Is Crypto.com a Good Exchange?

Is Crypto.com a good exchange? The simple answer to this question is, yes. This platform is one of the most suitable ones for anyone who is willing to store, save, spend or trade crypto coins.

The fees charged by this crypto exchange platform for performing such activities on it are quite lower as compared to the average rates of several other exchanges in the crypto industry.

Apart from its own native coin, CRO, this platform offers several different crypto coins to trade. The good thing about its native coin is that the more you stake, the more benefits you receive.

This platform is also quite very user and beginner-friendly. It is easy to spend, exchange, or acquire crypto on this platform and users can also access a diverse range of crypto services and features that include and are not limited to:

The best part of it is that the platform allows its users to purchase crypto coins without paying any extra fees to acquire them at exchange rates.

How Does It Work?

Is Crypto.com a Good Exchange

The primary objective of Crypt.com, originally known as Monaco Technologies, is to expedite the transition process of the world to cryptocurrencies.

It started operating as a crypto payment product primarily but over the years it gained in popularity and has now become one of the most widely used and favored crypto hubs.

Typically, this platform works on both, a desktop and as a mobile app. The mobile app can be used in both iOS and Android devices.

Users can trade their crypto coins in two ways once they set up their account and have their identity verified. The two ways are:

  • Through its exchange and
  • Through the DeFi wallet

When it is used as an exchange, you will have a gateway that will provide the best value for fiat-to-crypto exchange.

However, while trading cryptocurrencies you will have to pay a small maker or taker fee. Check out Differences Between Crypto.com and Coinbase.

On the other hand, when it is used as a DeFi wallet you will get a decentralized exchange.

This will allow you to swap crypto coins with other users and at the same time you will also have complete control over your keys.

In this method, you can even choose to pay a higher fee if you want your swap to be processed faster.

You will need to have verified your Crypto.com account at least to the Starter level in order to deposit, trade or withdraw crypto coins.

For the verification process you will need to furnish your name, date of birth, nationality, mobile phone number, and email.

On the other hand, if you want to obtain the Crypto.com Visa Card, you will have to apply for it and also must stake CRO tokens for 180 days at least.

Once again, you will have to go through the KYC verification process. You can buy the CRO tokens first and deposit them into the wallet in the app.

After that, you have to just follow the instructions provided on-screen to request for the card.

If you want to stake the native coin of this platform, you can also do it either on the Crypto.com exchange or the Crypto.com app.

If you leave it there, say for 6 months, you can unlock a lot of benefits and earn some interest as well.

However, there is a risk in it because the safeguards are not similar to any regular financial institution.

If you stake a high amount of CRO you may earn interest as well as expect a prospective currency appreciation but if the currency fails you may lose them all.

As for the interest on the coins you stake, all calculations are made daily at UTC 00:00:00 and different formulae are used for different terms. For example:

  • For fixed term daily interest, the formula is: Daily Interest = Principal amount x (APR/365)
  • For flexible term daily interest, the formula is: Daily Interest = Minimum daily balance x (APR/365)
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Here the interest for flexible terms will accrue a day after the deposit is made and the minimum daily balance will be calculated between UTC 00:00:00 and UTC 23:59:59 hours, every day.

Also, the APR will be different if you stake or un-stake the CRO tokens in the middle of the deposit term.

Coin Support

You will be able to trade with a large number of crypto coins on this platform because Crypto.com supports more than 100 crypto coins all over the world.

However, the US users cannot access all types of coins supported by this platform, and a few of these are not available to the users all over the country.

Having said that, the selection of crypto coins by this platform is as good as, if not better than, most of the other crypto exchanges that you may come across in the market.

