Our Coinmama review will address several key areas that we have deemed important to those looking to find the best cryptocurrency exchanges with whom to purchase and sell digital currency.
As cryptocurrency increases in popularity at an astounding rate, many are searching for a site where they can safely and quickly get their hands on digital currency. Established in 2013, Coinmama is a ‘buy-only’ site that provides consumers clients with the ability to quickly purchase the most popular forms of cryptocurrency (Bitcoin and Ethereum).
With headquarters located in Israel, Coinmama is a popular choice amongst consumers due largely to the ease of the transaction process. They service clientele in over 220 countries from around the world which illustrates their tremendous popularity. In the American marketplace, coinmama usa provides the ability for American citizens in 23 of the 52 US states to purchase digital currency.
Is Coinmama safe?
It is important when identifying a suitable cryptocurrency exchange to identify whether the company that you are interested in offers a safe and secure service. So, is Coinmama legit?
The regulation of Coinmama
Coinmama has been a money service offering the ability to clients to purchase digital currency since early 2013. Coimmama’s parent company New Bit Ventures Ltd is registered as a Money Services Business with the Financial Crimes Enforcement Network (FinCEN) which ensures that the Coinmama site operates with legitimacy and under strict regulatory requirements.
The Coinmama site provides a few security measures to help keep customer funds safe and secure. The first of which is the encryption of personal information and documentation using SSL encryption. In addition, credit card details provided by clients are never stored on the company website or servers which ensures maximum protection of these details.
Our coinmama review identified that currently there is no two-factor authentication process offered to their clients. This means that password protection is not as effective as it is on opposition sites such as Coinbase. Potential users should ensure that their password chosen is one that is difficult to crack, such as one involving both upper and lowercase letters as well as symbols and/or numbers.
So, is coinmama safe? Despite several security measures that could be improved further, overall coinmama is quite secure. This is largely because when purchasing from Coinmama, the allotment of Bitcoin or Ethereum that you obtain is covered by the company’s own supply of coins thus eliminating having to purchase from other parties. However, as with any site that deals in cryptocurrency, users should take special care when engaging in financial trading practices.
There are two types of cryptocurrency that are available for purchase with Coinmama. These are the most popular digital currencies in the marketplace, Bitcoin and Ethereum. As a fiat cryptocurrency exchange, Coinmama’s main purpose is to provide users keen to enter the world of digital currency trading with the opportunity to buy the most popular forms of digital currency. Therefore, the capability to purchase lesser forms of cryptocurrency is not available at Coinmama. To purchase other forms of altcoins you’ll need to access a pure cryptocurrency exchange such as Cryptopia once you have purchased Bitcoin or Ethereum with Coinmama.
Coinmama provides services to 226 countries from around the world, these countries are in Africa, Asia, Europe, South America, North America and Australia/New Zealand.
For coinmama usa clients, there are restrictions placed upon which American states are eligible to access the site. As of the time of writing, the 23 US states with access to Coinmama are: Arizona, California, Colorado, Florida, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Michigan, Missouri, Montana, Nevada, New Jersey, North Carolina, Pennsylvania, South Carolina, Tennessee, Texas, Virginia and Wisconsin.
The Coinmama purchase process
Our coinmama review 2018 has investigated how the purchasing process works for the benefit of our readers.
The first step is to register for an account. This can be done easily and quickly by submitting a simple online form with your contact details and selection of a password. Click the create account button and you’ll receive an email within seconds that you’ll need to verify to complete the registration process. This should take no longer than 3 minutes from start to finish.
Having registered, you’ll need to log in and then you are free to purchase Bitcoin or Ethereum. To do so, you’ll need to provide evidence of identification. This requires the completion of a verification form that includes your name, DOB, gender, address and an approved form of identification, such as a driver’s license or passport. This can take a few hours to be completed and verified but then you are free to continue the purchasing process.
A key advantage that coinmama provides over their competitors is that to purchase cryptocurrency you do not have to register your debit or credit card. Simply choose the desired purchase amount and provide your credit card details in the payment section. Coinmama will not store your credit card details, instead, they’ll be passed along to your credit card company to complete the payment process.
Please note that coinmama does not provide an online wallet to store your cryptocurrency, this means that the customer will need to set one up themselves at an external site.
Coinmama charges a high fee for each transaction performed on their site. This fee is currently set at 5.5% per transaction. This is included in the price of Bitcoin or Ethereum that is displayed on the website. Additionally, there is a 5% fee placed on top of the standard transaction fee for each credit and debit card transaction.
Our coinmama review 2018 was happy to identify that there are high buying limits available to users. Users can purchase $5000 per day in cryptocurrency although there is a limit of $20,000 per month. Different levels of verification might limit the amount of cryptocurrency that a user can purchase. For example, for users that provide just a single piece of valid identification, they are limited to just a $10,000 purchase of cryptocurrency. While for those that have provided two valid forms of identification (plus a utility bill), the limit is far greater.
Coinmama provides support to their clients via email and it seems that most responses generally occur within 24 hours. In addition, there is a detailed FAQ section available at the website that provides answers to many of the most common questions that are posed by users having issues with the service.
- Easy to purchase the popular forms of cryptocurrency
- Buy direct
- Available in 226 countries
- Live pricing available
- Safe reputation and no evidence of coinmama scam incidents.
- ‘Buy only’ site
- High transaction fees
- No mobile app available
- No bank wire transfer purchase option
Our coinmama review 2018 has found that this company is a fiat cryptocurrency exchange that provides users with an easy and effective way to quickly purchase Bitcoin and Ethereum. With a fast registration process and an easy to navigate purchase screen, users will have digital currency in their wallet in no time. As a buy-only site, users looking for a site that allows the selling of cryptocurrency will need to look elsewhere but for those looking simply to get their hands on the popular forms of digital currency with little effort or fuss then coinmama may be the perfect exchange to register with.