CoinSpot, originally from Australia, has an impressive selection of blockchain assets in the Australian Exchanges market. The trading platform has revolutionized the digital currency market by breaking technical barriers commonly experienced during digital currency transactions. This review is derived from a personal experience and gives a comparison between CoinSpot and other highly-rated cryptocurrencies.
Like other cryptocurrency exchange platforms, CoinSpot requires verification of personal details as the initial requirement. You are required to take a picture of yourself as the applicant holding a paper written with your full names next to your identification document. Verification should take minutes, but for my case, it took 24 hours. For cash deposits above AUD 2000 daily, an added verification step will require the applicant to add a photo that meets the platform’s requirements for safe transactions. Verification process in CoinSpot, verification is required and will consider in verifying yourself as a legitimate person. Due to terrorism, other measures users in coinspot will be necessary to take a photo of themselves with their Identification card. The process can be intrusive but is critical since it helps in stopping terrorism and money laundering. After CoinSpot has verified the uploaded verification details, they can proceed to deposit funds in order to purchase cryptocurrencies.
AUD Deposit to CoinSpot
Most cash deposit methods are expensive and often lead to unnecessary money wastage. Unlike BPAY and Cash Deposit that usually charge a deposit fee, I would recommend POLi or PayID that are absolutely free and fast. When depositing cryptocurrency directly to the CoinSpot account, the platform offers a direct access point on the Wallets option on the dashboard. Once you have opened the wallet segment, choose your ideal crypto coin, then select receive to finalize the deposit process. With your AUD or cryptocurrency deposited into Coinspot, you can officially commence trading.
Trading on CoinSpot Website
After looking at CoinSpots instant buying, selling, or swapping fees, it’s evident that newcomers might get taken advantage of if they’re not keen. The 1% fee is approximately ten times more than the 0.1% you’ll attract when buying, selling, or swapping through the buyers and seller’s market for the platform’s users market.
For example, if a trader bought AUD 20,000 of bitcoin using the instant buy, sell, or swap option, then sells it later, they will pay AUD 400 due to the 1% fee charged on both buy and sell transactions. Their fees can be reduced effectively by simply trading right. For people joining coinspot it is advisable to put funds that one does not need in the short-term and can be traded in coinspot
Screens to Avoid on CoinSpot
On the CoinSpot dashboard, always avoid the buy/sell, swap, and bundles options. These screens tend to attract beginners who want a simple way to buy cryptocurrency. The simplicity of just clicking a tab and completing a transaction is charged heftily through the 1% charge. Instead of using CoinSpot’s buy/sell/swap or bundle screens, go through the long process of buying and selling from existing users in the market. For swapping, sell the crypto you want to dispose of and use the AUD to buy your ideal crypto. Buy single cryptos and customize your own bundles instead of going for the platform’s bundle option. It would be best if you stuck to the Markets screen exclusively due to the fair 0.1% fee.
Trading Volume on CoinSpot
The more trading volume you have on CoinSpot, the easier it is to trade and liquidate funds. After comparing CoinSpot to Bitcoin, I realized that the latter has an ideal trading volume despite the fact that they do not give reports on their total trading volume as they should. Before trading cryptos on CoinSpot, I would advise you first to observe the trading volume for a moment to avoid attracting unnecessary execution prices in a low-action market.
Trading Coins on CoinSpot
Although CoinSpot offers a great crypto selection, as seen here, they have limited coins on the market to force people into using the instant buy/sell option that attracts the ridiculous 1% fee. To bypass this inconvenience, check other exchanges for the coin you’re looking to trade with and compare the cost with the instant buy/sell option on CoinSpot offers.
Safety Measures by CoinSpot
CoinSpot has maintained a safety-first culture that is considered a best-practice move in this industry. They offer Two-Factor Authentication options for fresh log-ins alongside strict restrictions and timeout limits when withdrawing funds from the platform in an aim to secure their client’s investments from cyber fraudsters.
CoinSpot stores the crypto funds safely in a no-internet wallet that makes it impossible to hack. A small fraction is left online to satisfy their customer’s withdrawal needs. Customers are required to adhere to the Anti-Money-Laundering Laws and other Australian banking laws to show adherence to the industry safety requirements.
CoinSpot is registered and licensed to use Digital Currency Exchange under Australian Transaction Reports and Analysis (AUSTRAC). AUSTAC is based in Australia and is used to monitor all financial traction in Australia. The firm is tasked with ensuring the safety of the public. The agency can terminate licenses if irregularities are found. This means they are compliant, and the government protects your funds against company irregularities and also helps in improving the legitimacy of coinspot. The public funds are safe and all investors who come in the company are assured of safety.
Conclusion and Recommendation
With a decent trading volume, cryptocurrencies in CoinSpot have a reasonable trading fee in the market. The platform’s exchange system is also efficient and competent in the field. I would recommend it on the condition of solely using the market for exchange, as discussed in the review.