Choosing a cryptocurrency trading platform can be a challenging task. There are several considerations such as the platform features, charting interface, trading pairs, fees, security and customer support.
One of the oldest and most reputable exchanges for instant Bitcoin purchases using a credit/debit card and its beginner-friendliness is Coinmama.
While we aim to provide you with accurate and the latest information in this Coinmama review, we strongly suggest that you visit the website to keep updated with any changes that may occur afterward.
Ease of use
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Before diving into this review, it is highly recommended to use a hardware wallet such as the Ledger Nano X when buying cryptocurrencies. The ownership of crypto remains in the investor's possession and control, not the exchange. Read our guide on the best Bitcoin hardware wallets for more information.
What Is Coinmama?
Coinmama is a cryptocurrency exchange based in Israel that was established in 2013 to provide a simple, basic and secure online platform for anyone that wants to buy digital currencies such as Bitcoin and Ethereum. Coinmama exchange is one of the most well-respected names in the cryptocurrency industry that is now available in over 188 countries and provides customer support in multiple languages.
USD, EUR, GBP, AUD, CAD, JPY
Bank transfer, Apply Pay, Credit card/debit card, SWIFT
Buy: 2%, Sell: 0.1%-0.9%
Bank transfer: none, Credit card/debit card: 5%
Crypto: Standard network fee
Cutting-edge security measures, an intuitive user interface, the ability to buy Bitcoin instantly and a mobile trading app are important features on Coinmama. This comparison table lists alternate crypto trading exchanges like Coinmama.
10% off trading fees
0.5% - 3.99%
$5 BTC bonus (USA only)
0.02% / 0.07%
5% off trading fees
For USA, visit FTX.US
Features & Benefits
Designed For Beginners
The user experience on Coinmama has been carefully thought out and is designed to suit all types of individuals with various levels of investing knowledge. The website provides simple options to purchase Bitcoin or another cryptocurrency for a set price or choose the exact amount to spend.
Coinmama is a fiat-to-crypto exchange that allows individuals to buy cryptocurrencies using local fiat currency. The platform is one of the most accessible exchanges that supports a variety of deposit methods to buy crypto such as bank transfer, Apply Pay, Credit card/debit cards and SWIFT.
Coinmama is one of the few exchanges that is supported in over 100 countries worldwide. Users from 188 countries including Australia, Singapore, Europe, UK, Canada, New Zealand and the USA can quickly and safely purchase cryptocurrency using Coinmama. There are a few restricted states and territories within the US to be aware of.
Non-custodial exchanges and brokers such as Coinmama are one of the safest places to buy crypto as the platforms do not store any customer's funds or digital assets. Customers are required to provide a wallet address before completing the transaction. Once the payment is provided, the coins are delivered straight to the user's wallet address eliminating the risk of hackers stealing the funds.
Has Coinmama Been Hacked?
Based on our research, Coinmama exchange was hacked in 2019 in which 450,000 user emails and passwords were compromised. As part of an investigation the financial fraud incident, an unauthorized party has also acquired data associated with 1.4 million Coinmama accounts that included user's personal information.
Is Coinmama Safe & Legit?
Coinmama is a legitimate and reputable company that allows individuals to buy BTC, ETH, XRP, LTC and other digital currencies on a safe platform. While there have been occurrences of worldwide data breaches that have affected Coinmama users, the platform does not store or record any credit card information or hold onto customer funds. Purchased cryptocurrencies are sent directly to a hardware wallet which significantly reduces the risk of theft.
Getting Started & Creating An Account
To create an account with Coinmama, users need to be at least 18 years old and reside in a supported country. The process to register an account is straight-forward and takes a few minutes. There are no fees to create or maintain a Coinmama account or wallet.
New users will be required to enter a valid email address and select the country of residence. Before funds can be deposited, the Coinmama KYC verification stage must be completed as described below.
Coinmama is a regulated exchange that needs to comply with Know Your Customer (KYC) requirements to accept payments for the provision of digital assets. The exchange uses a 3 level based verification system which is based on the amount of personal information provided. New accounts that complete Level 1 verification can buy or sell up to USD $15,000.
To complete the Coinmama Level 1 verification process, the following information will be required:
- Full name and address of residence
- A Government-issued photo ID (e.g. national passport or driver’s license
- A selfie holding up a piece of paper with “Coinmama” and the date
Card Limit (Monthly)
SWIFT Limit (Monthly)
To upgrade from verification level 1 to 2, there is a minimum spend of $2,400, which also increases the daily/monthly limits for the supported payment types. The account limit for each verification level includes both buy and sell transactions.
Once the personal documentation has been submitted to Coinmama, the verification speed for level 1 can take a few hours during normal business hours. For level 2 and 3 verification, it can take up to 48 hours for the new account limits to be approved.
Coinmama provides 5 different deposit options to pay for cryptocurrencies with fiat money. The supported payment methods include bank transfers, SWIFT, credit cards, debit cards and Apple Pay. Depending on the users region, the accepted payment methods may vary. Coinmama is the first exchange to allow its users all over the world that want to buy Bitcoin using Apple Pay.
