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How to Buy Bitcoin with Paytm7-min read

Lone Suhali

Lone Suhali |  Updated on 18/1/2023

Buying Bitcoin with Paytm is an increasingly popular option for Indian investors seeking to gain access to this powerful digital asset. The platform is convenient and secure and provides a simple way for users to buy and trade digital currency. This article will answer all your questions about buying Bitcoin through Paytm. We will also provide some technical suggestions regarding how to invest responsibly so that you also may yield higher returns.

For many, the idea of investing in Bitcoin is a daunting prospect, with its complex technicalities and associated risks. However, understanding Bitcoin and investing responsibly in it can lead to potentially high returns. The coin has gained widespread popularity due to its ability to operate independently of traditional financial institutions and its use of blockchain technology.

What is Bitcoin and how does it work?

Bitcoin is a digital currency that utilizes cryptography for security and is built on a decentralized network known as the blockchain. It was first unveiled in 2009 by an anonymous individual or group of people under the pseudonym Satoshi Nakamoto.

In a Bitcoin transaction, the transfer of funds is recorded on the blockchain, a decentralized and public ledger. The blockchain is secured through a process called mining, in which miners utilize complex mathematical problems to verify transactions and add them to the ledger. As a reward, they receive a small amount of Bitcoin.

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A primary benefit of Bitcoin is that it allows for anonymous and secure transactions without needing a central authority. It operates on a peer-to-peer network, allowing transactions to be conducted directly between users without the need for intermediaries such as banks.

Although it offers potential advantages, Bitcoin has encountered regulatory challenges and controversy. Its value has also been unstable, experiencing significant price fluctuations. Despite these challenges, it has gained widespread adoption and has become a popular choice for investors and consumers seeking alternatives to traditional financial systems.

Where to Buy Bitcoin in India – Best Bitcoin Brokers for February 2023

When choosing to buy bitcoin, users are now presented with a plethora of options that they can utilise. Among the top rated brokers are CEX.IO, Libertex, Binance, and Paxful.

CEX.IO Review

CEX.IO Review

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Pros

  • list bullet Very low fees, highest spot trading commissions capped at 0.25%
  • list bullet Very easy-to-use and user-friendly dashboard, one of the best UX scores on the market
  • list bullet Over 200 crypto markets to choose from, all accessible from their comprehensive mobile app too

Cons

  • list bullet Different fees for different payment methds
  • list bullet Some features are exclusive to US customers
Libertex Review

Libertex Review

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Pros

  • list bullet 0% fees on stock trades, minimum deposit of only $10 or equivalent
  • list bullet Over 322 tradable assets available
  • list bullet Unmatched user-friendly interface, easy for beginners to catch on

Cons

  • list bullet Unavailable in some countries, including the United States
  • list bullet Only features two types of accounts (Demo and Standard)
Binance Review

Binance Review

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Pros

  • list bullet Advanced charting with a variety of choices for overlays and indicators.
  • list bullet Has the option to use Binance Lite which is very useful for beginners.
  • list bullet Low fees and one of the most reputable crypto brokers.

Cons

  • list bullet Digital wallet is third-party software.
  • list bullet UI can be most suited for professionals and may be complex at first glance.
  • list bullet Strict account verification.
Paxful Review

Paxful Review

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Pros

  • list bullet Paxful offers biometric authentication and verification.
  • list bullet Has more than 300 plus payment modes with fixed trading fees.
  • list bullet Quick and speedy support system.

Cons

  • list bullet This digital currency exchange ID's not regulated. Might be liable to seller scams.
  • list bullet Higher trading fees as compared to other exchanges.
  • list bullet Only has 3 cryptocurrency options.

CEX.IO

CEX.IO is a reliable and convenient platform for buying Bitcoin with Paytm. CEX.IO has many advantages over other exchanges. Firstly, it has a very user-friendly interface that makes it easy to buy and sell Bitcoin. Secondly, it has a large number of trading pairs, which allows users to trade Bitcoin for other cryptocurrencies and fiat currencies. Thirdly, it has low fees, which makes it cheaper to buy Bitcoin with Paytm. And finally, it is one of the most reliable exchanges in the world, with a high uptime rate. Talking about the fees, the highest charge paid by the creator is 0.25%, which is less than the taker. Also, CEX.IO does not charge a fee for storing Bitcoin but does offer an insurance policy for customers who are interested in protecting their holdings from theft. The cost of this insurance policy is based on the value of your holdings and can range from 1% to 3%.

 

CEX.IO

Libertex

Even though it was originally launched – primarily – as a stock and forex trading platform, Libertex has quickly become one of the top choices for Bitcoin traders. Those new to Bitcoin investments are most especially drawn to Libertex as it offers the safest route, given that it is entirely free to sign up for, only requiring a $10 or equivalent deposit to start trading, whilst also featuring some of the lowest fees on the market, starting at 0% commission on most trades.

