Coinsquare exchange review – May 2021
What are the pros and cons of buying on Coinsquare?
- Good for quick trades and ease of use
- Not so great for cryptocurrency selection
|Product Name||Coinsquare Cryptocurrency Exchange|
|Fiat Currencies||CAD, USD, EUR, GBP, CHF|
|Cryptocurrencies||BTC, BCH, BSV, DASH, DOGE, ETH, ETC, LTC, XRP, XLM|
Direct Bank Deposit
Interac e-transfer: 0%
Wire transfer: 0%
Direct Bank Deposit: 2%
Wire transfer: 2%
Wealth Wire: 1%
Rushed Wire: 2%
What is Coinsquare?
Coinsquare is a cryptocurrency exchange platform used to buy, sell and trade multiple currencies. At the time of writing in July 2019, it lists 10 different cryptocurrencies and allows you to trade against five different fiat currencies, including Canadian and US dollars.
Coinsquare automatically provides users with wallet addresses to keep track of their digital currencies. For added security, 95% of all funds are stored offline in cold wallets, which are less vulnerable to hacking.
To begin buying cryptocurrency on Coinsquare, you will need to do the following:
- Sign up for an account by providing your email address and basic contact information.
- Set up your trading profile.
- Verify your account one of two ways.
- Fund your account (with Canadian dollars or supported cryptocurrency)
- Begin buying, selling or trading for other fiat currencies, cryptocurrencies and precious metals
What can I trade?
Coinsquare supports the trading of seven cryptocurrencies, five fiat currencies and two precious metals.
- Bitcoin Cash ABC
- Bitcoin Cash SV
- Stellar Lumens
- Ethereum Classic
- Canadian dollar
- US dollar
- Swiss franc*
- British Pound*
*Only available to customers in Europe.
Decentralization was one of the biggest original draw cards of cryptocurrency, but it’s proven difficult to realize this utopian vision. Coinsquare is a centralized exchange, meaning it acts as a middleman handling the trading of cryptocurrencies to fiat currencies and vice versa.
While centralized exchanges generally offer more advanced features and tools and can be easier to use, they also come with some disadvantages. The exchange controls and holds your funds, transactions aren’t anonymous and because it’s centralized, it’s more prone to hacks.
Coinsquare caters to Canadian traders. In order to use the exchange, you’ll need to be:
- A Canadian resident. This includes citizens, permanent residents, landed immigrants, student visa, work permit holders and refugees.
- At least the age of majitory in your province or territory. You must be over the age of 18 in order to become a verified member. In some provinces, you will need to be over 19 to become a verified member.
How can I fund my account?
You can deposit Canadian dollars into your Coinsquare account using the following payment methods:
- Credit card
- Interac e-Transfer
- Wire transfer
How much will it cost me to use Coinsquare?
The processing fees for each of Coinsquare’s payment options are outlined in the table below.
|Funding method||Fee||Verification required?|
How fast will my funds be available?
The processing and withdrawal times vary dramatically depending on which payment method you are using. You can see the breakdown of the average processing times in the table below.
|Funding method||Processing time||Withholding time|
|Interac e-Transfer||0-2+ days||1 day|
|Wire transfer||Same day before 4pm EST||Instant|
How much does it cost to trade on Coinsquare?
The cost of trading on Coinsquare will depend on whether you’re using the Bit Markets or QuickTrade option.
- Bit Markets has a 0.1% maker fee and a 0.2% taker fee.
- QuickTrade has a 0.2% fee for Bitcoin* and a 0.4% fee for all other coins.
*At least one of the coins being traded must be Bitcoin.
How can I withdraw funds from Coinsquare?
You can withdraw funds from your account using the following methods:
|Withdrawal fee||Minimum||Maximum||Processing time||Fee||Verification required?|
|Direct bank deposit||$20||$10,000||1-3 days||2%||Yes|
|Wire transfer||$10,000||$100,000||1-3 days||2%||Yes|
|Wealth wire||$10,000||$100,000||1-9 days||1%||No|
|Rushed wire||$50,000||Unlimited||1 day||2%||No|
Are there any transfer limits?
The Coinsquare platform enforces both minimum and maximum transfer limits, depending on which payment method you use. You can view the limits in the table below.
Is it safe to use Coinsquare?
Coinsquare employs all of the standard security measures to ensure the safety and privacy of their users, including two-factor authentication (2FA) and cold storage of 95% of funds.
According to their website, Coinsquare has not lost a single coin since 2015, the year they went into business. Their technology has been tested extensively against a distributed denial of service attack (DDoS) and other threats.
According to a settlement agreement between Coinsquare and the Ontario Securities Commission, Coinsquare has admitted to past market manipulation and misleading clients about trade volume. However, the events referred to in the settlement took place in 2018 and 2019 and Coinsquare is now under new directors and management.
In order to access the full benefits of Coinsquare, you will need to become a verified user. To become a verified member, you’ll need to provide:
- Proof of address. Submit a copy of a document such as a CPP, EI, T4 or notice of assessment from the government, or a copy of a municipal utilities bill or official bank statement. Your full name and address must be listed on the document and it must have been issued within the last three months.
- Proof of identity. Submit a copy of a government-issued ID such as a Canadian passport, driver’s licence, citizenship card, etc.
Users can maximize their security by adding two-factor authentication (2FA). When you enable 2FA, it adds an additional layer of security on top of providing your username and password. With 2FA enabled, you must have access to your mobile device in order to log in.
Coinsquare gives you two options for two-factor authentication: Coinsquare 2FA and Google 2FA. Depending on whether you activate Coinsquare 2FA or Google 2FA, you will either have to scan a QR code or enter a six-digit code or token respectively at the time of log in.
If you lose your 2FA device, you can contact the customer service team and request a 2FA reset, which will require you to attach a photo of yourself holding your government-issued ID, along with a sheet of paper clearly stating your username, your account ID and the current date.
- Coinsquare mobile app. Download the Coinsquare mobile app from the Google Play store or the App Store and trade on the go. The app has all of the same features as the online platform.
- Coinsquare Wealth. This is an exclusive service offered to those who trade over $25,000 worth of orders at one time. You will receive exclusive benefits including discount funding and withdrawal fees, faster withdrawal speeds, a dedicated wealth director and access to invite-only VIP events and newsletters.
Coinsquare offers customers a few different methods to contact customer support, including the following:
- Lodging a support ticket. You can open a support ticket for all account-specific problems or requests.
- Email. You can email the support team for any non-account related issues.
- Mail. You can mail a letter to the Toronto PO box address listed on Coinsquare’s site.
Pros and cons
- Can deposit Canadian dollars
- Immediate trades with the QuickTrade trading feature
- Easy to use interface and website
- Choice of cryptocurrency, fiat and precious metal buying, selling and trading
- Large choice of payment methods
- Trade on the Coinsquare mobile app
- Centralized exchange
- Limited range of cryptocurrencies available to trade
- Limited advanced trading features
Compare Coinsquare against other exchanges
While Coinsquare is an easy-to-use platform, veteran traders might find the services offered a bit basic compared to other platforms that are more complex, but if you are new to the world of cryptocurrency trading, Coinsquare’s platform may be a good option for you.
To get started with Coinsquare, sign up for a free account online through their official website. Choose a username and password and input your email address. Once your account has been opened, become a verified member to start buying, selling and trading cryptocurrencies.