A trading cryptocurrency guide must provide reviews of all of the top crypto exchanges out there, so that you can find the best cryptocurrency exchange site for you. This review of CoinMetro consists of four parts: general information, fees, deposit methods and security.
CoinMetro is a cryptocurrency exchange based in Estonia. As you surely know, the Baltic region consists of three countries: Estonia, Latvia and Lithuania. Considering this, it might seem odd that out of these three countries, only Estonia is the home of any cryptocurrency exchanges. And not only one or two either. BTCBear, Jubiter, LATOKEN, Crex24, STEX.com, Kriptomat and P2PB2B are all registered in Estonia.
The only explanation for this however is that Estonia have a license you can obtain in order to conduct cryptocurrency exchange operations as an Estonian company. To our knowledge, there are only two other nations in Europe that have a clear specific legislation on this like Estonia has: Malta and Gibraltar.
CoinMetro has a really modern design on their website. A lot of clean and stylish graphic stuff that really appeals to our eyes. They also have a strong support function with 24/7 availability and an average customer waiting time of less than 5 minutes.
According to information we have received directly from the exchange, US-investors are indeed permitted to trade here.
CoinMetro Trading View
Different exchanges have different trading views. And there is no “this overview is the best”-view. You should yourself determine which trading view that suits you the best. What the views normally have in common is that they all show the order book or at least part of the order book, a price chart of the chosen cryptocurrency and order history. They normally also have buy and sell-boxes. Before you choose an exchange, try to have a look at the trading view so that you can ascertain that it feels right to you. The below is a picture of the purchase interface at CoinMetro:
From 13 June 2019, CoinMetro also offers leveraged trading to its users. A word of caution might be useful for someone contemplating leveraged trading. Leveraged trading can lead to massive returns but – on the contrary – also to equally massive losses.
For instance, let’s say that you have 10,000 USD on your trading account and bet 100 USD on BTC going long (i.e., increasing in value). You do so with 100x leverage. If BTC then increases in value with 10%, if you had only bet 100 USD, you would have earned 10 USD if you simply held Bitcoin. Now, as you bet 100 USD with 100x leverage, you have instead earned an additional 1,000 USD (990 USD more than if you had not leveraged your deal). On the other hand, if BTC decreases in value with 10%, you have lost 1,000 USD (990 USD more than if you had not leveraged your deal). So, as you might imagine, there is potential for huge upside but also for huge downside…
CoinMetro Trading fees
Trading fees are naturally very important. Every time you place an order, the exchange charges you a trading fee. The trading fee is normally a percentage of the value of the trade order. At this exchange, they divide between takers and makers. Takers are the one who «take» an existing order from the order book. We can illustrate with a short example:
Ingvar has an order at the platform to buy 1 BTC for USD 10,000. Jeff has a corresponding order but wants to sell 1 BTC for USD 11,000. If Bill comes along, and sells 1 BTC to Ingvar for USD 10,000, he takes away Ingvar’s order from the order book. Bill is here a taker and will be charged the taker fee. If Bill on the other hand would have offered to sell 1 BTC for USD 10,500, he would have placed an order on the order book that did not correspond to an existing order. He would thus have been a maker of liquidity. If someone would have accepted to buy 1 BTC from Bill for USD 10,500, then Bill would have been charged the maker fee (usually a bit lower than the taker fee) and the relevant buyer would have been charged the taker fee.
CoinMetro charges takers 0.10%. These taker fees are below the industry average which is arguably around 0.25%. However, there is another finesse to CoinMetro’s fees, namely that the makers get paid to trade! For each trade that makers help consummate, the makers receive half of the taker fee. This means that if a trade takes place, and the taker fee in such trade is 0.10%, then the maker not only gets his/her trade done, he/she also receives a 0.05% bonus for the transaction.
CoinMetro Withdrawal fees
This exchange has a percentage based withdrawal fee, meaning that they charge you a percentage of the withdrawn amount when you withdraw. Their percentage charged is 0.15%.
Having a percentage based withdrawal fee model is unusual, but it is not unheard of. Most exchanges only have a fixed withdrawal fee, regardless of the size of the withdrawn amount. In addition to this exchange, only the following have percentage based withdrawal fees (from lowest to highest): SouthXchange (0.04%), FatBTC (0.05%), Digax (0.10%), BitINKA (0.15%), RippleFox (0.20%), OOOBTC (0.50%), BCEX (0.50%), DOBI Trade (0.50%), iCE3X (0.50%), LEOxChange (1.00%) and Trustdex (1.00%).
With the fee model that this exchange has, when you withdraw small amounts, it is beneficial to you. If you withdraw 0.01 BTC, the withdrawal fee becomes 0.000015 BTC (extremely low and very consumer-friendly). However, if you withdraw 10 BTC, the withdrawal fee becomes 0.015 BTC (extremely high). You should consider yourself whether this withdrawal fee suits your own trading or not.
CoinMetro lets you deposit assets to the exchange in many different ways, through wire transfer, debit card, and of course also by just depositing existing cryptocurrency assets. If you deposit money through a credit or debit card issued in the European Union, the deposit fee is 2.99%. If you have a credit or debit card issued in a country outside the European Union, the fee is 4.99% instead. SEPA-wire transfers will only set you back EUR 1.00, so that’s probably preferable if it is indifferent to you which choice you make. Deposits of cryptocurrency assets are free of charge.
As of 25 March 2019, you can also make SWIFT payments here. The main difference between SWIFT payments and SEPA payments is that SEPA payments can only be made within the so called «SEPA area» (which basically corresponds to all countries belonging to the European Union). SWIFT payment can however also be made to and from any other country that CoinMetro accepts clients from.
Seeing as fiat currency deposits are possible at this trading platform, CoinMetro qualifies as an «entry-level exchange», making it possible for new cryptocurrency investors to take their first steps into the cryptocurrency world here.
This exchange has a security score of A+, when performing the test at Observatory by Mozilla (https://observatory.mozilla.org/). This is the highest score a site can receive in the Observatory Test and apart from all decentralized exchanges, only a handful of all exchanges in our Cryptocurrency Exchange List with more than 420 different exchanges receive this score.
The majority of cryptocurrency exchanges in our Cryptocurrency Exchange List actually only receives an F when running the Observatory-test.
Other things to consider when determining the security of this exchange is that the exchange has a captcha protection on access, 2FA on the most important operations and email verifications. The 2FA is also TOTP-based which is arguably more secure than SMS-based 2FAs.
The exchange reviewed above is what we call an “entry-level exchange”. This means that this exchange also makes it possible for someone to enter the cryptocurrency market with fiat currency. There are numerous entry-level exchanges out there, including (but not limited to):