Coinmama Review

Coinmama Review: Is Coinmama a scam or legit? We checked!

The Ultimate Coinmama Review

 Coinmama is a cryptocurrency broker and a subsidiary of NewBitVentures.
Coinmama is registered in Slovakia but based in Ra’anana, Israel.
The transactions are also processed in Israel.
This company has been in business since 2013.

Affiliate Disclaimer

How does Coinmama work?

Coinmama is a cryptocurrency broker which means that they will send you the cryptocurrency directly to your cryptocurrency wallet in exchange for a commission.

Unlike cryptocurrency trading platforms, you do not need to create an additional wallet on the platform to store your crypto.

Checkout Process Review

Coinmama has a very user-friendly and shopping feel to it unlike other exchange platforms which makes it ideal for beginners.

Create a free account account:

 Step 1: Head over to Coinmama and create a free account.

Feel free to use our affiliate link at no extra-cost to you:

https://satoshilibrary.com/recommends/coinmama/

There are two ways to create an account with Coinmama:

You can either click the sign up button on the top right or the ‘Buy Coins ‘ button.

Coinmama Review : The easiest way to buy bitcoin and ethereum

Step 2: Coinmama verification process

Enter:

  • Your email
  • Preferred password
  • Name
  • Country of residence
  • Click create account

Coinmama requires very basic user information to create an account.

Coinmama Review: How to create an account

Coinmama will send you an email confirmation to confirm your identity.

What I personally like about the Coinmama Verification process the fact that is that they do not invasive questions like traditional trading platforms.

In some cases, KYC approval can easily take months.

Coinmama review - create and verify your account

Placing an order

Coinmama offers two options:

Option 1: You can choose one of their 4 packages at different price points for simplicity.

Option 2: You can choose a very specific amount of crypto or fiat (USD/Euros) by either entering the exact figure.

I think the price slider adds a very nice touch.

Coinmama allows you to choose a package or buy a specific amount.

Coinmama - Buy bitcoin or buy ethereum in USD or euros

Click the ‘Buy at the bottom of the page.

Enter your (receive) wallet address

VERY IMPORTANT: Be sure to give the wallet address which corresponds to correct amount of crypto.

For example, if you are buying Bitcoin (BTC) , you would need provide your Bitcoin readdress and if you are buying Ethereum, you would need to provide your ethereum wallet address.

Coinmama review

If you do not have a cryptocurrency wallet yet to store your cryptocurrency, head over to Exodus.io  to download their free and beginner-friendly multicurrency wallet.

Protip: The Receive Address is also known as the public key and the send address the private key.

If you are not sure what is a private key, you can check out this easy explanation.

The Checkout

This is definitely one of the finest qualities of Coinmama.

I really like the fact that that you do not need to provide ID verification like typical cryptocurrency exchange where they sometimes require you scan your password as well as take a selfie.

Coinmama review - buy bitcoin with creditcard

Is Coinmama legit?

Here is the Bitcoin and Ethereum I ordered in the Coinmama dashboard.

It is safe to say: Yes!

Coinmama review - is coinmama legitimate

Which other coins can you buy?

Coinmama currently allows you to buy the 8 following cryptocoins directly:

You can buy Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Litecoin (LTC), Bitcoincash (BCH), Cardano (ADA), Qtum, Ethereum Classic (ETC)

Coinmama review- how to buy cryptocurrency with your debit card

    1. Bitcoin (BTC) : Bitcoin is the first cryptocurrency and created by SatoshiNakamoto who had gone into hiding and recently reappeared.
    2. Ethereum : The second most popular cryptocurrency after Bitcoin created by 22 year old Vitalik Buterin. Ethereum is also a blockchain platform which is very popular among devs as they can create DAPPs (decentralized applications) and smart contracts.
    3. Ripple: Just like Ethereum Ripple is also a blockchain platform except their target maket is the banking sector.
    4. Litecoin: The Creator of Litecoin, Charlie Lee, called Litecoin, the digital silver and bitcoin being the goal. Litecoin is meant to be faster alternative to Bitcoin.
    5. Cardano: This is a Chinese-based cryptocurrency and blockchain project similar to ethereum.
    6. Qtum: Is a Bitcoin fork (derived from Bitcoin) and blockhain platform like* Ethereum.
    7. BitcoinCash: BitcoinCash is another Bitcoin fork which boasts faster and cheaper transaction. Its most vocal advocate is RogerVer.
    8. Ethereum Classic: Ethereum Classic was infact the original Ethereum but as the community could not agree. The fork became what is known as Ethereum and Classic the ‘core’ version.
*In very simple terms

