Welcome to this Bitvavo review and key topics about Bitvavo to help you determine if this provider is reliable and suits your needs. This review is a snapshot and we do our best to keep the facts up to date. Do you have any remarks, complains, compliments, ideas or something else you would like to share regarding this review? Please, don’t hesitate to say hi and reach out us.
Bitvavo was founded in May 2017 and launched its broker activities for the European market from Amsterdam in 2018. Their goal is to close the gap between fiat currency and cryptocurrencies with a ‘one stop shop’ format with accessible and transparent prices, low margins and a fairly extensive variety of crypto at the time. In March 2019 Bitvavo expanded its services from a broker to an exchange, making it directly the cheapest provider on CoinCompare with their offered crypto. The broker functionality and the user-friendly dashboard are still present for the less serious traders. In order to stay ahead of the competition, Bitvavo launched its iOS and Android app at the beginning of July 2020. The app looks good, is simple, fast, easy to use and what we appreciate is that the app supports dark mode. Also the user access with pin-code login is very efficient compared to some competitors that still work with an e-mail login.
Due to changes in legislation in 2020, all crypto providers are required to be supervised by De Nederlandsche Bank (DNB), supported by the Authority Financial Markets (AFM). Most providers already comply with some of the requirements of the DNB, including Bitvavo. With the launch, they have ensured that the guidelines of the preventing Money Laundering and Financing Terrorism act (Wwft) for the Netherlands and the Anti Money Laundering (AML) for Europe have been applied. Some examples of the conditions of this legislation are identification and verification of registered customers, monitoring and tracking transactions and verification of proof of origin of assets. In addition, Bitvavo is also part of the Verenigd Bitcoin Bedrijven Nederland (VBBN) in which rules of conduct are imposed to all associated providers. Because of the supervision and the association, Bitvavo is in the basis a reliable provider.
To qualify for a Bitvavo account and use the trading platform, you must be at least 18 years old and reside in the European Economic Area. Considering the above mentioned laws and regulations, Bitvavo uses three levels of verification, namely Starter, Intermediate and Pro. Each with its own possibilities and limitations.
To access the platform, you first need to complete an e-mail verification by creating an account using your first name, last name, e-mail address and password. Starter is the most limited level at which trading is not possible.
In order to be able to trade crypto at Bitvavo, the personal data and identification process follows after Starter. Bitvavo is required to verify your identity to prevent fraud, money laundering and financing terrorism. You can use your passport, driver’s license or identity card for this purpose. This process is quite simple and self-explanatory, after which Bitvavo usually approves your registration on the same day.
Before you can make your first euro (€) or crypto transaction, a bank verification must have taken place. Through this process your own bank account will be linked to your Bitvavo account. It is not possible to link a bank account that is in someone else’s name. To start linking, click on the ‘Deposit Credits’ button in the Bitvavo dashboard and transfer an amount to your wishes from your bank account. The chosen amount shall be added to your credit balance and will not go to Bitvavo for their profit. Depositing credit can be done via different payment methods, as Bitvavo operates in multiple countries and wants to make the platform accessible for its users. The payment methods to choose from are Bancontact, Bank Transfer (SEPA), EPS, Giropay, iDEAL, SOFORT and MyBank. For most payment methods, the transaction will be processed on the same day and your bank account shall be linked. This does not yet apply to bank transfers (SEPA), where it sometimes can take 1 or 2 days.
Now that you are Intermediate verified you have the possibility to deposit and withdraw fiat money (€) up to € 25,000.- per day, € 50,000.,- per month or € 90,000.- per year. For depositing and withdrawing crypto you have the possibility to an amount of € 15,000.- a day, € 30,000.- a month or € 45,000.- a year. If the limit exceeds, you will then need to upgrade your account from Intermediate to a Pro account.
Do you want to act like a whale ? Then upgrade your account from Intermediate to Pro. With a Pro account you have the possibility to deposit, trade and withdraw limitless fiat (€) and crypto. In order to be verified as Pro you need to provide documents that prove the origin of your assets. This can be a salary slip, annual statement, tax return or other documents requested. It is possible that on the basis of the provided documents only the limits of Intermediate shall be increased and you don’t get a Pro account with limitless trading. Bitvavo will then create and offer an individual limit.
There is a big difference between a broker and an exchange. A broker acts as an intermediary and uses the order books of large exchanges such as KuCoin and Binance, where an exchange manages its own order books. A broker pays a fee to the exchange for making their order books available. This is the main reason why brokers are often a bit more expensive than exchanges. Bitvavo handled about 2.5% trading costs (fee) when it was still operating as a broker. After the transition from broker to exchange in 2019, Bitvavo reduced its trading costs to 0.25%, depending on the type of order. This immediately made Bitvavo the cheapest provider on CoinCompare.
The trading fees at Bitvavo are shown as following. Suppose you want to buy bitcoin for € 1,000.-, you will then be charged € 2.50 (€ 1,000,- x 0.25%) in trading costs. So you buy bitcoin for € 997.50 and pay € 2.50 to Bitvavo for their service. The same applies if you sell bitcoin. The trading costs are visibly included in the transaction and are not added afterwards. So there will be no surprises during your trade.
