When it comes to Bitcoin marketplaces, CoinMama is one of the most popular ones out there.
With over 200,000 and counting customers, the platform sells both Ethereum and Bitcoin to its verified users.
CoinMama is a stable and reputable platform that allows you to buy Bitcoin and Ethereum with a credit or debit care, however, you cannot sell your coins through the site.
Be sure to keep an eye out for its fees as well as these can soon add up.
In this CoinMama review, we will take you through all of the pros and cons so you can decide if it is the right platform for you:
- Supported Cryptocurrency
- Privacy and Security
- Customer Support
- Mobile Application
- How to buy your cryptocurrency step by step
- Who’s the platform for?
- Overall Rating
- Name: CoinMama
- Website: www.CoinMama.com
- Type: Cryptocurrency exchange
- Cryptocurrency: ETH, BTC
- Fiat Currency: USD or EUR
- Rating: 6.0/10.0
Founded back in 2013, CoinMama is registered in Slovakia, but it is owned by a company that has its headquarters in Israel.
It is operational in over 217 countries globally and its available to customers based in 24 US states.
It offers its clients a platform that facilitates the purchase of Bitcoin and Ethereum using debit and credit cards, or through Western Union.
CoinMama does not allow the trading of cryptocurrencies, and you cannot sell the currencies you have purchased over it, instead, it gives you a quick and easy way to buy your crypto coins using fiat currency.
All purchases are transferred directly from the personal holdings of the company which means that transactions are super-secure, especially when compared to some of its competitors.
What makes CoinMama great is the fact that it is, without a doubt, one of the quickest, easiest, and most efficient ways to buy your Bitcoin or Ethereum with fiat currency, a feature that a lot of exchanges do not offer.
The sign-up procedure is pretty straightforward, and you can purchase up to EUR/USD 150 of cryptocurrency without having to verify your account.
To buy more, you will have to provide some additional documentation such as a government-issued ID card, as well as verification including your name, gender, address, card number, and email address.
Documents that are uploaded to CoinMama are approved in a matter of hours.
Once you are verified and have placed an order, your order is delivered to you within a few minutes. This means that you can pretty much instantly take advantage of interesting and advantageous price movements.
Once you place an order, the exchange rate at that particular time is locked in which means that users receive precisely the amount of currency that they ordered, even if fluctuations occur between the time of order, and the time of delivery.
The developers had stated that this is because there was much confusion when orders were locked to the market rate, especially when clients received less money than they anticipated.
Should an order abort or cancel, CoinMama will automatically void the payment and return the funds to the user within 48 hours.
CoinMama: Supported Cryptocurrency
At the moment, you can only buy Ethereum and Bitcoin on CoinMama although they are expected to offer other altcoins in the future, as not only the popularity of the platform grows.
While there is nothing concrete in the pipeline from the developers at present, it would make sense to offer more especially when you consider that one of its rivals Poloniex, supports over 70 different types of cryptocurrency.
CoinMama: Privacy and Security
CoinMama is pretty small, especially when you compare it to some of the larger, behemoth-like exchanges out there.
So far, they have not experienced any security breaches, and they are slowly building up their market share and level of popularity.
That said, they do remain quite a way behind their competitors with around 600k visitors a month, whereas Coinbase records an average of 34 million every three days.
The fact that so far, it has not been the target of any hacks could be because it doesn’t hold any cryptocurrency on its servers on behalf of its clients.
That said, it does record some instances of credit and debit card and personal information. CoinMama is registered with FinCen in the US as a money services business.
When you compare CoinMama to its rivals, it does have pretty high fees with around 5.5.% paid to them for each transaction that you make.
This fee is included in the Bitcoin or Ethereum rate that is quoted on the CoinMama site, and it also charges an additional 5% fee on each card transaction.
This fee is added to the customers chose their method of payment and customers can also incur Cash Advance fees from their bank or card issuer if the issuer classifies the transaction as a cash transaction. T
here are some suggestions that these fees could amount to as much as 10% when transacting through CoinMama, so you need to be sure that you are on top of how much you are paying, and for what, at all times.
CoinMama: Customer Service
If you run into a problem or even have a query or question about CoinMama, then your best bet is to head over to the customer support centre.
Here you can file a customer service request via email, or you can peruse the extensive list of FAQs that are on the site.
As with most crypto exchanges, their reviews on customer service are a bit mixed, but it seems that response time is not a big issue.
You can expect to get a resolution within 24 hours, but be prepared to wait a little longer over the weekends of public holidays.
