Cryptocurrency trading can be a difficult task to do. This is why it is recommended to read a Bitstamp review and understand whether this is the exchange you need. There are several platforms in the market, which can make it difficult to decide which one to use. Nonetheless, we can be sure that this would be a good exchange to start trading Ripple (XRP).
In this article, we will share with you an in-depth Bitstamp review. We explain which are the services offered and we will compare them with other platforms. In addition to it, we will inform yo you which are the main complaints from users.
Bitstamp Review - Basic Information
The Bitstamp exchange was created in August 2011, almost a year before Coinbase or six years before Binance. The platform became one of the most recognized exchanges at that time. Its main competitor was Mt. Gox, which later was affected by a massive crypto hack. Bitstamp aimed at offering services in Europe.
The platform was founded by Nejc Kodrič and Damijan Merlak, both native from Slovenia. Nonetheless, the exchange operated from the United Kingdom and Luxembourg due to regulatory issues. Nowadays, exchanges have difficult times in order to be compliant with regulators from all over the world.
Bitstamp eventually became a fully regulated cryptocurrency exchange in the European Union (EU). The government from Luxembourg granted it a license to operate. Now, the exchange is offering services to 28 EU member states.
It is worth mentioning that the European Union is one of the largest markets for cryptocurrencies in the world. At the moment of writing this article, Bitstamp offers 14 different trading pairs. The cryptocurrencies supported by the exchange include XRP, Litecoin (LTC), Ethereum (ETH), Bitcoin (BTC) and Bitcoin Cash (BCH). In the future, new cryptos could be added to the Bitstamp exchange.
One of the main differences with other exchanges in the market is related to its trading pairs. While other platforms have added a larger number of trading pairs, Bitstamp has taken a conservative stance on that matter. In this Bitstamp review, we consider the exchange could add new digital assets.
In this Bitstamp review, we will also be sharing with you which are the main services offered by the exchange. The platform is currently working as a digital currency platform that helps users trade virtual currencies. This is the main goal and activity of Bitstamp.
Nonetheless, users can also be sure they can store their funds in this exchange. That means that Bitstamp is offering a wallet for users. However, it is worth mentioning that the wallet would not give users’ their private keys. That means that the funds would eventually be controlled by the exchange rather than the end client.
This is why we recommend to always store cryptocurrencies, including XRP in a hardware wallet. Moreover, cryptocurrency exchanges have been affected by hacks and attacks, and Bitstamp is not the exception. Bitstamp experienced a hack that resulted in 19,000 BTC being stolen. At the time of writing this article, 19,000 BTC is equal to over $165 million.
Traders are also very careful about possible shortages. The exchange experienced a few issues in the past, but since 2017 things became much better. The systems have been improved and the services offered have a much higher quality than in the past.
Innovation is The Key
Being a compliant cryptocurrency exchange allowed the platform to offer better solutions to users. For example, they are currently conducting regular audits of their virtual currency holdings. This would allow them to easily have under control their funds.
Other exchanges such as Binance and Coinbase are already offering staking solutions. Binance is going even further and allowing users to invest their digital currencies in fixed income solutions. Bitstamp is still not in this trend. Indeed, we could say that it still behind this trend.
Bitstamp was once one of the most innovative and largest exchanges in the market. But as the crypto industry evolved, things changed and other platforms followed the trend. It seems that Bitstamp didn’t follow it and it continues to offer basic trading services for users.
The exchange is currently offering a standard customer support that solves issues through email. If you have a problem with your funds you can always contact the customer support. Other competitors are trying to improve their customer support and solve queries in just a few minutes or hours.
Bitstamp Ripple Integration
Bitstamp has been offering Ripple (XRP) trading services for a long time. This is very positive for the platform because European users can simply acquire XRP through the exchange. For this Bitstamp review, we certainly take into account whether the platform accepts XRP, the third-largest crypto in the market.
The exchange didn’t experience any major issue with XRP in the last years. Indeed, it was possible for the platform to add support to it without problems with regulators. Users can simply buy and sell it or use it to make transfers across borders.
At the moment, there is no information on whether the exchange is planning to be working with Ripple’s solutions. Other exchanges are offering liquidity services for Ripple clients to perform transactions. Bitstamp could play an important role in Europe to handle EUR liquidity for XRP. Users can trade XRP through Bitstamp against USD, EUR and BTC.
Despite the fact Bitstamp doesn’t tend to add new cryptocurrencies, it may be possible for it to add new assets. This would allow it to offer new trading pairs against XRP.
In this Bitstamp review, we explained which are the main services of the platform and why to use this exchange. Bitstamp is recognized for offering EUR and USD support while allowing traders to access the largest cryptocurrencies in the world.
Bitstamp is a great, recognized and established cryptocurrency exchange. They offer traditional crypto trading products and they do so in an efficient way. In the future, its clients would like to have support for other virtual currencies or new services.