Trading in Cryptocurrency in India

Purpose: Buying a seedbox

Most of the providers of seedbox usually accept payments from credit/debit cards, Paypal and Bitcoins. I own only a debit card and unfortunately, it does not have international transactions activated on it. So the first two options (payment via card and paypal) are out of the window. Also, I don't want a seedbox purchase to show up "directly" on my transactions history.

So, the next viable option is bitcoin. Which leads me to the following dilemmas:-

1) Choosing a wallet - usage limitations:

The names of Zebpay and Unocoin appeared frequently in searches for "best bitcoin wallet in india". They seem to accept transactions from Indian debit cards. So, my question is whether they limit the usage of purchased bitcoins to local/selected services only? Example, I can buy that seedbox whose providers are in France. Right? By definition of bitcoins, this is really a dumb question, but I just wanted to double check. I have dropped a mail to them as well, waiting for their reply.


2) Security:

I tried registering into Unocoin to get familiar with their interface. I was taken aback a little by the amount of verification that was required to purchase a few bitcoins, PAN, ID, photo, bank IMEI, girth of my d**k etc. This got me a little perturbed. I am a student and I don't pay taxes. The person who replenishes my bank account (my dad), does! So, will purchasing bitcoins (equivalent to ~1500 INR) monthly, from an account that doesn't pay taxes, cause any problems?

Please advise.
 
your dad can gift you as much money as he wants. since he has already paid tax on it, the money coming from his account to yours does not count as your income as it is a gift from father to son. i do not think there are any limits on a gift from parent even today.
 
there is also this point about hiding this purchase from your statement. you are seeking anonymity or you just want to hide this particular transaction from your dad. if your dad is the only reason you are bothered about this whole issue, maybe get a friend to pay for it and pay him cash?
 
Sushubh said:
you are seeking anonymity or you just want to hide this particular transaction from your dad
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Well, both! Seeking anonymity in general is more of a concern here.

Seedboxes themselves aren't illegal but are used to pirate TBs of data. I haven't ever heard of a seedbox service being taken down by authorities (apart from Feral, which got into some trouble when What.cd was taken down). But if something does happen, a record of my personal bank details with them seems troublesome.
 
Citrus said:
There are certain seedboxes that accept payment via Indian wallets, Freecharge, Paytm and the likes. You could use them to avoid any charge related to seedbox showing up on your bank statement.
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I think SntHostings does accept Indian cards. I checked their plans, good, but costlier than Feral's.

Care to suggest any other seedbox which accepts payments via Paytm etc?
 

ok. i am not very knowledgeable about this but from what i have heard, you might be able to buy bitcoin on the dark web. you might find someone who would be willing to accept payment in cash or through a throwaway Paytm account or something. @dextermorgan might be able to guide you on this.
 
For complete privacy, just buy bitcoin from localbitcoins. open the site, search for your locations and it'll show you people selling the bitcoins. talk with them and send them money (either thru Paytm etc or directly meeting them).
 
Sushubh said:
ok. i am not very knowledgeable about this but from what i have heard, you might be able to buy bitcoin on the dark web. you might find someone who would be willing to accept payment in cash or through a throwaway Paytm account or something. @dextermorgan might be able to guide you on this.
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do not suggest to buy from DB there are lot of scammers and of-course a lot of shit stuff.
 
RedskyITM said:
Localbitcoins has guys selling BTC for Paytm and the like.
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dextermorgan said:
For complete privacy, just buy bitcoin from localbitcoins. open the site, search for your locations and it'll show you people selling the bitcoins. talk with them and send them money (either thru paytm etc or directly meeting them).
Click to expand...

Thanks. This will completely negate the bank statement problem.

However, if I am not mistaken, most of the reputable bitcoins wallets do not allow bitcoin transactions to complete without proper identity authentications(*) . Please correct me if I am wrong.

If the above is true, I would be providing my personal details to get a bitcoin wallet, which might just make the benefits of cash-based bitcoin transactions (anonymity) moot!

(*)For example, this wallet I tried (Coinbase), it had an interface to receive coins, (i.e. it allowed me to create a bitcoin address to receive coins), however, the sending option remained grayed-out the entire time. Of course, since I hadn't received any coins till then and the balance was zero, the sending option remained disabled. Logical. But I was in no position to test its reasons (zero balance or account limitations).

Below is the Identity Verification Clause in Coinbase's User Agreement:

2.2. Identity Verification. In order to use certain features of the Coinbase Services, including certain transfers of Digital Currency and/or government-issued currency ("Fiat Currency"), you may be required to provide Coinbase with certain personal information, including, but not limited to, your name, address, telephone number, e-mail address, date of birth, taxpayer identification number, government identification number, and information regarding your bank account (e.g., financial institution, account type, routing number, and account number). In submitting this or any other personal information as may be required, you verify that the information is accurate and authentic, and you agree to update Coinbase if any information changes. You hereby authorize Coinbase to, directly or through third parties make any inquiries we consider necessary to verify your identity and/or protect against fraud, including to query identity information contained in public reports (e.g., your name, address, past addresses, or date of birth), to query account information associated with your linked bank account (e.g., name or account balance), and to take action we reasonably deem necessary based on the results of such inquiries and reports. You further authorize any and all third parties to which such inquiries or requests may be directed to fully respond to such inquiries or requests.
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(*) I tried to proceed with localbitcoins, but it required ID in the form of Passport/Driver License/Identity Card + mobile number verification, before I could buy bitcoins.
 
For complete anonymity you will need to do peer to peer transactions. Since you're looking at a small amount you can ask traders on Localbitcoins if they would be willing to do transactions off the site. Of course this does lose the benefits of Localbitcoins acting as escrow but for your amount that should be fine.
 
^ you can start a sale on localbitcoins, then ask the trader to do offsite transaction and when money sent and youre satisfied, you can then close the sale on site and it will count as successful sale for that trader.
 

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