Additionally, Libertex also regularly features special competitions and cash prizes, allowing new and existing users alike to participate in draws giving them the chance to win up to 500 BTC or other items, such as a new Tesla, iPhones etc. Indian traders qualify for all of these special draws and competitions.

Furthermore, it also features one of the most user intuitive trading platforms, allowing even those who are entirely new to crypto trading to quickly catch on, levelling the playing field. With all of these attractive features unique to Libertex, there remains very little not to recommend it, which is why it has consistently garnered the most positive reviews across all markets, especially after launching into crypto.

Libertex logo

Binance

Binance is a cryptocurrency exchange based in Hong Kong but with operations in over 180 countries. It is one of the largest cryptocurrency exchanges by volume, offering traders over 100 pairs of cryptocurrencies including Bitcoin (BTC), Ether (ETH), Litecoin (LTC) and XRP. The exchange offers trading fees as low as 0% for large buys and sells with no transaction costs on any order size.

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Paxful

Paxful is a popular Bitcoin broker that allows you to buy Bitcoin with Paytm. The process is simple and straightforward. You can either choose to buy Bitcoin directly from Paxful or from one of their many partners. There are no fees for buying Bitcoin on Paxful.

Paxful is one of the best bitcoin brokers for February 2023. They offer a wide range of payment methods, including Paytm. You can also buy bitcoin with a credit card, debit card, or bank transfer. The process is simple and straightforward, and you can get started quickly and easily.

Paxful logo

First, you need to create an account on Paxful, then select Paytm as your payment method. After this you need to enter the amount of Bitcoin you want to buy and confirm your transaction. Finally wait for your Bitcoin to be delivered to your Paxful wallet.

What Is Paytm and Why Use It to Buy Bitcoin?

Paytm is a leading Indian financial technology company that provides a variety of services, including digital payments, banking, and financial services. It is one of the most popular digital payment platforms in India, boasting over 400 million users.

paytm

One of the services offered by Paytm is the ability to buy and sell Bitcoin through its own platform and other cryptocurrencies through partnered exchanges. Paytm has partnered with Bitcoin exchanges in India to allow users to easily buy and sell Bitcoin through the Paytm app.

There are several advantages to using Paytm to buy Bitcoin. One of the main benefits is convenience. Paytm is a widely used platform in India, and users can easily link their bank accounts or credit cards to the app to make purchases. It also offers a user-friendly interface and 24/7 customer support.

Another advantage is security. Paytm uses advanced security measures to protect user information and transactions. It also provides insurance for all transactions made through the platform.

Using Paytm to buy Bitcoin can be a convenient and secure option for users in India looking to invest in cryptocurrency. It allows easy access to the Bitcoin market through a trusted and well-established platform.

How to Buy Bitcoin with Paytm in India

Buying Bitcoin from Paytm is fairly easy and straightforward. All you need to do is to follow the steps below:

Step 1: Download the Paytm app on your smartphone and create an account. You will need to provide your phone number and email address and set up a password.

Step 2: Link your bank account or credit card to your Paytm account. You can do this by going to the “Bank Account” section in the app and selecting “Add Bank Account.” You will need to provide your account details and complete the verification process.

Step 3: Once your bank account or credit card is linked, go to the “Bitcoin” section in the app and select “Buy.” You will need to enter the amount of Bitcoin you want to purchase and confirm the transaction.

Step 4: Paytm will process the transaction, and your Bitcoin will be credited to your Paytm wallet. You can then hold onto the Bitcoin or sell it at a later time.

Note that Paytm charges a fee for buying and selling Bitcoin. It is essential to check the current fees and exchange rates before making a transaction.

Paytm Founder’s Perspective on Bitcoin

The founder of Paytm, Vijay Shekhar Sharma, had an interesting perspective on Bitcoin and cryptocurrencies. Advocating for this emerging area, he has publically acknowledged that the technology behind it could be revolutionary for the world.

I am very positive about crypto. It is fundamentally based on cryptography and will be the mainstream technology in a few years like the internet which is (now) part of daily life – Vijay Shekhar Sharma in an interview with ICC

This being said, he has also stated that while he believes that it could become a valuable asset class over time, buyers should proceed cautiously since it is still largely unregulated and can be volatile.

Ultimately, Sharma believes that people should focus on being digitally savvy and making wise investments. He also stressed the importance of understanding the risks associated with investing in Bitcoin before taking any action.

KYC and Verification

The KYC and verification process for buying Bitcoin with Paytm is in place to ensure the safety and security of users and the platform. It helps to prevent fraud and protect against money laundering. It may vary depending on the specific policies of Paytm and the exchanges it partners with. However, in general, users can expect to go through a similar process as when opening a bank account or investing in financial products.

