Have you considered investing in Bitcoin in India? Wondering if it’s safe to do so?
The news media sure makes Bitcoin sound scary, but how accurate are the reports about Bitcoin?
This article will answer all those questions and more in great detail. To make things short, it’s perfectly safe to invest in Bitcoin in India. We will mostly focus on why it’s safe.
In fact, it’s actually a good time and great idea to invest in Bitcoin in India right now.
Why is it safe to invest in Bitcoin in India?
It is perfectly safe to invest in Bitcoin in India. In fact, an investment in Bitcoin is actually safer than many other investments. Here are some of the reasons that an investment in Bitcoin is one of the safest investments that you can make today.
First, Bitcoin is extremely secure. There has been no known instance of a Bitcoin wallet getting hacked.
The same cannot be said about banks, credit cards, or other centrally controlled investment.
Now, people have lost Bitcoin due to hacks, but not from their wallet getting hacked. All the Bitcoin hacks have been due to exchanges (centrally controlled) getting hacked.
This might not sound like a noteworthy difference, which is not true. It’s significantly different that a Bitcoin wallet has never been hacked.
In that regard, your Bitcoin investment is safe.
Bitcoin’s price is low
As for the monetary value of Bitcoin, no one really knows what the price of Bitcoin will be tomorrow. It could drop to zero or it could go up by 4000%.
No one really knows. And anyone claiming to know the future price of Bitcoin is lying to you.
That said, the price of Bitcoin is about 50% of its peak in December of 2017, which is a good indicator that the price of Bitcoin is rather low.
As a monetary investment, Bitcoin is fairly safe at the moment. Experts expect the price of Bitcoin to rise, rather than drop, in the coming years. This is especially apparent when cryptocurrencies have been in a three year bear market.
It will have to go up at some point.
Bitcoin accepted worldwide
You probably know the story by now – Bitcoin is a decentralized currency powered by individuals rather than a centralized organization. This means that Bitcoin is the world’s first global currency.
You can send it to someone anywhere in the world and they can then use it. No one has to worry about the transaction getting blocked, high transfer fees, or other problems that arise with international transfer.
What does this mean?
It means that Bitcoin is much more valuable worldwide than any other form of currency. For instance, you can purchase Bitcoin in India, travel to the United States, sell your currency for US dollars, and spend the US dollars.
That entire sequence could be done in minutes for about $5, which simply is not possible with standard fiat currency.
Is Bitcoin legal in India?
The most common question about investing in Bitcoin in India is whether it’s legal or illegal.
No aspect of Bitcoin is illegal in India. You can buy, sell, and mine Bitcoin in India with no legal repercussions.
Now, there were some issues with cryptocurrencies in India a few years ago, but those issues were resolved and cryptocurrency was made legal in India.
Do I have to pay taxes on Bitcoin in India?
Like most countries, India has an extremely complicated tax code that requires years of experience to untangle. With that in mind, you generally have to pay taxes when you realize earnings on any sale of cryptocurrency in India. You are also allowed to deduct any realized losses on cryptocurrency, which is very nice.
As mentioned earlier, the tax code in India is extremely complex. For that reason, we recommend consulting a tax professional to ensure that you do not get in any trouble with the Indian government and do not pay more taxes than necessary.
Is it better to invest or trade Bitcoin in India?
The difference between investing and trading Bitcoin in India mostly comes down to your personality. Are you a risk taker? Do you like excitement? Do you enjoy gambling?
If you answered yes to those questions, then you might enjoy trading Bitcoin in India. On the other hand, if you dislike gambling, taking risks, and excitement, then you should avoid trading Bitcoin.
Bitcoin prices can swing wildly. You can be up 20% in one week and lose it all in a matter of a few minutes.
We’re serious. Bitcoin prices are extremely volatile, which means that you can earn large sums of money or lose large sums of money.
Is now a good time to invest in Bitcoin?
As of the time of writing, the price of Bitcoin is approximately $10,000/BTC.
This price might sound high, but Bitcoin has actually cost over $20,000/BTC at one point in time.
That’s a 100% increase in the price.
With that in mind, we are fairly confident that the price of Bitcoin will rise in the future, which makes now a perfect time to invest in Bitcoin. Not to mention that Bitcoin has a tendency to go through many random price increases that can be as high as 50% within a week.
All in all, it’s always a great time to invest in Bitcoin. The price isn’t ever going to zero – the same can’t be said about the price of other investments. This is especially true of the stock market where companies have gone bankrupt.
We covered everything you need to know about the safety of investing in Bitcoin in India – it’s extremely safe. You won’t have any safety issues in terms of hacking or anything like that.
There is a virtually 0% chance of that ever happening if you use the proper security measures.
As far as price goes, the experts are confident that the price of Bitcoin will rise in the future, which makes Bitcoin one of the safer investments available to consumers!