cryptographic algorithms. This is virtual money that cannot be withdrawn. They only operate online. They are digital records entered in special databases.

To encrypt cryptocurrencies, complex algorithms are used, thanks to which transactions are carried out at the maximum security level. For this, modern blockchain technology is used. It is a digital book in which information about the currency is recorded. With the help of blockchain, transactions are distributed to the necessary addresses. If you use bitcoin or another virtual currency, information about the financial transactions carried out is recorded in the blockchain.

Each block contains transaction information encrypted with cryptographic protocols. If at least one part of the block changes, it is easy to calculate it. Blockchain provides a high level of security and minimizes hacker attacks.

Features of investing in cryptocurrency

The main advantages of using cryptocurrency are:

• transaction security;
• ease of money transfers;
• flexibility.

With digital currency, it becomes possible to maintain a transparent financial system that is easy to report. It also provides a high level of reliability during money transfers. Cryptocurrency is available at any time of the day. This means that you can make financial transfers regardless of the working hours of banks. However, there are a number of disadvantages associated with the use of virtual currency. During the storage of cryptocurrency on exchanges, a cyber attack may occur, due to which all money will be lost.

Financial transactions in one day

There are many ways to trade virtual currency. One of them is intraday. It carries a lot more risks and involves buying and selling cryptocurrencies on the same day. The crypto market is liquid and often unstable, therefore, with a sharp change in the financial situation on the market, the sale of digital currency can bring huge profits.

Intraday trading is not limited by anything. You don’t need an additional account (brokerage or margin one), and making short-term trades is much easier than selling shares. If you are not confident in your skills or knowledge, make safer financial transactions. Otherwise, you may lose everything.

In case you want to turn crypto investment into your major source of income, you will have to devote all your time to it. However, you can make the process much easier by installing a trading bot. In this article, we will mention the names of the best free bots that work on Binance as we believe that this exchange is a universal choice for every trader.

The first step is to understand what a trading bot is. It is a piece of software, which can execute trades automatically via your accounts based on your settings. For example, there are arbitrage bots, which compare prices on numerous exchanges (as a rule, they vary slightly) and make deals to benefit from differences in their rates. And there are bots, which are set to execute trades as a response to certain price movements or other events.

If you need some extra arguments, have a look at this list of advantages:

•   Advanced efficiency. Such a program is capable of analyzing huge volumes of data within a minimal time.
•   Complicated procession. If you are a novice investor, you may get scared away by the complexity of crypto trading. Specialized software removes that problem, it will do all the analysis for you.
•   No emotional impact. A crypto trading bot does not get distressed or confused under unfavorable conditions, which is a big problem for many human traders.
•   Operation 24/7. After you activate such a program, it will work around the clock without any breaks and execute trades according to the parameters set.
•   Such programs are often available for free. We will mention such services below.

Also Read: What Is the Best Crypto Trading Platform: Top Choices

At the same time, we must warn you that, if you want to get maximum advantage of this tool, you should put enough effort into its customization in compliance with your needs and strategy. Besides, you must keep the situation under control and regularly check its accuracy and efficiency.

Now, we would like to mention the most reliable bots among those compatible with Binance and available for free. To be objective, some of them offer free access for a trial period only, yet, their rates are still rather affordable. So, our top picks are CryptoHopper, Pionex, Coinrule, Mudrex, Reality, Bitsgap, TradeSanta, HaasOnline, Shrimpy, and 3Commas.

In sum, a trading bot is a great solution for those traders who seek time economy and automation, but, still, do not want to earn fully passively like in copy trading.

If you are searching for some expert prompts on crypto trading, try to subscribe to a specialized Telegram channel. Then, you will be provided with exact instructions on which coins to sell or purchase and at which time. Below, we will mention the most reliable signal providers that operate via Telegram so that you can easily find the most suitable group.

First of all, let us explain to you what crypto signals are. These are notifications or messages including details of an order for copying. As a rule, they are provided by experienced and successful traders, so you can safely rely on their correctness. However, it is better to evaluate and analyze such prompts before implementing them. Another aspect worth noting is that, in most cases, you must execute trades specified without a delay ― within a minute or so. The point is that the crypto market is characterized by high volatility, which is why it is hard to make exact predictions on a long-term basis.

