Bitstamp bitcoin exchange review – May 2022
Bitstamp is a “Big Four” digital asset exchange that has earned the trust of the global blockchain community.
In 2017, Bitstamp celebrated its sixth anniversary. Over that short period, it has become one of the world’s premier marketplaces for buying and selling bitcoin.
Bitstamp is often referred to as a “Big Four” bitcoin exchange. It has the distinction of being the first fully licensed bitcoin exchange in the world. Today, it commands high liquidity and a truly global client base.
|Product Name||Bitstamp Cryptocurrency Exchange|
|Fiat Currencies||USD, EUR, GBP|
|Cryptocurrencies||BTC, ETH, XRP, USDC, LTC, BCH, LINK, XLM, DAI, AAVE & 40+ more|
Credit or Debit Card
Faster Payments (FPS)
|Trading Fee||0.0% - 0.50%|
Credit card: 5%+
SEPA: 3 EUR
Wire: 0.1% (25 EUR/USD minimum fee)
What is Bitstamp?
Bitstamp is a European Union-based marketplace connecting buyers and sellers of bitcoin and other digital assets. As one of the most trusted names in the cryptocurrency market, Bitstamp allows traders to buy and sell bitcoin safely.
Bitstamp is one of the “Big Four” exchanges that determines the CoinDesk Bitcoin Price Index (XBP), which is based on specific criteria. Currently, the four exchanges representing the BPI include Bitstamp, Coinbase, itBit and OKCoin.
Which cryptocurrency pairs are available?
Bitstamp allows users to add funds through crypto and fiat currencies such as USD, EUR, GBP and CHF. The platform facilitates trading in the following cryptocurrencies:
- Bitcoin (BTC/USD, BTC/EUR)
- Ripple (XRP/USD, XRP/EUR, XRP/BTC)
- Litecoin (LTC/USD, LTC/EUR, LTC/BTC)
- Ethereum (ETH/USD, ETH/EUR, ETH/BTC)
This means you have the option of trading between cryptocurrency and fiat currency and among cryptocurrencies themselves.
Bitstamp is available worldwide, with offices in Luxembourg, the United Kingdom and the United States.
What payment methods are accepted?
Bitstamp accepts the following payment methods:
- Credit card
- International wire transfer
- Cryptocurrency deposit
How much will it cost me to use Bitstamp?
Like other major exchanges, Bitstamp charges a trading fee, which depends on the user’s 30-day trading history. The more you trade, the more you save on fees.
New accounts and those with the lowest volume are subject to a 0.25% trade fee. The fee declines substantially the more you trade, finally reaching a low of 0.1%. However, you would need to trade more than $20 million USD over a 30-day period to qualify for that ultra-low rate.
Debit card withdrawals, SEPA withdrawals, credit card purchases and international wire transfers are also subject to a fee.
A full breakdown of Bitstamp’s fee schedule, including withdrawal and non-standard processing fees, can be found on the Bitstamp site.
How fast will my funds be available?
In terms of deposits, a bank wire transfer usually takes two to five days and a SEPA transfer one to three business days to reach your account.
Cryptocurrency deposits depend on how long it takes for the blockchain network to confirm the transaction. Confirmation time is usually one hour.
In terms of withdrawals, SEPA zone transfers usually take two to three days. Clients outside the SEPA region usually wait five business days to receive their funds.
Are there any transfer limits?
To reduce the impact of rounding, Bitstamp stipulates a minimum trade size of US$5.00 on all trades.
The minimum international withdrawal is US$50.00.
Is Bitstamp secure?
Bitstamp is generally considered to be one of the safest platforms for buying and selling cryptocurrency. The two-factor authentication and anti-money laundering guidelines greatly enhance Bitstamp’s security.
The company is also transparent about what information it collects and how it uses it. At the same time, account verification requires a valid government-issued photo ID and proof of residency. These are standard guidelines for regulated bitcoin exchanges.
Increased demand has put considerable strain on Bitstamp’s service department. As such, receiving a response may take a little longer than you had planned.
You can contact the customer support team anytime by logging into your account and opening a new ticket. Here, you’ll have access to more than two dozen categories. However, Bitstamp hopes that its detailed FAQ section will answer most of your questions.
Pros and cons
- Globally recognised bitcoin exchange
- Enables crypto-to-crypto and crypto-to-fiat currency transactions
- Highly liquid
- Low transaction fees
- May not be suitable for beginners
- High deposit fees on small amounts of money
- Limited payment options
- Limited selection of altcoins
Once you have done your due diligence and decided to trade on Bitstamp, opening an account is fast, easy and free. To register, go to the homepage and select “Create Account”. After filling out the form, you can login and select your funding method. You will be presented with two main choices: bitcoin you wish to sell or fiat currency you would like to use to buy bitcoin.
Frequently asked questions
Image source: Bitstamp
In addition to buying and selling cryptocurrency, Gemini users can store their tokens directly with the company in a highly secure offline wallet.
What cryptocurrencies can I buy, sell and trade?
Gemini supports the bitcoin and Ethereum tokens. These are the top two digital currencies by market capitalization.
When it comes to trading, the following pairs are supported:
Where is Gemini available?
Globally, Gemini is available in the United Kingdom, Canada, Hong Kong, South Korea and Singapore.
What payment methods are supported?
Gemini only accepts US dollars via Automated Clearing House (ACH) deposits or wire transfers. No other funding method is accepted at this time.
Transaction fees and charges
Depositing USD into your Gemini account is completely free. The exchange does not charge for wire transfer or ACH deposits. However, wire transfers may be subject to bank fees.
Gemini does not charge fees for wire deposits or withdrawals anywhere in the world when trading in bitcoin and Ethereum.
Transaction processing times
Wire transfers sent domestically before 3:00 p.m. ET are usually available in your account the same day or next business day.
Bank transfer deposits via ACH usually clear in about 4 to 5 business days.
Are there any deposit/withdrawal limits?
There are no limits on deposits or withdrawals for either individual or institutional accounts. Bank transfers via ACH have the following limits:
Is trading on Gemini secure?
Gemini is considered to be one of the most secure cryptocurrency exchanges on the market for US residents. Not only is it governed by the Bank Secrecy Act (BSA) and anti-money laundering (AML) rules, client deposits are eligible for Federal Deposit Insurance Corporation (FDIC) insurance coverage. The company is also heavily capitalized to protect the digital currency you store offline.
In the case of Gemini, you are sacrificing some privacy for better security. The account verification process requires that you provide sensitive details about yourself, such as your social security number (SSN) and photo ID.
Gemini accounts are also equipped with 2-factor authentication, which safeguards the login process.
If you decide to use Gemini’s wallet services, most of your digital assets will be stored offline in a disconnected, air-gapped storage system for added protection.
To get started with Gemini, visit the website and select whether you want to open a personal account or institutional account. You can also register for Gemini’s Custody Service (i.e. wallet), where most tokens are secured offline in an air-gapped storage system that is physically disconnected from any networks.
Pros and cons
- Strong reputation backed by two leading investors
- Dollar-to-crypto and crypto-to-crypto trading
- Available in most US states
- Discounts and rebates for high-volume traders
- Strict regulation comes at a cost – in this case it’s the loss of privacy
- Limited selection of altcoins
- Limited funding methods
Gemini provides a self-help style customer support page through its Help Center, which has a detailed FAQ section broken down by the following categories: General, Trading, Developers and Security. If you have a specific question in mind, you can type it in the bottom tab labelled “Support”.
If the FAQ section doesn’t help, you can send an email to customer support by selecting “Submit a Request” at the top right-hand side of the page.