Home / Bitcoin News /Bitstamp Exchange Review | Fees, Security, Pros And Cons In 2020

Bitstamp Exchange Review | Fees, Security, Pros And Cons In 2020

26 Feb 2020

If you are looking to find out if Bitstamp is the right crypto exchange for you, then you should continue reading our Bitstamp review.

Bitstamp Review: Exchange Overview

Image result for bitstamp exchangeBitstamp launched its operations back in 2011, which makes it one of the pioneers of the cryptocurrency exchange industry. Its founders are Nejc Kodrič and Damijan Merlak, and the business was initially based in Slovenia. It was among the first Bitcoin exchanges that competed with Mt.Gox during its glory days.

The exchange then relocated to the UK in 2013, and then to Luxembourg in 2016 to obtain the first certification that was available at that time for crypto exchanges. The license issued by the Luxembourg authorities allowed the exchange to legally operate as a payment institution. Bitstamp was acquired by Belgian company NXMH in late 2018.

Bitstamp holds the title of the first fully regulated cryptocurrency exchange in the industry. Due to the European Union (EU) “passporting” rules, where if a financial services provider is legally allowed to operate in one EU member state, then the provider can extend its services to all 28 EU states. (More on what countries are available later in our Bitstamp review).

The exchange caters mainly to EU-based clientele, but it offers its services to other regions of the globe.

At the time of writing, Bitstamp has an average daily trading volume of $120.503.271.

Supported Currencies and Available Countries

Bitstamp currently supports the trading of five different cryptocurrencies on its platform:

There are currently 14 trading pairs. Moreover, Bitstamp supports the trading of all its listed cryptos against fiat currencies EUR and USD. Each crypto has a pair against USD and EUR, and all altcoins have a pair in which they trade against BTC.

In addition to the 28 EU member states, Bitstamp can also be accessed by 50 different countries outside of the European continent, including:

Åland IslandsArgentinaAustraliaBarbados
BrazilBruneiCayman IslandsChile
ChinaCuraçaoDominicaDominican Republic
EcuadorFaroe IslandsFrench PolynesiaGibraltar
GreenlandGuadeloupeHong KongIndia
IsraelJamaicaJapanJordan
KuwaitLebanonMadagascarMozambique
New ZealandPeruPuerto RicoQatar
RéunionSaudi ArabiaSingaporeSouth Africa

Bitstamp Compatibilities

Bitstamp can be accessed by using their online platform, which is compatible with all common web browsers on any PC, tablet, or laptop.Bitstamp App

The exchange also developed mobile versions that can be downloaded for free on the Apple App Store and Google Play. The functionalities of the exchanges’s interfaces will be covered in the next subpoint of our Bitstamp review.

User Interface and Experience

Bitstamp’s UI has been reported to be easy to navigate, but the trading area itself is harder to grasp for newbies. You can access the main dashboard functions by clicking on one of the links at the top of the screen.

Clicking on the “buy/sell” button will redirect you to the trading area. The left side of the page displays the 14 crypto pairs.

Source: Bitstamp

There is also the option of an “instant order,” which is a simpler way of buying and selling crypto.

The mobile app incorporates some of the main account features, such as buying and selling cryptocurrencies, trading charts, and account balance viewing. You can remotely disable the app from your desktop account in case something happens to your phone.

How to Get a Bitstamp Account

  • Bitstamp AccountGo to the Bitstamp homepage.
  • Click on “register.” On the upper right of the screen.
  • You will be required to provide some personal information, such as full legal name, email address, and country of residence.
  • Confirm your email address by clicking on the verification link sent by Bitstamp.
  • After this, you will receive your unique account ID.
  • Write the code down.
  • Select a strong password.
  • Set up two-factor authentication (2FA).
  • Enable two-factor authentication and write down your authentication key.
  • Download Google Authenticator and type in the key.
  • For crypto deposits, you are not required to have your identity verified. For fiat deposits via debit/credit card or bank account, you must first pass the identity check.
  • Documents that are accepted include a government-issued ID, such as a passport or driving license, a copy of your proof of residency, such as a utility bill with your address on or a bank statement.
  • Go to your account and click on “verify.”
  • Click on “personal account verification.”
  • After providing the required documents, wait for 24 hours for Bitstamp to confirm them.
  • You will receive an email stating you are verified.

How to Use Bitstamp

Depositing funds

  • Go to the top of the screen, click on “deposit.”
  • Select a method of payment.
  • Type in the number of funds you want to deposit.
  • Click on “confirm.”
  • Wait for funds to be credited.

