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Bitstamp bitcoin exchange – Review 2019

Bitstamp is Europe’s longest-standing and first licensed cryptocurrency exchange. Safe, simple and secure to use. More than 3 million traders throughout the world. It allows individual and institutional clients to buy and sell the most popular cryptocurriences.

Is Bitstamp bitcoin exchange a leader in Europe?

If the number of available cryptocurrencies corresponded with the time of functioning of the exchange, on Bitstamp we would have innumerable coins to choose from. After all, it can compete for the title of the longest operating time of all the exchanges in the world. This is not the case, however, as there are only a few most important cryptocurrencies and two fiat currencies available on the platform. Bitstamp did not enter the race and does not enlarge its wallet, which also has its advantages – the liquidity on all pairs is excellent and the interface is very clear, so using the exchange is very convenient and pleasant. Does then such a long presence on the market give Bitstamp the right to consider itself as the best cryptocurrency exchange in Europe? Bitstamp should certainly be ranked among the top leaders, but if it does not change its strategy and does not meet the growing needs of crypto traders, other more modern crypto exchanges will push it to lower and lower positions in the rankings.

Can Bitstamp be trusted?

As we have already mentioned, the bitcoin exchange Bitstamp is one of the oldest cryptocurrency exchanges on the market. The platform started accepting client registrations in 2011 and quickly won the traders’ sympathy. The advantages of the exchange were professionalism and a very functional trading platform. The year 2014 can be considered the peak of the website’s popularity, when the platform was named the largest and most popular exchange in the world in terms of trading volume.

Later on, its market share and role in the market started to gradually decrease. This is the result of the emergence of many new platforms and the hacker attack in 2015, in which 19,000 bitcoins were stolen from Bitstamp. After the attack, the cryptocurrency exchange was closed for a long time as it strived to repair vulnerabilities in the security system.

Over time, the position of the crypto exchange was rebuilt and today Bitstamp can be considered a solid brand.

Who owns Bitstamp?

The company was launched in Slovenia. The founders of Bitstamp are Nejc Kodrič and Damian Merlak, who decided to create a competitive platform for the then reigning Mt. Gox bitcoin exchange. Soon Bitstamp moved their headquarters to London (2013) and Luxembourg (2016). At the end of 2018 Bitstamp was taken over by NXMH, a European subsidiary of NXC South Korea, which invests in digital technologies (it also owns the Korbit cryptocurrency exchange). The CEO of the stock exchange, Nejc Kodrič, retained 10% of the shares in the company, and the other co-owner, Damian Merlak, founded a completely new cryptocurrency exchange under the name of Tokens.

NXMH is a Belgian company, which manages assets worth over 2 billion EUR – experience from the financial world in the long term should translate into strengthening Bitstamp’s position in the world of cryptocurrency and improving the quality of its services for traders.

Partnership with Dukascopy Bank

Bitstamp’s position in the market may also be strengthened by the recent cooperation with Swiss Dukascopy Bank.

‘Bank’, in this case, is a slightly misleading term because Dukascopy is a Forex ECN, CFD and Binaries broker, offering more than 600 tradable assets across Currencies, Stocks, Indices, Commodities, Bonds, ETFs and Cryptocurrencies with a maximum 1:200 leverage.

What can be the advantage of cooperation between Forex broker and the cryptocurrency exchange Bitstamp?

Beyond doubt, both parties benefit from this cooperation – Dukascopy Bank thanks to this cooperation can offer the possibility to deposit and withdraw bitcoins (BTC) to trading accounts and Bitstamp acquires new traders from the Forex market. Namely, the traders who intend to fund their accounts in this way. Within the framework of this cooperation, it is Bitstamp that provides BTC transactions on behalf of Dukascopy Bank.

Complicated?

Please note that Dukascopy offers leveraged trading of CFDs (Contracts for difference) on cryptocurrencies, its derivatives or estimated values. Unlike traditional cryptocurrency purchases, cryptocurrency-based CFDs allow speculative trading without a cryptocurrency wallet. There is no need to have your own crypto currencies.

Bitstamp offers traditional cryptocurrency trading, the possibility to buy and then transfer them to your wallet (see more: The Best Wallet for Cryptocurrency).

Beautiful harmony for the benefit of Forex traders and cryptocurrency fans.

Supported currencies, payment methods and fees

Bitstamp offers Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH), Litecoin (LTC) and Ripple (XRP) as well as Euros and Dollars, which combined constitute a dozen or so pairs for trading. Until recently Bitstamp was a cryptocurrency exchange with the lowest fees on the market. Currently, Bitstamp has changed its strategy by significantly increasing its commissions.