For large investments, using a bank account or wire transfer is the best way to buy cryptocurrencies which can take between 1 to 3 days to process depending on the bank. Users that are looking to make a smaller and instant purchase and prefer the convivence can use a credit card or debit card. The average speeds of each payment option is an important consideration and are listed below.
1-3 business days
Wire transfer (SWIFT)
1-3 business days
Within 10 minutes
Once an account has been created, users can log in to Coinmama and purchase 7 cryptocurrencies that include Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, Cardano, Litecoin and Tezos. The coins can be quickly selected using the 'Buy' drop-down menu along the top. The user-interface for purchasing coins is the same and features a simple order box for different purchase amounts in the selected fiat currency.
The interface is designed for beginners to easily, quickly and securely purchase cryptocurrency that closely resembles Paybis which is a similar fiat-to-crypto exchange. There is no price chart to view historical or live prices or advanced order types such as limit or stop-limit.
The design and arrangement of the website are clearly orientated for beginners that are purchasing Bitcoin or other altcoins for the first time. This is a limitation for experienced or advanced investors and will need to use a cryptocurrency trading platform to use advanced trading features and risk management tools.
Coinmama fees are based on a Bitcoin Index that provides a reference rate for the prices of each supported asset. The purchase fees include a 2% premium on top of the Bitcoin Index price and commission fees up to 3.9% depending on the payment method. For credit card, debit card, prepaid and virtual card payments, there is a 5% surcharge for fixed-rate instant purchases. There is no added fees for bank transfer. The final trade fee is displayed on the screen before the transaction is confirmed.
For sell trades on Coinmama, the fee is 0.1%-0.9% in addition to the Bitcoin Index rate plus the 2% spread. For both buy and sell orders, the trading fees can be reduced depending on the users Coinmama Loyalty Level. Overall, the Coinmama fees to buy crypto are slightly higher compared to other popular trading platforms such as Coinbase Pro and Bittrex. The selling fee of 0.1% to 0.9% is competitive but is limited to Bitcoin only which can be sold on the exchange back to fiat currency.
Coinmama Loyalty Level
Similar to other cryptocurrency trading platforms such as Binance, Kraken, EXMO and Kucoin, Coinmama offers a loyalty system. The program incentivizes users to trade increased volume amounts by rewarding them with reduced trading fees. The loyalty status is not a one-off and needs to be maintained over a 90-day rolling period.
$18,000 or lifetime purchase over $50,000
Coinmama is designed like a cryptocurrency instant swap service where purchased digital assets can be bought and sold directly using a hardware wallet. This means funds is not stored on the platform which greatly reduces the risk of hackers stealing funds.
Furthermore, customer's credit card details are not stored, however personal information as part of the ID verification details are kept on record. Considering previous security data breaches, the exchange has increased the awareness of account security with the regular monitor of any suspicious activity and informing customers on good security practices.
Frequently Asked Questions
Where Is Coinmama Regulated?
Coinmama is a legitimate and trustworthy exchange that is operated by parent company Cmama LTD, which is a regulated Money Services Business. The crypto exchange is registered in the United States by FinCEN and within Canada under the authority FINTRAC. Under these regulations, Coinmama provides strict Know Your Customer (KYC) and Anti-Money Laundering (AML) procedures to validate each account holder's identification and legitimacy.
Does Coinmama Require ID?
Coinmama is a regulated exchange that complies with Know Your Customer (KYC) requirements. Therefore, each user that creates an account with Coinmama must submit ID documentation to prove their identity before purchasing digital currency.
Can You Use Coinmama In The USA?
Coinmama is available in over 188 countries worldwide including the United States (U.S). However, there are 8 states and territories within the US that are restricted from using Coinmama's services due to local regulations and rules which include Hawaii, New York, American Samoa, Guam, Northern Mariana Islands, Puerto Rico, United States Minor Outlying Islands and Virgin Islands.
Some states in the USA are not directly supported by Coinmama and users will be redirected to a third-party provider Simplex to complete the purchase. Residents that reside in the banned states can use a local cryptocurrency exchange in the USA such as Gemini, Kraken, Coinbase or CoinZoom.
Does Coinmama Have A Wallet?
Coinmama is a non-custodial exchange which means there are no online wallets to store customers Bitcoin or other cryptocurrency assets that are purchased on the platform. Users are required to provide their own hardware wallet address so the coins are never stored in a wallet by Coinmama.
To conclude this review on Coinmama, the exchange is suited for newcomers and beginners that are looking to purchase their first cryptocurrency. The user interface, availability worldwide, responsive customer service and supported payment options makes it easy for investors to onboard with fiat currencies. Our only criticism is the high fees and lack of features for intermediate investors and traders that rely on advanced orders and a price chart. Overall, Coimama is a reputable and safe exchange for buy crypto with fiat currency.
You Might Also Be Interested In:
- Beginner-friendly and easy to use
- Rapid ID verification process
- Crypto is sent directly to specified wallet address
- Supports variety of payment methods
- Available in over 190 countries worldwide
- High fees to buy Bitcoin and crypto
- No price chart or trading tools
- Limited number of cryptocurrencies