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Introduction– Best Cryptocurrency to invest in India
The cryptocurrency was just an idea, that the world is living right now.
Yes, fourteen (14) years ago crypto was merely an idea devised by a man named Satoshi Nakamoto. On 31st October 2008, Satoshi published a paper on the internet that dealt with a similar concept of money.
To quote “ A version of electronic cash that would allow payments to be sent directly from one party to another without going through a financial institution”. This was just the onset of an amazing digital asset that was not estimated to grow this much back in time.
In the year 2010, which is approximately twelve (12) years ago, the value of a bitcoin was zero (0) but today, it has risen to more than eighteen (18) lakhs. So, what is cryptocurrency anyways, and why is it successful in creating such an impact? Let’s delve deep to know more about some of the best cryptocurrency to invest in india.
Cryptocurrency- The Beginning of New-Gen Investment
Before we jump into the technicals of cryptocurrency, we need to aid ourselves with the economic status of India in the past and today
The impact of the second world war was very intense and it affected the economic, social, and political stature of many countries, especially those involved in the world war. America emerged as the most powerful country in terms of wealth.
Due to this the rest of the countries tried to align their national currencies with the US dollar. This very US dollar was guaranteed by a Gold Reserve. Later in 1917, the USA abolished this ‘gold reserve’ system, which compelled other countries to drop it too.
After that, the central banks of each country had the freedom to print their notes accordingly. After this major shift, the central banks along with the government of each country have now become a ruling power over our money.
Who is controlling our money?
We could easily imagine the amount of capacity the financial institution and governments are now having over our money. When we deposit our money in the banks we are providing a license to these banks to access our money and lend it to various loan takers.
Over the last decades, we have seen the devastating impact of this and the country has been a witness to various financial scams that shook the whole nation. Not only this when it comes to the government, but they are also equally powerful in governing our money and a similar consequence was the demonetization of 2016.
The action, which resulted in the prohibition on currency notes with values of Rs. 500 and Rs. 1,000, destroyed 86 percent of India’s currency overnight.
What is cryptocurrency?
Cryptocurrency is a digital asset that is a form of money and can be used as a means of transaction across a computer network independent of the regulations of any Central banks or financial institutions.
Why has crypto taken over the traditional stock market?
To understand the aforementioned statement we first need to elaborate on the purpose of cryptocurrency.
- Forgery is almost impossible: The “block” is made up of segments of encrypted information. The public database is known as “the chain” which is where the blocks are kept and are tied to one another progressively. Each block in the blockchain is uniquely identified from every other block by a unique code. Hash is the name of this distinctive code. A blockchain adds information blocks in chronological order. The previous block is immediately followed by a new block, which likewise has a distinct hash.
- Maintained confidentiality: To trace the trade between two persons or businesses, cryptocurrencies rely on carefully thought-out arithmetic. This typically takes place in secret. The parties transferring cryptocurrencies are more private, despite the ledger or list of transactions being accessible to anybody around the globe. Cryptocurrencies are held electronically in digital wallets by definition. The private key of the wallet is kept by the owner. The majority of digital currency exchanges take place via user-owned, anonymous wallets.
- Quick Settlements: The value of cryptocurrencies is due to the blockchain. The popularity of cryptocurrencies is due to their use. With just a smart smartphone and an internet connection, you may act as your own bank and send and receive payments.
The stock market used to be at the top of the list of the finest investments, but it wouldn’t be incorrect to say that cryptocurrency has now raised the bar significantly. Bitcoin, the largest cryptocurrency, has a market value of about $1 trillion, making it a safe, dependable, and highly profitable investment source that poses a significant challenge to the stock market.
What is blockchain?
Blockchain is a mechanism for storing data in a way that makes system changes, hacking, and cheating difficult or impossible. A blockchain is simply a network of computer systems that duplicates and distributes a digital record of transactions throughout the entire network.
The blockchain economy is already worth more than $100 billion, and organizations like 1World Online, which utilize tokens to improve their platforms and reward users, are promoting the adoption of blockchain technology in the future.
