Bitstamp is one of the oldest and most well respected cryptocurrency exchanges in operation today. Having been in operation since 2011, the exchange has built upon its European user base to become one of the most popular choices with cryptocurrency traders around the world. Bitstamp has offices in a number of locations and provides cryptocurrency trading solutions to clients located across the globe.

Bitstamp Review

Overview

Bistamp was founded by Damijan Merlak and Nejc Kodrič in 2011, and the pair aimed to provide a service that catered to a European client base and offered an alternative to a market that was dominated by Mt. Gox at the time. After starting out in Slovenia, Bitstamp branched out by opening a UK office in 2013 and one in Luxembourg in 2016. In addition to its office in Luxembourg, the exchange now has a presence in London and New York.

Bitstamp has become popular with both intermediate and experienced cryptocurrency traders who are interested in purchasing the more established cryptocurrencies by using fiat currencies. The exchange aims to offer its users a low-fee way of exchanging large amounts of digital currencies and it currently ranks among the top ten for its trading volumes. Bitstamp currently handles over $700m worth of cryptocurrency trades a day, and is one of the top exchanges for BTC/EUR, ETH/EUR trading pairs. However, over 60% of trading on the platform is taken up by USD trades of the top three cryptocurrencies.

Bitstamp Features

  • Functionality – The Bistamp platform is generally well designed and relatively easy to use. The site contains all the key data on prices and orders, whilst also providing constantly updated charts and balances. In addition to this Bitstamp provides a mobile app that is available to both iOS and Android users.
  • Low Fees – Bitstamp operates a lower fee system than the majority of cryptocurrency exchanges and international wire deposits accrue a fee of .05% fee with a minimum of 7.50 USD/EUR. International wire withdrawals accrue a .09% fee and the minimum you can withdraw via this method is 50 USD/EUR. Trading fees cost .25% for monthly volumes under $20,000 this drops all the way down to .10% for a monthly volume of $20 million.
  • Security – The team operate at a high level of professionalism and remain fully compliant with all digital asset regulations and consumer protection laws. The exchange places all its digital assets into cold storage, while its online assets are hosted on Amazon Web Services. In addition, its US Dollar Accounts are insured by the FDIC, while its funds are held in a New York-chartered bank.
  • Customer Support – There is an FAQ section provided that seeks to answer the most common questions as well as give instructions on how to buy and sell Bitcoin. Specific user inquiries are handled via email and the support team aims to reply to customer enquiries within a few hours. Members can also call their nearest office for emergency or more specific issues.
  • International Availability – In addition to be widely available across the EU and the US, the exchange is currently available to over 60 countries. These include Australia, Brazil, China, Hong Kong, India, Japan, New Zealand, Singapore, and South Korea.

 

Supported Currencies

Bitstamp currently focuses on providing access to the most established cryptocurrencies and operates markets featuring Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH), Litecoin (LTC), and Ripple (XRP). There are currently 12 market pairs being traded on the site which are linked to the 3 base currencies of the Euro (EUR), the US Dollar (USD), and Bitcoin (BTC).

As one of the older cryptocurrency exchanges in operation today, Bitstamp enjoys a high level of liquidity and currently handles over $700m worth of cryptocurrency trades a day. The exchange handles well over €100m worth of trades a day across its various Euro pairings, whilst handling over $400m worth of trades per day across its US Dollar pairings.

Bitstamp Signup & Login

Visit their official site and create an account by following the signup process. You can easily open an account by entering your name, email address, country of residence, and password. The following steps will enable you to quickly create an account.

By clicking ‘register’ on the homepage, you will be directed to give your name, email address, and country of residence. It’s also necessary to tick the terms and conditions box and click ‘register’.

After this, you will receive a “registration complete” email at the address you entered. Here you will also be provided with your unique client Id and password. These are automatically generated and you will be prompted to change your password after your first login.

You can now login to Bitstamp with your new details and you will be directed to a page that allows you to change your generated password.

At this point, you may also choose to setup 2-factor authentication and once this process is complete you will be able to access various features of your Bitstamp account.

