Bitstamp Review

Overview

Bitstamp is a Luxembourg based cryptocurrency exchange founded in 2011. It is one of the first cryptocurrency exchanges in the world. Bitstamp offers a suitable range of cryptos and provides a user-friendly platform for beginners and advanced-level traders. The exchange supports 54 cryptocurrencies to trade. Bitstamp provides market competitive pricing, while special pricing is for those who provide more liquidity to the exchange.

Trading Instruments

Since the availability of crypto for trading is limited to 54 only, the platform provides the opportunity to diversify the portfolio bucket by investing in different kinds of coins and tokens. Bitstamp deals in DeFi, Fiat, Gaming, NFTs and Stable coins to invest in. The availability of cryptocurrencies varies based on your locality. For example, XRP (XRP) is not available in the U.S through this platform. In addition to that, there are facilities for staking and unstacking crypto assets to earn rewards through Bitstamp Earn.

Trading Platforms

Bitstamp is different to traders through three platforms: Bitstamp.net, Bitstamp Tradeview, and Bitstamp Mobile.

Bitstamp’s basic trading platform allows you to buy and sell using instant, market, limit, and stop orders. For an additional fee, you may make a purchase using your Bitstamp balance or an added card. A basic chart, current buy and sell orders, and a simple purchase form are all part of the central platform.

More experienced traders can go for Tradeview, Bitstamp’s active trading platform with advanced charting features, depth chart, a live updated order book, and rapid trading forms. The order types are the same on both the basic and Tradeview platforms.

Bitstamp features mobile applications for Android and iOS devices, which are accessible in the Google Play Store and App Store, respectively. Its applications provide all of the Bitstamp web-based trading experience features but in a smaller package. You may use the Bitstamp app to send and receive crypto to store in a Bitstamp account and buy and sell wherever you have a secure internet connection.

Fees

The trading fees on Bitstamp is charged on the basis of the volume traded. Higher the 30-days USD volume lower will be the fees. The platform will not charge you any fees if the monthly traded volume exceeds $20,000,000,000. However, you will be charged at 0.50% if the traded volume is below $10,000.

There are no direct fees associated with staking or unstaking assets. However, a commission is charged from the total pool collected by the staking nodes before distributing rewards to individual customers. This commission covers all staking expenses and fees and is presently set at 15% of total rewards collected by staking nodes. If you choose not to receive rewards for your staked assets, Bitstamp will collect the rewards as a fee for enabling the opt-out functionality.

There are no fees on crypto deposits; however, the nominal fees are charged on withdrawals. Here is the breakdown of Bitstamp Fees with any deposit and withdrawal option:

Mode

Deposits

Withdrawal

SEPA

Free

3.00 Euro

ACH

Free

Free

Faster Payments (UK)

Free

2.00 GBP

International Wire

0.05% (min fee = 7.5 USD/EUR, 5 GBP, max fee = 300 USD/EUR, 250 GBP)

0.1% (min fee = 25 USD/EUR/GBP. Your bank may charge additional fees.)

Card Purchase (any amount)

5% (your card issuer may charge additional fees)

You can deposit funds to your account via a Bank Transfer, or purchase cryptocurrency directly with a credit or debit card. U.S. customers can also use ACH to deposit funds to their accounts. Eurozone customers from selected countries can also use Instant SEPA to deposit funds to their accounts. You can deposit funds from a checking account if held in your name. Bitstamp do not accept deposits from third-party accounts, even if you are authorised to use them.

Research & Education

Bitstamp does not provide learning material for beginners, advanced and pro traders. However, there is a blog section on the website where the regular updates about the platform are shared. It also covers the most important worldwide news to keep the clients aware and let them make informed investing decisions.

The exchange provides well-researched tools like the lightning network and crypto pulse. The Lightning Network is similar to an additional layer of connections constructed atop the blockchain that improves its performance. It allows Bitcoin to process millions of transactions per second while charging nearly no fees. This opens up possibilities that are not possible with traditional money.

The Bitstamp Crypto Pulse survey reveals why retail and institutional market players are investing, what is holding them back, how they are collaborating, and, ultimately, what is the worldwide level of trust in Crypto.

Privacy and Security

Bitstamp was the victim of a high-profile attack in 2015, during which it lost about 19,000 BTC (around $5 million at the time). Since then, the company has worked hard to improve its security posture.

Because cryptocurrency transactions are one-way, your losses may not be recoverable if your account is hacked or breached. When utilising Bitstamp or any other cryptocurrency exchange, it’s critical to use vigorous security practises, such as a unique password and multi-factor authentication, ideally using a third-party authenticator app.

Bitstamp has stringent security practises and keeps the bulk of customer cash offline in cold storage. The platform lets you set up and pass by multi-factor authentication for added security when creating a new account. As with any other cryptocurrency exchange, you should exercise caution while funding your Bitstamp account, withdrawing fiat currency or cryptocurrency, and performing account maintenance.

Pros & Cons

Pros

Cons

Conclusion

Bitstamp is one of the spearheading crypto exchanges that provide investment opportunities to individuals and corporates. The fee structure is simple but friendly for corporates and a bit harsh for individuals. The crypto range is limited to 54, while all of them are not available for every locality. There is a cushion of improvement in the provision of educational material. The exchange does not offer margin trading; however, they are state-of-art in what they are providing.