With its sizable population of engineers, customers, and businesspeople, India is well-positioned to take the lead in the global blockchain industry as more and more people participate in, invest in, create, and mine the technology there.
Use of Cryptocurrency
Today people are using cryptocurrency basically for two purposes
- Investment: The extremely dynamic value growth of cryptocurrencies can prove to be a great way to increase one’s wealth. Going through the volatility of this investing route is advised. Since it has the highest market share and is the most widely used cryptocurrency, bitcoin has undergone some of the most unpredictable shifts as an asset.
- Alternate currency: The worth and dependability of bitcoin have increased over time. These days, a lot of merchants throughout the world accept this digital money as a legitimate form of payment. Including dining establishments, travel, and even jewellery. Bitcoin is also anticipated to grow in popularity and may even prove to be a practical method of payment in India.
India’s Take On Cryptocurrencies
As per the current scenario, the Reserve Bank of India and the Union Government stays in denial of giving any sort of recognition to cryptocurrencies as yet.
However, to move the nation toward the acceptance of electronic payments, Prime Minister Narendra Modi has curtailed the circulation of cash notes in India, where the cryptocurrency revolution is also now present.
The Reserve Bank of India is now researching cryptocurrencies, the newest trend in the future. The current finance minister, Nirmala Sitharaman said that on revenue from cryptocurrencies and other digital assets, India would levy a tax of 30%.
Sitharaman added that losses from their sale could not be offset against other income, putting revenues from cryptocurrencies and non-fungible tokens (NFTs) in India’s highest tax bracket and providing another reason to avoid trading and investing in digital assets.
Cryptocurrency surely is booming in India and the following data clears it all.
Although, after the government has imposed taxes on it, people are still choosing to invest in this market and expect profits. Additionally, the tax complications of cryptocurrency ownership have discouraged 30% of respondents in the Middle East, 24% in the Asia Pacific, and 23% in Latin America from making bitcoin investments. At least 46% of the respondents said 2021 was when they first started investing in cryptocurrencies in India.
Also Look: Top 15 Bank Ranked best to worst.
Trust is the currency
The machines that get copies of the blockchain or distributed ledger are collectively referred to as the consensus network. The cryptocurrency networks are so large for more well-known cryptocurrencies like Bitcoin or Ethereum that a hacking attempt is essentially unfeasible.
Since the bitcoin network itself was significantly smaller in the beginning, it was simpler to capture the majority of power. For investors or users of more recent cryptocurrencies, whose networks haven’t yet developed to a scale where they are reasonably relevant, this is a crucial point to keep in mind.
The network is more susceptible to hacking the smaller it is.
Market Share of Cryptocurrencies
Currently, cryptocurrencies have the biggest market capitalization of all time. Regarding Bitcoin and Ethereum in particular, which have attracted the interest of international investors, their market caps are around Rs. 18,18,252.80 and 1,28,348.75, respectively.
We will now magnify and delve into these two famous cryptocurrencies that are Bitcoin and Ethereum.
Blockchain is a term used to refer to a public distributed ledger where bitcoin transactions are stored and cryptographically validated by network nodes. At least eight winners of the Nobel Memorial Prize in Economic Sciences have called bitcoin an economic bubble. On October 31, 2008, a white paper that described bitcoin was released.
The terms “bit” and “coin” are combined to form it. There is no established standard for capitalization when referring to bitcoin; some sites use bitcoin in capital letters to refer to the technology and network and bitcoin in lower case to refer to the unit of account.
Below are some important facts about bitcoin
- Original author: Satoshi Nakamoto
- Status of development: Active
- Initial release: 2009, January 9
- Website: bitcoin.org
- Implementation: Bitcoin Core
The platform’s native cryptocurrency is Ethereum. In terms of market capitalization, Ether is the only cryptocurrency after Bitcoin. Anyone may publish permanent and unchangeable decentralized applications on Ethereum, allowing users to communicate with them.
Without the need for conventional financial intermediaries like brokerages, exchanges, or banks, decentralized finance (Defi) apps offer a wide range of financial services, such as enabling cryptocurrency owners to borrow money against their holdings or lend them out for interest.After witnessing the rise of Ethereum we suggest you invest in Ethereum as it is the best cryptocurrency to invest in India.
