A Detailed Coinsmart Review in 2022: Fees, Pros and Downside

Coinsmart is a Canadian cryptocurrency exchange that supports the trading, buying, and selling of significant crypto assets. It is one of Canada’s fastest-growing exchanges, and it is ideal for new traders who want to invest in the cryptocurrency market.

It supports Bitcoins, Ethereum, and other popular crypto coins. It offers simple solutions, 24/7 customer support, and learning tools for entry-level traders and expert traders.

Suppose you are new to the world of cryptocurrency. In that case, you will quickly find that Coinsmart offers you an easy-to-understand interface, high-level security, quick account verification, and the ability to fund your account using different fiat currencies, CAD, USD, EUR, etc.

This Coinsmart review covers what Coinsmart is, what features it offers, its pros and cons, and its fees. If you consider Coinsmart as your preferred exchange, you should read further. This review will help you understand better all that Coinsmart offers.

What is Coinsmart?

Coinsmart is a Canadian cryptocurrency exchange that supports the trading, buying, and selling of significant crypto assets. It was founded in 2018 by Justin Harzman and Jeremy Koven, and It caters to the needs of Canadians looking to trade digital currencies using the Canadian Dollar.

Coinsmart offers an easy-to-use interface suitable for beginners while also delivering more advanced features to expert investors.

It offers an exclusive service for OTC trades, a learn and earn section, and even a mining calculator. Available in Canada and many other countries, Coinsmart offers 16 crypto coins.

How Does Coinsmart Work?

Coinsmart is one of the simplest trading platforms to use.

Simply sign up and provide the necessary information, your full name, email address, date of birth, and phone number. Coinsmart instantly verifies your account with Equifax, and you can start trading within a few minutes.

You may be required to manually upload some documents to verify your accounts if they cannot be automatically verified.

You can fund your account using Bank wire, Interac e-transfer, bank draft, or electronic fund transfer and begin your trading.

Coinsmart Pros and Cons

Coinsmart Features

SmartTrade: With SmartTrade, you can easily buy and sell cryptocurrencies using fiat or cryptocurrency you have already purchased.

SmartGuarantee: With SmartGuarantee, Coinsmart guarantees that all deposits will be credited to your account the same day it receives them.

It also guarantees that all account verifications will be processed within the same day and that Coinsmart will process all cash withdrawal requests within five business days.

Extremely Low Fees: Coinsmart offers the lowest fees among all crypto platforms in Canada. Its trading fees are only 0.2%.

Coinsmarts deposits are almost free, fiat withdrawals are just 1%, and offer fairly negligible crypto withdrawal fees. Although debit and credits cards deposit costs up to 6%, they are still cheap compared to other exchanges.

Excellent Mobile App: Coinsmart is not just available on the desktop version but also on a mobile app. The mobile app has several features that we love, including SmartTrade.

The app has security features like fingerprints and 2FA to help keep your crypto assets safe.

Excellent Customer Support: Coinsmart offers excellent customer support service available 24/7. You can reach the support team via email, phone, live chat, or support page.

You can also reach them through social media like Facebook, Twitter, LinkedIn, etc.

Instant Account Verification: Most accounts on Coinsmart are verified within minutes of signing up. A few users may have to upload a few documents for verifications.

To manually verify your accounts, you will be required to provide:

• Front and back photo of a government-issued ID
• A selfie of yourself while holding that ID
• A copy of a recent bill

Bank-Level Security: Coinsmart maintains a 95% cold storage security policy. 95% of the crypto assets on Coinsmart are held offline.

FINTRAC and OSC regulate Coinsmart. It is the only publicly-traded crypto exchange in Canada. It is subject to more financial scrutiny than other exchanges.

Coinsmart Fees, Funding Options, and Withdrawal Methods

Compared to other cryptocurrency exchanges, Coinsmart offers competitively low trading fees.

Coinsmart charges 0.2% for single trades and 0.3% for double trades.

A single trade is between a fiat currency and another cryptocurrency, e.g., when you trade CAD for ETH. It may also occur when you trade between two crypto coins, and one of the coins is BTC.

A double trade is when you trade between two cryptocurrencies that are not Bitcoin, e.g., you trade SOL for DOGE.

Is Coinsmart Safe for Trading

Trading with Coinsmart is entirely safe. It prides itself as the safest crypto exchange platform in the market.

Coinsmart is registered with FINTRAC as a Money Service Business. They are compliant with all the regulatory standards of FINTRAC. A registered Canadian bank also backs them.

Coinsmart runs a comprehensive identity verification process through its data collection agencies that can detect fake addresses and dates of birth. So, Coinsmart verifies all identities and keeps its user’s personal information secure.

Coinsmart offers two-factor authentication ((2FA), which requires you to use a password generated on your phone anytime you attempt a Coinsmart login.

