As the faith in cryptocurrencies continues to increase daily, more and more people are searching for suitable cryptocurrency exchange platforms to buy, sell and trade digital coins. For an exchange to be worthwhile, it must offer more than a user-friendly interface. It must be secure, legal, and must offer reasonable rates for trading.
If you’ve landed on this page, you’re probably thinking about opening an account with an exchange that is suitable for your crypto needs.
We suggest you read through this comprehensive review. This review will cover everything about CoinSpot, from the digital currencies, supported, fees, payment methods, security, regulation and more.
What is CoinSpot?
CoinSpot is one of the best crypto exchanges today. Launched in 2013, CoinSpot is a third-party crypto exchange based in Australia. The platform supports an extensive range of cryptocurrencies, with more than 100 digital currencies available for trading.
This includes crypto-to-crypto trading pairs, as well as crypto-to-AUD.
Although the platform accepts deposits of real-world fiat, this is only allowed in Australia. If you’re not an Australian resident, you have to fund your account with crypto.
The exchange has a clean, crisp, and user-friendly interface. The only drawback of using CoinSpot for your crypto needs is that the exchange only accepts fiat deposits and withdrawals from residents in Australia and New Zealand.
If you’re not a resident of Australia or New Zealand, you’ll need to deposit funds with cryptocurrency.
Casey Block Services Ltd is the business behind CoinSpot. Founded in December 2013 by Russell Wilson, the cryptocurrency exchange was set up using his existing ABN which he had from his previous IT consultation profession. Wilson started by running the crypto exchange as a sole trader with the trading name CoinSpot.
Later, Wilson registered the PTY LTD in 2014 and was planning to set up a company that would own and operate the crypto exchange platform. However, he continued to operate as a sole trader, and he eventually closed in later 2016.
The company underwent significant developments in 2017, and the popularity of cryptocurrencies continued to increase in Australia. During this period, Wilson grew his team substantially and finalized the structure of the company.
Wilson mainly focused on having strong security throughout and this factor attracted thousands of users from Australia and around the world. The exchange platform is known as the most secure and trusted exchange in the country.
Additionally, during that period, it was difficult to find platforms that allowed users to trade anything but the biggest digital currencies. Trading Bitcoin or Ethereum was easy, but trading other less common altcoins were difficult.
CoinSpot took advantage of this situation by allowing users to trade more altcoins.
How CoinSpot Works
This exchange works the same was other exchanges. The platform matches buyers and sellers, and also charges fees in trading.
When you first register a new account, you’ll be required to deposit some funds in the new account. Once you’ve funded your account, you’ll be allowed to trade.
Some users like to use CoinSpot for day trading, while others use it to purchase any cryptocurrency. If you plan to use the exchange for long-term investment, or hodling, then you need to withdraw your cryptocurrencies to a private wallet.
The exchange is involved in the OTC (over-the-counter) space. This means that as an institutional investor, you can be allowed to make direct crypto trades. However, if you’re trading small amounts of crypto, you’ll not be allowed to use this feature.
Getting Started with CoinSpot
Setting up Your Account
As mentioned above, this exchange is a go-to for crypto traders in Australia and New Zealand, especially for new traders.
It is one of the most trustworthy exchanges and makes trading, selling, and purchasing cryptocurrency incredibly easy.
Step 1: go to the CoinSpot website and click on “REGISTER”. You’ll find a button at the top-right corner.
You’ll be required to fill out your email address and a strong password on the next page.
After all the information you provide is accepted, you’ll see the screen with the inscription “Your account has been created” The next step is the verification process.
Step 2: Enable the 2-factor authentication feature. This feature adds an extra layer of security for accessing your account.
On the dashboard of your main account, click on “ENABLE 2FA” Then link up this feature with the Authenticator application on your smartphone or computer device.
Moving forward, you’ll be required to enter the unique code that appears on the application before accessing your account.
Step 3: verify your account.
Before you complete the verification, you’ll need to provide your driver’s license and deposit some funds to your account to start trading.
Most exchanges require you to fill all your personal information including the documents mentioned above. This is done to ensure that your funds are safe, as well as the funds of other users you’ll interact with on the exchange.
Ensure you don’t forget to indicate whether you’re a Politically Exposed Person (PEP) or not.
Depending on the information you provide, you may be required to provide additional documentation to confirm your identity.
Step 4: Connect your new account with your bank account.
Click on Account > Bank details
Step 5: Fund your account.
You can fund your new account in AUD or supported digital currencies.
To deposit AUD, select the preferred method and the digital currency you intend to purchase.
To complete the deposit process, find information about your wallet in the “Wallets” section. You’ll need to create a wallet address to successfully fund your account.
Step 6: buy cryptocurrency
Once your account is verified, added your bank details, and funded your account, you can now start trading cryptocurrencies.
Go to the Buy/Sell section
This page contains a list of all the coins that the exchange supports. To begin trading, simply click “Buy” and fill the amount of crypto you intend to purchase or the amount of AUD you intend to spend.