Users of Ethereum may also create and exchange NFTs, which are distinctive tokens that indicate ownership of a related asset or privilege and are accepted by a variety of organizations.
On top of the Ethereum blockchain, numerous other cryptocurrencies use the ERC-20 token standard, and they have made use of the Ethereum platform for ICOs.
Below are some important facts about Ethereum
- Original author(s): Vtalik Buterin and Gavin Wood
- Status of development: Active
- Initial release: 2015, July 30
- Website: ethereum.org
- Developers: Ethereum Foundation, Hyperledger, Nethermind, OpenEthereum, Ethereum JS.
How to buy Bitcoin or any cryptocurrency?
We have tried to discuss the four-fold method in which you can easily buy bitcoin or any digital currency and start your journey with it.We want that you invest in the best cryptocurrency so that you choose the best cryptocurrency to invest in India.
- Pick a Cryptocurrency exchange: As a newbie, we suggest you choose a crypto exchange that strikes a balance between user-friendliness, minimal costs, and excellent security. There are hundreds of exchanges available. If you don’t already have an exchange in mind, make sure to check out our top selections for the best cryptocurrency exchanges, including Unocoin, WazirX, ZebPay, and CoinDCX.
- Select a Payment Method: You may fund your account on an exchange through bank transfers, net banking, Mobikwik, a cryptocurrency wallet, or UPI, depending on the exchange. However, be in mind that some funding choices may incur greater transaction costs from platforms.
- Make a purchase: You may make your first order to purchase Bitcoin after your account has been filled. You might be able to buy it simply by hitting a button or you might have to input Bitcoin’s ticker symbol, depending on the platform you’re using (BTC). The amount you wish to invest must then be entered.
- Pick a Secure Storage Alternative: Your chosen cryptocurrency exchange likely includes an inbuilt Bitcoin wallet or at the very least a recommended partner, where you may store your Bitcoin securely.
However, other consumers are uncomfortable leaving their cryptocurrency connected to the internet, where hackers may be able to steal it more quickly. The majority of client assets are kept in offline “cold storage” by cryptocurrency exchanges.
And that’s it! Uhoo! You have successfully purchased your first digital coin. Now you can easily begin your journey of buying and selling cryptocurrencies. Similar to when you first bought your BTC, you may use your exchange to place a sell order when you’re ready to sell your Bitcoin.
The majority of exchanges provide a variety of order types, allowing you to choose whether to sell Bitcoin instantly or only after the price hits a specific level.
Now that you are well aware of the highest grossing digital currencies its now time to shed light on other cryptocurrencies as well which are expected to grow in near future.
It is open-source and decentralized, and proof of stake is used to create consensus. Peer-to-peer transactions can be facilitated using its native coin, ADA. The Cardano Foundation, situated in Zug, Switzerland, supervises and coordinates the project’s development. It is the biggest cryptocurrency to employ a proof-of-stake blockchain, which is seen as a more environmentally friendly option than proof-of-work protocols. Unusually, Cardano lacks ‘white paper’. Instead, it makes use of design concepts meant to address problems with scalability, interoperability, and regulatory compliance that are present in other cryptocurrencies. Cardano asserts that it solves issues with the cryptocurrency industry, primarily that Ethereum is neither secure nor scalable and Bitcoin is too sluggish and rigid.
- Original author(s): Charles Hoskinson
- Initial release: 2017, September 27
- Website: https://cardano.org/
Status of development: Active
The relay chain, the main blockchain of the Polkadot network, and the numerous user-created secondary networks known as “parachains” are both there. Parachains are auctioned, allowing independent projects to design and run their blockchains that reside within the Polkadot infrastructure and benefit from its security.
The relay chain serves as the network’s governance layer. Gavin Wood, a co-founder of Ethereum, developed the system, which garnered approximately $144.3 million in its initial coin offering in October 2017.
