{"id":624285,"date":"2023-05-11T10:40:36","date_gmt":"2023-05-11T10:40:36","guid":{"rendered":"https:\/\/info.cashtocode.com\/?post_type=product&p=624285"},"modified":"2024-01-16T14:31:13","modified_gmt":"2024-01-16T14:31:13","slug":"coinmama-exchange","status":"publish","type":"product","link":"https:\/\/info.cashtocode.com\/en-ca\/reviews\/coinmama-exchange\/","title":{"rendered":"Coinmama exchange review"},"content":{"rendered":"\n
5.8<\/span>Expert Score<\/span><\/div>
Editor's comment<\/div>Coinmama is a user-friendly crypto exchange that lets you buy and sell cryptos. Despite the platform\u2019s modern interface, there are next to no security measures in place to safeguard customers, a low number of cryptos available to trade, no staking program, mobile app or live chat function and high transaction fees. However, you can find detailed FAQs on the customer support Help Centre page and fee discounts that are based on a tiered structure. <\/div><\/div><\/div>
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Coin coverage<\/span><\/div>\r\n\t\t\t\t\t\t\t\t
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5.6<\/div>\r\n\t\t\t\t\t\t\t<\/div>
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Fees<\/span><\/div>\r\n\t\t\t\t\t\t\t\t
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4.4<\/div>\r\n\t\t\t\t\t\t\t<\/div>
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Security<\/span><\/div>\r\n\t\t\t\t\t\t\t\t
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3.9<\/div>\r\n\t\t\t\t\t\t\t<\/div>
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Features<\/span><\/div>\r\n\t\t\t\t\t\t\t\t
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6.2<\/div>\r\n\t\t\t\t\t\t\t<\/div>
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Payment methods<\/span><\/div>\r\n\t\t\t\t\t\t\t\t
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9<\/div>\r\n\t\t\t\t\t\t\t<\/div><\/div>
PROS<\/div>
  • Transaction fee discounts of up to 25%\r<\/li>
  • Detailed FAQs on the online Help Centre \r<\/li>
  • Average rating of 4 on Trustpilot with 71% rating 5 star<\/li><\/ul><\/div><\/div>
    CONS<\/div>
    • Next to no security measures \r<\/li>
    • A low number of available cryptos\r<\/li>
    • High transaction fees\r<\/li>
    • No staking program\r<\/li>
    • Not regulated by the Financial Conduct Authority (FCA) in the UK \r<\/li>
    • No mobile app \r<\/li>
    • Limited customer support with no live chat function<\/li><\/ul><\/div><\/div><\/div><\/div>\n\n\n\n

      Cryptocurrencies<\/h2>\n\n\n\n

      Coinmama offers only 16 cryptos, but does include some of the biggest ones on the market such as Bitcoin, Ethereum and Ripple. <\/p>\n\n\n\n

      Bitcoin (BTC)<\/td>Available<\/td><\/tr>
      Bitcoin Cash (BCH)<\/td>Available<\/td><\/tr>
      Ethereum (ETH)<\/td>Available<\/td><\/tr>
      Ripple (XRP)<\/td>Available<\/td><\/tr>
      Solana (SOL)<\/td>Unavailable<\/td><\/tr>
      Dogecoin (DOGE)<\/td>Available<\/td><\/tr>
      Polkadot (DOT)<\/td>Unavailable<\/td><\/tr>
      Polygon (MATIC)<\/td>Unavailable<\/td><\/tr>
      Cardano (ADA)<\/td>Unavailable<\/td><\/tr>
      Litecoin (LTC)<\/td>Available<\/td><\/tr>
      Tether (USDT)<\/td>Available<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      In contrast, Kraken lists over 210 cryptos on its platform, while Binance offers more than 350. However, compared to its competitors, Coinmama offers transaction fee discounts of up to 25%. <\/p>\n\n\n\n

      Payment methods<\/h2>\n\n\n\n

      You can deposit and withdraw in CAD<\/strong>. Coinmama doesn\u2019t explicitly outline limits for all payment methods but does state on its site that they are determined by KYC verification.<\/p>\n\n\n\n

