Koinex Review | Is Koinex a Genuine Cryptocurrency Trading Site?

Koinex is one of the cryptocurrency trading exchanges that is based in India. It is a relatively new platform in the market and there aren’t many reviews done on this exchange. Is Koinex a genuine cryptocurrency trading site? Read on and find out.

Koinex Review Is Koinex a Genuine Cryptocurrency Trading Site

Koinex Review | Is Koinex a Genuine Cryptocurrency Trading Site?

What is Koinex?

Koinex is an Indian cryptocurrency exchange platform where you can buy, sell and trade cryptocurrencies with INR.

It connects prospective buyers and sellers of various cryptocurrencies like Bitcoin, Litecoin, Ethereum, Ripple, and Bitcoin cash.

Koinex Exchange was founded by Rahul Raj (IIT Kharagpur), Rakesh Yadav (IIT Delhi) and Aditya Naik (BITS Pilani).

Where to start?

KYC is mandatory for signing up and using this platform. You have to first pay an amount of INR 100 to their account to start the KYC process which they will refund your first trade fee.

you have to provide your PAN Card photo, Aadhar number, and bank details to set up your account first hand after paying INR 100.

PAN Card is mandatory for opening a Koinex account. It is required to keep a track of all transactions for a user against the PAN Card for all tax, legal and accounting purposes.

After this, they will put you on KYC pending status. You are NOT allowed to chat or trade till the KYC is verified.

What’s worth mentioning about Koinex?

– Instant withdrawal in 30 secs

– Low fees compared to other Wallets

– Multi-Crypto trading wallet

– It takes less time to verify your KYC and makes you able to trade faster.

– Trade Bitcoin, Etherum, Bitcoin Cash, Ripple, Litecoin in INR

– Rates are comparatively lower as compared to zebpay.

– The minimum buying volumes of cryptocurrencies are 0.0001 Bitcoin, 0.001 Ethereum, 50 Ripples, 0.001 Bitcoin Cash.

– Bitcoin Gold, Golem, IOTA, Omisego and few more standard coins coming soon

What about the trading fee?

At the time of writing, Koinex has a trading fee (only during buying) as low as 0.15% and can be used to buy multiple cryptocurrencies. The breakdown is outlined below.

  • Rs.0 to Rs.25,00,000 – 0.25 percent
  • Rs.25,00,001 to Rs. 1,00,00,000 – 0.20 percent
  • Rs.1,00,00,001 and above – 0.15 percent

Payment using debit/credit card to recharge your wallet may cost 2%. However, there is no charge if you use NEFT/IMPS fund transfer. The NEFT/IMPS transfer can take up to three (3) hours.

The minimum transaction to deposit the money in your Koinex account has to be 2000 rupees.

There are no restrictions like in other Indian exchanges regarding the quantity or size of the trade (meaning you can start ordering 0.001 BTC or 0.01 ETH as well).

How secure is Koinex?

They store 98% of the user funds offline in a combination of hot, warm and cold wallets, and thus they keep the funds safe. They also have Hardware Security Modules to store sensitive information like private keys.

Although you get a free wallet from Koinex for storing your purchased coins, it is not the safest place to keep your coins on Koinex because they are still a centralized exchange and hey store all the private keys in their database. This makes them vulnerable to hackers, especially since they have millions stored in their wallets.

If you are long enough in the world of cryptocurrency, you might have heard about the incident of Mt.Gox hack. They were handling more than 70% of all the Bitcoin transactions worldwide.  In February 2014, Mt. Gox suspended trading, closed its website and exchange service. Worst of all, they filed for bankruptcy protection from creditors. They allegedly lost $350 million in Bitcoin (7444,400 BTC).

That simply means when you had a balance at Mt. Gox, you didn’t really have Bitcoin because you didn’t actually own the private key.

Hence, if you own a lot of Ethereum or Bitcoin with cryptocurrency exchanges, you are better off investing in a hardware wallet.

Read more: How to Store Crypto Coins? What’s the Safest Wallet?

INR Withdrawal

All withdrawals from Koinex INR wallet will be made only to the linked bank account. Withdrawals up to INR 2,00,000 will be credited via IMPS within 30-60 seconds. Withdrawals for more than INR 2,00,000 will be credited via NEFT within 3-4 bank working hours.

You cannot deposit and withdraw INR from a bank account other than your Koinex-linked bank account. If you deposit INR from a bank account other than your linked bank account, Koinex will refund the same within 7 working days.

The withdrawal fees are outlined below.

  • BTC: 0.001 BTC
  • ETH: 0.001 ETH
  • XRP: 0.02 XRP
  • LTC: 0.01 LTC
  • BCH: 0.001 BCH
  • INR: Rs. 0/-

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