Accepted Payment Methods

Coinmama accepts:
  1. Visa
  2. Mastercard
  3. Bank Transfer (SEPA)

Coinmama does not accept:

  • American Express
  • Discover
  • Paypal

Coinmama Supported Countries

You can buy cryptocurrency from Coinmama if you live in the following countries:

AfghanistanEgyptLibyan Arab JamahiriyaSaint Lucia
Aland IslandsEl SalvadorLiechtensteinSaint Martin (Sint Maarten)
AlbaniaEquatorial GuineaLithuaniaSaint Pierre
and Miquelon
AlgeriaEritreaLuxembourgSaint Vincent
and the
Grenadines
AndorraEstoniaMacaoSamoa
AngolaEthiopiaMacedonia, the Former Yugoslav Republic ofSao Tome
and Principe
AnguillaFalkland Islands (Malvinas)MadagascarSaudi Arabia
Antigua and BarbudaFaroe IslandsMalawiSenegal
ArgentinaFijiMalaysiaSerbia
ArmeniaFinlandMaldivesSeychelles
ArubaFranceMaliSierra Leone
AustraliaFrench GuianaMaltaSingapore
AustriaFrench PolynesiaMarshall IslandsSlovakia
AzerbaijanGabonMartiniqueSlovenia
The BahamasGambiaMauritaniaSolomon Islands
BahrainGeorgiaMexicoSouth Africa
BarbadosGermanyMicronesia,
Federated States of
Spain
BelarusGhanaMonacoSri Lanka
BelgiumGibraltarMongoliaSuriname
BelizeGreeceMontenegroSvalbard and Jan Mayen
BeninGreenlandMontserratSwaziland
BermudaGrenadaMoroccoSweden
BhutanGuadeloupeMozambiqueSwitzerland
Bonaire, Sint Eustatius and SabaGuatemalaMyanmarTaiwan, Province of China
Bosnia and HerzegovinaGuernseyNamibiaTajikistan
BotswanaGuineaNigerTanzania, United Republic of
BrazilGuinea-BissauNauruThailand
Brunei DarussalamGuyanaNepalTogo
BulgariaHaitiNetherlandsTokelau
Burkina FasoHoly See
(Vatican City State)
Netherlands AntillesTonga
BurundiHondurasNew CaledoniaTrinidad and Tobago
CambodiaHong KongNicaraguaTunisia
CameroonHungaryNiueTurkey
CanadaIcelandNorfolk IslandTurkmenistan
Cape VerdeIndiaNorwayTurks and Caicos Islands
Cayman IslandsIndonesiaOmanTuvalu
Central African RepublicIraqPakistanUganda
ChadIrelandPalauUkraine
ChileIsle of ManPanamaUnited Arab
Emirates
ColombiaIsraelPapua New GuineaUnited Kingdom
ComorosJamaicaParaguayUnited States*
CongoJapanPeruUruguay
Congo, the Democratic Republic of theJerseyPhilippinesUzbekistan
Cook IslandsJordanPitcairnVanatu
Costa Rica
(Ivory Coast)
KazakhstanPortugalVenezuela
CroatiaKenyaQatarViet Nam
CuracaoKiribatiReunionVirgin Islands, British
CyprusKorea, Republic ofRomaniaWallis and Futuna
Czech RepublicKuwaitRussian FederationWestern Sahara
DenmarkLao People's Democratic RepublicRwandaYemen
DjiboutiLatviaSaint BarthelemyZambia
DominicaLesothoSaint Helena
Dominican RepublicLiberiaSaint Kitts and Nevis

Coinmama supports the following states in USA:

AlabamaLouisianaOklahoma
AlaskaMaineOregon
ArizonaMassachusettsPennsylvania
ArkansasMarylandRhode Island
CaliforniaMichiganSouth Carolina
ColoradoMississippiSouth Dakota
DelawareMissouriTennessee
FloridaMontanaTexas
HawaiiNebraskaUtah
IllinoisNevadaVirginia
IowaNew JerseyWest Virginia
IndianaNorth CarolinaWisconsin
KansasNorth DakotaWyoming
KentuckyOhio

More experienced cryptocurrency traders complain that brokers like Coinmama have high rates, here is a break down of the costs

There are 2 main fees when buying cryptocurrency through Coinmama:

  1. 5.90% brokerage fee (included in the price)
  2. 5% Credit/Debit card fee imposed by

HACK: To be sure you have enough funds on your card, just take the price and multiply by 1.05% . So if you buy $100 worth of BTC, you need $105 of your card.