Verify your account

In order to gain access to certain account functions such as bank transfers, it’s necessary to verify your account. Bitstamp provides personal and corporate accounts and both require the following documentation to become verified:

  • A valid Citizenship/National ID. Passports and drivers licenses can also be used.
  • Proof of residence, this includes a bank statement, utility bill, and a variety of government issued documents.

There is also a second verification phase that requires users to verify their phone number by using an OTP code that is sent to their phone. Once the entire verification process is complete, you will gain access all the features of your Bitstamp account and be able to make deposits, purchases, trades, and withdrawals via a number of different methods.

Make a Deposit

Before being able to trade or purchase any cryptocurrencies, it’s necessary to fund you account. This can be done by navigating to the Deposit tab in your account. You can choose to make a bank transfer, transfer your preferred cryptocurrency or use a credit card in order to transfer funds.

Trading on Bitstamp

Deposits made onto the platform can take as long as 1-3 working days, though some users do report much faster deposit times. Once your funds are available you can make a purchase by clicking the BUY/SELL button, choosing your preferred trading pair and placing a market or limit order. Once this is done, you just enter the correct price and quantity and process your buy order.

Trading View

After you complete your purchase, your account will be credited with your cryptocurrency purchase.  You may sell your cryptocurrency on the exchange or choose to transfer your funds to an external wallet that you control.

Supported Payment Methods

Bitstamp allows its user to make purchases via a number of different methods. The exchange supports a variety of payment options which include:

  • Credit/Debit Card.
  • International Wire Transfer.
  • SEPA.
  • Cryptocurrency Exchange (BTC, ETH, LTC, XRP, BCH).

Is Bitstamp Safe?

Bitstamp is one of the industry leaders in terms of its security procedures, and the platform has a good reputation as being a trustworthy exchange. However, Bitstamp has suffered hacks in its past and had to stop trading for a few days after incidents in 2014 and 2015. The latter incident proved to be the most serious as 19,000 Bitcoin were stolen after a successful hack on the exchange.

As a result of this, the team re-evaluated their security procedures and the exchange currently provides secure wallet options for all its customers. Also, approximately 98% of all funds are held offline in cold storage, meaning that they’re inaccessible to hackers. These funds are also fully insured, and the exchange also utilizes Two-Factor Authentication (2FA), mandatory confirmation emails, and SMS alerts in order to secure user accounts. On top of all this, it also uses PGP (Pretty Good Privacy) data encryption to help authenticate and keep all uploaded files private. Since the hack in 2015, Bitstamp has been free of any other incidents and has built itself a reputation as being one of the most secure exchanges in operation today.

Bitstamp Fees

Bitstamp operates a unified fee schedule which results in a lower fee system than the majority of cryptocurrency exchanges. The exchange maintains a comprehensive list of all its fees, and some of these include:

  • International Wire – 0.05% Deposit fee (minimum fee = 7.5 USD/EUR, maximum fee = 300 USD/EUR)/ 0.09% Withdrawal fee, minimum fee is 15.00 USD/EUR on Bitstamp’s end and may incur additional international bank fees.
  • SEPA – Deposits, free of charge/ Withdrawals 0.90 EUR.
  • Credit Card Purchases – 5% for all amounts (an additional fee may be charged by the card issuer).
  • Debit Card Withdrawals – $10 Fee for loading up to $1000.00, for loading more than $1000.00 a 2% fee is accrued.
  • Trading – Costs .25% for monthly volumes under $20,000 this drops all the way down to .10% for a monthly volume of over $20 million. All non-USD trading volumes are converted to USD using a spot exchange rate at the time of each trade.
  • Cryptocurrency – Deposits and Withdrawals of the cryptocurrencies traded on Bitstamp are made free of charge.

The minimum allowable trade is 5 Euro for Euro denominated trading pairs. The minimum allowable trade is 0.001 BTC for BTC denominated trading pairs. The value of minimum trades in other trading pairs will be denominated in the fiat currency of the particular trading pair and limited to 5 whole units of that currency (example: $5, £5, etc.).

