The new DEFI platform enters the market! Earn passively - token sale 0.25 $ I'm going in!

Bitstamp - what is it and how does it work?

By
Tokeneo
-
4 min reading

Find out everything about the Bitstamp cryptocurrency exchange, how it works and what are its advantages.

logo bitstamp https://www.freepikcompany.com/legal

What is Bitstamp?

Bitstamp is one of the oldest cryptocurrency exchanges that was established in 2011. Its founders are Slovenian Nejc Kodric and Damian Merlak. They dreamed of a stock exchange that would be able to compete with the then most popular Mt. Gox. As it turned out after 9 years, the Mt.Gox exchange has been gone for a long time and is hardly associated with people associated with cryptocurrencies, while Bitstamp is still functioning and doing even well. Going back to the beginnings, the headquarters of Bitstamp in 2013, after a short time of operation, was moved to London, three years later to Luxembourg, and then in 2018 the stock exchange was bought by NXMH. It is the European branch of the Korean company NXC investing in digital technologies. After the buyout, the president of the stock exchange, Nejc Kodric, retained 10% of shares, and Damian Merlak established a completely new stock exchange. The current seat of Bitstamp is again London.

Advantages and operation of the exchange

The current owners can boast of the statute of the first licensed cryptocurrency exchange in the European Union. In addition, it cooperates with the Swiss Dukascopy Bank. It is one of the leaders in the forex and CFD markets. Thanks to this cooperation, Dukascopy clients can fund their accounts with BTC, as well as withdraw funds in Bitcoichach. The payment operator is of course the Bitstamp exchange. Under the supervision of the Financial Sector Supervisory Commission, Bitstamt is a completely safe exchange recognized as licensed throughout the European Union. The stock exchange shows that it takes the safety of its clients very seriously.

Additionally, Bitstamp ensures that 98% of all funds are kept on the so-called cold wallets, i.e. offline. Emphasizing the importance of security, the stock exchange is subject to annual audits performed by one of the four big companies: KPMG, Deloitte, Ernst & Young, PricewaterhouseCoopers. No wonder that Bitstamp is considered by the majority of the cryptocurrency society as one of the safest exchanges. What are the other aspects? Focusing on security, Bitstamt was very slow and reluctant to introduce new cryptocurrencies, so that currently only 14 currency pairs are available on the platform, and these are the most popular cryptocurrencies. This means that you can buy Bitcoin, Ethereum, Ripple, Bitcoin Cash and Litecoin on the exchange. Additionally, the user has at his disposal two currencies: Fiat, Dollar and Euro. Considering the current large and well-known cryptocurrency exchanges in terms of asset availability, Bitstamt looks very poor and probably lost the war with Binance or Bittrex, among others.

Bitstamp - fees

Taking into account the costs, they are not excessive, and even low, if the user operates in Euro. The deposit is then free and the withdrawal will cost 3 Euro. USD is not that colorful anymore. There, the user will pay 0.05% of the transfer value for the payment, but not less than USD 7.5, and for the withdrawal 0.1% of the transfer value and not less than USD 25. Cryptocurrency deposits are free, and withdrawal costs are very similar to other platforms:

  • BTC - 0.0005BTC
  • BCH - 0.0001 BCH
  • ETH - 0.001 ETH
  • XRP - 0.02XRP
  • LTC - 0.001 LTC.

The fees on the stock exchange, both Maker and Taker, amount to 0.5%, but as it is recently becoming increasingly popular, these fees can be reduced by achieving an appropriate turnover on your account. The platform is quite intuitive and convenient to use. The daily turnover on the stock exchange is 94 million dollars. The customer confidence measure, which takes into account liquidity, traffic and regulations, shows less than 81%, which is one of the best results. As you can see, the stock exchange enjoys the recognition of customers and a good reputation. The only fault is the poor array of digital assets.

Currency Exchange rate Buy cryptocurrency

The new DEFI platform enters the market! Earn passively - token sale 0.25 $

Dear customer,

We use cookies to provide our services correctly and safely. Cookies are small text-based data sets that shall be saved on the device you are using in connection with the use of this instnat website. Cookies are created in order to ensure proper functioning of thes instant website. By clicking the button "I accept and go to the website", you implicitly agree to creation of the cookies on your computer and to deploy automatic tracking and data collection and processing on behalf of the Lushup Holdings FZ LEE. Click the above-captioned button is also tantamount to accepting website's privacy policy. Closing the notification by means of "X" is unequivocally connected with your consent. If you do not agree to any of the above, please discontinue using our Website.

“Cookies” shall make an identification of the software used by you and to customization of this instant website to your needs. Cookies contain the name of the domain from which they origin, duration of period of their storage on your computer and an assigned value.

Third party cookies:
We also use third-party cookies for the following purposes:

  • creating statistics - helping to understand the way Users use the Website, which allows to improve its structure and content with use of the analytical tools
  • defining a user profile - in order to display custom-tailored content in advertising networks.

External entities that might be source of any third-party cookies on this instant Website are as follows:

Using a settings of your web browser or by using pre-set configuration tools available in our service you can independently and at any time change the settings concerning your use of the “cookies”, specifying the conditionsof their storage and how your device is creating and downloading them. These settings can be changed to block the automatic handling of cookies in the settings of your web browser or inform about their placement on your device each time.

Detailed information about the options related to use of “cookies” is available in the settings of your software (web browser).

Service privacy policy

This instant document lays out the principles of the Privacy Policy on the tokeneo.com/news/pl website (hereinafter referred to as the "Website" or "Service"). The administrator of the Website is Lushup Holdings FZ LEE, Fujairah - Creative Tower, P.O.Box 4422 Fujairah, United Arabs Emirates.

The full document to read the Tokeneo privacy policy is available in this document.

Advanced settings can be changed in your browser.