Why choose a crypto trading Telegram signal provider? Again, as you need to put such instructions into practice immediately, receiving them via a messenger is convenient. At the same time, today, most exchanges offer mobile apps, so you can both monitor notifications and initiate the corresponding deals with the help of your smartphone.

Now, let us discuss the choice of a provider. Here are the major aspects we recommend you pay attention to:

•       prices (free or paid);
•   availability of a free trial period;
•   a number of signals per day;
•   a period for trade execution;
•       diversity of orders recommended;
•       reputation;
•   reviews left by other clients on third-party sources on the Web.

Obviously, to minimize risks, it is better to start from small deals and watch whether the signals selected are reliable enough.

Also Read: Crypto Exchanges Canada: Best Services by Experts

Speaking about the exact names of providers, we have singled out 7 channels with the most advantageous terms based on their rates, accuracy, and number of signals. They are Verified Crypto Traders, CoinCodeCap, Fat Pig Signals, CryptoSignals.org, Learn2Trader, Universal Crypto Signals, OnwardBTW.

The only drawback of the services mentioned is that all of them are either fully or partially paid. Thus, for those traders who have a limited budget, we would like to mention the names of groups that are fully free of charge: MYC Signals, Crypto Classics, Klondike, and Binance Premium Signals (for those who use this particular exchange).

In sum, if you feel that you need certain guidance in which crypto deals to perform and when, you will certainly benefit from specialized Telegram signals (in case you choose a provider with care).

Most traders opt for trading platforms, which declare 0% trading commissions. But, in practice, it often turns out that such services have a wide range of other hidden commissions. Yet, there is still a good selection of websites, which play fair and strictly stick to their 0% fee policy. See the exact names below.

It is well-known that trading coins can become a substantial source of income even without huge initial investments. Due to frequent price fluctuations on this market, there is a wide field for speculation. But many beginners abandon that idea after learning about fees, which most exchanges charge for every transaction. Yet, there are still many platforms that offer 0% commission trading, although finding such sources is a challenge.

Luckily, we have already done all that hard work for you and performed deep research on the market. As a result, we have compiled a list of platforms, which combine minimal fees and premium services. To be objective, some of them do charge certain commissions, but they are quite affordable. The point is that most sources, which allow 100% free crypto trading, have significant omissions and weaknesses related to the level of service. Thus, we’ve decided to opt for optimal balance between reliability, quality, and rates. One must also highlight that our choice is based on diversified aspects: legacy, reputation, trading commissions, spreads, non-trading fees, selection of available crypto products, and trade volume.

So, we would like to note the following exchanges: Kraken, Robinhood, Bybit, Coinbase Pro, BlockFi, Binance, Uphold, Crypto.com, Bisq. The leader of this rating is Kraken as it is a universal choice for all categories of traders: from beginners to advanced investors that operate large volumes. By the way, in the latest case, trading commissions are 0%.

Also Read: Where to Buy XRP: Best Services and Instructions

Besides, as a bonus, we will prompt you how to reduce trading commissions charged by any source ― join the Traders Union’s community. The only thing you need to do is to register on the crypto exchange selected via the affiliate link provided by this educational source. As a result, the exchange will pay Traders Union 20% of your trading commissions, and, then, they will return you 80% of that sum on a constant basis. Obviously, in the case of large volumes, your economy will be significant.

In sum, one can hardly find a decent crypto exchange that will take no fees at all. Yet, if you pick any service from our top list, you can be sure that you will get the best quality of service at the cheapest possible price.

Are you searching for an instrument that will help you trade crypto at minimum risk and time expense, but with maximum earnings? Then, try a trading robot. Find the basic information about this tool and the list of the most reliable and effective products offered by the market.

So, such a robot is a program that executes trades involving crypto in an automated mode based on the market situation and parameters set by its user. It can make use of diversified algorithms, patterns, signals provided by other traders, etc.