Easy! Right? Now you’ve bought some crypto.
However, crypto exchanges are not very secure for storing crypto, as such, we highly recommend you move your crypto to a more secure wallet. This is if you plan to hodl for a while. If you’re planning to do day trading, or trading regularly, you can keep your crypto on the exchange.
Trading on CoinSpot
First, you need to specify the currency you intend to buy, as well as the amount in AUD you intend to pay.
A pop-up window will appear showing all information related to the payment. In this window, you’ll see the crypto selected, the amount, the fees, as well as the AUD amount, you’ll need to pay.
After confirming everything is correct, click on “Confirm Buy”. You’ll see the methods of payment needed to complete this transaction.
CoinSpot Trading Fees
The instant buy/sell method on the exchange allows you to buy or sell cryptocurrency instantly for the current market value. This is a quick and easy method that most users prefer. The fees charged is 1% of the transaction amount.
The second method is the market order. When you’re buying or selling crypto on the markets, the amount charged is 0.25% of the transaction amount.
This method of trading takes a little longer, and the price may change as the trader waits for the transaction to be complete. This is why most traders prefer the first method.
CoinSpot Bank Deposit/Withdrawal Fees
This method is free and instant. Most users in Australia and New Zealand prefer POLi payments because of these aspects.
The fees charged when using this option is 0.9% of the transaction amount. This method takes 1-3 business days for the transaction to complete. BPAY is mainly preferred by users who have accounts with banks that do not allow POLi payments. Overall, BPAY is the next best option.
Blueshyft Cash Payments
Users are charged 3% of the deposit amount and the transaction is instant ones the amount is deposited. This method also allows users to pay with cash.
CoinSpot and Exchange Regulations
In April 2018, the Australian Government changes its laws regarding digital currency exchange services. The change was meant to enhance the regulation of crypto exchanges.
These laws require all exchange platforms to be registered. CoinSpot followed these laws by submitting its application on the day the laws were introduced and it was accepted on the same day.
The exchange is now registered with AUSTRAC to provide exchange services to cryptocurrency traders in Australia. This helped the exchange significantly, and it was a huge development in the crypto sector in Australia.
Later in April, the exchange announced that it was reducing the fees across the whole platform from 3% to 1%. The stability brought about by regulations and improved relationships with the financial institutions enabled the exchange to make this move. Additionally, this was excellent news for all crypto traders in Australia.
Currently, the exchange prides itself is a leader in the crypto sector in Australia. The platform provides exceptional customer service and a fast-secure platform to trade on.
Security of CoinSpot
The exchange has not reported any hacking incidences since it was launched in 2013.
Out of all the cryptocurrency exchanges in Australia, CoinSpot is well known for its credibility by complying with the new AML/CTF laws enforced by AUSTRAC.
First, new users are required to verify their identity to ensure that other users on the platform are safe. Additionally, the exchange provides a 2-FA security feature for all users as an extra security layer. This makes it difficult for hackers to access users’ acute without authorization.
Additionally, the platform provides SSL encryption, which is another security layer ensuring the safety and security of users’ crypto holdings.
Moreover, the exchange offers multiple con support with built-in trading features. Some of the cryptocurrencies supported by CoinSpot include Bitcoin, Ethereum, Litecoin, Dogecoin, Ripple, Tron, New, Gas, Stellar, BNB and EOS.
The exchange also supports several dozen ERC-20 tokens.
CoinSpot advertises the CoinSpot Multicoin Wallet, but this is nothing more than a web wallet. As such, you’ll not be in control of your private keys. If the CoinSpot servers were hacked, you could lose your funds.
Additionally, although the exchange has the 2-FA security feature, it does not offer multi-sig logins. As such, when purchasing cryptocurrencies, we recommend you use a secure private
Pros & Cons on Coinspot
The customer support on CoinSpot works through Zendesk to provide the best customer service. This customer service allows users to contact the customer service team through direct email.
The platform’s aim is to provide user-friendly services to its users. As such, the exchange has a help section and a free communication link.
Nonetheless, there have been reports of waiting longer for responses from some customers.
You can, however, check reviews about the platform on Goggle. You can also communicate with the customer service team on social media. The exchange is quite active on different social media platforms including Twitter and Facebook.
In summary, CoinSpot is a solid exchange for cryptocurrency traders in Australia. The cryptocurrency exchange offers support for over 100 digital currencies, including ERC20 tokens. Additionally, the crypto exchange is user-friendly, charges low transaction fees and provides additional security features for users.
CoinSpot, while not good for every crypto trader, it is increasingly becoming a favourite for most cryptocurrency traders in Australia. The introduction of cryptocurrency regulations in Australia and the acceptance of CoinSpot was a major boost for this exchange in the country.
However, the cryptocurrency platform does not support the deposit of fiat money for users outside Australia. Additionally, the exchange does not have a mobile application. These cons may hinder the exchange’s adoption across the globe in the future.