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|
|Cryptocurrencies||BTC, BCH, ETH, XRP, ADA, XEM, LTC, XLM, TRX, DASH, NEO, XMR, EOS, QTUM, BTG, LSK, ETC, XVG, SKY, NAS, LINK, GO & over 100+ more|
Instant buy: 1%
Market order: 0.1%*
*Applies to BTC, XRP, LTC, DOGE, ETH, NEO, POWR, GAS
|Withdrawal Fees||None for Australian bank accounts|
- Buy with Australian dollars
- Huge selection of altcoins available to buy/sell
- Beginner-friendly interface
- Fund your account with cash, BPAY and POLi
- Compliant with AML/CTF laws
- High fees compared to other platforms
- Transaction limits for new users
- Verification required for AUD deposits and withdrawals
What is CoinSpot?
CoinSpot is a cryptocurrency trading platform that allows users to buy, sell and exchange more than 100 different cryptocurrencies.
Cryptocurrencies are digital assets 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.
Which countries is CoinSpot available in?
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.
As of April 2018, CoinSpot also complies with new AML-CTF (anti-money laundering and counter-terrorism financing) rules monitored by Australian regulators. This means the platform must verify the identities of its customers, report suspicious transactions and those that exceed $10,000, and keep transaction records for seven years.
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|
|Market orders (BTC, LTC, ETH and DOGE markets)||0.25%|
|Withdrawal of coins to a wallet outside CoinSpot||Varies*|
*This fee varies between coins and depends on how busy that coin’s network is. This fee will typically be almost identical across most exchanges worldwide.
CoinSpot has very clear-cut commission fees and there are no hidden charges to worry about.
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. Daily limit for cash deposit is $8,000. There is no limit on how much you can withdraw at once.
|Transaction type||Limit for BTC||Limit for ETH, XRP, BCC, EOS and LTC|
|Buy order||AUD$100,000 per transaction||AUD$50,000 per transaction|
|Sell order||AUD$100,000 per transaction||AUD$50,000 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.
Is CoinSpot safe to use?
CoinSpot is registered under an Australian Business Number (ABN) and is a member of the Australian Digital Commerce Association. It also complies with Australia’s latest AML/CTF laws.
You’ll need to complete a strict verification process before you can start trading on CoinSpot. This includes providing and verifying your email address and phone number, as well as uploading a photo of your ID, a photo of yourself holding a signed statement and proof of your address.
CoinSpot also utilizes a 2-factor authentication (2FA) system requiring users to verify their identities via their emails and cell phones. 2FA provides an extra layer of security against any viruses or attempts to hack your account.
CoinSpot features a customer support service run through Zendesk, allowing you to submit support tickets whenever you need. It also offers the option for direct contact via email, and there’s a large selection of FAQs and answers available through the platform’s help section.
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 bank statement to show proof of address
- Set up 2-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 may also contact you on the phone number provided to ask some questions and confirm certain details.
Pros and Cons
- User-friendly interface
- Wide selection of cryptocurrencies
- Compliant with AML/CTF laws
- Global traders may find the platform’s local Australia focus frustrating
- Transaction fees are higher compared to other exchanges