Rates at Bitvavo are displayed without trading fees of 0.25%.
Prices at Bitvavo are displayed with trading fee of 0.25%.
Prices at CoinCompare are displayed with trading fee of 0.25%.
Bitvavo handles two types of trading fees, as they manages their own order books, the maker and the taker.
Maker fee: the percentage for the maker fee is used when an order is created by your requested transaction. Take the scenario as following; you want to buy bitcoin for € 1,000.-, but in the order book there is no match to fill your order. Because of your request an order will be created in the order book (maker) until a user wants to sell bitcoin for € 1,000.- and fills your order (taker). It may take a while before a match is found, which depends on the price.
Taker fee: the percentage for the taker fee is used when your requested transaction fills an order. Take the scenario as following; a user of Bitvavo makes (maker) a sell order for € 1,000.- of bitcoin and you decide to buy for € 1,000.- of bitcoin. Through your order you take (taker) the sell order and immediately close the order in the order book. The transaction is then immediately executed and completed.
The maker fee starts at 0.15% and the taker fee at 0.25% over your transaction value. Based on your trade volume (€) over the last 30 days it is possible to qualify for discounts. The trading fees can be significantly reduced to -0.01% for the maker and 0.04% for the taker. See complete overview here.
When a transaction is completed an overview is displayed with relevant information such as date and time, type of order, number of crypto or euro received, how much was paid, trading costs and the (exchange) rate. Please note; the rate is not the value for which has been paid. To determine the value that was paid for, use the following formula: buy price = rate x 1.0025 (+0.25%) and for sell price = rate x 0.9975 (-0.25%). Assuming that no discounts have been applied.
The difference between the buy and sell price is called spread. The spread is expressed in percentages to indicate how small or large the difference is between the buy and sell prices. The level of the spread and the trading costs determine whether a provider is cheap or expensive. The trading fee at Bitvavo start at 0.25% which is on top of the exchange rate. The spread at Bitvavo is on average 0.60%. And that’s low, so positive. You don’t see this percentage anywhere at Bitvavo, but you don’t have to. It’s a ‘nice to know’ to find out whether you can quickly earn your purchase back by selling after a price increase. In conclusion, the lower the spread at the provider, the faster you can earn your investment back.
As previously indicated in Verification and Limits, Bitvavo supports a variety of eight payment methods to deposit funds to your Bitvavo account. All payment methods have a maximum transaction amount and some payment methods contain additional fees when you want to deposit funds. When using EPS and Giropay, 1.99% of the transaction value is added as a costs and with MyBank it is 1.55%. The rest of the payment methods such as iDEAL, Bancontact and SEPA bank transfers are free of charge. See here the complete overview of all costs and limits of the payment methods.
The money (€) you deposit to your Bitvavo account is received by the Stichting Bitvavo Payments (SBP). SBP is a foundation that acts as a separate entity from the trading platform Bitvavo B.V. This means that your funds are not at risk should Bitvavo B.V. go bankrupt. If you want to withdraw your funds (€), no costs will be charged and you mostly receive it the same day on your bank account.
When you want to deposit or withdraw crypto there are the so-called miner fees applicable. These fees can be seen as transaction fees (or often called blockchain fees) that you pay to miners who make sure your transaction is verified on the blockchain. Depending on the congestion on the network of the crypto in question, the transaction fees may vary. When depositing crypto, Bitvavo does not charge any fees. However, it does charge for crypto withdrawals. Bitvavo doesn’t do this to gain extra income, but to make sure your withdrawal can be processed by paying the transaction costs to the miners. To make things easier, Bitvavo made a list of withdrawal costs per crypto. This can be found here.
Don’t have an account yet? By creating an account using the button below, you don’t have to pay any trading fees in the first week up to € 1.000,-. These trading fees are already low at Bitvavo and yet this promotion will save you money.
Did you know that Bitvavo is the #2 Best Deal Provider on CoinCompare?
And that they are cheapest for the crypto they offer?
Bitvavo offers its users the freedom to indicate during a buy order whether you want to send the crypto to an external wallet or whether you want to use the wallet support on the platform. The last option is default, but at risk if you plan to leave the crypto in your wallet for the long term (HODL). If you plan to sell or trade your purchases on short term, it is more practical to use the wallets that Bitvavo supports.
In case you have crypto, that Bitvavo supports, at another provider or on an external wallet you also have the option to transfer that crypto to your Bitvavo account. There is an exception for one crypto, namely Ethereum Classic. For this one it is not possible to deposit or withdraw.
If you have crypto in your Bitvavo wallet and you HODL or you don’t do anything with it or crypto you can send to Bitvavo, you may be eligible for staking. Staking is earning or being rewarded from crypto and comes in two forms:
If you have one of these crypto’s on your Bitvavo account and you want to earn staking rewards, then all you have to do is enable the ‘opt in’ function of the service. This option can be found in your account under ‘Staking’.
