A Bitstamp review can give you a clearer picture of what the exchange is like, what it offers to the users and if it is the kind of platform you are looking for. Knowing the details of the crypto exchange can be beneficial and suitable for novice parties as it can help them determine how suitable the exchange is.
As a new crypto investor, you need to know that there will be numerous options for you in the market. A wide range of crypto exchanges are available in the market but they may not all be according to your criteria and requirements. This is why, it is crucial that you take your time and learn as much as possible about each option so you can choose the best one without a lot of inconveniences or complications.
Bitstamp is a well-known crypto exchange that offers impressive features. If you want to know details such as ‘is Bitstamp safe and suitable?’ then you should read through the details mentioned below.
Bitstamp Review – Brief Overview
Bitstamp was launched in 2011 and is one of the oldest crypto exchanges in the world. It is based in Europe but extends its services to numerous countries across the globe. It has majorly evolved overtime and has become one of the best exchanges for new crypto investors to choose.
The platform also offers a high trading volume and high-end security protocols. It has numerous benefits but there are also a few aspects that are not as beneficial as others. If you intend on using the platform you need to know all details, whether they are the pros or cons of the exchange.
Diverse Asset Classes Available
Unlike other cryptocurrency exchanges, the Bitstamp exchange does not offer support to a single type of asset class. While the options may not be extremely diverse, they do make the platform more accessible to a vast audience.
Apart from offering support to cryptocurrencies, the platform also offers support to fiat assets.
As a user of Bitstamp exchange you can have access to Euro and U.S. Dollar.
Security Protocols Used
The level of safety offered by the exchange is one of the most crucial aspects addressed in this brief Bitstamp review. Before you opt for any crypto exchange it is important that you take your time and explore the kind of security offered by all your possible options. The crypto space is likely to present some safety risks to you as a beginner. These risks can be reduced to a great extent and can even be managed more efficiently if you opt for a platform that prioritizes your security.
Therefore, if you want to explore ‘is Bitstamp safe?’ then you should know that it is one of the safest exchanges in the market and uses some of the best security protocols, some of which are mentioned below.
- Annual account audits
- Cold storage wallets
- Email confirmations
- Google Authenticator Login
- KYC (know your customer) process
- Two-factor authentication (2FA)
Licensed and Regulated
Another high-end feature mentioned in this brief Bitstamp review is that this is the first licensed and regulated exchange in the world. The platform was originally launched in Slovenia but then was moved to Luxembourg. There it was licensed and its license is now valid in 28 countries in Europe.
Limited Digital Assets Available
One of the drawbacks of using the Bitstamp exchange is that it is somewhat limited in some ways. Even though the platform is popular and successful, it offers support to a limited number of cryptocurrencies. As a user of the exchange, you can purchase, sell or trade a digital asset from the collection of 20+ crypto assets.
The fees of the platform you choose to buy or trade crypto is important to explore so you can be sure that the exchange you opt for is secure and the fee is suitable.
As a beginner, you need to know that different exchanges have a varying fee structure. Some exchanges charge a fee that is fair and transparent while other platforms include hidden and additional charges. Using such an exchange can be unbeneficial and unsafe.
Therefore, you should opt for a platform after taking a look at its fee structure. This Bitstamp review specifies the details of the fee you will have to pay while using the exchange.
The Bitstamp exchange does not follow the traditional market maker and taker fee model. It charges a flat fee, which is:
- 25% for trades that are under $20,000
- 10% fee if the monthly trading volume goes above $20 million
No Margin Trading Supported
Margin trading is a popular trading strategy that is opted by many crypto traders. However, if you are interested in margin trading then Bitstamp exchange may not be the best platform for you as it does not support this type of trading.
Here is a Bitstamp review that sheds light on all major aspects of the popular exchange, whether they are in favor of the platform or against it. This is beneficial because as a novice party, the more you know about the exchange, the easier it will be for you to use it.