Below are some important facts about Polkadot
- Original author(s): Gavin Wood
- Code: DOT
- Initial release: 2020, May 6
- Website: https://polkadot.network/
- Developers: Parity Technologies
It is named after the Japanese dog breed known as the Shiba Inu, which originated in the Chbu area. This is the same breed that is shown in Dogecoin’s logo, which was first a parody cryptocurrency based on the Doge joke.
Shiba Inu has been referred to as a pump and dump scam and a “meme currency.” Concerns have also been raised concerning the token’s concentration, with a single “whale” wallet in control of billions of dollars worth of tokens, and irrational ordinary investor buying spurred on by a desire not to lose out.
- Original author(s): Ryoshi
- Status of development: Active
- Initial release: 2020, August
- Website: https://www.shibatoken.com/
- Code: SHIB
In terms of the daily trading volume of cryptocurrencies, Binance is the largest cryptocurrency exchange in the world. Initially established in China, Binance later relocated its headquarters there as a result of the country’s escalating regulation of cryptocurrencies.
- Original author(s): Changpeng Zhao
- Area of serving: Global, excluding the United States of America
- Initial release: 2017
- Website: https://www.binance.com/en
Headquarters: Cayman Islands
The Hong Kong-based corporation iFinex Inc., which also operates the cryptocurrency exchange Bitfinex, is the owner of Tether Limited. Tether Limited has produced the USDT stablecoin across 10 protocols and blockchains as of July 2022. Tether was initially intended to be valued at USD $1.00, and Tether Limited keeps USD $1.00 in asset reserves for each USDT issued, which is why it is referred to as a stablecoin.
- Original author(s): Brock Pierce, Reeve Collins, and Craig sellers
- Initial release: 2014, October 6
- Website: https://tether.to/en/
We would like to share with some of the most used and reliable crypto trading platforms that have helped people in investing. There are a few best apps to invest in cryptocurrency in india. WazirX, Coinbase, Gemini and CoinSwitch Kuber. These applications have minimal fees and you can easily start trading from day one here.
So what are you waiting for? Go ahead and invest! You Got to know about 7 best cryptocurrency to invest in india.
If you want to know about any courses click here.
In order to remove any uncertainties you may have as a novice while attempting to invest in cryptocurrencies, we have listed a few questions and provided answers to them. The primary danger associated with trading cryptocurrency is its volatility. They are speculative and high-risk, so it’s critical that you are aware of the hazards before you begin trading. They are erratic; abrupt shifts in market mood can cause fast price fluctuations resulting in sudden gain or loss.
NOTE: This is not an Investment Advice. All the mentioned Cryptcurrencies are based on Internet Research and It is for Informational Purpouse only.
Are there any types of Cryptocurrencies?
Yes, there are major four types of cryptocurrencies pertaining to various purposes. Utility, payment, security, and stablecoins are the four main categories. DeFi tokens, NFTs, and asset-backed tokens are further token types. The most widely used cryptocurrencies are payment and utility tokens. These don’t have regulatory backing or investment guarantees.
Which five cryptocurrencies are booming in recent times?
According to the latest survey, the top five cryptocurrencies are-
4. Shiba Inu
Currently, the best cryptocurrency to invest in India would be Bitcoin and of course, Ethereum.
Who controls this digital currency?
Blockchain does not give a single entity power over a cryptocurrency. Cryptocurrency architects or producers can, however, impose restrictions, such as guidelines for buying or selling cryptocurrencies. On the other hand, people are given the opportunity to distribute control or manage the day-to-day operations of cryptocurrencies.
Should I invest in Cryptocurrency?
Just like they say, if you can risk it then you can win it. Investment in cryptocurrency is very similar to investing in a traditional stock market. All you need to do is a deep research and analyse the prospects of that paticular cryptocurrency in future. Since a lot of people are trying to invest and trade in crypto, it becomes essentail that you do not get driven by them. Make your analysis and think critically.
You must be aware of their volatility if you want to determine whether cryptocurrencies are a suitable investment. Cryptocurrencies are unstable and do not provide a cash flow as traditional currencies do. A currency should be stable in order to assist businesses and consumers in setting fair prices for items.