Also, remember that their business hours are set at Pacific Time, so if you are in a different time zone, be sure to make the appropriate adjustment.
CoinMama: Mobile Application
At the moment there is no mobile application available for CoinMama on either Android, iOS or any other platform.
You can, of course, access it via your mobile browser but it will not be as much of a fluid or user-friendly experience as a dedicated application would be.
This is a bit of a thorn in the side of Coinbase as many of its competitors have fully functional and well designed mobile apps to enable their client base to effect transactions and manage their accounts when they are on the go.
One would hope that an app is in the pipeline as the popularity of the platform grows, as in 2018, not having a mobile app is rather inexcusable and would put a lot of people off.
They don’t even offer API integration meaning that others can create compatible platforms to run the application on, you are literally restricted to the browser version or nothing at all.
CoinMama is pretty simple. It is simple in the way that it lacks something, rather than it just being efficient.
Whilst it does do its job – buying Bitcoin and Ethereum – well, you cannot help but think that the developers could push it just that little bit more.
There is a lot of potential in this field such as offering more currencies, or more ways to purchase, and CoinMama, at the moment, are just not tapping into it.
The user interface is easy to navigate and is pretty straightforward for beginners, but it is a little lacking.
The fact that it isn’t available on the move as well means that the charts and various analytical tools are not being used to their full potential as you can only access them when you are on a computer.
CoinMama: Depositing Cryptocurrency
With CoinMama, you don’t deposit cryptocurrency.
Instead, you use fiat currency through a credit or debit card, or Western Union to purchase the cryptocurrency that you wish to invest in.
#1 As mentioned earlier, if you are just buying a small amount of cryptocurrency, you do not need to verify your account, but if you wish to purchase a large amount, you need to fully verify your account.
#2 You then need to create an order by specifying how much you want to buy, entering the address of your digital cryptocurrency wallet, and then filling out your credit card details.
You must be sure that the credit card address matches your verification address in the case of verified users, otherwise, they will be unable to process your order.
Also, note that CoinMama does not store any credit or debit card details on its servers.
#3 After the payment has been made; the transaction will be processed which can take up to 20 minutes before it is transferred into the cryptocurrency wallet.
Once all is confirmed, the currency is sent. The minimum purchase amount is 60 EUR/USD at the moment, but this is based on the current price of Bitcoin and how much 0.1 Bitcoin is worth in that fiat currency.
#4 Unlike many other alternatives on the market, CoinMama does not provide an online wallet facility where users can store their cryptocurrencies.
Instead, the coins are transferred directly into the appropriate wallet that the user has specified.
The wallet address is confirmed by the client before coins are deposited, via an email link that is sent to the user’s email address. This means that users are unable to purchase coins for, or on behalf of anyone else. If a user wishes to transfer currency to another user, this must be done on a wallet-to-wallet basis, and not through CoinMama.
#5 When it comes to purchasing limits, verified users can buy up to EUR/USD 5000 per day with a maximum limit in place of EUR/USD 20,000 a month.
Daily limits last from 24 hours from the moment that the limit is reached, whilst a monthly limit runs for 30 days.
Whilst at the moment, this limit is applied in EUR and USD, it will display others soon. These numbers are for someone that has gone through the full verification process, with other levels of verification available with lower levels of limits available for each one.
CoinMama: Withdrawing Cryptocurrency
When you buy your cryptocurrency on CoinMama, part of the process is to input the details and address of the wallet you will be using.
The coins then go directly to your wallet in a matter of minutes, meaning you don’t have to worry about manually withdrawing them yourself.
CoinMama: How To Buy Your Cryptocurrency Step by step
#1 Sign up and go through the levels of verification that are required for your needs.
#2 Decide which currency you want to buy.
#3 Input the amount you want to buy along with your wallet details. You can choose one of the packages (not recommended!) or input a specific amount.
#4 Click submit, and you are good to go.
CoinMama: Who Is The Platform For?
The platform is for those that want to buy Bitcoin or Ethereum with either a credit card, a debit card, or Western Union.
It is great for first time or beginner users as it is super-simple to use and the sign-up procedure is really straightforward.
CoinMama: Overall Rating
Overall, CoinMama is a great platform if you just want to buy Bitcoin or Ethereum with a credit or debit card.
For anything other than that, you will have to also sign up for another exchange which will facilitate the selling of your currency.
Another down point is the lack of mobile support which in today’s world, where most people use their smartphones for everything, is a big deal.
Otherwise, it is safe, secure, and easy to use as long as you don’t wish to do anything too complex with it.
Do you agree with our CoinMama Review? Have you used the platform yourself?