In this Coinmama review, all details regarding the exchange will be discussed to help traders decide on whether to use this exchange to buy or sell cryptocurrencies of their choice.
Coinmama Review Summary
Coinmama is one of such emerging crypto exchanges that has been serving millions of clients from 188 countries worldwide. They are mainly known for quick transactions. At Coinmama, You can buy Bitcoin and 9 other cryptocurrencies instantly with ease.
Coinmama is an established brokerage firm that offers trading services for Bitcoin and other leading cryptocurrencies. It is a more suitable exchange for beginners to buy a first Bitcoin.
The major drawback of Coinmama is its fees. Coinmama charges approximately 5.9% fees per transaction. But they provide excellent support for any kind of issues that adds value for money.
|Supported Fiat Currencies||All|
|Supported Cryptocurrencies||Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, EOS, Cardano, Litecoin, Tezos, Qtum, Ripple|
|Spread||XBX + 2% (standard deviation)|
|Commission Fee||Up to 3.90%|
|Depsoit Methods||Credit card, Debit card, Bank transfer (SEPA), SWIFT, Wire transfer|
|Deposit Fee||5% on credit card|
|Account Transaction Limit|| |
|Daily Credit Card Buy Limits|| |
|Daily Bank Transfer Buy Limits|| |
|Customer Service Options||Email and support tickets|
|Mobile App Availability||No|
What Is Coinmama?
Coinmama is a crypto exchange that was founded in 2013 in Israel. Later on, Coinmama registered in Dublin, Ireland under the name New Bit Ventures Ltd. This exchange allows clients to buy and trade any type of cryptocurrencies using multiple modes of exchange like Apple Pay, credit card, bank transfers, or wire transfers like SWIFT, Fedwire, SEPA, and Sofort, to name a few.
Buying bitcoin or other leading cryptocurrencies becomes easier if you have a registered Coinmama account. Coinmama is the perfect platform for first-time bitcoin buyers. However, seasoned buyers can switch on to other platforms anytime as they wish.
Coinmama Review – Overview about the Platform
Coinmama provides brokerage services to buy bitcoin and other leading cryptocurrencies. Unlike other exchanges that allow users to buy coins from other people, at Coinmama, users can directly purchase coins from the exchange itself, as Coinmama sells bitcoin directly to clients.
Coinmama also allows clients to buy and sell their bitcoin even if they were purchased from a different exchange other than the Coinmama cryptocurrency exchange. This saves a lot of time for the clients as they don’t have to look for buyers to sell bitcoin. The Coinmama cryptocurrency exchange is also making serious efforts to reduce the brokerage fees as much as possible.
Advantages of Coinmama
Coinmama Review – Advantages
1) Instant Buying of Bitcoins
Coinmama accepts multiple modes of payments, which makes processing easier and faster. Paying through bank transfers, credit cards, or wire transfers helps clients to receive their coins within minutes.
2) Instant Selling of Bitcoin
Coinmama also allows users to sell BTC even if they were purchased on a different cryptocurrency exchange.
3) High Spending Limits
Traders can buy bitcoin whenever they want to buy, worth up to 30 000 USD at a time. The minimum number of bitcoins that can be bought on Coinmama is 60 USD or its equivalent in EUR/AUD/CAD GBP/JPY. However, the buying limits depend on the account level of the clients, with daily buying limits set at 5, 000 USD, and the monthly buying limit set at 15, 000 USD.
Coinmama Review – Account Transaction
There are 3 levels of Coinmama verification procedures that the users need to go through for making any kind of purchase. The sending limits increase with each level of verification. In the Level 1 verification process, traders need to produce 1 valid government-issued ID, like a voter card, or a driver’s license, a selfie of the trader holding that ID card, and a note with “Coinmama” and the specific date written on it.
In the Level 2 verification process, the traders need to upload a secondary ID and a valid utility bill.
In the Level 3 verification process, traders are required to fill the form at the Coinmama exchange’s website.
4) Safety Features
Coinmama provides a safe cryptocurrency community to buy and sell bitcoin. Coinmama never stores the payment information of any client like their account details or wallet addresses, which helps in protecting the customers’ funds or bank account details. Clients can use third-party broker wallet addresses to have full control over their bitcoin holdings.
5) User-Friendly Platform
Unlike most other cryptocurrency exchanges that require a learned professional to help traders to use the trading platform, Coinmama is self-explanatory. One can easily understand the working procedures of the exchange by logging into the Coinmama website. One can find every single detail there, and the registration process is also straightforward. Traders need to sign on to the Coinmama website and register by providing basic details like full name, address, phone number, and a valid email ID. Then, they are required to lock their login credentials with a strong password. Ensure that you remember the password every time you log in to the broker website, write it on a piece of paper if necessary, keep it in a safe place, and never share it with anyone.
