- Reliable cryptobroker
- Well established
Coinmama may not be a cryptocurrency exchange in the traditional sense of the concept. But it is an online spot where those interested in joining the crypto craze can buy and sell their digital assets quickly and fuss-free. That said, Coinmama does require account verification, and to use its services, you will have to deliver a plethora of potentially sensitive personal information to the operator. Such information includes an ID.
According to the official Coinmama website, the verification process should not take longer than 30 minutes to an hour.
Customer experience is the main focus of the brokerage. If you buy/sell cryptocurrencies at Coinmama, you will deal with the broker directly and not other users buying or selling their assets. On the one hand, this means that Coinmama can set the prices as it pleases. On the other, it makes transactions near-instantaneous.
Some of the biggest advantages of the service stem from the fact that Coinmama accepts SWIFT and SEPA transfers, credit cards, as well as ApplePay. Flexibility in this regard is a true asset in the cryptocurrency industry.
Another plus for Coinmama is that it has made its services available in an impressive number of countries.
The operation is currently based in Ireland. The corporate entities behind Coinmama are New Bit Ventures Ltd. and Cmama Ltd. The latter is a company registered under company number #672704.
The physical address of the operation is 3 Ballsbridge Park, Ballsbridge, Dublin, Ireland, D04 C7H2.
Launched back in 2013, the company is fully transparent about its staff. Its website lists every person currently working for the company, offering detailed personal information.
It is unclear whether Coinmama possesses any license currently. According to its website, it is registered as a Money Service Business with FinCEN, under number #31000172638926.
What do users say about Coinmama? The feedback about the quality of the services is mixed. Some people like it. Others have called Coinmama a scam.
- Most feedback providers praise the quality of the Coinmama support and the services it offers.
- Others appreciate the speed of the service. Despite the high fees, Coinmama delivers the purchased crypto assets within one hour.
- The Coinmama support is knowledgeable and eager to help. Some users have asked questions about ETH gas fees and got satisfactory answers.
- The operation has helped some users recover crypto funds they had lost years ago.
- Some users have committed mistakes like entering the incorrect address when buying bitcoin. Coinmama’s support staff recovered the funds and resolved the issue.
- The service is easy to use.
In addition to the scores of favorable user reviews, Coinmama has accrued a few complaints as well.
- Complainers mostly allege that they have lost their deposited funds through the operation.
- One user says that he/she contacted support and learned that Coinmama had restricted its sell services to SEPA banks only, even though the site said it worked with SWIFT as well.
- A UAE-based user has claimed that the operation does not allow withdrawals to that country.
- Other users have alleged that Coinmama steals personal information and uses it for fraudulent activities.
- Some users say that they have had their applications for the service permanently denied for no reason.
- Many complainers claim that Coinmama seized their deposits and refused to refund their monies.
- The identity verification process is the subject of many user complaints as well.
Why would you want to use Coinmama instead of another similar service or cryptocurrency exchange?
- Coinmama is legit and not a scam despite what some users say about it.
- The service is available in scores of countries, and for the most part, it works as advertised.
- The Coinmama customer service is knowledgeable and reliable.
- The broker features high limits on cryptocurrency purchases with credit cards. Namely, the minimum is set to $60 per purchase, while the maximum is $15,000. The maximum depends on your account level. The daily maximum is $5,000 or equivalent in other supported fiat currencies.
Coinmama Platform and Tools
The only platform the operation currently uses is its website. Coinmama users join, provide the information the site requires, and then access the Buy or Sell pages. There, they can fill in information such as what cryptocurrency they wish to buy, the amount, and the wallet address where Coinmama will transfer the freshly acquired digital assets.
Tools-wise, Coinmama features a bitcoin and Ethereum calculator. Traders can use these calculators to convert fiat to digital assets in real-time. The calculators update their rates in real-time. Please note that the rates the calculators use do not account for Coinmama’s fees. And these fees tend to be quite steep.
The bitcoin calculator doubles as a Satoshi converter. Users can enter the amount of Satoshi they possess, and the calculator tells them the value of the stash in USD in real-time.
A Buy Now button allows traders to complete a buy transaction directly from the calculator.
Commissions and Fees
Coinmama is a cryptocurrency brokerage. What this means is that it deals directly with customers, selling them digital assets and buying their digital assets from them. There is no third party involved.
On the one hand, this allows it to keep its operation extremely simple. That is why it can afford to not use a trading platform with an order book, etc. On the other, being a broker lets Coinmama set its fees the way it sees fit.
Right now, the brokerage service fee is 5.9 percent, which is indeed quite substantial. In addition to this fee, users pay a 5 percent credit card processing fee. Thus, the overall costs of a transaction exceed the 10 percent mark.
If you buy bitcoin for $1,000, it will cost you $100 to complete the transaction.
Research and Education
It is not in the scope of the operation to educate its clients on the ins and outs of cryptocurrencies in general. Thus, it only strives to provide education concerning the buying and selling of digital assets and how the service works.
The website also covers subjects like:
- Crypto wallets
- Account verification
- Buying cryptocurrencies through bank transfers
- The blockchain ledger
- Placing an order
- Order statuses and their meaning
It provides basic information on how users under various jurisdictions can buy and sell bitcoin, Ethereum, and other supported cryptocurrencies.
The Coinmama site features a couple of calculators and an exhaustive FAQ section that provides useful answers.
Most users heap praise upon the Coinmama customer service. Customer service representatives are eager and able to help, often sorting out seemingly impossible problems.
Users can contact Coinmama support:
- Through a live chat feature, directly from the website of the broker
- Through a Help Center
- By email, through the Contact page
Email works through a Contact Form. There is a California-based phone number users can also call for support: +1 (650) 600-9939. This is not a toll-free phone number.
The website of the broker works well through mobile devices. Users can buy/sell cryptocurrencies the same way they do through the desktop website. Access the website, choose the Buy or Sell option, and enter the required information.
Coinmama is not a cryptocurrency exchange, and its fees are high, but it offers a reasonable way for people world-over to buy and sell cryptocurrencies. As a brokerage, Coinmama deals directly with its clients.
The service features three levels of verification. The higher your verification level, the higher your daily and monthly buy/sell limits are.
Level 1 requires a government-issued ID, together with a photograph of the holder and a Coinmama note, featuring the current date.
Level 2 requires a secondary ID and proof of residence in the form of a utility bill.
Level 3 only requires the completion of an additional form.