Coinmama is a crypto exchange that is known for its variation of payment options, that include the ability to buy digital currencies with Visa or Mastercard credit cards. This practice may have earned it users, but likely not among investment advisors: Buying any investment like digital currency with a credit card that is of high-interest can be a risky business. Here is a Coinmama review for your detailed analysis.
Coinmama Review: Features
This Coinmama review will revolve around the explanation of its features and its pros and cons. So without any further delay let us get started with the Coinmama review 2021.
The users of Coinmama can purchase Bitcoin Cash, Ethereum, Bitcoin, Litecoin, Qtum, Ripple, Ethereum Classic, Tezos, Cardano, and EOS. However, the users can only sell BTC for fiat currency (such as U.S. dollars) on the crypto exchange. That may be a turnoff point to users who are looking to cash in other digital currencies or make cryptocurrency-to-cryptocurrency trades.
The simple transaction flow of Coinmama that is purchasing and selling directly from the company lends itself to the simple design of the site. Users choose how much they want to purchase, either by the U.S. dollar amount or the amount of BTC. The site sells fractional shares of BTC, so the user can make purchases for as low as $50 worth of Bitcoin that is based on its present spot trading value. Sales of Bitcoin have a $200 minimum.
Crypto trading costs and transaction fees:
To trade digital currency, Coinmama charges 2% above the market rate as stated by TradeBlock’s XBX Index. Along with that, there is a commission fee of more than 3.9% on crypto buys and up to 0.9% to sell BTC. By comparison, SoFi Active Investing charges 1.25% for BTC trades, eToro charges fees that are less than 1% and Robinhood charges no fees for BTC trades.
Coinmama provides reduced Coinmama fees to sell through its loyalty program. Users who make $5,000 in their buyings of more than 90 days get their sales fee decreased by 12.5%; users who purchase $18,000 more than 90 days or a lifetime purchase amount more than $50,000 get 25% off their sales fee.
Advantages And Disadvantages Of Coinmama Crypto Exchange
Now that you know the features of Coinmama, it will be easier for you to determine whether you should use this exchange or not. But before that let us quickly have a look at the pros and cons of Coinmama crypto exchange. If you are wondering how to buy Bitcoin on Coinmama, you are at the right place.
Here are the pros on why you should choose this exchange for all your crypto transactions.
- Offers access to 10 cryptocurrencies.
- No fees for crypto deposits or withdrawals.
- Range of payment options..
Here are the reasons why I should give it a second thought when it comes to choosing Coinmama crypto exchange.
- Higher fees than some other providers.
- Doesn’t allow crypto-to-crypto transactions.
- No Coinmama wallet or mobile app.
After this Coinmama review, it can be concluded that this crypto exchange is a good choice for those who like to deal with some handful of cryptos and not many. Other than that this exchange does not charge any additional fees as well which is also an added advantage.