Coinsmart keeps a high percentage of its digital assets on an offline cold storage system. This makes them less likely to be compromised.

How to Set Up Your CoinSmart Account

Signing up for Coinsmart is simple and easy. First, you need to be above 18 years to sign up for Coinsmart, and you would need to have an active email address to receive the verification email. Follow these steps to set up your account.

1. Go to the Coinsmart homepage.
2. Sign up with your valid email and password
3. Coinsmart will send a verification link to your email address. Check your email account and click on the verification link.
4. Enter your mobile number and verify through the code sent to you (This is necessary for text verification)
5. Enter the required information (full name, date of birth, address, etc.)
6. Go through the identity verification process (You will be required to provide a photo of a government-issued ID, a selfie of yourself holding that ID, and a copy of a recent bill)
7. When you upload all the documents, you will be verified and can start trading.

Cryptocurrencies on Coinsmart

While some other exchanges support hundreds of crypto assets, Coinsmart focuses on only the most popular and established coins in the crypto markets. Here’s a list of the 16 coins supported by Coinsmart.

How to Withdraw Money from Coinsmart

Crypto withdrawal fees

 

The charges for crypto withdrawals are in the table above. You will be charged 1% for fiat withdrawals.

To withdraw your funds from the Coinsmart account, follow these guidelines.

1. Tap the currency you want to withdraw from the account homepage.
2. Tap the “Withdraw” icon at the bottom
3. Tap the “Enter Withdraw Information”
4. Enter your wallet address or scan your QR code
5. Enter the amount you wish to withdraw
6. Click “Submit”
7. Click the confirmation link sent to your email from Coinsmart.
8. The transaction should take a few minutes to process, and Coinsmart will transfer your funds to your external wallet.

How Coinsmart Compares to Other Crypto Exchange

How does Coinsmart compare to other Canadian cryptocurrency exchange platforms? Let’s take a quick look at their comparisons.

Coinsmart vs BitBuy vs Newton

Coinsmart vs Coinbase

Compared to Coinsmart, Coinbase offers a broader variety of crypto coins for you to choose from. On both Coinsmart and Coinbase, you can switch to an advanced trading arena if you desire an expert’s experience.

Both platforms are secure. Coinsmart has a FINTRAC-issued MSB license, and Coinbase is a US-registered MSB.

Coinsmart vs. Wealthsimple Crypto

While Coinsmart offers just 16 crypto coins, Wealthsimple offers about 42 crypto coins.

Coinsmart offers a basic and advanced trading platform for beginners and pro traders. Wealthsimple offers a simple interface for users new to cryptocurrency to trade.

Coinsmart vs. Kucoin

Just like Coinsmart, KuCoin is the favorite among traders. Both exchanges are known for their high-security level, ease of use, and low trading fees.

While Coinsmart offers 16 crypto coins, KuCoin offers over 500 coins.

Coinsmart vs. Crypto.com

Crypto.com offers some fantastic features that no other cryptocurrency exchange can match. It provides 100+ crypto coins, while Coinsmart offers just 16 coins.

However, while Crypto.com charges 0.4% as trading fees, Coinsmart charges 0.2%.

Conclusion on Coinsmart Review

Although Coinsmart does not support as many crypto coins as other cryptocurrency exchanges, it offers the popular and most established coins in the market.

Coinsmart is a versatile exchange, and it grants you the ability to trade on the go with its mobile app.

While other trades are cryptic with how they trade and their fees, Coinsmart stands out by being straightforward.

Coinsmart Review FAQs

Is Coinsmart Legit?

Yes, CoinSmart is legit. It maintains a 95% cold storage policy and has its users’ crypto holdings insured for $100 million.

It is a publicly-traded exchange with its financials audited at least once per year.

Is Coinsmart Legal In Canada?

Yes, Coinsmart operates fully legal in Canada. It is registered as a Money Service Business with FINTRAC, backed by a registered Canadian bank, Luminus Financial, and follows all regulations set by the OSC.

Is Coinsmart Good and Worth it?

Yes, Coinsmart is an excellent exchange. It offers low fees, runs an easy-to-use and secure trading platform, and has excellent customer support.

Is Coinsmart Insured?

Yes, Coinsmart’s crypto holdings are held by BitGo. BitGo is a well-respected cryptocurrency custodian. Its wallets are insured by Lloyd’s of London for $100 million.

Do I need my crypto wallet for CoinSmart?

No. Coinsmart provides a wallet for you. You can use the wallet for your transactions.

Who founded Coinsmart?

Coinsmart was founded by Justin Hartzman and Jeremy Koven in 2018.

Does Coinsmart Report To The CRA?

Yes. Coinsmart is a Money Services Business registered with FINTRAC, and it is required to report to the Canada Revenue Agency (CRA).