A few of the coin types supported by this platform include CRO, BTC, LTC, ETH, ENJ, BAT, PAX, USDC, OMG, KNC, ZRX, LINK, OGN, ALGO, eGLD, BAND, XSGD, FIL, DOT, BAL, DOGE, UMA, TAUD, TCAD, TGBP, PAXG, TUSD, WBTC, UNI, YFI, BNT, CRV, LRC, ONG, ETC, WAVES, ONE, DASH, RVN, KMD, ARK, ARDR, STRAX, NANO, LSK, GLM, ONT, QTUM, ICX, NEO, XLM, ADA, BCH, VET, XTZ, ATOM, EOS, MKR, DAI, MANA, FET, CELR, BNB, GRT, COMP, SNX, SKL, NMR, SUSHI, NKN, RUNE, FORTH, 1INCH, SAND, AXS, XVS, BAKE, RARI, CAKE, SHIB, ICP, DGB, EPS, MIR, TRB, XCH, BUSD, HUSD, GUSD, AUDIO, IQ, CTSI, RLC, INJ, IOST, LUNA, SC, GTC, AAVE, ANKR, AVAX, BLZ, CKB, COS, ELF, FTM, GAS, IRIS, KAVA, KSM, REN, STORJ, TFUEL, USDT, VTHO, ZIL, CHZ, SOL, LPT, AMP, MLN, and HNT.

Is Crypto.com a Safe Exchange?

Being a fully regulated company, Crypto.com is quite safe to use both by advanced traders and beginners in the crypto industry.

The platform strictly adheres to the financial regulations as well as the risk prevention rules.

This means that the services of the Crypto.com app or exchange cannot be used by anyone anonymously.

When you register yourself with this platform you will need to verify your identity. For that, you will need to provide a few details to the platform such as:

  • Your full legal name
  • A photo and
  • A picture of any ID issued by the government

If you want to obtain a Crypto.com Visa card, you will need to furnish your residential address along with a utility bill which should not be more than 3 months old.

As for the security measures implemented by the platform, it is embedded in every aspect of it which makes it one of those few crypto platforms available out there that have not been hacked yet.

As for the services, the platform stores all the funds of its users in a cold storage offline which adds to the safety aspect.

Its partnership with Ledger provides a security solution which is of institutional grade.

Their Ledger Vault custody solution is one of its kinds which use advanced security technologies such as HSM or Hardware Security Modules as well as multi-signature keys.

As for the hot wallets, adequate protection is provided by the same HSM and multi-signature technology.

These wallets typically store the corporate funds and are just a small fraction of the total holdings of the company which is enough to meet with the daily withdrawal requests of the customers, if any.

And, as for the security of the fiat currencies deposited by the customers, these are held in safe and well regulated custodian bank accounts all across the globe. This is beneficial in a way because it follows the local regulations.

As for the security of the infrastructure of this platform, it uses the Amazon Web Services or AWS. This service, as you may know, comes with useful security features such as:

  • Automated encryption for all traffic
  • Network protection
  • Web application firewall
  • Controlled encryption with integrated TLS or Transport Layer Security in transit for all services
  • Business stability planning for attack and outage prevention
  • Logging, automatic threat, and monitoring detection
  • Real-time analytics and a lot more
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In addition to that there are lots of other measures for risk control of the platform itself that work in tandem with these security measures to protect the infrastructure of the platform. These include:

  • A dedicated support team screening all accounts and deposits for AML, KYC, and ATF or Alcohol, Tobacco, and Firearms compliance
  • Manual approval after proper scrutiny of large crypto or fiat transactions
  • Strict screening of all withdrawals to flag doubtful transaction velocity or amounts
  • AI analytics tools of the highest level
  • Penetration testing by using several attack vectors
  • Conducting external audits
  • Following stringent access control measures for both hot and cold wallets and
  • HackerOne Bug Bounty Program for vulnerability disclosure

As for the user accounts, the platform ensures safety of these with its 2FA or Two-Factor Authentication along with a strong and effective combination of password, passphrase, fingerprint and face ID recognition, phone verification, and email.

As for the DeFi wallet, you are allowed to hold your private key which means that you do not have to rely entirely on the security measures of the platform while having self-custody of your funds.

Finally, the platform also has a variety of certification for its security from different sources as well as assessment reports by some of the top security auditors.

This is one of the first crypto exchanges in the world that has ISO 27001: 2013 and PCI: DSS 3.2.1 certification along with CCSS and Level 1 compliance.

