Because its trading fees are cheaper than what many of its competitors charge, Bitstamp is an excellent choice for fee-conscious crypto investors. This crypto exchange is also easy to use, so it works well for everyone from beginners to advanced traders. However, there are a few major cryptocurrencies missing from its lineup. Check out our detailed Bitstamp review to see if you should open an account.
This cryptocurrency exchange is a good fit for: Crypto investors who want to keep trading fees to a minimum.
Pros
- Competitive trading fees
- Easy to use
- Advanced platform available
- Highly rated mobile app
- Solid cryptocurrency selection
Cons
- Missing major cryptocurrencies
- Lackluster staking program
- Hacked in 2015
How Bitstamp works
Bitstamp is a crypto exchange where you can buy, sell, and trade various types of cryptocurrency. You can deposit and withdraw money via multiple methods, including ACH transfers from a bank account, debit card and credit card payments, and international wire transfers. A bank transfer is the best payment method from a cost perspective, as there are no fees on ACH deposits and withdrawals.
The Bitstamp exchange is available as a web page and as an app for Apple and Android devices. You can buy crypto with both options. While the exchange’s standard platform is sufficient for many investors, it also offers Tradeview, a trading platform for more advanced users.
Top perks
Competitive trading fees
Bitstamp is one of the best cryptocurrency exchanges in terms of trading fees. It has a straightforward fee structure, in which your trading fees are based on your 30-day trading volume.
The highest trading fee on Bitstamp is just 0.50% for those with under $10,000 in 30-day trading volume. Fees drop quite a bit for users who trade higher amounts per month.
Easy to use
There’s not much of a learning curve to trading crypto on Bitstamp. It offers a straightforward platform where you can quickly learn how to buy and sell cryptocurrency. If you’re new to crypto, Bitstamp is one of the more user-friendly exchanges.
Advanced platform available
In addition to its regular platform, Bitstamp also offers Tradeview, an active trading platform. This has more advanced charting features and trading forms.
One of the nice things about Bitstamp is that trading fees are the same whether you use its regular platform or Tradeview. Other major exchanges, such as Coinbase and Gemini, have lower trading fees on their advanced platforms. With Bitstamp, there’s no difference in cost, so it’s just a matter of which platform you prefer.
Highly rated mobile app
A quality mobile app is a big plus, as it allows you to check your portfolio and make trades when you’re not at your computer. The Bitstamp app provides full trading functionality and has positive reviews on the App Store and Google Play.
Solid cryptocurrency selection
Bitstamp lets you trade around 45 different cryptocurrencies. Although that’s far from the most, this exchange has a good selection that includes many of the biggest coins as well as some smaller cryptos. If you’re looking for the best places to buy Bitcoin and a few other cryptos that catch your eye, Bitstamp should have everything you need.
Lengthy track record
You won’t find a longer-tenured crypto exchange than Bitstamp. Launched in 2011, it was one of the first crypto exchanges, and it has outlasted the competition to become the longest-running exchange. That stability is a nice selling point in a market where many exchanges don’t last, or run into serious regulatory issues.
What could be improved
Missing major cryptocurrencies
While Bitstamp has a reasonable number of cryptocurrencies, there are some notable cryptocurrencies that are missing. Three of the biggest are Solana (SOL), Polkadot (DOT), and Avalanche (AVAX). All have large market caps, but aren’t available to trade on Bitstamp. If there’s something specific you want to trade, check whether it’s available on Bitstamp before you sign up.
Lackluster staking program
Some exchanges give you the option of earning passive income on certain cryptocurrencies, either by lending or staking them. Bitstamp offers this through its Bitstamp Earn program, which lets you stake crypto, but there are a few issues:
- Bitstamp Earn isn’t available to U.S. investors.
- It currently only lets you stake two cryptocurrencies.
- Bitstamp takes a 15% commission from your staking rewards. That’s a hefty fee, and more than what other exchanges charge on their crypto earning programs.
Hacked in 2015
The Bitstamp cryptocurrency exchange has had one notable security mishap. In 2015, hackers succeeded in a phishing attack targeting Bitstamp employees and stole nearly 19,000 Bitcoin, worth about $5 million at that time.
It bears mention that Bitstamp rebuilt its trading platform after the hack, and hasn’t had any data breaches since. The exchange also ensured that no clients lost their own funds.
Alternatives to consider
If you want a larger cryptocurrency selection: Coinbase offers over 120 cryptocurrencies, including most of the market leaders and plenty of smaller cryptos that could move up the charts. This exchange is extremely popular in part because it’s so beginner-friendly, and it also offers a more advanced platform, Coinbase Pro.
If you want a more robust crypto rewards program: Gemini has built one of the best crypto earning programs on the market. Gemini Earn® is a crypto lending program offering competitive interest rates on dozens of cryptocurrencies.
Cryptocurrency selection
Bitstamp offers around 45 cryptocurrencies. That puts it firmly in the middle ground of cryptocurrency apps and exchanges. It has a good number of cryptos and you won’t lack investing options, but there are some competitors that offer many more.
Here are some of the major cryptocurrencies you can trade on Bitstamp:
- Bitcoin (BTC)
- Ethereum (ETH)
- Tether (USDT)
- Cardano (ADA)
- USD Coin (USDC)
- Polygon (MATIC)
- Litecoin (LTC)
- Algorand (ALGO)
- Uniswap (UNI)
- Bitcoin Cash (BCH)
Final Words
Yes, your cryptocurrency is safe with Bitstamp. The exchange keeps 98% of assets offline in cold crypto storage. This is the most secure type of crypto storage, because offline storage protects funds from hackers. The small portion of funds that Bitstamp keeps in hot storage (connected to the internet) are used for everyday trading.
Bitstamp adds another layer of protection with a crime insurance policy covering theft. Its insurance applies to theft when the exchange itself is breached, but it doesn’t cover your individual account if your login credentials fall into the wrong hands.
