Coinmama Review: Everything You Need to Know About Coinmama
Are you currently investing or considering investing in cryptocurrency? As you may be aware, cryptocurrency has seen a rather controversial trading history with some governments and financial institutions backing monetary transactions in cryptocurrencies while others are refusing to legalise them. In the midst of this chaos and confusion, the question is posed on whether cryptocurrencies are legally authorised trades. There are some exchange and purchase platforms that have been recognised.
Amongst the leading cryptocurrency platforms in the world, the most widely used, trusted, and safest that is gaining popularity is Coinmama. It is not a platform that allows trading; it only allows the purchase of cryptocurrencies like Bitcoin and Ethereum.
Coinmama is registered in Slovakia by New Bit Ventures Limited, and its headquarters are in Israel. It is also registered in the USA as a money service business. While not all countries have legalised and regulated cryptocurrencies, Coinmama is the only leading brokerage platform that operates and executes orders in 188 countries while also being available to take orders from 24 states in the US.
As such, in this Coinmama review, we will provide you with information on everything you need to know about Coinmana, including the features that makes this platform safe, how it works, fees, and more.
What Makes Coinmama Safe?
The fact that the platform only allows purchases, not selling or trading, means that it has to deliver the cryptocurrency to the buyer. So, to make it safe for buyers, the cryptocurrency is delivered directly from the company’s share or holdings, and this is what makes Coinmama safe.
Coinmama sells not only Bitcoin and Ethereum but also Bitcoin Cash, Litecoin, Cardano, QTUM, and Ripple. Even for purchases of Bitcoin that does not require customer registration of cards, Coinmama does not save the card details nor store money in the wallet. A new wallet is made on every new purchase. The address of the receiver is verified by email with a confirmation link that is sent to your email. Is coinmama legit? As such, Coinmama is absolutely safe and legal!
How does Coinmama Work?
Coinmama is a website. There are no apps available for purchase or download. Neither can other developers and users make customs applications for the same. It cannot be replaced or duplicated.
The platform requires the buyer to be 100% KYC compliant as Know Your Customer regulations are strictly followed by the company. The buyer must register themselves with all the required KYC documents submitted, which include government issued identity cards that detail the address, the sex of the person, name, and birth date. The credit card and debit card number that is going to be used to make a purchase should also be detailed out.
The images and files submitted should be of good quality, limited to a size of 8MB and the date of expiry (where applicable) should be clearly visible. These documents, once submitted, will be processed in a few hours during standard business hours but may take a few more over the weekend and in the evening. The initial verification is done by the customer care team. It is done in an estimated ten minutes and once the verification is the complete, the buyer can make a purchase immediately. That’s quick, right?
On making a purchase, i.e., placing the order, the rate is locked immediately. This is done so as to avoid any sort of confusion. Coinmama has made sure that there is no discrepancy about the time and the rate at which the cryptocurrency order is placed. Customers should know exactly what they are going to receive in delivery. Aborted orders are replenished with money back in their accounts within 48 hours. The quick and easy purchase process makes Coinmama the world’s favourite place to buy cryptocurrency.
Bitcoin Purchases on Coinmama
The rules slightly differ for Bitcoin purchases. These can be made without the registration of payment cards. You can directly make a purchase for the number of Bitcoins you want to buy and then proceed to the normal payment page where you can use your credit debit card details for the final payment. This is the time you can add your wallet address for Bitcoin delivery.
Once the final payment process is done on the checkout page, the team will verify the card’s details and wallet address. Once the credit card is processed, the delivery process is started immediately. A minimum purchase of $60 is required on the Coinmama website; of course, you should keep the Bitcoin rate in mind with this minimum purchase limit.
Fees and Limits on Coinmama
Coinmama charges 5.5% per transaction. Other platforms might be a bit more competitive. The cryptocurrency rate that you see on the website at the point of purchase includes the Coinmama fees.
For the convenience that it gives you to make payments via credit card and debit card, Coinmama charges an additional 5% per card billing. In the case of a cash advance being made, an appropriate fee could be charged by the bank or the institution issuing the card.
As for limits, credit card transactions are favoured. Buying limits remain high for orders placed through credit cards. The more detailed, verified, and confirmed your payment and address details, the more the account limits for purchases may be enhanced. Registered users can make purchases upto $5,000 per day with $30,000 being a monthly limit, irrespective of verification.
Per day limits span 24 hours while a moving total of the last 30 days is considered before calculating a monthly limit. You will be charged foreign exchange fees for purchases made in currencies other than the US dollar and the euro. A limit of a $15,000 purchase can be availed through a basic government identification for verification. If you provide two proofs of identification, the limit is increased to $50,000. Lastly, only Coinmama offers $1million worth of limits provided you submitted your identification and filled in a form that is especially designed for higher limit buyers.
Pros and Cons of Coinmama
The advantages of using Coinmama include:
- It is safe as the platform follows rules and regulations as well as formally concludes all legalities associated with purchasers from different countries.
- Development of the platform has been immense while technical glitches are rare.
- No fraudulent activity has been reported and cryptocurrency bought has always been safely delivered to the buyers.
- They do not hold or save credit card information, which makes your purchase safe.
- They have a brilliant customer care system with the timely handling of queries, issues, and payment hassles. As can be expected, there are only longer wait times from Coinmama’s customer care over the weekends.
Even though it seems as if the advantages outweighs the disadvantages, here are the cons:
- Coinmama is a buyer-only platform. It does not allow the selling or trading of cryptocurrencies. Other popular cryptocurrency platforms offer other cryptocurrency features, such as the trading, seling, and buying of cryptos.
- As compared to other cryptocurrency platforms that offer almost 70-80 cryptocurrencies, Coinmama has a limited variety of these on offer to purchase.
- In the process of trying to make transactions more transparent through debit and credit card purchases, they also push buyers to make purchases from their wallet. Although Coinmama does not keep any money in the wallet and transfers it back to the buyer it still remains the responsibility on the part of the buyer to replenish the wallet.
Coinmama is definitely a secure and safe brokerage platform from which to buy cryptocurrencies; however, it has its own set of limitations. The good part is that the limitations are not excessively intrusive to the buyer and they do not impede the growth of the platform. As a cryptocurrency brokerage site, Coinmama is totally safe and legal as this review has found.