A Bitbuy Review for 2021
Bitbuy is a hassle-free platform that allows Canadians to buy, sell, and manage cryptocurrency online. This Canadian crypto exchange made its way onto the market in 2013, quickly gaining praise for transparent fees and compliant transactions. While its services are currently limited to Canadian customers, word on the street is that Bitbuy is likely to scale into foreign markets in the future.
In this Bitbuy review, we will dive into what Bitbuy is all about, how it works, and highlight some notable trading features that have some crypto enthusiasts jumping on the Bitbuy bandwagon.
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A Bitbuy Review for 2021: Features, Fees, Funding, and More
For Canadians, the ability to exchange cryptocurrency for CAD is crucial to avoid losing profits to USD exchange rates. The list of available crypto assets may be short, but there’s some method to the madness.
Skilled traders that have been around the crypto block more than a few times may find some aspects of the platform a bit limiting, but newcomers will enjoy the intuitive buying and selling process.
Bitbuy didn't make it onto our radar by mistake. This reputable cryptocurrency exchange is packing some impressive trading features that cement its position among the most popular platforms for Canadians to buy and sell digital currency.
Here are some of Bitbuy's features:
- Express Trade: A simple, user-friendly portal for entry-level traders to make one-click buy and sell orders that execute in real-time. This option is best suited for market orders.
- Pro Trade: Advanced market insights for experienced traders. Pro Trade features include a market depth chart, order status and history, TradingView charts, and more.
- OTC: Institutional investors can make large volume orders at a fixed price to avoid slippage costs. This service is available for clients looking to invest $50,000 or more.
- API: Created for individuals, institutions, algorithmic traders, cryptocurrency ATMs, and other cryptocurrency-focused businesses looking to automate trading activity.
- Corporate: Thousands of Canadian businesses are adding Bitcoin to their balance sheet with Bitbuy. Corporate accounts are available to companies of all sizes, from sole practitioners to large international operations.
Bitbuy functions as a regulated exchange, as opposed to a peer-to-peer marketplace. As a result, Bitbuy’s fees are slightly higher than other platforms.
Express Trade users are charged 0.75%* on buying orders and 0.50%* on selling. Pro Trade users pay lower fees according to the fee schedule for makers (traders that create orders) and takers (traders that fill orders). Makers pay 0.10%* per trade, while takers pay 0.20%*.
It’s free to make deposits using cryptocurrency, but if you make a deposit using fiat currency, the platform will charge you 0.50%* to 1.50%*, depending on which funding method you choose.
Withdrawals using Interac e-transfer have a fee of 1.50%*, and wire transfers cost 1.00%*. Mining fees for cryptocurrency withdrawals cost 0.00025* to 0.30* of the digital currency asset.*Rates current as of August 2021
Bitbuy: Funding Methods
Clients can fund their Bitbuy accounts using digital currencies or fiat currency through a bank wire transfer or Interac e-Transfer.
Wire transfers have a minimum deposit limit of $20,000* and a maximum of $500,000*. For Interac e-Transfers, the minimum deposit is $50*, and the maximum daily deposit is $10,000*.
Cryptocurrency funding has no minimum or maximum deposit limit, nor do withdrawals.*Rates current as of August 2021
What is Bitbuy?
Bitbuy is a Canadian-owned and operated cryptocurrency exchange currently managed out of downtown Toronto. The company was founded in 2013 by Adam Goldman and Ademar Gonzalez as a subsidiary of First Ledger Corporation, initially launching under the name InstaBT.
In 2016, the crypto platform rebranded as Bitbuy and continued to build its reputation for providing convenient, dependable, secure, and transparent access to cryptocurrencies.
Bitbuy offers an easy-to-use platform for Canadians to buy, sell, and manage up to nine crypto assets, including Bitcoin, Ethereum, and Ripple. The exchange is regulated by Canadian federal authorities as a registered member with the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC). Bitbuy is also a registered Money Services Business (MSB), providing compliant currency exchange and conversion services.
How Does Bitbuy Work?
When you sign up to create an account on Bitbuy, you will need to confirm your email address, phone number and verify your identity.
You may be required to provide a copy of your driver’s license or passport, bank or credit card statement, CRA document (T4, Notice of Assessment), or a utility bill. After your identity is confirmed, you can activate your account by providing your mobile phone number and completing the 2-step authentication process.
Once activated, you will be allowed to add funds to your Bitbuy account and select the digital currency you want to purchase. Much like Coinbase, Bitbuy offers two types of trades: express and pro.
You can trade quickly and easily on Bitbuy Express or use the professional tools on Bitbuy Pro for advanced trading.
You have the option to withdraw funds via an Interac e-Transfer or a bank wire transfer. Funding and withdrawals are only possible using Canadian dollars or cryptocurrency.
Bitbuy: Pros & Cons
Pros: The Good Stuff
Comprehensive Insurance: Bitbuy’s partnership with Knox offers insurance for Bitcoin held in cold storage. The insurance policy covers the full value of the holdings against the risk of Bitcoin theft and loss, including internal theft such as collusion.
Excellent Support: In addition to standard support tickets, Bitbuy has a phone line for immediate assistance from a real human, which is a scarcity in the cryptoverse. Email support typically replies within 12 hours, even on weekends.
Cons: The Not So Good Stuff
Limited Currencies: Bitbuy only accepts deposits in CAD and the supported cryptocurrencies compared to other platforms, such as Binance that supports international trades and hundreds of cryptocurrencies.
Deposit Fees: Bitbuy charges up to 1.50%* for deposits, which is pretty steep, especially when other exchanges offer free deposits like Coinsquare does.
Our Final Thoughts
If you live in Canada, Bitbuy is one of the best crypto exchanges available. While other exchanges dominate on a global scale, Bitbuy concentrates on delivering convenient, secure, and compliant cryptocurrency trades for Canadians.
New and intermediate investors will enjoy the user-friendly interface. Experienced traders may prefer an exchange that supports more crypto assets and advanced trading strategies.
Frequently Asked Questions
Bitbuy servers are secured across multiple cloud providers and disaster recovery locations. All providers are ISO, SOC, and FIPS 140-2 compliant.
Users can store their Bitcoin holdings in an offline vault that is protected by value-matched insurance.
Two-factor authentication is required for logging in and executing trades. Bitbuy also conducts routine financial audits, monthly security audits, and transaction reporting audits using trust third parties. The multi-tiered security is topped off with daily and weekly suspicious activity reviews.
Bitbuy is a fully regulated exchange with oversight from Canadian federal authorities. Bitbuy is a registered Money Service Business (MSB) in Canada under the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC). The company is proactive in regulatory discussions and provides insight to several regulatory bodies regarding proposed cryptocurrency directives.
Bitbuy has entered into a partnership with Knox for private key management of Bitcoin holdings. Knox securely stores Bitcoin assets in a segregated and insured custody account.
A dual-control operational model runs offline transaction processing across geographically distinct facilities that communicate in a closed network. The Knox insurance policy covers the full value of holdings for the risk of internal and external thefts, including collusion, across the full-key lifecycle.