In addition to that, it also has other certificates for its top-class security features such as:

  • ISO/IEC 27701:2019 certification by SGS for privacy risk management by SGS
  • ISO/IEC 27001:2013 certification by Bureau Veritas for information security management
  • Highest Level 1 degree PDC: DSS standard for its compliance with stringent requirements in the payment aspects
  • Cryptocurrency Security Standard or CCSS certificate for meeting all the requirements for accepting, transacting and storing, cryptocurrencies and
  • Adaptive Tier 4 rating by the NIST or The National Institute of Standards and Technology for both privacy as well as cyber security framework

All these certificates and features of the platform substantially proves that Crypto.com has a very high and failsafe security measure to protect the data and funds of the users properly.

It also proves that they take the security aspect quite seriously which makes it one of the safest crypto trading platforms that you will get on the market today.

Is Crypto.com a Legit Exchange?

Yes, it can be said that Crypto.com is quite a legit platform since it is regulated and secured as well.

The fiat balances in the wallets of the US customers are protected by the Federal Deposit Insurance Corporation or FDIC with coverage of up to US $250,000.

This guarantees the safety of the funds and provides a complete peace of mind to the users. In addition to that, all of the assets stored in the cold storage are covered by an insurance policy worth $100,000,000.

This particular crypto exchange platform also has a well-planned and tactical partnership with Ledger. They are the leading hardware wallet provider.

All these features speak in volume about the legitimacy of this crypto platform making it a good and reliable one for both the intermediate as well as the more experienced crypto traders.

Hidden Fees

The fee structure of Crypto.com is quite transparent and open for all to understand.

It is also quite competitive and reasonable which allows you to avail cheaper exchange fees by buying more of the native coin of this platform CRO.

If you go through the charts you will find that there are no hidden clauses or fees charged by the platform and everything is mentioned on the white paper.

Even the maker and taker fees start at 0.2% of the trade value which is at the most expensive end of it, and is quite competitive as well.

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The best part is that you can get cheaper fees by staking the CRO tokens. This will not only fetch you a return as high as 20% on your investment but will also reduce your fees.

The fee structure of Crypto.com includes maker and taker fees, which is a model followed by all crypto exchanges. These fees are typically charged when a trade is executed or matched and not when the order is created.

A maker fee is charged on a trade order when it is not matched immediately and added to the order book thereby adding to the liquidity.

On the other hand, the taker fee is charged on a trade order when it is matched immediately with an order.

The fee level is calculated on the trading volume in the past 30 days.

This is actually the total volume of crypto coins traded by you in 30 days calculated daily in USD equivalent. The cutoff time for a trade to be calculated for the following day is usually 23:59:59 UTC.

The fee schedule is also very transparent. It includes your 30-day trading volume, fees paid in CRO, and the current balance of your CRO staking, all calculated every day in a 24-hour time period and the users are updated usually within an hour in most cases.

Any rebate offered on the trading fees as well as the interest earned from the CRO coins staked is paid within an hour as well.

If you pay your fees in CRO tokens, it is deducted from the CRO balance on the exchange wallet automatically.

However, if there are insufficient CRO tokens to pay the fees, the same will be settled in the particular currency you receive.

The platform charges fees on every transaction if, and only if, it is completely fulfilled.

The platform is also very clear about the fees charged while trading CRO. It usually depends on the trading tier and in order to get a rebate a user needs to stake at least 5,000 CRO tokens.

As for deposit and withdrawal fees, there are no fees charged by the platform if you deposit crypto but for making a withdrawal you will have to pay a fee just like any other blockchain transaction.

This is because a withdrawal from this exchange is typically an on-chain transaction which involves transferring crypto coins to an external crypto wallet address or another crypto exchange.

Even if you transfer your coins from the Crypto.com exchange to the app, you will have to pay a fee if it is done on-chain. You can however avoid this fee if you choose the ‘Withdraw to App’ function.

Finally, the platform may also charge a liquidation fee in the case of a forced liquidation.

These are usually charged on those particular orders required to liquidate the collateral. Typically, this specific fee is charged at a 0.16% flat taker rate but may be subject to change.

If you want to avoid paying such fees, make sure that you either pay your loan in full on time or make partial repayments so that you can adjust the Loan to Value ratio and maintain a healthy LTV level.

Conclusion

Crypto.com is an easy to use, safe and good platform for exchanging, acquiring, and spending crypto. It comes with a lot of useful features to offer outstanding financial services and products to the beginners as well as the advanced traders.