Here are the major benefits such software can offer:

•   Time economy. A day trader does not have to spend a whole day monitoring the market.
•   No human mistakes. Such a program operates in strict accordance with the parameters and algorithm set. By contrast with traders, it cannot make mistakes due to fatigue or external distractions.
•   Fast reaction. Compared to humans, it takes a bot less time to analyze the current situation on the market and to react to changes in it.
•   No emotional aspect. Let us be objective, even experienced traders may let their emotions run out of control and take unwise decisions when overstressed. But, with bots, it is not a problem.

It looks like a crypto trading bot is a must-use for every trader, and it truly is. Yet, we must also warn you about related risks. First, if you decide to utilize such an instrument, be sure to monitor its accuracy and adjust the settings when needed. Also, keep in mind that, similar to any other online tool accessing your financial information, this one may get compromised and provoke security risks.

For your convenience, we have also reviewed and analyzed the most popular crypto bots on today’s market and have selected the best ones: CryptoHopper, Shrimpy, Coinrule, Quadency, TradeSanta, Pionex, WunderBit, Botsfolio, Trality. All of them hold leading positions in terms of reliability, functionality, ease of use, fees against other competitors, thus, any of them can be safely recommended to almost any trader. Yet, due to variations in functions, they are targeted upon different categories of users. For example, Quadency is an optimal choice for beginners as it is absolutely free and extremely easy to set and run, Shrimpy is aimed at using on multiple exchanges, WunderBit will suit those investors who practice copy trading, and Botsfolio is designed for users with minimal experience in coding and trading.

Also Read: A Guide How to Send Bitcoin from Coinbase

In general, crypto trading bots are the instruments any trader will benefit from. The main point is to select an optimal service and to spend enough time setting it in accordance with your strategy.

If you plan to start investing in crypto, be sure to have a close look at Webull. This online exchange offers a whole bunch of benefits and handy functions for both beginners and advanced traders. Learn more about its terms of use, fee policy, features, as well as registration and verification procedures below.

Let us provide the key pros of buying crypto on this online broker service:

•   0% trading commissions (the spread is 1%, which is standard for all brokers);
•   direct trading (instead of futures offered by other platforms);
•   extended trading hours ― 23 hours per day and 7 days per week;
•   immediate settlement;
•   fractional coins are available with a $1 minimum purchase limit;
•   an extensive range of coins, including Bitcoin, Ethereum, Dogecoins, Cardano, Uniswap, Litecoin, Stellar, and others;
•   price quotes of other coins that are not available for trading;
•   demo trading with virtual funds for new users;
•   free-of-charge ETFs, stock, and options trading;
•   helpful and comfortable customer support, which is accessible 24/7;
•   a good selection of profound educational materials and easy-to-use research instruments.

Also Read: How can you earn more with Webull options trading?

Are you ready to give Webull Crypto a try? Then, follow our guidelines:

1. Register an account on their website or via their mobile app (which is even easier). Press “Get Started” and type your email address and password. The next step is email confirmation.
2. Pass verification. This is a must on any legal crypto exchange, so be ready for that. You will need to take a photo of any of your IDs.
3. If you plan to invest in cryptocurrency, choose between a margin and a cash account.
4. Wait for your account to get approved (as a rule, it takes one working day).
5. Get permission for buying crypto. To supply a request, press on the icon of the exchange, then choose “More” and “Crypto Trading”.
6. Deposit your balance. You can make use of a bank card, wire transaction, ACH transfer. This service is free of charge in most cases, but the procession can last several days. As for the sum, there is no minimum deposit limit on this platform, which is great news for those on a small budget. Yet, experts recommend starting with an initial capital of $100–200.
7. Go to the list of available crypto. Click on “Market” ― “Crypto”.
8. Make a purchase. Select the coin needed, choose a payment method, and confirm your request.
9. Now, you can watch the rate changes and your profits via the main dashboard.

Also Read: Webull Fractional Shares: A Guide for New Users

In sum, one can safely say that Webull Crypto is the best option for beginners with limited experience and a meager budget. But, if you still have any doubts, you can start from a demo account, which is free of charge and risks.