      Payment method<\/th>Limits<\/th><\/tr><\/thead>
      VISA daily limit (buying in FIAT)<\/td>$5,000 requires KYC verification, ID check and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $10,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $20,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months, a questionnaire and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date.<\/td><\/tr>
      MasterCard daily limit (buying in FIAT)<\/td>$5,000 requires KYC verification, ID check and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $10,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $20,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months, a questionnaire and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date.<\/td><\/tr>
      VISA monthly limit (buying in FIAT)<\/td>$15,000 requires KYC verification, ID check and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $30,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $40,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months, a questionnaire and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date.<\/td><\/tr>
      MasterCard monthly limit (buying in FIAT)<\/td>$15,000 requires KYC verification, ID check and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $30,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $40,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months, a questionnaire and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date.<\/td><\/tr>
      Wire transfer daily limit (buying in FIAT)<\/td>$15,000 requires KYC verification, ID check and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $35,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. $50,000 requires KYC verification, a second government-issued ID, a utility bill or bank\/credit card statement from within six months, a questionnaire and a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      Kraken requires KYC checks to buy, sell and trade cryptos but your country of residence must match your ID documents. The company asks you for a selfie<\/strong>, proof of identity, which can be a drivers licence, government-issued ID or passport, as well as proof of address, which can be a utility bill, correspondence from a government department or bank account statement.<\/p>\n\n\n\n

      Similarly, Binance requires KYC verification to buy, sell and trade cryptos but your country of residence must match your ID documents. Instead of a selfie, you need to complete face verification<\/strong> and this can be done on your desktop computer or via a QR code on the Binance mobile app. The company asks you for proof of identity, which can be a drivers licence, government-issued ID or passport, as well as proof of address, which can be a utility bill, correspondence from a government department or bank account statement.<\/p>\n\n\n\n

      CashtoCode eVoucher <\/h2>\n\n\n\n

      You can\u2019t fund your account with a CashtoCode eVoucher as this isn\u2019t offered at Coinmama.<\/p>\n\n\n\n

      Trading fees<\/h2>\n\n\n\n

      While there are no deposit or withdrawal fees, the platform charges high transaction fees and you need to pay an extortionately high express fee<\/strong> of 4.99% when buying crypto using VISA, MasterCard, Apple Pay or Google Pay. <\/p>\n\n\n\n

      Loyalty tier<\/th>Transaction fee<\/th>Transaction fee discount<\/th><\/tr><\/thead>
      Crypto Curious<\/td>3.9%<\/td>No discount<\/td><\/tr>
      Crypto Enthusiast<\/td>3.41%<\/td>12.5%<\/td><\/tr>
      Crypto Believer<\/td>2.93%<\/td>25%<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      Staking<\/h2>\n\n\n\n

      Staking isn\u2019t available at Coinmama. <\/p>\n\n\n\n

      Is Coinmama exchange safe?<\/h2>\n\n\n\n

      As an Over-the-Counter (OTC) exchange, Coinmama has been in operation since 2013 and amassed over three million users. The company has no industry-standard security measures in place that offer safety for users such as holding customers\u2019 assets 1:1 in custody or running a bug bounty program. <\/p>\n\n\n\n

      In addition, Coinmama faced controversy when it underwent a large-scale hack in February 2019. 450,000 users had their data breached when hackers stole email addresses and hashed passwords and then posted them on the dark web registry. However, a high percentage of users (71%) rate Coinmama with five stars<\/strong> on Trustpilot, which is a high indicator of safety. <\/p>\n\n\n\n

      Trustpilot<\/td>4 star<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      The most common issues raised are related to the account hacks and deposit delays. However, people praise them for a great registration process, with one user even pointing out how when experiencing a deposit delay, Coinmama issued him with a coupon for 25% off future purchases which is uncommon for crypto exchanges. <\/p>\n\n\n\n

      Security<\/h3>\n\n\n\n

      Coinmama has next to no security measures in place<\/strong> apart from two-factor authentication via SMS and holding nearly all customer assets in cold storage. The latter security measure is in order to provide protection against hacking since customer information such as bank account details or credit card numbers aren\u2019t stored on the platform. However, the company itself, which operates in the UK, remains unregulated by the Financial Conduct Authority (FCA).<\/p>\n\n\n\n