Some people may feel that the 5% transaction fee is high, but I personally think that it’s really a question of how much your time is worth.

As you become more comfortable with the technical aspects of cryptocurrency and blockchain, you will naturally pick up ways to save on these fees.

Hidden Fees:

1.Blockchain fee :

However, remember that blockchain transactions powered by something called mining and the miners verifying the transactions require transaction fees.

Unfortunately, the mining fees are unavoidable no matter transaction even if you’re sending crypto directly to another person.

2.Cash advance fee

At the beginning of 2018, Mastercard and Visa reclassified all cryptocurrency purchases to cash-advances out of fear people would buy cryptocurrency on credit and later ask for chargebacks.

Consequently, this resulted to an additional 5% on purchases of cryptocoins.

They claim to have reversed this decision, but if this does happen to you, you can file dispute with your bank.

3.Exchange rate fees

This is the fee charged by banks to convert your currency to USD or EUR.

It is a lesser known fee but good to monitor if you live outside of the US or EU.

bitcoin-3266561_1920

Buying Limits

The minimum purchase is 60 USD or EUR.

There is a maximum daily limit of 5000 USD/EUR and monthly limit of 20,000 USD/EUR.

Coinmama requires verification for the higher amounts.

Support

Coinmama does not provide any phone support if you need to contact them, you can send them an email at support@coinmama.com, submit a ticket or contact them on their Facebook Page.

They also have a very extensive knowledge base which answer all user questions.

Reputation

Coinmama doesn’t appear a negative reputation except for more experiences users complaining of high fees which in my opinion normal when deal with a bank and credit card companies.

Social Media Presence

I think this is the biggest weakness of this company, they do not have a big following on Facebook or Twitter.

Coinmama’s Competitors

Indacoin

Indacoin is definitely the closest competitor in terms of fast and beginner friendliness.

My biggest issue is that they are not transparent on how much they charge for brokerage.

Paxful

Paxful is ‘clunkier’ with more features.

Their anti-spam set-ups make the website frustratingly slow to use.

LocalBitcoin

LocalBitcoin can be compared to Craiglist.

It can be a daunting option for first time Bitcoin buyers

 CoinmamaIndacoinPaxfulLocalBitcoin
Purchase Fees
(Excluding Bank +
Blockchain)
5.90%not transparent01.05%
Can you sell your crypto?NoYesYesYes
Chat SupportNoYesYesNo
Email SupportYesYesYesYes
Supports USAYesNoYesYes
Outside of USYesYesYesYes

I will be creating a more detailed review for each one of them soon 😉

Who is Coinmama for?

  • If you do not own Bitcoin yet.
  • If you do not own Ethereum yet.
  • You find exchange platforms to complicated.
  • You get overwhelmed by complicated processes.

coinmama review

Final Thoughts

When had just started out, I found all the information extremely overwhelming and all I wanted to do was just buy Bitcoin and Ethereum.

Coinmama is the most user friendly and easy to use platform compared to its competitors.

Though the brokerage fees are steeper compared other similar platforms, the simplicity was definitely worth it for me as a beginner.

Thank you for reading!

I hope you enjoyed my coinmama review 🙂

Affiliate link: https://satoshilibrary.com/recommends/coinmama

Let me know if this info was helpful for you 😉
Cheers,
Marie

Founder of Satoshi Library

Owner of SatoshiLibrary

PS

Thank you for visiting!

And also, if you feel comfortable enough to give me your email, just enter it below and I just might send you an email one of these days 😉

Disclaimer: I am not a financial advisor and the information provided does not replace professional advice. Cryptocurrency prices are highly volatile as well as evolving very quickly. This post may contain inaccuracies, so please do your own research before placing money in any website. Thanks!

Marie is a crypto-enthusiast who was born in the Seychelles and is currently living in Mauritius. She has 13 years experience in the BPO and the teaching industry. She specializes in keeping things easy and simple.

Coinmama

9.9

Ease to use

10.0/10

Security

10.0/10

Platform

9.5/10

Customer Service

10.0/10

Pros

  • Easy to use
  • Beginner Friendliness
  • Fast Checkout
  • Simple Verification

Cons

  • Can not sell your crypto