Cryptocurrency trading and mining have invoked a lot of interest in Malaysia recently. This is mainly because of its ease of investment and the availability of exchanges that facilitate this form of investment in the country. Investing in cryptocurrencies is not just about putting your money and waiting for its growth. You will need to do your own research to learn about the process and other related information before venturing into this exciting money market.

Know the rules of trading

For beginners in any form of investment, safekeeping your money would be most important. You do not want to put your money in a place which is unsafe. So you will need:

1. A reliable exchange where you can trade comfortably
2. A cryptocurrency wallet which is accessible only by you

What does it take to trade cryptocurrencies in Malaysia?

Once you have found the suitable exchange to trade your cryptocurrency, then you are ready to go! The process to start will need you to have an account that you can access. Think of this as a bank account that you can put and withdraw funds (if there are any). To start your account, most exchanges will require you to:

1. Go through a registration process. A unique identifier will be required like your email address. It is highly recommended that you include your mobile phone number as well.
2. The exchange will then require you to go through an authentication stage. In 2018, the most secure method is the 2FA or Two-Factor Authentication process.
3. Once that is done, you can now access your cryptocurrency account. Double-check your hash address which must be unique only to you
4. Then, you can start depositing into your cryptocurrency account and start trading

When you decide to register with the exchange, there are several issues that you must bear in mind. This includes:

1. The reputation of the exchange and where is it from
2. Can you access your account from any place and at any time?
3. Is there a good and robust security protocol provided?
4. What rates are imposed when you deposit and how do they charge commission when you trade the cryptocurrencies?

Cryptocurrency Exchanges in Malaysia

Bank Negara Malaysia, the central bank of Malaysia is the sole issuer of Malaysian currencies. It does not recognize cryptocurrencies as legal currency as yet. In order to regulate the processes and protect investors from scams and losses, a list of registered exchanges has been made available. Among those in the list are:

1. Blockchains.my – Available through bcmy.io, this renowned exchange allows you to trade Bitcoin, Ethereum and Bitcoin Cash, among others
2. ADD Token – You can trade DASH, Bitcoin, Ethereum, Ripple and others here through its platform www.addwill.co
3. Belfrics – Available at malaysia.belfrics.com, you can trade a wide range of cryptocurrencies here including Bitcoin Cash, Ethereum, Bitcoin and BET or Berlium Tokens
4. BXM – This exchange operates in Malaysia through www.exchangemalaysia.io
5. Luno – A popular exchange available through www.luno.com/en, it has an address in Malaysia where you can trade most of the major cryptocurrencies
6. PINKexc – Known to have the only cryptocurrency ATM in Malaysia, you can trade Bitcoin and Ethereum here
7. Ourcoin – available through www.openbit.my, this exchange is popular for Bitcoin trading

What other issues must you know about this investment?

Before investing into cryptocurrencies, there are several other issues that you must always remember.

1. The cryptocurrency market, as lucrative as it might sound is very volatile where you can very swiftly lose a lot of money (and profit as well)
2. The cryptocurrency exchange does not make any part of Bursa Malaysia
3. You will hear of names like Bitcoin and Ethereum, but there are many others as well. Do not limit yourself only to those you always hear about
4. Always plan your investment, create a strategy and see it through

Mining your own cryptocurrency

Besides buying cryptocurrencies, mining your own is a great method to getting your hands on some. However, this requires you to have some form of initial (and longer-term) capital as you need very powerful computers and other overheads. Before you venture into mining your own cryptocurrency, study the process and what is required. This is where you might want to go for the more reputable cryptocurrencies like BTH (Bitcoin) and ETH (Ethereum).

Cryptocurrencies in Malaysia

As you would know by now, cryptocurrencies are still not legal tender in Malaysia although you can buy them from sellers via Remitano and Localbitcoins. It is not against any law to mine your own cryptocurrency in Malaysia but you will be competing against the bigger players like those in China. After all, you would need a substantial amount of computing power and a lot of electricity to mine your own cryptocurrency. Perhaps, the quickest way to owning cryptocurrencies would be to buy them from exchanges like Belfrics and Luno, to name a few.