When you think about your mama, hopefully you’ve got in mind someone who loves you, takes care of you, and helps you out in any way possible. And while Coinmama won’t make you dinner or do your laundry when you visit home from college, they will make buying Bitcoin and Ethereum a whole lot easier than it normally is.
In this Coinmama review, we’ll talk about why allowing a new onramp for US Dollars and Euros is so important. We’ll also discuss Coinmama fees, Coinmama verification, and our thoughts about Coinmama vs Coinbase. We hope you find this Coinmama review informative and thorough. Now without further ado, let’s get right into it.
What Coinmama Is
In short, Coinmama is a broker that allows you to trade American Dollars and Euros (Coinmama UK) for Bitcoin and Ethereum. There aren’t that many places on the internet where you can do this, believe it or not. For people who have fiat currencies like US Dollars and Euros, traditionally there has been only on place to buy Bitcoin and Ethereum: Coinbase.com.
Coinbase still has its place, but Coinmama improves on its methods, at least as far as certain customers are concerned. With Coinbase, a new user will have to open an account (which could take days), link a bank account, and wait more than a week in most cases for Bitcoin or Ethereum to arrive in the Coinbase account. This is a long time when waiting to start investing.
Coinmama, on the other hand, has scores of Bitcoins and Ethereum coins in an account, ready to transfer to your private wallet. Once you’ve made your payment through credit/debit card or bank transfer, you’ll only have to wait a period of minutes or hours for your new coins to arrive. This is much faster and more convenient than working with Coinbase.
If that sounds like a simple explanation, it’s because Coinmama is a simple service. They are in business to get you into the Bitcoin and Ethereum game as fast as possible, so you can hold long term, or trade these fundamental currencies for altcoins with more potential upside.
Coinmama is among the most convenient ways to buy Bitcoin and Ethereum in the world. Because they’re selling convenience, they are a bit more expensive than their peers. People who need Bitcoin or Ethereum now, with a minimum of headache, will likely find that the extra costs is worth it.
- Coinmama charges a flat fee of 5.50% for all purchases of Bitcoin and Ethereum. It’s important to note that Coinbase charges about 1.49% (depending on where you live in the world), though the coins won’t arrive nearly as quickly as with Coinmama, and the user will be required to have a bit more knowledge with Coinbase than with Coinmama. More on that later.
- Coinmama charges an additional 5.00% for credit and debit purchases of Ethereum and Bitcoin. This is compared to the 3.99% that Coinbase charges for the same service, a closer comparison than in the case of the flat fee charged by the competitors.
Apart From Coinmama, Why Is Buying Bitcoin and Ethereum So Difficult?
If we had a nickel for every time a new crypto trader asked why it’s so hard to buy Bitcoin and Ethereum…we’d have more fiat money to put into crypto.
Seriously though, buying Bitcoin and Ethereum takes some time and knowhow. This is because cryptocurrencies are a different kind of asset class than has ever existed before. It’s a strange thing to be able to transfer value based in physical money into digital space for a virtual currency, which can later be traded back for fiat money.
For this to happen, regulators have to make a lot of rules for the way companies like Coinbase can operate. Coinbase has to be very careful about the way they operate. Apart from Coinbase, there are very few exchanges which trade Dollars for Bitcoin and Ethereum, specifically because of the regulatory burden required of these exchanges.
By keeping a liquid stash of Ethereum and Bitcoin, Coinmama can accept your cash and credit payments and return to you with your coins in no time. In this way, they are acting almost like a friend, who might sell your some of their Bitcoin for cash you pay them through a non-official channel. Coinmama is still regulated, but not in the way Coinbase is.
Another reason that it’s difficult to buy new Bitcoins and Ethereum is because the market is flooded with demand. Literally hundreds of thousands of new investors and cryptocurrency users spring into the market each day. Exchanges like Coinbase simply can’t keep up.
For this reason, we’re always happy to see new “onramps” (ways for people to bring conventional currencies into the crypto space) come into existence. It takes some of the burden off of more familiar exchanges, and gets more people into crypto investment than would be able to do so otherwise.
Coinmama Legit? Coinmama Safe?
Abbreviated questions like these are very common in Google trends searches, and we are happy to be able to answer in the affirmative in both cases. Coinmama is a legit company who provides a simple service just as they say they will. Coinmama Reddit is a good place to explore user experiences. You won’t find many complaints.
How Do I Actually Buy Bitcoin and Ethereum With Coinmama?
At this point in this Coinmama review, you probably want to know how exactly to buy Bitcoin and Ethereum with Coinmama. We’ll give you all of the necessary steps, and some helpful pictures to explain things more clearly, below.
Start by going to Coinmama.com and inputting the information they ask for into the lines you see above. Try to use a unique username and password so that your account will be as safe and secure as possible. When you submit this content, Coinmama will send you a confirmation email.