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Here are some steps that may be involved in the KYC and verification process for buying Bitcoin with Paytm:

  1. Provide personal information: You may be required to provide personal information such as your name, date of birth, and contact details.
  2. Verify identity: You may need to provide government-issued identification documents such as a passport or driver’s license to verify your identity. This may involve uploading a scanned copy of the documents or providing the information in the app.
  3. Complete address verification: You may need to provide proof of your current address, such as a utility bill or bank statement.
  4. Provide financial information: You may be required to provide financial information such as your income, assets, and investment goals.

Once you have completed the KYC and verification process, your application will be reviewed, and you will be notified if it has been approved.

Benefits and Drawbacks of Using Paytm for Buying Bitcoin

There are several benefits to using Paytm for buying Bitcoin.

Pros

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    Convenience: It is a well-established and trusted platform in India, and users can easily link their bank accounts or credit cards to the app to make purchases.

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    Security: The platform uses advanced security measures to protect user information and transactions.

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    Widely accepted: Paytm is a widely used platform in India, which means that it is accepted by many merchants and service providers.

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    Multiple services: Paytm offers a range of services beyond just buying and selling Bitcoin, including digital payments, banking, and financial services.

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    Easy access to the Bitcoin market: Using Paytm allows users to easily access the Bitcoin market through a trusted and well-established platform.

Cons

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    Fees: The platform charges fees for buying and selling Bitcoin, which can impact the overall cost of the transaction.

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    Volatility: Bitcoin and other cryptocurrencies are known for their high price fluctuations, which can result in significant losses for investors.

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    Geographical availability: Paytm is only available in certain countries, so it may not be an option for users in other regions.

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    Lack of anonymity: As Paytm is linked to your bank account or credit/debit card, it might not be suitable for those seeking a more anonymous option.

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    Buying limits: There are limits on how much you can buy with Paytm, currently set at Rs 1 lakh per month (around $1,350).

Overall, it is a comprehensive platform that provides a convenient and straightforward way for investors to get involved in the cryptocurrency market. Its user-friendly interface and quality customer service make it a great choice for those looking to make a quick and hassle-free investment.

Choosing the Right Bitcoin Exchange for You

There are a lot of Bitcoin exchanges to choose from, and it can be tricky to figure out which one is right for you. Here are a few things to keep in mind when choosing an exchange:

  1. Reputation: It is important to choose a reputable exchange with a proven track record. Look for exchanges that have been in business for a while and have a good reputation among users.
  2. Fees: Different exchanges charge different fees for buying and selling Bitcoin. Be sure to compare the fees of different exchanges to find the one that offers the most competitive rates.
  3. Payment methods: Consider the payment methods accepted by the exchange. Some exchanges only accept bank transfers, while others accept credit cards or other payment methods. Choose an exchange that offers a payment method that is convenient for you.
  4. Security: Security is a key concern when it comes to cryptocurrency exchanges. Look for exchanges that have strong security measures in place to protect against hacks and fraud.
  5. Ease of use: Consider the user experience when choosing an exchange. Some exchanges have more user-friendly interfaces and offer more features, such as mobile apps and advanced trading tools.

Why You Should Consult CoinBharat Before Buying Bitcoin

CoinBharat is an invaluable resource for anyone looking to buy Bitcoin or invest in other cryptocurrencies. We conduct thorough reviews of different exchanges, wallets, and other cryptocurrency-related products and services. We also provide valuable information on the fees, security measures, payment methods, and other features of different exchanges, helping you to make an informed choice. Our expert team keeps track of the latest developments in the industry and provides in-depth analysis of the trends and risks. All of this can help you to stay up-to-date on the market and make informed investment decisions.

Technical Considerations of Buying Bitcoin with Paytm

When it comes to buying Bitcoin with Paytm, there are several technical considerations to keep in mind.

Your Bitcoin wallet address: This is where your Bitcoin will be stored. You can either create a new Bitcoin wallet or use an existing one.

Compatibility: Paytm is available as an app for Android and iOS devices and a website. Make sure your device is compatible with the app or website before using Paytm to buy Bitcoin.

Internet connection: Paytm requires an internet connection to function. Ensure you have a stable and secure internet connection before using the app or website to buy Bitcoin.

Bank account or credit card: To buy Bitcoin with Paytm, you will need to link a bank account or credit card to your Paytm account. Ensure that your bank account or credit card is properly linked and configured before making a purchase.

Exchange rates: Paytm uses live exchange rates to calculate the price of Bitcoin. Be aware that these rates may fluctuate, which can impact the cost of your purchase.

Fees: Paytm charges fees for buying and selling Bitcoin. Make sure to understand the fees associated with the service and factor them into your decision-making process.