Nowadays, if you have a European bank account, you can deposit your money completely free of charge, and you will pay 3 euros (previously it was less than 1 euro) for withdrawing via SEPA. It’s still a decent rate and the money will be credited to your account quite quickly. If you are from outside Europe, you can alternatively use regular wire transfer.

You can also buy bitcoins with your credit card on Bitstamp, there is no limit on the amount, you only need to prepare for a 5% fee and remember that yet an additional fee may be charged by the card issuer. All major credit cards are supported.

The transaction fee is 0.50% up to 10,000 USD per month for all pairs (previously, the fee rate was 0.25%). Traders generating a turnover of more than USD 10,000,000,000 are exempt from the transaction fee.

Deposit fee:

  • BTC, BCH, ETH, LTC, XRP – free of charge
  • EUR – SEPA transfer –  free of charge
  • USD – wire transfer – 0.05% (minimum fee 7.5 USD/EUR, maximum fee = 300 USD/EUR)

Withdrawal fee:

  • Bitcoin – 0.0005 BTC
  • Bitcoin Cash – 0.0001 BCH
  • Ethereum – 0.001 ETH
  • Ripple – 0.02 XRP
  • Litecoin – 0.001 LTC
  • EUR – SEPA transfer   – 3.00 EUR
  • USD – wire transfer – 0.1% (minimum fee 25 USD/EUR)

First-grade Security

Bitstamp boasts a license from the Luxembourg Financial Sector Supervisory Commission and, above all, that the platform has become the world’s first cryptocurrency exchange approved by a governmental institution. Bitstamp licence is valid in all Member States of the European Union, providing all European customers with a reliable, secure platform for cryptocurrency trading.

In terms of securing customer resources, Bitstamp applies one of the best practices in the field of cryptocurrency storage – as much as 98% of the coins are stored in cold wallets without access to the Internet.

Bitstamp has a 2-factor authentication security system. User verification can be done by means of Google Authenticator application, which generates a random sequence of digits every few seconds, which should be entered when logging in to the crypto exchange. The Exchange also supports the DUO application. When withdrawing fiduciary as well as crypto currencies the user may activate the option which will require confirmation of the withdrawal by clicking on the appropriate link sent to the user’s mail.

However, despite all these protections, keep in mind the most important of all the security rules is to never store a large amount of cryptocurrency on the exchange.

The support service is excellent

The support team is ready to help you with any issue. Whenever in need, you can direct your request to:

Request form: complaints@bitstamp.net

Support: support@bitstamp.net

General issues: info@bitstamp.net

Media, cooperation: press@bitstamp.net

A rare but highly valued method of telephone contact is also offered by Bitstamp. The hotline is available at the following numbers:

+44 20 3868 9628

+1 646 568 9784

+352 20 88 10 96

The company’s registered office is located at the following address, to which written correspondence should be addressed:

5 New Street Square, London, United Kingdom

Before you start any of the communication channels, check if the answers to your questions are not already available on the website. You have at your disposal a comprehensive FAQ section, which covers the most frequently asked questions and issues that users of this exchange are confronted with.

Mobile app makes trading more accessible

In order to browse the Internet, do you reach for a phone more often than you use your PC? You are not the only one: this is what most people do now. Bitstamp understands how important mobile is nowadays, that’s why some time ago it started offering to its users a mobile application for iOS and Android that enables people to keep up to date with their accounts while on the move.

Users can quickly check prices on the welcome screen and log in with their fingerprints or facial recognition system. The app also includes real-time charts and a range of analytical tools, and users can choose between a simple buy&sell interface or a more advanced Tradeview interface.

And although everything looks pretty good, there are occasional feedback from users that the application should be more advanced and better tailored to specific devices. However, Bitstamp support is worthy of praise, as it responds efficiently to any comment appearing in Google Play or App Store.

Is it worth buying bitcoin from Bitstamp? In a nutshell

If you are looking for a simple exchange that will allow you to trade cryptocurrency quickly and safely, BitStamp is a good choice that will meet your requirements. On the other hand, it is hard not to agree with the opinions of many traders that a limited choice of cryptocurrencies and lack of some features make this platform somewhat worse than the best cryptocurrency exchanges in Europe and in the world. Nevertheless, the service should be highly appreciated for its professionalism and conscientious approach to each client.

1 Comment
  1. Reply
    Luca November 3, 2019 at 8:19 pm

    Great customer service! Their staff are well trained and are prompt to reply when you create a ticket. Good job!

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