Bitstamp Credentials

Bitstamp is a well respected exchange and one with a number of notable achievements and partnerships. As the first Ripple Gateway, Bitstamp was also the first partner in Ripple’s incentive programme. The exchange also has partnerships with CACEIS (Crédit Agricole SA) and Swissquote which is testament to its standing within the financial industry.

It was also the first fully licensed cryptocurrency exchange in Europe and is currently regulated by the Luxembourg Financial Industry Supervisory Commission (CSSF). This ensures that the exchange periodically files reports with the appropriate agencies and is fully compliant in its practices.

The exchange aims to provide its clients with an overall positive experience and feedback regarding the platform is generally positive. The majority of issues users have with the platform are linked to the customer support service provided as the support team usually take approximately 24 to 72 hours to respond to emails and support tickets. For new registrants, the verification process can also be quite slow as the exchange is currently dealing with a surge of new applicants. However, Bitstamp generally provides its clients with a reliable and efficient platform on which they can trade the more popular cryptocurrencies.

Conclusion

Bitstamp is a highly professional exchange that has established itself in the sector after being in operation since 2011. The exchange acts as a gateway into the world of cryptocurrency in a similar way to Coinbase and Kraken and allows new entrants to the market to make cryptocurrency purchases using fiat currencies. The exchange is a good choice for anyone looking for a secure platform that allows its users to purchase currencies such as Bitcoin, Ethereum, Ripple, and Litecoin.

Due to its low fees for transfers using SEPA, Bitstamp is also a good choice for people based in Europe. However, the exchange still has room to improve its service and can add new cryptocurrencies to its platform as well as integrate direct chat options into its support department.

In conclusion, the site is a good for choice for individuals and institutions looking to trade the core cryptocurrencies in either Euros or US Dollars. As one of the more established and reputable exchanges available today, users can feel secure when dealing with either smaller or more considerable amounts on the platform.

Pros

  • High volume and liquidity
  • Clear and low fee structure
  • Compliant and transparent practices
  • A reputable and globally available exchange platform

Cons

  • Limited cryptocurrencies supported
  • High fees for credit cards deposits
  • No Margin Trading
  • Slow support response during busy periods

3Commas

Bitstamp

8.4

Ease of Use

9.0/10

Reputation

9.0/10

Fees

8.0/10

Customer Support

8.0/10

Payment Methods

8.0/10

Pros

  • High volume and liquidity
  • Clear and low fee structure
  • Compliant and transparent practices
  • Solid Reputation

Cons

  • Limited cryptocurrencies supported
  • High fees for credit cards deposits
  • No Margin Trading
  • Support can be slow

Posted by Eugene Kem

Holder of a degree in Economics and passionate about the transformative potential of digital currencies.


All content on Blockonomi.com is provided solely for informational purposes, and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, product, service or investment. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate.

8 Comments

  1. Submitted my docs for verification 3 months ago and I still have no account.

    Reply

  2. I submitted mt verification account approved within 2 weeks

    Reply

  3. Technical support is very poor.
    I had a problem.
    Did not solve for 6 months.
    A very unsuccessful stock exchange on technical support.
    There are people trying to cheat you on reddit about this stock market.
    Please be careful

    Reply

  4. used to be good now really bad tradeview doesn’t work anymore how is one supposed to trade when their charts wont even load.
    Last time i deposited fiat it took over 1 month to clear costing me $60000 in lost revenue.
    Will not use again

    Reply

  5. Angelo AlbertiniApril 19, 2018 at 1:01 pm

    These funds are also fully insured….. Were does it state this on the Bitstamp website?

    Reply

  6. This is a worse website. Their system blocked my account because I tired to purchase too many times and when I called them they wants me to wait another 24 hours and try again one more time. Its stupid. Worse system. Please dont try it please.

    Reply

  7. Account was fully activate afer 1 Hour

    Reply

  8. I have tried use BitStamp. But this KYC process.. They ask for ALL docs i have.. I think become a FBI member is easier

    Reply

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