Elbaite is a crypto exchange that provides direct access to buy Bitcoin with AUD that is popular for selling crypto to a bank account for zero fees. We will provide an overview of the non-custodial platform and compare it to the best cryptocurrency exchanges in Australia. This review will assess the important aspects when deciding to use an exchange such as deposit methods, trading fees, security and customer support.
This post contains affiliate links with our partners who may compensate us. Read our disclaimer for further information.
What Is Elbaite?
Elbaite is a digital currency platform that was founded in 2017 to provide an easy-to-use platform for individuals to purchase 23 cryptocurrencies. The exchange is a 100% Australian-owned and operated company that is unique in the market for selling Bitcoin back to AUD with zero fees. Elbaite uses a Peer-to-Peer (P2P) decentralized framework to provide a platform for individuals to buy and sell crypto between each other using a stable and secure marketplace.
The team behind Elbaite is based in Melbourne Australia and is led by CEO Mortaza Tollo and CTO Samira Tollo. Its mission is to provide a trustworthy and transparent platform that is accessible to everyone that wants to get started with cryptocurrencies in Australia.
|Cryptocurrency||BTC, ETH, DOGE, LTC & 19 others|
|Payment Type||Bank transfer, PayID|
|Trading Fee||1% (buy only)|
|AUD Deposit Fee||None|
|AUD Withdrawal Fee||None|
Our Elbaite Review - Quick Summary
Elbaite is a very secure crypto exchange that will appeal to security-conscious investors in Australia. Due to its non-custodial design, purchased digital assets are sent directly to a personal hardware wallet which is a benefit. Although, the disadvantage is the Peer-To-Peer (P2P) exchange which is not beginner-friendly and has high fees of 1% per trade. While it might be a leading crypto P2P exchange in Australia, it's not suitable for beginners that are looking for a quick and easy way to invest in crypto.
Elbaite Pros & Cons
Elbaite offers unique features and services such as its non-custodial P2P platform that is great to find value among potential crypto buyers and sellers. The platform uses an escrow bank account to hold funds until the transaction is completed on the blockchain reducing chargeback fraud. However, the platform is not ideal for beginners. Transactions are dependent on finding a person that is willing to buy or sell a similar amount and at the right price. Here is a list of Elbaite's pros and cons.
- 100% Australian owned and AUSTRAC registered
- Peer-to-Peer and decentralized marketplace
- 0% fees to convert Bitcoin and Ethereum to AUD
- Zero AUD deposit and withdrawal fees
- Elbaite does not store crypto and is compatible with any wallet
- High purchase fees of 1%
- Liquidity is dependent on willing buyers and sellers
- Does not provide support for popular coins
- Too complicated for inexperienced investors and beginners
Is Elbaite Regulated?
Elbaite (ABN 88 623 185 875) is an AUSTRAC registered crypto exchange that is licensed to operate In Australia for its users to buy and sell digital currencies. Elbaite Pty Ltd is not a regulated financial provider like all crypto exchanges but enforces strict ID verification procedures to comply with the international Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations. Individuals must complete identity verification for individuals that buy or sell crypto using Australian Dollars (AUD).
How Does Elbaite Work?
Elbaite uses a decentralized system for its P2P crypto exchange and acts as the 'Agent' between buyers and sellers on the platform. The non-custodial nature of the platform means crypto is sent directly to an external wallet and not held by Elbaite. The provided wallet is verified against a register of 'blacklisted' wallet addresses to avoid fraudulent activity.
Funds in Australian Dollars (AUD) that are deposited to the exchange are held in a secure escrow fund which is kept safe until both parties have completed the transaction. Non-custodial exchanges like Elbaite are one of the safest ways to buy and sell crypto as the individual has 100% ownership of the purchased Bitcoin private keys.
Review of the Features & Benefits on Elbaite
Elbaite has a simple and easy-to-use marketplace to buy and sell 23 cryptocurrencies between users. Unlike a traditional exchange, the transaction is performed without a middleman. The supported coins are listed in the marketplace which can be selected to find willing buyers and sellers.
Once the funds are deposited, they are held in escrow until the other party completes the transaction and the transaction is completed and verified on the blockchain. The benefit of using a P2P exchange such as Elbaite is the higher security as the crypto is sent to the person's external wallet address and the coins are never held by Elbaite.
Unlike a traditional centralized crypto exchange such as Independent Reserve, CoinJar and Binance that we have reviewed, the backend architecture of Elbaite uses a decentralized model. This means that crypto-assets are not held or stored by Elbaite which significantly reduces the risk of crypto hacks and fraud. Elbaite simply facilitates the transfer of crypto from one wallet address to another without any intermediaries or additional fees. For a comparison of a similar exchange in Australia to Elbaite that is also non-custodial, check out this review on Easy Crypto.
Escrow To Reduce Chargeback Fraud
To ensure a successful transaction between willing buyers and sellers on the marketplace, Elbaite offers an escrow bank account to temporarily hold the buyer's Australian Dollars. The funds are securely stored by the exchange until the other party fulfills their end of the purchase to avoid chargeback fraud.
If a buyer or seller does not deliver on their end of the transaction and steals the cryptocurrency without payment by contacting the bank to reverse the transaction.
