Coinmama has been around for some time now. It’s one of the most well-known exchanges on the market for a number of reasons, but mainly, its due to their reputation for security and efficiency. They’re definitely an exchange you can trust, according to many seasoned buyers and traders. But do they have what it takes to compete with other top-rated exchanges in terms of flexibility, services offered, and payment options?
Coinmama is also one of the most popular marketplaces out there with more than two hundred thousand users. This exchange deals in both Ethereum and bitcoin. While they don’t have the versatility that some lesser known exchanges offer, at least when it comes to trading in altcoins, this type of limitation doesn’t seem to affect their business in the least.
There are countless reasons to purchase bitcoin, but as the popularity of bitcoin continues to rise so does the interest in other types of altcoins.
Our Verdict: This is a very versatile exchange that offers a higher daily, weekly, and monthly trade limit compared to other exchanges, however, you’ll need to take extra steps to enjoy the level three unlimited status. The exchange only deals with bitcoin and Ethereum, so if you’re looking for an exchange that allows you to trade in lesser known bitcoin, this isn’t the exchange for you. While small, this exchange offers a top notch user experience and excellent site security. We would recommend this exchange for both beginners and experienced traders.
Continue reading to learn what makes this smaller exchange worth a second look.
Exchange Overview
This exchange offers a solid platform to purchase Ethereum or bitcoin via a credit card. However, the fees tend to add up quickly. Is this drawback and the lack of altcoin options enough to cause users to pass this exchange on by?
This exchange has been selling bitcoin for a number of years, and the buying process is pretty straightforward. The site itself has a simple, clean look to it, without a lot of flash. This will appeal to both experienced traders and newbies.
Once you visit the site, your first step is to create your account, which requires you to enter in your country of residence, email address, and name. You can purchase a single bitcoin, a fraction of a bitcoin, or multiple bitcoins.
However, before you can buy you must get verified and have your own digital wallet. The verification process requires you to provide proof that you are who you say you are, which can be done easily by sending over a photo of your license or passport.
Crypto Options
This exchange mainly focuses on bitcoin however, they also sell Ethereum, which is currently the second most popular currency available.
Yet you can’t sell your coin back to the exchange and the exchange also won’t connect you with any potential buyers. This exchange says they are coming out with a sell side function in the near future. But for now, if you want to sell off your coin, you’ll have to go somewhere else, such as the Paxful exchange. This type of limitation can be a deal breaker for serious traders.
Countries of Operation
Coinmama currently offers services in two hundred and twenty-six countries. The exchange also accepts all types of local currency.
The exchange also allows U.S. residents from the following states:
- California
- Arizona
- Florida
- Colorado
- Illinois
- Kansas
- Indiana
- Kentucky
- Louisiana
- Missouri
- Michigan
- Maryland
- Massachusetts
- Wisconsin
- New Jersey
- Nevada
- New Mexico
- South Carolina
- Pennsylvania
- Texas
- North Carolina
Payment Methods
Currently, Coinmama accepts payment methods that include Mastercard, Visa, and cash via money transfer.
The exchange also supports debit cards using the Simplex payment option. If you decide to pay in cash, you’ll need to use Western Union. The exchange doesn’t allow users to link their bank accounts.
Fees
Coinmama charges a five and a half percent transaction fee with every purchase. If you purchase coins using a credit card there with be an extra five percent fee by Simplex.
For some, these fees can be too steep and there are certainly several exchanges out there that offer lower rates. If you don’t have much money to invest in crypto then these steep fees can be a major drawback.
If you’d like to learn more about other leading exchanges, click here to read our guide on top-rated exchanges in the cryptocurrency world.
Rate Lock
If you’ve played the market for a while, then you know the price of crypto can fluctuate wildly. In fact, it fluctuates so much that some sellers try to change orders even if a transaction has already been made. But Coinmama prevents this from happening by locking the rate in at the time of purchase. This means you’ll get the right amount of coins, regardless of whether or not the price moved between the time you made the transaction and when you get your coins. This type of purchase assurance does come with a cost. Coinmama’s rates aren’t exactly the cheapest out there.
Transaction Time
Typically, it can take two to three hours until you receive your coin, even despite the fact that the process itself is usually very straightforward. Initially, it can take the blockchain several minutes to confirm the transaction, which will happen regardless of which exchange you use. Then, it will take an additional hour or two based on the type of payment option you used. Last of all, the exchange won’t send coin until they have confirmed your wallet address.
Limits
This exchange has a limit based on verification status, credit card purchase, and cash purchase. If you’re paying with a wire transfer, there’s a daily limit of five thousand dollars a day. With a credit card, the daily limit is twenty thousand dollars.
Lifetime Buying Limits
Coinmama does place a limit based on verification levels. Currently, there are three levels:
- Level one: $10,000
- Level two: $50,000
- Level three: No limit
With the level one option the exchange will require buyers to provide a photocopy of a verifying document such as a driver’s license or passport, in addition to their phone number, email, date of birth, address, and name. It can take the exchange several hours to review your information and approve your status.
If you want to buy more than ten grand worth of coins, which is for the level two status, you’ll need to provide a copy of your driver’s license and your passport.
For the level three status, you’ll be required to contact the exchange directly and they will provide you with the instructions.
The exchange also has a minimum purchase requirement of sixty dollars.
Security
This exchange is a registered money service that’s based in the Slovak Republic. It’s been in business for several years and has earned quite the reputation as one of the leading exchanges for buying bitcoin. To date, there have been no reports of hackers or loss of funds using this exchange.
Beginner Friendly
Some crypto exchanges feature a user platform that’s filled with extensive menus, graphs, charts, current market conditions, and other extras, failing to simplify the platform in order to make it easier to get around on the site.
Coinmama offers an easy to use interface that allows beginners to quickly navigate the site, giving it a beginner-friendly feel.
However, some new buyers may need more support regarding how and when to buy crypto and how exchanges work in general.
If you’re new to the world of cryptocurrency, you can click here to read our review on the CryptoCurrency Codex, a program designed for new coin buyers and traders.
Customer Service and Support
Coinmama offers customer service and support through email only. Unfortunately, this seems to be the norm for most crypto exchanges and it can be frustrating if you have an issue with a trade or you’re experiencing a glitch in the system that is making it impossible to use the platform. Many users have reported that a customer service rep often replies within one to two hours, which is better than average.
You can find service desk support documents that can help you troubleshoot common issues, directly in their FAQ section.
Pros
- Live pricing in both euros and USD
- You can buy fractions of coins
- Easy to use interface
- Reviewing orders is easy
- Three purchase limit options
- You can purchase coins directly from the exchange
Cons
- You can only buy coins, not sell them
- Payment options are limited
- You’re not able to link your bank account
- There is currently no mobile app available
Crypto Vetter.com Product Rating:
In terms of leading bitcoin brokers, Coinmama currently supports the most countries and supports many states in America. Their different levels of trading limitations will appeal to beginners and experienced traders. They also offer an easy to use interface that features a simple design that makes it easy and fast to navigate the site. Overall, this exchange provides a fun user experience and some great buying options. We gave this exchange a rating of four and a half out of five stars.
Checkout Coinmama Here!
