It is no coincidence that Bitcoin remains the most valuable digital asset on the market. Even after the emergence of several other cryptocurrencies (especially based on Ethereum blockchain), none managed to beat the same yields as BTC, which still leads the rankings in terms of value both in the short and long term. To find the best Bitcoin deals, it is necessary to consider some foundational variables, but some people just lack the technical or experimental background to do it by themselves.
That is why we brought these exclusive comparison chart set with reliable (and most importantly, unbiased) information of four major crypto exchanges. After reading this guide, you’ll exactly know where you can get the best Bitcoin deals and the lowest exchange rates. So keep reading and earn some money together.
Which Variables Come Into The Game?
The main subjects to be evaluated to get the best out a Bitcoin exchange are:
Fees: The most important aspect, as it can turn into a nightmare for some. We will take into consideration three main types of fees, ranging from beginning to end of the process. These are deposit fees, transaction fees, and withdrawal fees.
Exchange Rate (or Spread): It can be a tricky aspect, as some exchanges may hide “sightless fees” in larger spreads, despite looking inexpensive. This situation leads BTC buyers to pay more when buying and earn less when selling, which is an awful scenario.
Compare: Bitfinex vs Coinbase – Which trading platform is better?
Legal Support: Some countries don’t support some exchanges, so it is fundamentally important to check it before trying to buy BTC.
Purchase Limits: Usually, exchanges have limits on how much a user can either buy or sell. Despite being inconvenient, this situation is common, generally being related issues with KYC and AML regulations.
Supported Payment Methods: Options with the most cost-benefit relation usually are bank and wire transfers, while payments via credit cards tend to include additional fees.
Reputation: Despite some forgivable flaws, some issues generate a lot of negative reviews within the crypto community. The best exchanges must have minimal negative reviews, summed up by a great customer support service.
Numbers Do Not Lie
Here we have a basic overview chart to compare four major exchanges in the crypto industry: Coinbase, Coinmama, Bitpanda, and Bittrex.
|Exchange||Deposit Fees||Transaction Fees||Withdrawal Fees||Spread||Credit Card Fees*|
|Coinbase||Free (ACH)||1.49% (max $2.99)||Free (ACH)||0.5%||3.99%|
|Bitpanda||Free||1.49% buy, 1.29% sell||Free||Undisclosed||5%|
|Bittrex||Free||0.25%||Free||Varies, usually less than 0.5%||CC is not accepted|
*Banks or Credit Card companies can charge additional fees, so pay attention.
A Quick Look Out
When it comes both to deposit and withdrawal fee rates, all four exchanges seem to provide a good experience, with no fees whatsoever.
Coinbase and Bitpanda have the highest transaction fees, although Bitpanda has a bit lower rate for selling. Bittrex transactions fee is just 0.25%, while Coinmama has the lead here, with zero transaction fees.
Compare: Bittrex vs Bitfinex – Which trading platform is better?
Price spreads are the difference between the highest buy order and lowest sell order in the system. Here, all exchanges have different rates. Coinbase leads the way with a fixed 0.5% rate. Bitpanda hasn’t disclosed its spread rates publicly.
While Bittrex doesn’t accept credit cards, Coinbase has the lowest credit card fees, as both Coinmama and Bitpanda tie in this regard.
Looking Into Each Exchange
- Coinbase: Headquartered in San Francisco (CA), the exchange was one of the pioneers in the crypto industry (established June 2012). It provides exchanging services for over 30 countries worldwide, and Bitcoin transactions (plus storage services) in more than 180 countries.
- Coinmama: Coinmama was established back in 2013, is registered in Slovakia but owned by New Bit Ventures Limited, which has its’ headquarters in Israel. Their services are available in 24 US states, covering 188 countries as well. The platform permits users to buy Bitcoin using both credit and debit cards, but without possibilities to sell it or exchange for other crypto assets.
- Bitpanda: Based in Vienna (Austria). This exchange just supports the USA and some other countries in Europe (which is a limitation). Although their fee policy is not disclosed publicly, they are known for their low fees for European customers who purchase Bitcoins via Visa/Mastercard debit and credit cards.
- Bittrex: Based and fully regulated in the USA, Bittrex has been operating since 2015. With security as their top priority, they do not charge fees on withdrawals and deposits.
As it seems, Bittrex would provide the best deal among the options overall, looking at a glance. If we look closely, a purchase of $1000 worth of BTC via Bittrex would end up costing 1,007.50 after fees, which would still be a positive result, after all.
Learn more: How to buy Bitcoin using credit card
However, Coinbase definitely can’t be taken for granted if you just want to purchase smaller amounts of BTC (or sell it, as well).
Coinmama, despite the overall lack of transaction fees, ends up being the most expensive player in the game, due to the huge spread in the trading process.
What’s your go-to platform when looking for the best Bitcoin deals? Share your thoughts and experiences in the comment section.