Coinmama is a safe, fast and easy way to buy Bitcoin, Ethereum, Litecoin and Bitcoin Cash with a credit or debit card in nearly every country in the world. (Update June 2018: Coinmama has also added Cardano, Ethereuem Classic and Qtum).
Bitcoin and Ethereum are currently the top two cryptocurrencies and Litecoin and Bitcoin Cash are also among the most popular. With their popularity growing every day, everyone wants to get their hands on these crypto assets. However, it is not always simple to do so on traditional cryptocurrency exchanges such as Coinbase or Binance.
While most exchanges don’t have fiat (dollar/euro/pounds) crypto pairs, the ones that do, require you to go through an extensive KYC (know your customer) verification process that consumes a lot of time.
Coinmama saves you a lot of time and effort by only requiring you to upload minimal KYC documents, and the verification is done quickly.
In this Coinmama review we will cover all the important aspects of Coinmama so that you can get started with it immediately.
Is Coinmama a Scam?
No, Coinmama is a legitimate and reputable business with a good reputation in the crypto world. They were one of the earliest entrants into the world of buying bitcoin with credit cards and operate in most countries around the world.
How Coinmama Differs From Bitcoin Exchanges
Coinmama is a financial service that allows users to buy Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Cardano, Ethereum Classic and Qtum (Litecoin and Bitcoin Cash were added in April 2018 and the other three in June of 2018) using fiat currency from anywhere in the world. One might think it is just another regular cryptocurrency exchange, but that’s not the case and it differs in some very important ways.
This is ideal for people who wish to hold (or hodl as we say in the crypto world) rather than trade frequently.
This means that unlike the other exchanges that allow users to store their digital assets in exchange wallets, Coinmama does not have its own wallet service to store Bitcoin and altcoins.
You need to already have your own wallet and provide the wallet address to receive the funds.
If you do not yet have a wallet set up, choose one of the best bitcoin wallets available.
Note that you cannot sell cryptocurrencies on Coinmama, only buy them, which is one of the main ways it differs from exchanges.
Coinmama is one of the few places that lets you buy Bitcoin and some altcoins using your credit and debit cards in a quick and simple way. This is extremely helpful as the crypto market is very volatile and this helps you to buy bitcoin quickly and at anytime without having to wait for your funds to arrive at an exchange.
Coinmama fees are fixed and fairly straightforward. The price you see when initiating a purchase on Coinmama includes the fee included in your buy transaction, which is 5.5% on the total purchase value. In other words, Coinmama’s fees will be included in the purchase price.
However, there is also an additional convenience fee of 5%, which is a charge that comes from the credit and debit card processors.
You might feel that the Coinmama fees are high, but this is because it allows you to buy major cryptocurrencies using a debit or credit card, almost instantly, and in nearly every country on Earth. Users pay for the convenience.
Additionally, the very high buy limits are very helpful for people who want to buy a lot of cryptocurrency at once.
Security & Safety
Coinmama is very secure. The platform is protected by Trust Guard and Comodo against hacks. All pages containing your private information go through 256-bit encryption.
Coinmama does not even store your credit card details on their servers.
Since you are simply sending the cryptocurrency to a wallet that you own, you have complete control over the funds. Even if their service does get hacked, you can’t lose any funds as they are already in your crypto wallet.
How to Buy Bitcoin, Ethereuem, Litecoin & Bitcoin Cash on Coinmama
- You can create a new account on Coinmama by using your email ID and setting up a password.
- Coinmama verification is quite simple when compared to other exchanges. To be able to buy any cryptocurrency on their platform, you must submit a picture of a valid government issued ID, along with a selfie of yourself holding the ID and a note that says Coinmama and today’s date written on it.
- Once your account is verified, you will be able to buy Bitcoin, Ethereum, Litecoin and Bitcoin Cash and send the cryptocurrency to your own wallet. This is limited to $10,000 initially and can be increased up to $1,000,000 by meeting the minimum requirements for advanced levels of verification.
Are There Coinmama Coupon Codes?
Previously, Coinmama issued coupon codes and promotional codes giving a discounted rate, but they stopped issuing and accepting such codes a while back. Dang…
Final Word – Would I Use Coinmama?
Yes, I would use Coinama. In fact, I have used them before. It’s a great service overall, except for the high fees.
Coinmama is easy to use and has a very intuitive and simple interface. In terms of buying cryptocurrency using a credit/debit card and doing so quickly and simply, it has an edge over Coinbase and many of the other best bitcoin exchanges.
This ease of purchase contributes significantly to the mass adoption of bitcoin, Ethereum and cryptocurrencies in general. Hopefully in the future, Coinmama will continue to add more cryptocurrencies to their available altcoins.
Do you have any experience with Coinmama? If so, please share in the comments below so other can learn from you.
Richard has developed and ran multiple online websites and communities with tens of millions of monthly visitors. He first discovered bitcoin and blockchain in 2012 and has been helping to educate others on its potential since then. Richard is very passionate about the crypto community. Read his inspiring story into cryptocurrency here.