Overview & Company Info
Coinmama is a site specializing in selling bitcoin. Coinmama was founded in 2013, and is located in Israel. Coinmama is a pretty bare bones exchange in comparison to many other bitcoin exchange: It’s core concept is the idea of offering bitcoin sales via credit or debit card.
How Does Coinmama Work?
The process of using Coinmama is fairly simple. A user registers for the site, providing an email address and password. He or she then verifies his or her identity, and then the user can buy bitcoin (or Ether, the cryptocurrency associated with the Ethereum project) via credit card or debit card.
How To Create Your Account (Is there an ID/Verification Process?)
After registering an email address and password, a user must complete an ID verification process to buy bitcoin worth more than $150. Coinmama requests that users present a government issued ID like a passport, driver’s license, or National ID card. After this information is verified with Coinmama, the user is able to buy bitcoin.
However, if a users wishes to buy $150 or fewer worth of bitcoin, no identification is required.
How To Buy Bitcoin At Coinmama
Coinmama has a simple interface, where a user first enters debit or credit card information, then is presented with a screen allowing him or her to select how much bitcoin to buy. A slider can be dragged to select the desired amount, and Coinmama will process the transaction and release bitcoin to the users.
It’s worth noting that Coinmama is not a bitcoin wallet service. They send the bitcoin to whatever wallet you specify. So unlike a number of other bitcoin exchanges, Coinmama won’t store or protect your bitcoin for users.
What Are The Deposit/Payment Options, Fees, and Limits?
Coinmama accepts only debit or credit cards.
Coinmama charges high fees on any bitcoin purchases. First of all, Coinmama charges an 6.3% fee on their end. Then, their credit card processing payment processor Simplex charges a 5.65% fee. All in all, a Coinmama transaction will cost the user over 10% of the total transaction.
Coinmama offers one of the highest buying limits of any exchange dealing with credit and debit cards. A Coinmama user can purchase up to $5,000 of bitcoin each day, with a monthly limit of $20,000 worth of bitcoin.
Does Coinmama Charge Service or Transaction Fees?
The entirety of the Coinmama fees are the transaction fee of 6.3%. Coinmama doesn’t require deposits of any kind, so there’s no charge to remove anything from Coinmama.
What Are The Withdrawal Options, Fees, and Limits?
There is no withdrawal, per se. Once the payment goes through, Coinmama releases the purchased quantity of bitcoin to the bitcoin wallet specified by the user.
Does This Exchange Have A Trading Platform?
Coinmama doesn’t have any trading platform. All transactions are strictly between Coinmama and the users.
Customer Support Options
Coinmama’s support staff has a pretty solid reputation for being quick and responsive. Verification of identity and credit/debit card info is generally fast and easy.
The Coinmama site provides an FAQ section explaining the basics of the site, including all the steps to registering and completing a purchase.
Pros and Cons of Coinmama
– Coinmama is one of the longest serving exchanges in terms of selling bitcoin via credit and debit card transactions. They are reputable.
– The transaction process is rapid, with verification usually taking only minutes and all purchases resulting in instant delivery of bitcoin.
– Coinmama doesn’t store any credit/debit card information, as they don’t receive it in the first place. (It should be noted that Simplex, the processing service they use, may or may not store that information)
– If you’re looking for relatively small transactions, Coinmama offers close to total anonymity.
– It’s possible to find a coinmama coupon in various coupon and bitcoin sites, giving a discount on bitcoin purchases.
– Fees are extremely high for debit and credit card transactions. (Though use of coupons may reduce that extra cost somewhat)
– Coinmama is very limited in scope, which may or may not be a negative, depending on your needs.
Coinmama occupies a fairly specific niche. If you want to buy bitcoin using a credit or debit card, Coinmama might be for you. If you require any other bitcoin related services, you probably need to look elsewhere.
The other aspect that’s notable about Coinmama are the exceptionally high transactional fees. A plethora of other bitcoin exchanges have Coinmama beat on pricing. So if you’re debating whether to use Coinmama or not, the decision really comes down to this: Are you willing to pay a high price for a fairly reliable, no-frills bitcoin purchase? If so, Coinmama may be for you. If not, you’re probably better off searching for a different exchange.
That concludes this Coinmama.com review.
Pros & Cons
Types of Verification
To verify your Coinmama account, submit a valid government issued ID. Acceptable high-quality images of documents are as follows:
- International passport (double page)
- National ID card (both sides)
- Driver’s license (both sides)
After you verify your account and deposit USD with credit or debit card to your Coinmama account, you’re ready to buy. Select the amount of bitcoin you want to buy. At checkout you provide a wallet address for them to send the bitcoins to. When your payment has been processed Coin mama will send your coins to the address you provided. This is how you withdraw your bitcoins from this exchange.