Coinmama Review – Our Values
Then, there will be three stages of Coinmama to verify your account (Level 1, 2, and 3) wherein each level; the trader needs to produce specific ID proofs to verify his details. After that, the trader needs to click on the “Buy” tab and choose the preferred crypto that he wants to buy. The next step is to decide the amount that the trader wants to spend on purchasing his preferred coins. Once he clicks the “Buy Now” tab and submit the payment details, the purchased coins would be credited to the trader’s wallet.
6) Supports Multiple Currencies and Payment Methods
This is perhaps the most sought-after benefit that people look for. At Coinmama, people can choose any crypto pair of their choice from the long list of cryptocurrencies that the exchange supports. Tradable currencies include Bitcoin, Ethereum, Bitcoin Cash, Cardano, Ripple, Litecoin, EOS, Tezos, and Qtum, Ethereum Classic.
Coinmama Review – Buy Cryptocurrency
Apart from the advantage of multiple currencies, Coinmama users also enjoy the privilege of multiple payment methods. Coinmama accepts credit and debit cards issued by Visa or Mastercard. The company has also started accepting payments by a bank transfer (SEPA, SWIFT, Fedwire, FasterPayments, and Sofort) with 0% processing fees. It has also recently collaborated with Apple Pay and now supports payments via the Apple Pay gateway. Prices are denominated in EUR, AUD, USD, GBP, CAD, or JPY.
7) Worldwide Support
Coinmama offers its brokerage services worldwide in over 188 countries except for some sanctioned countries and several US states.
8) Customer Service
Coinmama focuses on delivering better customer support services and customer experience to clients so that the transactions are super quick. The new bit ventures platform has a complete customer support center with a dedicated support channel that can be reached through emails. The customer support team tries their best to answer the client queries within a maximum of 24 hours.
Coinmama Review – How we can help?
Disadvantages of Coinmama
Our Coinmama review finds that the major disadvantage of Coinmama is its fees. Due to higher fees, traders prefer to leave Coinmama and join other exchanges to get the benefits of lower exchange fees.
The price stated on the Coinmama website includes the company’s brokerage fee of 5.9%. The base price is calculated based on TradeBlock’s XBX index. A 5% extra credit card processing is added to the stated price, which means Coinmama’s price stands at 5.9% above the market rate. Let us find out the Coinmama fees in detail.
1) Credit Card Fees
Though the ability to use credit and debit cards, for purchasing cryptos on the Coinmama exchange is a boon for traders, they are very expensive. If any of these cards are used, one needs to pay an extra charge of 5% above the rate that the Coinmama exchange charges. This extra cost needs to be paid irrespective of the cryptocurrency exchange used for purchasing cryptos; extra costs always accrue every time traders use fiat money (debit cards or credit cards).
2) Coinmama Fees
On top of the credit or debit card fees charged on the Coinmama exchange, there is also an average fee of 5.5% to 5.9% for every transaction made on the Coinmama platform. However, the exact fee depends on the number of cryptos a trader intends to buy. These escalating fees can turn out to be expensive for regular buyers who intend to buy a larger number of cryptocurrencies; normally Coinmama is not for regular buyers; it is for beginners. On the contrary, it is also very true that whichever exchange you buy your cryptos from, if you are using real money, there will be high fees involved, and Coinmama is no exception.
However, this is to be noted that there are no withdrawal fees on the Coinmama exchange.
3) Limited Number of Coins to Choose From
At Coinmama, traders have a limited option of cryptocurrencies to choose from. It allows traders to buy only 10 cryptocurrencies at a time that includes two leading cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH). This is a disadvantage of Coinmama compared to other exchanges like Coinbase – One of the Top Bitcoin Exchanges, which offers more than 100 cryptos to its users. Coinmama appears to be the least dominant option for traders.
Coinmama Review – Cryptocurrencies we offer
Steps to Buy Cryptocurrency on Coinmama Exchange
With Coinmama, purchasing cryptocurrencies is no more a daunting task. The whole process gets completed within a few minutes. Here are the few steps that we found while making this Coinmama review that makes the crypto buying process easier on such a platform.
