I have been using WazirX for quite some time now. While I have also used some other Cryptocurrency exchange platforms like Coinswitch, I would say I had the best experience with WazirX as of yet. And to answer your question; Is WazirX Safe? To that, I would say “Yes”. So read along as we review WazirX.
In this article, we will look at some of the factors that can make anyone uncomfortable using platforms like WazirX. We will try to explore some of the security measures that all platforms must take and why WazirX is a safe platform to look after your crypto investments.
Let’s get started!
What Is WazirX?
WazirX is a Cryptocurrency exchange platform based out of Mumbai, India. As of 2021, WazirX also launched NFTs where people can also buy and sell NFTs. WazirX once crossed $270 million in 24-hour trading volume.
WazirX was founded in the year 2017. Since then, it has been trying to manoeuvre through the stemming regulation complications, caters to the growing user base, struggles with payment challenges, etc.
Binance, the world’s largest cryptocurrency exchange platform, acquired WazirX in 2019.
Is WazirX Safe For Your Crypto Investments?
Yes, WazirX is safe to use. WazirX is the largest crypto exchange in India, and it claims to have more than 2 million active users on its platform. In 2019, WazirX was acquired by Binance, which is the world’s largest cryptocurrency exchange.
During my time with WazirX, I had seen multiple changes in their payment partners, from PayTm to Mobikwik. Although I had seen a couple of payment errors, every time, the payment was reverted to my account timely.
What Makes WazirX a Safe Option?
First and foremost, let us understand where does WazirX stores your fund. So, WazirX stores more than 95% of its users’ funds in Cold Storage, meaning it is completely disconnected from the internet, and no hacker can get their hands on it. Now let us look at some of the additional pointers that make WazirX a safe platform to invest in cryptos.
Strong KYC Norms: WazirX has strong KYC norms; this helps prevent illegal activities on the platform. Even if it does, WazirX can easily identify and block that user from their platform.
Instant and Secure Withdrawals: WazirX has Two-Factor Authentication, which provides an additional level of security to the user. The final step to withdrawing your fund from your WazirX wallet will be to click on a link sent on your registered Email ID right after the withdrawal request is made on the platform.
Security Score: WazirX scored a “C” in Mozilla’s Observatory test. “C” is considered to be a global industry average. Read: Here
Regular Security Audit: WazirX claims to do a regular Security Audit to ensure a secure platform for all of its users.
It is a part of Binance: As you already know, Binance owns WazirX, so Binance being the world’s largest crypto exchange in the world, offers and cares a lot for user security.
The volume of Trades: WazirX crossed $270 million in 24-hour trading volume on April 5, 2021.
User Experience: User experience on the WazirX mobile and web platform is extremely easy to use and understand. With simple UI and easy navigation, anyone familiar with the internet can easily use the platform without any struggle.
Areas WazirX Needs to Improve
Although it is owned by the largest cryptocurrency exchange globally, WazirX still struggles to cope with a sudden surge in user and volume of trades.
In my experience, WazirX struggles to take deposits when the market takes a dip, and there is a sudden surge in the volume of trading.
WazirX doesn’t have a stable banking partner to take care of deposits and withdrawals. However, I never faced any issue with withdrawal other than a couple of times where the fund was reverted into my bank account. WazirX had several banking partner changes due to some regulation and legal circumstances, still, not a good sign.
Some of Key WazirX Features
WazirX has some unique features which make it very attractive when compared to its counterpart. Some of the key features of WazirX, which I found very interesting, are as follows.
Referral Program: WazirX will share 50% of the commission charged with you if you refer anyone. And the best part is, there is no limit on how much you can earn.
P2P: Both buyer and seller can do P2P(Peer to Peer) transactions where WazirX will match the buyer with the seller instantly. WazirX will act as an escrow to ensure the safety of both the parties and its 100% free of transaction charges.
NFT: WazirX also launched their NFT platform, where anyone can collect NFTs. You can check out some of the cool NFTs here.
Transaction Charges: WazirX will charge 0.2% on every transaction. That’s one of the lowest across market.
Accessibility: WazirX is accessible on every possible platform/Operating System you can think of. WazirX is available on Web, Android & iOS mobile, Windows, and Mac.
Wrapping Up
Cryptocurrencies have been seeing unprecedented growth all over the globe, and WazirX has been at the forefront of the Indian Crypto Market. However, while cryptocurrencies have had luck with some small countries, bigger countries like the UK have recently banned Binance.
While some analysts have been very positive about some cryptocurrencies, Bitcoin and Etherium, only time will tell how everything will play out in the longer run.
If you want to invest in cryptocurrencies in India, there are several options now, Coinbase, WazirX, CoinSwitch by Kuber, etc.
We tried to list down some of the key pointers that make WazirX a safe option, not to imply that other platforms are not secure. Almost all major players in the market will for sure have great user security in mind.
Try out more than one platform to see which one you like the better, and there is no harm in that.
So, have you been using any of these platforms and what is your favourite cryptocurrency? Let us know in the comment section below.
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Disclaimer: The information shared above is my personal experience with WazirX and should not be treated as Financial Advice. Cryptocurrencies are extremely volatile investments and should be done only with a proper understanding of all possible events that could take place if the market fails to perform as per your expectation. Take professional Financial Advice before investing in Cryptocurrencies, and this article is not an endorsement of WazirX.