Bitstamp Review 2024: Bitstamp is one of the first crypto trading websites. It has an easy-to-use website and charges fair fees for trading. While it doesn’t have as many different cryptocurrencies as some other sites, it still offers over 70, which should be plenty for beginners. Advanced users might want more options, but Bitstamp does provide some advanced features for placing orders.
Who is Bitstamp good for?
Bitstamp is a good option for beginners in cryptocurrency. It lets you buy the main cryptocurrencies and lots of other popular ones too.
What Makes Bitstamp a Good Choice
Bitstamp doesn’t offer fancy investing options like margin trading, but it’s great for basic services and fair fees.
They have a simple instant-buying system and various order types that might interest experienced traders aiming to profit from quick price changes.
Place your order right away. Execution occurs promptly at the current market price.
Limit the order. Set a price at which you want to purchase or sell a particular cryptocurrency.
Market orders. Purchase or sell at the best possible market price.
Stop the orders. Set an entry or exit price for your transactions to limit potential losses caused by abrupt market movements.
Trailing stop orders. More versatile than a stop order, it includes a “trigger price” to cancel the order.
Fill-or-kill orders. Purchase or sell the exact amount of cryptocurrency at the price you specify.
Bitstamp offers phone support, which is uncommon for crypto exchanges. If talking to a support agent on the phone is important to you, consider Bitstamp. However, if you prefer text-based support, you might find better options elsewhere since Bitstamp doesn’t have live chat, but you can send an email ticket.
Bitstamp’s Disadvantages
Bitstamp has a good variety of cryptocurrencies that are great for beginners. It lets you stake Ethereum (ETH) and Algorand (ALGO).
But it doesn’t have advanced trading options like margin trading. Also, it doesn’t offer a rewards card, which is common on other exchanges and makes it easy to use your crypto without converting it to cash.
Also, Bitstamp isn’t highly rated on the security ranking site CER.live. Bitstamp got a BB ranking there, but the highest rating is AAA. To give you an idea, Bitstamp isn’t in the top 50 best-rated cryptocurrency exchanges on CER.
Bitstamp Features
Bitstamp was founded in 2011 and is one of the oldest operational cryptocurrency exchanges. Here are a few of its key qualities:.
Fees
Bitstamp, like many other cryptocurrency exchanges, has two types of fees: maker fees for trades that add to the exchange’s liquidity, and taker fees for trades that take liquidity away. But for trades worth less than $1,000, Bitstamp doesn’t charge any fees, making it a good option.
Most trades between different currencies must be worth at least $10. If you withdraw Bitcoin, you’ll also be charged a fee of 0.0005 BTC, which is approximately $8.50.
| Bitstamp Fees | ||
|---|---|---|
| 30-Day Volume (USD) | Maker Fee | Taker Fee |
| < $1,000 | 0.00% | 0.00% |
| <$10,000 | 0.30% | 0.40% |
| < $100,000 | 0.20% | 0.30% |
| < $500,000 | 0.10% | 0.20% |
| < $1,500,000 | 0.08% | 0.18% |
Besides these fees, you might come across extra charges depending on how you utilize the platform.
When using a credit card or debit card, anticipate a 5% extra charge on your purchases. This fee is different from any charges imposed by your bank or credit card company.
In simple terms, you can deposit crypto and money from U.S. banks for free, but taking out cryptocurrency may have a fee.
Security
No matter how much you know about crypto or which platform you use, you should be careful when investing.
In 2015, Bitstamp got hacked because of a fake website trick, and nearly 19,000 Bitcoin (BTC) got stolen, which was worth about $5 million back then. Bitstamp paid back users for their losses and seems to have made its security better.
Bitstamp makes its digital assets more secure by storing them offline in cold storage and insuring them against many types of crime.
However, according to the crypto exchange security evaluator CER, Bitstamp’s security ranking is still relatively low compared to other exchanges.
Opening a Bitstamp Account
Creating a Bitstamp account is easy. First, you sign up with your name, email, and birthdate.
Then, Bitstamp asks you to confirm your identity. For this, you need a government ID and a document showing your address, like a utility bill or bank statement.
After the customer confirms their account, it’s a good idea for them to finish Bitstamp’s KYC check. This speeds up depositing and withdrawing money.
Once the customer finishes those steps, they can begin trading cryptocurrencies.
What Bitstamp Can Do to Improve
These days, security is a big concern for cryptocurrency exchanges. Many of the popular ones have been hacked in recent years.
Bitstamp’s security could be tighter, even though they say they’ve made improvements since they were hacked in 2015. Exchanges like Crypto.com and Kraken are known for being very secure.
Advanced Trading
Bitstamp doesn’t give traders many advanced trading choices. They only let you stake two coins, ETH and ALGO, and they don’t let you borrow money or trade on margin.
Also, they don’t have a rewards card like some other exchanges, which lets customers use their crypto as collateral or for payments.
Methodology
We ranked crypto exchanges by looking at what nearly 25 different ones offer in terms of features and options for trading cryptocurrencies.
We looked at 25 different crypto exchanges to find out which ones are the best for everyone and which are best for beginners. Our team used a standard way to judge them by looking at 10 important features and factors.
One thing that’s considered for both overall and beginner rankings is the basic trading features. Other things that affect rankings include how easy it is to use the platform, how helpful the customer service is, what educational resources are available, how secure the platform is, and whether there are any extra benefits like staking and rewards.
Each brokerage or exchange was given an overall rank by adding up the weighted values of certain key factors. Margin trading, platform lending, and advanced trading weren’t taken into account when selecting the best crypto exchanges for beginners.
Bitstamp FAQs
What is BitStamp Earn?
Bitstamp Earn is Bitstamp’s way for users to lock up their cryptocurrency for a while to help with tasks on the blockchain, like validating transactions. Users earn interest while their coins are locked up. Right now, Bitstamp only allows staking for two coins: ETH, which earns a 3.42% interest rate, and ALGO, which earns a 1.6% interest rate.
Does Bitstamp offer a crypto wallet?
According to a post from August 17th by the company, the exchange only provides a mobile wallet. This means users can access their private keys on their phones and quickly log in through the Bitstamp widget to trade directly from their Bitstamp account.
Disclaimer: The information on this website isn’t meant to be taken as advice for investing money. Investing involves uncertainty, and there’s a chance you could lose your money when you invest.
