In India, the term WazirX is synonymous with cryptocurrency despite the fact that the two are different, though related. If you are a crypto enthusiast or wish to embark on an exciting journey with digital currency in India, you should be aware of WazirX. Is WazirX safe and legal would be another question that needs to be answered quickly in the current political and economic climate.
Before diving into the topic let us have a quick look at the cryptocurrency trading scenario in India.
Crypto Trade in India
In the last year or two, Bitcoin and other cryptocurrencies have delivered above-average profits (even if you take into account the recent 30-40 percent fall). As a result, it's only natural for people to seek ways to participate in this upswing.
Is it legal to trade cryptocurrencies in India?
To be honest, this is not a simple question to answer. The Indian government has still not decided on how to handle this new phenomena. However, there are a few facts to consider.
In 2018, the Reserve Bank of India came out aggressively and effectively banned cryptocurrencies in India. The Supreme Court of India then overturned the RBI's 2018 ban in 2020.
Following this, Indian banks restricted transactions with crypto-exchanges, claiming that they are overseen by the RBI (2018) rather than the Supreme Court directly (2020). However, the RBI has stated that banks cannot mention their 2018 ban to their clients because it was overturned by the Supreme Court!
And if that wasn't enough, the governor of the Reserve Bank of India recently stated that the central bank still has "serious worries about cryptocurrencies, which [they] have addressed to the government. It is up to each individual investor to conduct due diligence and make a very thoughtful and smart decision.”
The bottomline is that Bitcoin and other cryptocurrencies are currently not banned in India, but they are unregulated. The government is concerned about this ‘unregulated' part.
However, because the crypto world is all about ‘no central authority governing it,' the government may still be unsure how to control this wild bull. At the same time, the government also does not want to miss out on the promising blockchain technology.
However, it is a dilemma for the government to avoid undermining its own regulatory stance while still allowing investors to enter the space. The government also intends to introduce the “Cryptocurrency and Regulation of Official Digital Currency Bill, 2021,” which is expected to come into effect in 2021.
What is WazirX?
WazirX is a cryptocurrency exchange in India that allows users to trade in fiat currency to invest in a variety of cryptocurrencies. The exchange, which is situated in Mumbai, India, was founded in March 2018. A vibrant trio comprising Nischal Shetty, Sameer Mhatre, and Siddharth Menon lead the WazirX team. These techies believe in an open decentralized economy and are on a mission to involve everyone in the blockchain revolution, happening lately across the globe.
The company offers a system that lets users purchase and sell cryptocurrencies such as bitcoin, bitcoin cash, litecoin, dash, and many others in addition to trading digital assets. The exchange website states that the platform is suitable for both skilled traders and first-time investors because wire transfers are accepted. Credit card deposits, however, are not permitted on the platform.
Also Read: What is NFT And How Does it Work
How does WazirX work?
WazirX users can deposit money into the exchange platform and utilize that money to buy cryptocurrencies available on the platform as per their choice. The funds are initially deposited in the WazirX wallet, which can then be used to purchase a variety of cryptocurrencies.
The organization has also launched Peer to Peer trading, often known as P2P trading, in which people could trade crypto with one another without using money. Users should be aware that before they can begin trading crypto on WazirX, they must complete the KYC process.
WazirX charges a commission of 0.2 percent on every transaction. According to the organization, the 0.2 percent fee is one of the lowest crypto exchange commission rates in the world.
It's also worth noting that depositing and withdrawing money from the app also incur costs. Depositing money via bank transfer would cost around Rs. 5.9, while withdrawing money from the app would cost something between Rs. 5 and 10 depending on the method of withdrawal.
Is WazirX Safe and Legal?
Wazirx has grown to become a trusted and secure trading platform for consumers in India and abroad to buy, trade, and sell over 100 digital assets. Binance, the world's largest cryptocurrency exchange, acquired WazirX in late 2019. Binance is a respected and trusted blockchain exchange.
When it comes to safety, it is always better to give top priority to the security of your funds. Set up a strong login password and activate enhanced account security features such as Google authenticator and SMS verification. By adopting these methods users can be assured of the security of the platform.
Wazirx should seriously consider switching to a cold wallet solution, which uses multi-layer encryption and is stored on offline digital hardware storage devices. This would go a long way toward establishing to WazirX's users that the exchange is safe and legitimate.
How to Create a Mobile Crypto Trading App?
Creating a mobile app for crypto trading has a lot many advantages. There would be a definite boost in the user base when smartphone users start using the trading app. A user-friendly and secure app can attract more traders to the platform and this increases the brand credibility and trading per second. Increased trade would result in high liquidity and profits. ROI would be best assured.
The ideal way for creating a trading app is to entrust the development work with a mobile app development company that is experienced players in this industry. We hope that by reading this blog, you will gain a better understanding of the importance of the crypto industry market and get inspired to be a productive part of it.
You may certainly disrupt this industry by building and launching a top-notch crypto-trading app by teaming with the best app development agency like us since the popularity of cryptocurrency apps has already gone over the top. If you're looking for a crypto trading app development company to help you get started, contact us; our professionals would be delighted to assist you.