1) Choose Your Coin
This is the first step where traders need to log into their Coinmama cryptocurrency account and choose the preferred coin they want to buy and the currency they want to make the payments with. Very few crypto exchanges allow traders to trade with fiat money. Coinmama is one of them that allows traders to make payments using credit or debit cards (fiat money) for purchasing bitcoin directly from the exchange’s website.
Coinmama Review – Cryptocurrency
2) Select Amount
After you have finished selecting your coins, you can choose any of the cryptocurrency packages from the exchange’s website. Or else you can manually enter the specific purchase amount that you would like to spend for buying bitcoin. Click on the “buy now” option.
Coinmama Review – Select Amount
3) Enter your Wallet Address
Set up a cryptocurrency wallet and then enter your wallet address from the preferred third-party wallet provider (broker) This is necessary to send or receive bitcoin that will be stored in the wallet.
4) Choose the Payment Mode
After you enter the wallet address, you will be directed to a page where you will be asked to select the payment options that you prefer. There is a drop-down menu with multiple payment options like a credit card, debit card, wire transfers. For this, you need to provide your credit card information or bank account numbers.
Coinmama Review – Choose Payment Mode
5) Receive Cryptos Into Your Wallet
A wallet confirmation link will be sent to your registered email address. Click on the link and confirm your wallet address after which you will be sent your purchased BTC into that wallet address. You will be able to track the status of the purchase under the “My Account” tab on the exchange’s website.
Who Will Get Benefit by Using the Coinmama Exchange?
Coinmama platform is best suited for first-time cryptocurrency buyers. If you have read this full review on the Coinmama exchange, it can be assumed that you now know what the platform is all about. It is a cryptocurrency brokerage service company providing money services business to clients that is secure in all aspects. It allows buyers to directly buy cryptos from the exchange itself rather than buying them from other traders trading on the platform.
As per our Coinmama review, we found that the platform is best suited for first-time buyers. For first-time buyers who currently don’t own any cryptos can easily buy them using their credit debit cards or even wire transfers on the exchange.
Even if the traders at any point in time decide to buy a less popular crypto coin, they can easily trade it with other leading crypto assets like Bitcoin or Ethereum, which makes Coinmama a fitting platform to start. Traders can easily transfer their cryptos to buy Bitcoin or Ethereum anytime with other available cryptos on other exchanges that list the cryptos that the traders want and then trade them with their cryptos. Trading your preferred cryptos on Coinmama is as simple as that.
There are multiple exchanges like the Coinmama crypto exchange. Even if you don’t find your preferred cryptos on Coinmama, visit other similar exchanges that offer more crypto options for cryptos.
Conclusion on Coinmama
Coinmama is a perfect platform for users who want to buy Bitcoin instantly with ease, But the transaction fees are too high(5.5% – 5.9% approx). Coinmama review scores down due to high fees, lack of crypto wallet, and no mobile app. Though, Coinmama gets full stars in case of ease, quick transaction, and customer support.
As Coinmama is providing tremendous support in case of any issues, It is highly recommended for beginners. Coinmama does have a comparatively higher fee structure, but it compensates with excellent customer support that adds value to the money.
Looking at the FAQ page, we found the following FAQs:
1. Is Coinmama Safe and Legit?
Yes, as per our review, Coinmama appears to be legit and safe. It is a reputable brokerage service providing company that serves clients settled in almost all countries with a few exceptions.
2. How Long Does it Take Coinmama to Verify?
As per our review, Coinmama takes a minimum of 30 minutes to a maximum of 1 hour to complete the verification process. Once the Coinmama verification is successfully done, Coinmama immediately credits the crypto coins to the trader’s wallet. This immensely helps the traders in times of fluctuations that may lead to spending on buying bitcoin that the trader had expected.
3. What Are Coinmama Fees?
Coinmama fee combined of XBX + 2% (standard deviation) & commission fee between 2.1%-3.9% (depend on loyalty level). Total Coinmama fees stand approximately at 5.9% which goes down the more you buy. Also, when it comes to OTC exchanges, these prices are not far from competitive and other OTCs are even more expensive when using credit cards, but have hidden fees.
However, traders can also use wire transfers like SEPA, SWIFT, Sofort, Fedwire, FasterPayments, etc., instead of credit cards; with this, they can save 5% in total fees.
4. What States Does Coinmama Work?
Coinmama is an active broker across 188 countries and the following 43 US states:
Alabama, Alaska, Arizona, Arkansas, California, Colorado, Delaware, Georgia, Illinois, Indiana, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, New Hampshire, New Jersey, North Carolina, North Dakota, Ohio, Oklahoma, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Virginia, Washington, West Virginia, Wisconsin, and Wyoming.