Coinmama review 2022 Features, fees & more
Contents
Before you register for an account with Coinmama, it is advisable to set up a personal wallet that you will use to store the assets you have purchased. This is a necessary first step; as has already been mentioned, Coinmama does not offer a wallet service and does not store crypto on behalf of its customers. Coinmama uses full encryption technology to secure your personal details and uploaded documents.
Paying through bank transfers, credit cards, or wire transfers helps clients to receive their coins within minutes. Even though the transaction fee is on the pricier side, but the convenience is top-notch. It is one of the few platforms where you can safely transfer funds via credit/debit card.
100 USD is the minimum purchase amount for orders to buy cryptocurrency. Once you’ve neared your level 2 limit of 50,000 USD on the exchange, you’ll be eligible to apply for level 3. Users at this stage are required to fill out a form and send it in to Coinmama for verification.
Purchase Limit
From our perspective, Coinmama’s activities are an industry standard and are in line with privacy laws across major jurisdictions such as the EU and the US. However, this is fully explained in the FAQ section and the instructions are very simple to understand and follow. Once users have their own wallet, Coinmama is very simple and convenient to use.
You can reach the Happiness Heroes via a contact form on the Coinmama website. We found this venue to be the most reliable means of communicating issues because you have time and space to articulate them as best as possible. Also, the Happiness Heroes reach out faster on this venue. Alternatively, you could use the customer support email, but the response time is not as fast as with the former. The exchange obtained its license in Slovakia, but its operational headquarters are in Israel.
- Prices are denominated in EUR, USD, GBP, AUD, CAD or JPY.
- Coinmama customers have mixed feedback about this exchange, though it has a relatively high rating of 4.1 out of five stars across 446 Trustpilot reviews.
- We may receive financial compensation from these third parties.
- It simply sends cryptocurrencies to a wallet address of your choosing.
- This is probably because Coinmama does not store any user coins on its platform, instead of depositing them directly in the user’s external wallet.
- The business hour is Sunday to Thursday from 11 pm to 7 am Pacific Time.
Exchanges were reviewed on points including security, fees, number of cryptocurrencies available, and more. We also considered if the exchange is regulated by a proper agency or entirely decentralized. Our full cryptocurrency exchange methodology, including the review process and weighted data points, is available for review. Investopedia is dedicated to helping those interested in cryptocurrency investing make informed and safe decisions. We are committed to providing our readers with unbiased reviews of the top cryptocurrency exchanges for investors of all levels.
Credit Card Purchases
Its simple interface allows individuals to buy Bitcoin and other popular coins through payment methods such as credit cards, debit cards, and bank transfers. Users are limited to a European bank transfer in order to use the platform. Coinmama is strictly a crypto exchange and doesn’t hold user funds on its platform. Users must have a crypto wallet to initiate a transfer of funds.
Coinmama forces you to keep your coins off the platform which dramatically reduces the likelihood of losing coins to a hack. If you also use another platform like Binance it's equally important to withdraw your crypto from the exchange and store it somewhere safe. A hardware wallet like a Ledger or Trezor is always a great choice. Coinmama does indeed have a KYC verification program that investors will need to complete before they can purchase cryptocurrencies on their platform. While it's easy to buy Bitcoin on Coinmama they don't offer support for very many other cryptocurrencies.
Coinmama is a straightforward, user-friendly, and easy-to-use crypto exchange platform where you can buy a selection of cryptos and sell Bitcoin. Coinmama offers a wide range of cryptocurrencies that fills a much-needed void, by supporting the buying of digital assets using fiat money. One of the best things about Coinmama is that users can also sell Bitcoin for fiat money.
When you make a purchase, you are charged 5.50% and your cryptocurrency is sent to your wallet instantly. There is an additional 5.00% fee for credit/debit card transactions, charged by the payment processor. Banks may charge additional fees as some banks classify cryptocurrency purchases are cash withdrawals. Other crypto exchanges require you to first deposit fiat currency into your account, then buy crypto, and finally transfer the funds to your external wallet. Coinmama on the other hand, takes the payment at the point of sale, and sends the crypto directly to your wallet.