Daily limit on transactions: Paytm imposes a limit of Rs 20,000 per day on digital currencies transactions. This limit is subject to change based on Paytm’s discretion.

Security Tips When Buying Bitcoin with Paytm

When buying Bitcoin with Paytm, it’s important to keep your security in mind. Here are a few tips to help you stay safe:

  1. Make sure that the website you’re using is legitimate and trustworthy.
  2. Never enter your Paytm password on any website other than Paytm.com.
  3. Ensure the website is encrypted (you can check by looking for a padlock icon in the address bar).
  4. If you’re unsure about a website, don’t enter your information simply go to another site.

Following these tips will help keep your information safe and secure when buying Bitcoin with Paytm.

What to Know Before Buying Bitcoin

Some important factors to consider when buying Bitcoin with Paytm include transaction fees, exchange rates, payment methods, and security. Paytm charges fees for processing transactions, so it is important to understand and compare the fees associated with different exchanges. Exchange rates also fluctuate and can impact the cost of your purchase, so it is advisable to compare rates before committing to an exchange.

It is also important to consider the payment methods accepted by the exchange and ensure that they align with your needs. And, of course, security is a crucial factor to consider when choosing an exchange. It is essential to choose a reputable and reliable exchange to protect against fraud and ensure the safety of your personal information.

By carefully considering these factors, you can make informed decisions and minimize the risks associated with investing in Bitcoin.

Investing Responsibly

As with any investment, it is crucial to exercise caution and responsibility when investing in Bitcoin with Paytm. While the process of buying Bitcoin through the platform is straightforward, the cryptocurrency market can be volatile and carries inherent risks.

To protect yourself against potential losses, it is advisable to keep some funds available in your Paytm wallet for impromptu purchases and to research the exchange rate for Bitcoin and track its progress over time. This can help you to have a clear understanding of the potential worth of your investment in the future.

Additionally, it is crucial to take steps to secure your Bitcoin investments. This includes setting up two-factor authentication with your wallet provider, using secure passwords, and only storing small amounts of Bitcoin online. By investing responsibly and protecting yourself against potential risks, you can still take advantage of the potential gains offered by Bitcoin while minimizing the chances of loss.

Conclusion

In summary, buying Bitcoin with Paytm is a simple and convenient way to enter the cryptocurrency market. To ensure the best experience when buying Bitcoin with Paytm, be sure to research different exchanges and compare their fees and features. Choose a reputable and secure exchange to protect your funds from fraud and theft. Additionally, use a cold wallet or hardware wallet to store your Bitcoin instead of leaving it on the exchange, which can help to safeguard your funds against potential hacks and breaches.

By considering these factors, you can confidently and safely buy Bitcoin with Paytm and take advantage of the potential gains offered by the cryptocurrency market. Just be sure to always invest responsibly and safeguard our investments to minimize the chances of loss.

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions.

FAQs

How to buy Bitcoin in India?

Currently crypto exchanges allow you to buy bitcoin using credit/debit cards as well as through bank payments.

Where to buy Bitcoin in India?

You can easily buy bitcoin in India through registered cryptocurrency exchanges such as Binance, Libertex and Paxful.

What can I buy with Bitcoin in India?

Many e-commerce sites have started to accept bitcoin as new laws have been passed to regularise bitcoin as a payment option.

Can I use Paytm to buy Bitcoin in India?

Yes, you can buy bitcoin with Paytm in India. You will need to choose Paxful or any other Paytm compatible crypto exchange to successfully complete your purchase.

What are the best exchanges to buy Bitcoin from?

The best and most secure exchanges to buy bitcoin from include Binance, Libertex, and Paxful. These exchanges have enhanced security features on top of priority customer services to cater to any query.

Is Bitcoin safe?

Bitcoin works as a decentralised asset and its transaction process is completely secure. So it can be established that bitcoin is generally safe.

Should I buy Bitcoin now?

Investing in any asset should be backed by thorough research and analysis. Once you are confident of making an investment backed by strategies and research, you can buy bitcoin.

Why invest in Bitcoin?

Cryptocurrencies are the new stocks and people want to buy and hold them for a good amount of time to gain good returns.

What are the pros of buying Bitcoin?

Bitcoin prices are a huge driving force of crypto markets. Most of the price movements correlate to the price of bitcoin. Also bitcoin is considered as digital gold so having it in your portfolio has good benefits. Is Bitcoin a good investment; Considering the ROI since 2010, there hardly is any other investment better than bitcoin.

How to buy Bitcoin online?

You can buy bitcoin using credit cards, debit cards and bank transfers on crypto exchanges.

When is the right time to buy Bitcoin?

Buying bitcoin totally depends upon your risk management. You can buy it in small portions using the SIP in bull run and buy the dip in bear market.