Buying crypto

  • Click on “buy/sell” located at the top of the screen.
  • Choose which cryptocurrency trading pair you want to buy or sell.
  • You will be taken to the trading page for the cryptocurrency you have selected. From here, input the amount you want to trade, and if you want to buy or sell the asset.

Bitstamp Exchange Fees

All the fees are calculated on the client’s 30-day trading volume. The trading volume takes into account all trading pairs and is denominated in USD at the exchange rate when the trade was made.

Users are moved to a new fee tier within 24 hours from the moment they meet that specific tier’s requirements.

  • Credit card purchases incur an additional 5% card processing fee.
  • Crypto deposits come with no fees attached.
  • Crypto withdrawals have the following fees: Bitcoin: 0.0005 BTC, Ethereum: 0.001 ETH, XRP: 0.02 XRP, Bitcoin Cash: 0.0001 BCH, Litecoin: 0.001 LTC.
  • Withdrawing funds to your credit or debit card will have a flat fee of $10 for sums under $1000. If you transfer more than $1000, the fee is 2%.
  • SEPA deposits are free, while withdrawals have a fee of 3 euro.
  • Bank wire transfers have a deposit fee of 0.05% and a withdrawal fee of 0.1%.

Payment Methods

Bitstamp accepts deposits and withdrawals in all its supported cryptos as well as fiat options via SEPA, bank wires, and credit/debit cards.

Transaction Times

Transfers via debit or credit card are usually credited instantly on Bitstamp, but bank transfers can take up several business days to appear in your account.

Transfer limits

The exchange has a minimum order limit of 25.00 USD/EUR for pairs with USD/EUR, and a minimum limit of 0.001 BTC for pairs against BTC.

Security Features

Bitstamp securityBitstamp takes security and legislation seriously, holding a payment institution license from the Commission de Surveillance du Secteur Financier (CSSF) in Luxembourg. Due to its regulation compliance, the exchange must respect international AML and KYC regulations, requiring users to go through a verification process.

The platform implements several security measures in order to ensure customer funds safety:

  • Two-factor authentication (2FA) when logging in and withdrawing funds;
  • Google Authenticator;
  • Email confirmation;
  • 98% of customer funds are stored in cold wallets;
  • Yearly audits for accounts by a “Big 4” accounting company.

Back in 2015, Bitstamp suffered a hack in which more than 19,000 Bitcoin were stolen. A year prior, there was another hack attempt, but no funds were stolen at that time. Since then, the exchange has reportedly taken extra security measures to prevent such attacks from happening.

Customer Support

The Bitstamp support team can only be contacted via an email ticket system. Even if a phone number for UK, US, and Luxembourg residents is available, the calls are answered by a recorded message. The site features a detailed and comprehensive FAQ with answers to the most common questions. There is no direct chat feature.

As the number of traders grew during the great Bitcoin surge, there were many ticketing emails sent to the exchange, and as such, there was a massive lag in responses. Most of the complaints of that time can still be found on Bitstamp review sites. In recent times, the only reported issue was with the long identity verification process.

Bitstamp Ticket Support System

Bitstamp Exchange Reputation

Due to its licensing and ability to operate in the US, Bitstamp is considered a reliable crypto exchange. Both mobile apps are highly rated by users in their respective stores, with thousands of reviews.

Bitstamp Exchange Review: Verdict

Bitstamp is one of the crypto exchanges that has stood the test of time and manages to still be relevant in the crypto world even today, when more and more exchanges and platforms are cropping up out of nowhere. We recommend the platform for advanced traders, as its interface was designed to cater to their needs.

The Review

Bitstamp Exchange Review

4.4 Score

Bitstamp is an advanced trading platform, which is considered a reliable crypto exchange. The platform has decent fees and supports debit/credit card transactions. The downside is that Bitstamp has a limited number of crypto options, and customer support needs improvement.

PROS

  • Advanced trading platform
  • High liquidity
  • Supports debit/credit card transactions
  • Bank wire and SEPA supported
  • Completely regulated exchange
  • Supports USD and EUR pairs for all cryptos

CONS

  • Support needs more work
  • Long KYC process
  • Limited number of crypto options

Review Breakdown

  • Supported Currencies
  • Rates and Fees
  • Security
  • Transaction Speed
  • Ease of Use
  • Customer Support

Source From : Coindoo News

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