The platform enables users from 188 countries to buy and sell Bitcoin and altcoins using their credit cards, debit cards, Apple Pay, or bank accounts. The introduction of transactions being facilitated via Apple Pay is a recent addition keeping in mind the people’s heavy dependency on e-wallets in recent times. We will discuss more about the payment methods in our Coinmama review in detail.
Coinmama Review: Is Coinmama Right for Me?
For example, if someone wants to buy Bitcoin and BTC is currently trading at $10,000 then the market rate for the sale on Coinmama will be $10,200. First, it allows Coinmama to make a higher profit on each purchase. For instance, as this article was being written Bitcoin appreciated in price by more than 10% in about 1 hour. That's https://broker-review.org/ an incredible move and Coinmama's 2% markup tries to protect the platform against sudden volatility. Bitstamp’s brokerage service is almost identical to Coinmama’s, with about a 0.5% fee difference between the services. Bitstamp is one of the oldest and most respected exchanges out there, so it’s a solid alternative for Coinmama.
Coinmama does not offer trading options like margin trading and futures. And in the US, Coinmama is available in 48 states excluding New York and Hawaii. Coinmama provides its customers the option to buy crypto using their debit cards, credit cards, or Google Pay, and Apple Pay. Unfortunately, the exchange doesn’t support Discover, American Express, ACH transfer, and Paypal. There are no wallets on the site, meaning that any purchase made is sent directly to the purchaser’s wallet address of choice. There are 10 assets available to buy, but you can only sell Bitcoin.
You need to buy Bitcoins worth at least 60 USD or the equivalent in EUR/CAD/AUD/JPY/GBP. For level one, the daily buying limit is 5000 USD, and the monthly limit is USD. New investors utilize the platform to seek guidance from fellow traders. It is an excellent learning platform for anyone who is looking to invest in cryptocurrencies and be up-to-date with current market scenarios. Seasoned investors will tell you that one of the most frustrating things about purchasing crypto is that most exchange services do not allow the use of fiat currency. Rather, they usually require you to deposit using another crypto currency to make deposits.
A hot wallet is one users can easily access online, while a cold wallet is offline, often on a USB-drive like device, and the safest because they are out of a hacker’s reach. The transaction limit for this account is $15,000 per month and $5,000 per day. There are four account levels on Coinmama, each with a specific transaction limit. Coinmama is a limited cryptocurrency broker and is not an all-in-one solution. There are no deposit or withdrawal limits, only buy limits. Overall, Coinmama is a legit Bitcoin exchange but I don’t recommend it because of the high fees.
Coinmama only supports the buying and selling of digital currency and does not take deposits. The exchange accepts payments from SEPA, VISA and Mastercard payment cards, and bank transfers. Coinmama takes the security of its users' funds seriously and will not send coins to your wallet until you validate the wallet address via a confirmation email sent to you. If you use a credit or debit card, the confirmation link is sent once payment is approved. If you use bank transfers, the link is provided together with the order details and users can confirm the transaction and address details at any given time.
Coinmama Review: Overview
Likewise, you cannot trade with other users on the platform, which can be a downside for a user looking to have both buying/selling and trading options. Coinmama is one of the most established exchanges on the market. coinmama exchange review It offers a great, beginner-friendly platform that lets users purchase Bitcoin and other staple cryptocurrencies. The customer support is speedy and the website offers a comprehensive support section for users.
Conclusion: Is Coinmama Right For You?
It's one of the few inconvenient parts of using Coinmama, though. Other exchanges at least give you the option of crypto storage, allowing you to jump right in and make a purchase. Digital assets are NOT backed by any government or central bank. The risk of loss in trading or holding digital assets can be substantial. You should carefully consider whether interacting, holding, or trading digital assets is suitable for you in light of your financial condition. Coinmama has a strong customer service team called Happiness Heroes.