Important: Bitvavo is not a bank and/or regulated as a bank or similar banking institution. The staking services are not insured and are not part of a national and European deposit guarantee system.
Trading in crypto comes with a lot of risks. Not only financially, but also think of hackers or traders with too little experience that don’t know what they are doing. These risks lie not only at the trader, but also at the provider. Bitvavo therefore does everything in its power to protect its customers, data and assets. They use and offer the following measures to secure your account, personal data and crypto stored in the wallet and to keep you sharp and focused not to share any personal data:
With these measures, the security of Bitvavo is very well regulated and guaranteed. The measures and corresponding information can be found on their ‘Support’ pages.
Keep in mind that you as a user are ultimately the best defense against account breach and theft! That’s why CoinCompare always recommends to use a hard wallet (external) to be completely independent of online wallets.
Since Bitvavo is not a broker (anymore), but an exchange, it manages its own order books and is not affiliated with any exchange. The platform supports BTC (Bitcoin) and euro (€) trading pairs for all offered altcoins. E.g. exchanging Ethereum for Bitcoin and buying Bitcoin with euros (€). It is not yet possible to exchange altcoins for altcoins. E.g. Exchange Cardano for Tron as a pair ADA/TRX.
Bitvavo supports English, Dutch, French, German, Spanish and Italian to ensure that the platform and support pages are internationally accessible. However, their blog page is in English only.
It can happen that you need some support with a transaction or that you want to know how Bitvavo handles your data. There are a few ways to get an answer to your question or a solution to a problem. You can only contact the company by e-mail, post or through a contact form, which is not so easy to find. On Bitvavo’s website there is no contact page where you can find all the possibilities, so we have made that clear for you. The e-mail addresses and the company address can be found below under the heading Sources and Social Media. The contact form can be found as following. Go to the main page of Bitvavo, scroll to the footer at the bottom of the website, click on ‘Support’ under the header General and then you will see a button with ‘Contact’ at the top right with which the form appears when you click on it.
The experience of contacting can be different for everyone. Our experience is not so good with Bitvavo, as there is not often a response to our e-mails. But when they do, the answer is often clear.
Our experience with Bitvavo is in general good. The website is clear and easy to use. Also, the trading platform is easy to browse without getting lost. They offer a small variation of crypto at the lowest prices. Transactions of buying, selling and exchanging are fast and the fees/costs are transparent and clear in advance. The security measures have been taken care of down to the last detail. Bitvavo makes every effort to ensure and guarantee the security of customer data. It is clear that Bitvavo operates with the right intentions and operates transparently in order to clarify all subjects in detail. Don’t you have a lot of knowledge and experience in the crypto world and does low cost outweigh the number of different crypto? Then Bitvavo is the provider to start and sign up with!
Nevertheless the good experience, we still see some room for improvement.
Absence of reactions. As mentioned before, we have experienced that Bitvavo does not respond to e-mails very often. After all, as a user/customer, you want to be heard when something is not clear or could be better.
Little variation crypto. Bitvavo lags behind the number of crypto they offer. Looking at the market with e.g. the DeFi developments you see competitors like Coinmerce, Bitladon and Knaken switching directly to enrich their amount of crypto.
Expression/binding through Social Media. Here, too, we compare Bitvavo with its competitors. It is noticeable that Bitvavo communicates rarely through its social media channels compared to Coinmerce and Bitladon. They also don’t have a weekly or monthly newsletter. It may be a intentional choice that probably has to do with security and exposure. However, today it is almost a necessity to communicate to the outside world what is going on within the company or in the market. This can be done through social media to keep the connection with your customers close and to give your customers a feeling that they are adding value to the company.
If you have the vision to become the largest crypto exchange in Europe, it would benefit Bitvavo to pick up the points of improvement indicated. After all, we grant Bitvavo that success!
|Broker/Exchange: Exchange||Located: Amsterdam|
|Variety crypto: 58||24h volume: ± € 4,000,000.-|
|Account needed: Yes||Verification mandatory: Yes|
|Verification levels: 3||Discount tiers / VIP: 9|
|Minimum order: € 10.-||Spread: average 0.60%|
|Taker fee: 0.25%||Maker fee: 0.15%|
|Payment methods: iDEAL, Bancontact, bank transfer (SEPA), EPS, Giropay, MyBank||Deposit fee: iDEAL, Bancontact, bank transfer (SEPA) – None. EPS, Giropay – 1.99%. MyBank – 1.50%|
|Withdraw fee credits (€): None||Wallet support: Yes|
|Deposit crypto: Yes||Withdraw crypto: Yes|
|Deposit fee crypto: None (miner fee applicable through trader)||Withdraw fee crypto: None (miner fee applicable through Bitvavo)|
|Trading through web: Yes||Trading through app: Yes|
|Trading pairs: EUR/crypto, crypto/EUR, BTC/altcoin, altcoin/BTC||Languages: English, Dutch French, German, Spanish, Italian. Blog only in English.|
By Jeroen Modified 28/10/2020