Dash Coin Investment Guide For Indians

Dash is a cryptocurrency that was forked from the Bitcoin protocol. It is an open-source blockchain and cryptocurrency that aims to offer a fast, cheap, and decentralised global payments network. In this guide, we will discuss how to invest in Dash in India, including the different platforms and methods available to investors.

Using a cryptocurrency exchange

Once you have chosen an exchange, you will need to register for an account. This usually involves sharing some personal information and passing a brief identity verification check. This typically requires providing some government documentation, such as your Aadhaar or PAN card, along with proof of your current address.

After registering, you can choose a payment method. Most exchanges offer a range of payment options, but the most cost-effective is to pay via direct bank transfer. Regardless of how much you intend to spend, most exchanges ask for a minimum deposit.

Once your account is funded, you can navigate to the Dash (DASH) page in the app or on the website and enter the amount you would like to invest.

It is important to note that while many exchanges offer free storage for your crypto, they are also a target for cybercriminals. Another option is to store your keys with a third-party crypto wallet provider, which provides a degree of separation. However, these providers are also targeted by criminals and usually charge a fee. A final option is to use an offline, hardware-based wallet, which is not connected to the web by default, making it harder for hackers to reach. However, hardware wallets can be less convenient as they require you to remember a series of random words to authenticate yourself.

Using a hardware wallet

If you're looking for the most secure way to store your Dash, a hardware wallet is the best option. Hardware wallets are cold wallets, meaning they store your cryptocurrency offline, making them safe from hackers and cybercriminals.

There are several hardware wallets compatible with Dash, including:

• Ledger Nano S: This wallet secures your Dash with a private key and a PIN code. It also supports all the major cryptocurrencies and has a backup in case anything goes wrong. The standard price for a Nano S is $99.99.
• Trezor: As the first-ever hardware wallet, Trezor is a very popular choice. It supports multiple cryptocurrencies and is small, compatible, and easy to use. It also costs $99.99.
• KeepKey: This wallet is less well-known and supports seven different cryptocurrencies. It is bulkier than the Ledger and Trezor wallets but has a larger screen, which some users may prefer. It costs around $99.

When choosing a hardware wallet, it's important to consider your budget and the specific features you require. For example, if you want a compact wallet, KeepKey may not be the best choice. It's also worth noting that hardware wallets are generally recommended for those with a significant amount of crypto to store, as they can be quite an investment. If you're just starting out, a software or online wallet might be more suitable.

However, if you prioritise security and have the funds available, a hardware wallet is an excellent choice for storing your Dash safely.

Trading via a broker

Trading Dash via a broker is another possible purchase method. Cryptocurrency brokers are intermediaries between the investor and the market, facilitating the buying and selling of cryptos. They also bring a lot of knowledge and experience to the table and frequently offer extra services.

When selecting a broker, it is important to choose one that is diligent and fully proven. The platform should be conversant with regulatory measures for financial services, and you should be able to access it via both desktop and mobile applications. Reputable brokers will be KYC and AML compliant, meaning you needn't worry about the safety of your funds.

Some of the reputable brokers that allow you to trade Dash include eToro, Pocket Option, Uphold, Sage FX, Pionex, and Kraken.

Using an ETF

An ETF (Exchange-Traded Fund) is a popular method for investing in Dash, especially for new investors. ETFs are commonly used to trade other assets, equities, and commodities, and they offer a way to combine a diverse set of cryptocurrencies into a single tradable asset. This means you can trade a "basket" of different digital tokens, which is seen as a passive and more accessible way to enter the crypto market.

When using an ETF, it's important to note that these funds trade like common stock on an exchange, with prices fluctuating throughout the day as investors buy and sell. While ETFs are a good option, they are location-specific, and regulators in the US have denied attempts to offer them on American exchanges.

To use an ETF to invest in Dash, you would first need to find an exchange that supports this type of fund and Dash trading. You would then go through the registration process, which typically involves confirming your identity with government documentation and proof of address.

Once registered, you can purchase Dash through the ETF, investing in a basket of cryptocurrencies that includes Dash. This method offers a more diversified approach to investing in Dash, as you're not only investing in a single cryptocurrency but a collection of digital tokens.

ETFs provide an alternative to directly purchasing and holding Dash, and they can be a useful tool for those looking to invest in multiple cryptocurrencies without needing to manage individual assets.

Using a virtual account

To use this method, you will first need to set up a BuyUcoin account. You can sign up with your email ID or instantly with your Google account. After setting up your account, you will need to complete the KYC (Know Your Customer) process by providing your Aadhaar, PAN, and bank details to get your account verified.

Once your account is verified, you can deposit money into your BuyUcoin wallet. To do this, simply add your UPI ID and transfer INR from your bank account to your BuyUcoin wallet with just one click.

After you have funded your BuyUcoin wallet, you can use it to buy Dash or any other cryptocurrency of your choice. BuyUcoin also offers the option to trade up to 10,000 INR worth of cryptocurrency without any prior registration or KYC using their EZ Platform.

It is important to note that investing in cryptocurrency is subject to market risk, and there are potential issues related to hacking and human error. Additionally, the cryptocurrency market is relatively volatile, so it is important to be well-informed before investing.

Frequently asked questions