Buy bitcoin with Australian dollars and enjoy free withdrawals to your bank account on this popular cryptocurrency exchange.
CoinSpot is one of Australia’s most popular cryptocurrency exchanges. The main reason it’s so popular is probably because it’s local. That means Australians can make fast exchanges, and avoid transfer and currency exchange fees to get much better value for money on CoinSpot than elsewhere.
It also lets you buy and sell more than 50 cryptocurrencies with AUD, including bitcoin, Ether, Monero, Ripple and all the other top performers.
Plus, it’s well-established. It was founded in 2013, and has long-held reputation for reliability.
It has a lot of advantages for Australians, but how do the platform fees and features compare to others in the market?
|Product Name||CoinSpot Cryptocurrency Marketplace|
|Available Fiat Currencies||AUD|
|Available Cryptocurrencies||BTC, BCH, ETH, XRP, ADA, XEM, LTC, XLM, MIOTA, TRX, DASH, NEO, XMR, EOS, QTUM, BTG, LSK, ETC, XVG & over 45+ more|
|Payment Methods||Cash, BPAY, POLi, Cryptocurrency|
- Buy with Australian dollars
- Huge selection of altcoins available to buy/sell
- Beginner-friendly interface
- Fund your account with cash, BPAY and POLi
- High fees compared to other platforms
- Transaction limits for new users
- Verification required for AUD withdrawals
What is CoinSpot?
CoinSpot is a cryptocurrency trading platform that allows users to buy, sell and exchange dozens of different cryptocurrencies.
Cryptocurrency is a digital asset exchanged around the world, but getting started usually means buying with fiat currency (government-issued currency like USD).
While CoinSpot is based in Australia and requires resident verification for fiat currency deposits in AUD, investors in the US can still take advantage of CoinSpot’s access to a multitude of available cryptocurrencies by opening an account and transferring bitcoin (BTC), Litecoin (LTC) or Dogecoin (DOGE) that can then be traded for other altcoins on the exchange.
What makes CoinSpot unique?
Trading cryptocurrency can be frustrating. Anyone who’s compared a few exchanges has encountered too many poorly designed websites with confusing layouts, unclear features and unattractive interfaces.
CoinSpot’s easy-to-use interface is a nice change that other exchanges could learn from. The hardest part is deciding which crypto to buy and how much to invest, but actually buying and selling is very straightforward.
Just pick the crypto you want from the list and click on it. That shows you the current prices. It even includes the commission fee so you can see how much it actually costs.
All you need to do then is choose either how much crypto you want to buy or sell. The page automatically updates the prices when you enter your amounts. Once you’ve found the amount you want, just click the buy/sell button.
Which cryptocurrencies can I buy/sell?
CoinSpot offers exceptional variety by any standards. It also tends to be very good about offering brand new coins as soon as they’re available so investors can get in at the ground level.
As of the time of writing in December 2017, CoinSpot offered 65 different cryptocurrencies.
Which countries does CoinSpot support?
Cryptocurrency is a borderless technology, but exchanges like CoinSpot are still subject to local laws and regulations. This can be both an advantage and a disadvantage.
Traders who want more flexibility might prefer a service that’s not subject to Australian law, but others might enjoy the peace of mind that comes from using a compliant exchange that offers English customer service.
Cryptocurrency regulation in Australia, as anywhere, is subject to ongoing debate. This is something all crypto traders should be mindful of when weighing investment risks. Nonetheless, it’s clear the Australian government is taking a progressive attitude towards cryptocurrency and blockchain technology. Future regulation may change how cryptocurrency is purchased, traded or taxed locally, but at least for the foreseeable future, Australia looks to remain a crypto-friendly environment.
Fees and charges
The exact transaction fees on CoinSpot can vary from coin to coin, but the breakdown of costs is relatively straightforward.
|Transaction type||Percentage of transaction total|
|Withdrawal of coins to a wallet outside CoinSpot||Varies**|
*For convenience, this fee is automatically included in the buy/sell price you are shown.
**It varies between coins and depends on how busy that coin network is. This fee will typically be almost identical across most exchanges worldwide.
The good news is that CoinSpot has very clear-cut commission fees and there are no hidden charges to worry about. Some banks could learn from that.
The bad news is that CoinSpot trades with fairly wide spreads. You’re typically buying at the high end and selling at the low end of market rates, then paying a 2%-3% commission fee on top of that. It’s a high price to pay for convenience and simplicity.
Despite the somewhat unfavorable rates, it might still be hard to beat CoinSpot for value. This is especially true for smaller purchases that would get eaten up by flat transfer fees on other exchanges. This also works well with the exceptionally low minimum deposits available.
CoinSpot is one of the few exchanges where you could feasibly deposit some spare change to buy a few dollars of cryptocurrency at a time.
Are there any transfer/withdrawal limits?
Each buy/sell order is capped at a maximum of AUD$5,000 (a little more than $3,900 in US dollars) per transaction. There is no limit on how much you can withdraw at once.
|Buy/sell order||AUD$5,000 per transaction|
How fast will my funds be available?
- Wallet transfers. CoinSpot indicates most transfers will be sent immediately once a send action has been confirmed. However, the platform does say that this may take up to 12 hours when sending coins to a wallet outside CoinSpot. Manual approval is also sometimes required for certain wallets, so it’s important for you to keep this in mind when considering processing times.
These limits are in place because CoinSpot is bound by Australian financial regulations. Due to Australia’s Anti-Money Laundering and Counter-Terrorism Financing Act, and the present debate surrounding crypto regulation, it’s possible that the rules surrounding daily limits may change in the future.
Is CoinSpot safe?
CoinSpot is registered under an Australian Business Number (ABN) and is a member of the Australian Digital Commerce Association. These two factors are strong starting points when you’re assessing CoinSpot’s approach to privacy and security on its exchange.
CoinSpot utilizes a two-factor authentication (2FA) system requiring users to verify their identities via their emails and mobile phones. 2FA provides an extra layer of security against any viruses or attempts to hack. It also helps to decrease risk of identity theft or other traders using a false persona to trade with on the platform.
CoinSpot features a customer support service run off the industry standard Zendesk. It also offers the option for direct contact via email. In keeping with its user-friendly approach, CoinSpot ticks the boxes in this regard for offering a help section and clear channel of communication when needed, although some users have reported delayed response times.
How do I create a CoinSpot account?
Signing up at CoinSpot is similar to most exchanges, although verification requires some additional steps compared to other services and US residents will not be able to be verified for AUD deposits or withdrawals.
CoinSpot verification requires you to:
- Enter your full name and current Australian address
- Provide an Australian mobile phone number
- Upload a photo of your driver’s license, learner’s permit or proof of age card to provide proof of name
- Upload a photo of a utility bill or the back of your driver’s license to show proof of address
- Set up two-factor authentication
You will also need to upload a photo of yourself with a signed statement saying: “I, [Your Full Name], submit this photo to apply for a CoinSpot account to trade digital currency, and my code is [Your Code number]. [Your Signature]”
Your code number can be found under the Account > Verification section, as part of the verification process.
A CoinSpot representative will also contact you on the phone number provided to ask some questions and ask you to confirm certain details.
Pros and Cons
- User-friendly interface
- Wide selection of cryptocurrencies
- Global traders may find the platform’s local Australia focus frustrating
- Transaction fees are higher compared to other exchanges
- Transaction speeds may be too slow for daily traders in the long term