      Safe coins storage<\/td>98% of deposits are held in cold storage.<\/td><\/tr>
      Two-factor authentication<\/td>Two-factor authentication via SMS verification is required at Coinmama. <\/td><\/tr>
      Information security<\/td>Coinmama doesn\u2019t store or record any credit card or bank account information and all data is encrypted. <\/td><\/tr>
      Platform security<\/td>Undisclosed<\/td><\/tr>
      Network security<\/td>Undisclosed<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

      In comparison, Kraken\u2019s comprehensive security measures have earnt it an AAA rating by CER as the most secure crypto exchange in the world. The company has a number of legal, compliance and security measures in place including maintenance of currency reserves with cryptographically verifiable proof-of-reserve audits. What\u2019s more, a vast bulk of new deposits are transferred directly to offline wallets<\/strong> so only coins required to maintain Kraken\u2019s liquidity are kept in online wallets. <\/p>\n\n\n\n

      Similarly, Binance stores 10% of all trading funds in a secure asset fund and advanced end-to-end data encryption ensures that your transaction information is secured. You can activate account access controls <\/strong>that limit withdrawals to only certain IP addresses or wallets and the company also algorithmically tracks all accounts and can implement 24-to-48 freezes as part of security measures.<\/p>\n\n\n\n

      How to start trading at Coinmama exchange?<\/h2>\n\n\n\n

      Registration<\/h3>\n\n\n\n

      You need to create an account in order to register with Coinmama and this can be done by:<\/p>\n\n\n\n

        \n
      1. Visiting the homepage and inputting your email address so you can create a password and start the process. <\/li>\n\n\n\n
      2. You then need to verify your email address. <\/li>\n\n\n\n
      3. After verifying your email address, you have to submit personal details such as your full name, date of birth, residential address and gender.<\/li>\n\n\n\n
      4. You then need to enter your phone number to receive an SMS verification text message.<\/li>\n\n\n\n
      5. After verifying your phone number, you have to complete KYC verification.<\/li>\n\n\n\n
      6. Upon successful registration and passing verification, access to all functions of the site including higher limits are available to you.<\/li>\n<\/ol>\n\n\n\n

        KYC<\/h3>\n\n\n\n

        After filling in your account details, you need to go through multi-step KYC verification.<\/strong> This process is required for anyone who wants to buy or sell cryptos, regardless of the amount you wish to buy. Passing KYC checks also unlocks functionalities such as transaction fee discounts. <\/p>\n\n\n\n

        You must provide a clear and visible picture of the front and back side of your documents such as proof of address and passport. In addition, you need to complete a questionnaire<\/strong> and submit a selfie while holding a handwritten note that states \u2018Coinmama\u2019 as well as today\u2019s date. <\/p>\n\n\n\n

        Customer support<\/h2>\n\n\n\n

        Customer service options are limited at Coinmama, with only an online form to contact the company. <\/p>\n\n\n\n

        Live chat<\/td>No live chat available. <\/td><\/tr>
        Phone support<\/td>No customer phone line available.<\/td><\/tr>
        Email<\/td>No customer service email available.<\/td><\/tr>
        FAQs<\/td>Available<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

        Coinmama uses a ticketing system<\/strong> where users need to fill in an online form with a subject, description and optional attachment in order to contact the company. For users who are dealing with emergency account issues, there\u2019s no way to speak with customer service on the phone. However, this is compensated for by the detailed FAQs available on the online Help Centre page. <\/p>\n\n\n\n

        Conclusion<\/h2>\n\n\n\n

        Coinmama is recommended to users who are looking for a modern, user-friendly interface. However, there are high transaction fees, making the service less accessible for active traders<\/strong>, next to no security measures in place to safeguard customers, a low number of cryptos available, no staking program, live chat function or mobile app and the platform isn\u2019t regulated by the FCA. <\/p>\n\n\n\n

        But if you don\u2019t mind this, Coinmama can still be a great option if you\u2019re looking for a way to save money on fees<\/strong>, which is a major differentiating factor and unique selling point (USP) for the platform. Coinmama could improve its service by introducing comprehensive platform and network security measures, launching a mobile app and live chat function or increasing the amount of cryptos available to trade.  <\/p>\n\n\n\n

        Alternatives of Coinmama<\/h2>\n\n\n\n