This is the notification screen you should see, prompting you to check your email. If you don’t see the message in your primary email area, make sure to check the Spam folder. That’s where we found our’s!
When you return, you’ll be prompted to input some personal information, including where you live, and pictures of your government issued ID. This is pretty standard for buying into an exchange like this. You have to put your official ID in (with a picture of your face beside) so that Coinmama can verify that you are who you say you are. Without this step, it would be easy for people to launder money through Coinmama, and they can’t have that.
Now that you’re into your account, you won’t be able to buy Bitcoin and Ethereum immediately, because your account has to be manually verified by Coinmama staff. Once your account is fully verified, you’ll be able to link your bank account, or make an immediate purchase with credit or debit card. Coinmama no longer accepts Coinmama Paypal orders, so the above are the only options available for most people.
On this screen, you’ll see easy packages of different amounts of Bitcoin and Ethereum. Choose one that works for you, or use the slider or text boxes at the bottom to buy only exactly what you want.
Here is some more information on this page to explain the purchase process. It’s honestly pretty intuitive and straightforward, especially compared to using some other exchanges out there.
How to Create a Personal Bitcoin and Ethereum Wallet
There is no Coinmama wallet in which to store Bitcoin or Ethereum. When you set up your order for the first time, Coinmama sends your order straight to a wallet that you control on the internet or on your computer/device. But what is this wallet and how do you set one up?
First of all, every cryptocurrency in the world is stored in a wallet or some kind. However, these wallets aren’t the leather credit card burritos carried in your dad’s back pocket. These are pieces of digital software which control the “private keys” for your coins – secret codes that are processed from origin to recipient every time a coin is transferred.
When you buy a Bitcoin with Coinmama, they will never hold that coin for you. Instead, they will send it from the Coinmama Bitcoin wallet to your personal wallet in one single step. To complete this trade, of course, you must have a existing wallet before you transfer the money. There are many wallets. We happen to like Exodus – it’s free and intuitive. It also holds both Bitcoin and Ethereum, plus a bunch of other altcoins.
This is a Coinmama review, but to use Coinmama you’ll have to use a wallet like this. Download Exodus from Exodus.io. Inside, you’ll see tabs for Bitcoin and Ethereum. In both regions of the software, click “receive”. This will show you the public address for your Exodus Bitcoin wallet and Exodus Ethereum wallet.
If you want to buy Etheruem from Coinmama, copy your Exodus Ethereum address and paste it into the requested line on your Coinmama order form. Complete the rest of the order as already described. This will give Coinmama the information they need to deliver your Ethereum (or Bitcoin if you copied your Exodus Bitcoin wallet address) when your order is complete.
When your coins arrive in your Exodus wallet, they are now in your control to hold, spend, or transfer to another wallet. Keep your Exodus password safe and your coins should be safe too.
What is the Coinmama verification time? Coinmama accounts are verified manually, so this process usually takes a few days, longer in times of high demand.
Is there a Coinmama UK version? Coinmama US and UK customers use the same platform.
What’s Better, Coinmama or Coinbase? They both serve the purposes of different customers very well.
Is there a Coinmama App? No
What are Coinmama Supported Countries? You can see the complete (long) list of Coinmama supported countries here.
Is this an unbiased Coinmama review? The author has no personal or professional interest/stake in Coinmama.
What is the Coinmama Reddit Connection? Reddit is a place to discuss many things. Because Reddit’s user base skews younger, and because cryptocurrencies also tend to have a younger user base, it stands to reason that there would be a fair amount of conversation about Coinmama on Reddit. This is not unusual for exchanges like this.
Are Coinmama fees high? Coinmama’s fees are on the high side, but they also provide Bitcoin and Ethereum faster than almost any other method. For people wishing to get into a new altcoin fast, but who currently lack Bitcoin or Ethereum, this premium may be well worth it.
Is there a good Coinmama alternative? BuyVirtualCurrency.co.uk is a great alternative, and they sell coins other than Bitcoin and Ethereum. If you don’t need your coins right away, services like Coinbase, CEX.io, and Gemini are all also good choices.
Final Thoughts on Coinmama
We hope that this Coinmama review has been thorough and helpful. To sum up, we think Coinmama is a convenient and easy way for people to turn fiat currencies like US Dollars and Euros into Bitcoin and Ethereum. Bitcoin and Ethereum are good choices for investments in themselves, but they’re also great ways to invest in other cryptocurrencies (altcoins) like NEO and ARK.
Coinmama is also a great place for new crypto traders to learn some of the ropes. In order to work with Coinmama you’ll have to be able to download a digital wallet for Ethereum or Bitcoin, and no what an address is. This is pretty foundational stuff, but you’d be surprised how many people would like to trade crypto, but haven’t yet wrapped their minds around these simple concepts.
Regardless of why you use Coinmama, we think you’ll find it fast and intuitive, the perfect way to get Bitcoin and Ethereum ASAP.