0% Fees To Sell Crypto
Elbaite has a unique offering in the Australian market with 0% fees to sell Bitcoin and Ethereum back into AUD. It is the cheapest way to cash out BTC and ETH into AUD and receive the funds within 24 hours. Once the assets are sold on the exchange into fiat, the funds are sent from the Elbaite bank account to the customer's account with no fees. This makes Elbaite suitable for high net worth individuals that want to cash out of crypto without excessive fees. However, being a P2P exchange the seller must find a willing buyer on Elbaite to complete the transaction.
Elbaite offers its customers exciting rewards for referring new users and trading high volumes. There is a $5 bonus for each new member referred to the platform. Furthermore, users can obtain 1 x Trezor Hardware wallet by trading more than $10,000 within a 30-day period.
Elbaite is a reliable and trusted platform for Australians to buy and sell major cryptocurrencies such as Bitcoin, Ethereum and XRP. Top features on Elbaite include a simple and beginner-friendly user experience, support for rapid AUD deposit and withdrawal methods with zero fees. Reputable exchanges in Australia with similar features are listed below for a comparison.
|Exchange||Crypto Assets||Trading Fees||Rating||Promotion||Website||Review|
|$20 Bitcoin for creating a verified account||Visit Swyftx||Swyftx Review|
|370+||1% for instant buy and sell|
|None available at this time||Visit CoinSpot||CoinSpot Review|
|$10 Bitcoin for creating a verified account||Visit Digital Surge||Digital Surge Review|
|325||0.02% / 0.07%|
|5% off trading fees||Visit FTX Australia||FTX Australia Review|
|None available at this time||Visit Elbaite||Elbaite Review|
Account & KYC Requirements
Individuals that want to trade will need to create an account using a valid email and phone number. Elbaite is a registered exchange with AUSTRC and therefore all customers must undergo a Know Your Customer (KYC) process before funds can be deposited. It will take at least 5 minutes to complete identity verification.
Elbaite supports 23 cryptocurrency assets which include Bitcoin, Ethereum, Dogecoin and Litecoin. The selection of cryptos does not offer Cardano, Solana, Shiba Inu, XRP or Tether for example which are the most heavily traded coins in the world and the top 10 coins by market capitalization. Overall, the offering of cryptocurrencies on Elbaite is too limited for serious crypto investors and should be expanded.
Elbaite supports local deposit methods to transfer Australian Dollars (AUD) from a bank account. PayID and Okso payments can be chosen to deposit funds near-instantly. There are no fees to deposit AUD to Elbaite using a bank transfer. As Elbaite is a peer-to-peer decentralized exchange, there is no facility to deposit crypto to the exchange. Elbaite does not hold or store any cryptocurrency.
Buying & Selling
Using a P2P network is slightly different from a centralized exchange or broker in Australia. There must be a willing buyer for each seller and vice versa. At the time of writing, there are 23 Bitcoin sellers on the marketplace with bids between AUD $92,986 and AUD 100,240 per BTC. The amount of Bitcoin available to purchase is based on the seller's amount. For example, there are currently offers between $5,000 and $500,000. Therefore, users that want to purchase Bitcoin on Elbaite will need to find sellers that are offering an amount of Bitcoin and for a reasonable price.
For beginners that are looking to make their first purchase, using Elbaite may be too confusing and difficult. There is a risk of purchasing crypto at a higher price listed on other exchanges in Australia. Furthermore, the list of offers may not have the exact amount they want to purchase.
Alternative exchanges such as Swyftx and Digital Surge work as brokers to automatically find the best prices of each supported crypto that can be purchased in Australian Dollars. This takes the hard work out of investing and is better suited for beginners. Elbaite can be useful for experienced investors to look for arbitrage opportunities if they can find offers that have a better price than the market due to panic buying and selling.
The overall process to complete a transaction is simple and fast. For buyers, once the purchased assets have been transferred to the nominated hardware wallet address, the AUD will be released to the seller from the escrow bank account. A downside of using a P2P platform is the long duration can take for both parties to complete the transaction. In comparison, using a centralized exchange or broker, orders are executed almost instantly.
The fees to buy and sell crypto on Elbaite will cost a minimum of 1% plus spreads and taxes. Elbaite charges a flat fee of 1% for buy transactions on the P2P marketplace. Compared to the rest of the industry which have trading fees between 0.1% and 1.2%, the buying fees are quite high. However, selling Bitcoin and Ethereum back to AUD does not incur any fees which are unique to Elbaite.
Another consideration to be aware of is the bid and ask price of buyers and sellers. The displayed prices on the marketplace can be well above and below fair market value.
Elbaite is a relatively new exchange in Australia for buying and selling cryptocurrencies. There are no online reviews or customer feedback on reputable websites such as Trustpilot or Reviews.io to gauge the quality of the platform and customer service from its customers. To get in touch with the support team, there is a simple ticket system. There are social media channels to keep in touch however there is no live chatbot or 24/7 help-desk.
In short, the trading experience on Elbaite is streamlined and stress-free. However, using the P2P platform is beneficial to a select minority of individuals and does not suit beginners or retail traders. The increased security of having the purchased coins sent to a wallet is a benefit, although the drawback is the time to find a suitable buyer and seller that is offering a good price for the amount desired.
For investors that are looking to obtain cryptocurrencies in Australia, the easiest and fastest method is to use a reputable and trustworthy exchange that is AUSTRC regulated. Trading platforms such as Swyftx, Digital Surge and Coinspot are some of the top providers in Australia that support instant AUD deposits and withdrawals with competitive trading fees.