Where Canadians buy Bitcoin: the 4 most popular crypto-exchanges
Canada has significantly improved its partnership with blockchain and cryptocurrencies.
While some leading blockchain technology, such as Ethereum, began projects based in Canada, Canada did not adopt the crypt with the same enthusiasm as some other countries. Sadly, bad players in the crypt culture are troubling Canadian regulators and the public.
In the last two years, the Canadian crypto ecosystem was slapped three times. When Gerald Cotten, who was 30 years old co-fountain and CEO of the crypto-exchange based in Vancouver, QuadrigaClex, died at a honeymoon in India, QuadrigaCX made world-wide news in January 2019.
It would appear that he was the only person to have access to crypto and fiat funds for 190 million dollars, the bulk of which was in the exchange.
Einstein Exchange, Vancouver, BC, abruptly closed down in November 2019 when the founder Michael Ongun Gokturk was absent. The operation closed, shutting its physical location literally. The BCSC took charge of the Einstein Exchange and the investors had been owed 16 million C$. The BCSC took control of it.
Coinsquare, based in Toronto, was found to have "wash trade," accounting for 90% of transactions between the fourth quarter of 2018 and the first quarter of 2019. Coinsquare CEO Cole Diamond, Virgile Rostand founder, and Felix Mazerwere executive found the fraudulent activity to be knowingly 'authorized, permitted or authorised.' The fines were charged over C$2 million and all three men resigned.
But the Government of Canada seems to appreciate blockchain and crystal at macro level despite the highly-published scandals.
The Global Blockchain Survey of Deloitte 2020 recently shown that the COVID-19 advanced blockchain adoption, just as digital adoption has grown worldwide. The survey found that 76% of Canadians view cryptocurrency as an alternative to fiat.
So how best can Bitcoin be bought in Canada?
Crypto exchanges in Canada
Here is a summary of some of Canada's leading exchanges.
Since 2015, the Coinsquare, Toronto, has been aimed at ensuring users can exchange cryptocurrencies online in a secure, inexpensive and easy way. In the last few years, the business has expanded — but this year's controversy and leadership resignation has affected its image and sent many users to look for another solution.
- There are several options for users with 5 fiat currencies and 10 cryptocurrencies for exchange.
- To ensure protection and privacy, Coinsquare uses all the usual security measures. Their technology has been extensively tested against distributed negative service attacks (DDoS) by storing 95% of their funds in offline cold wallets and having a close connection to many Canadian banks of Schedule 1.
- While its simple UX seems to answer entrant trader, it also has done a great deal of work by opening up a mining company and a division of capital markets to draw high-speed investors and fund them.
- The software is aimed at more experienced traders and provides Coinsquare Wealth. For those trading more than 25 kg of orders, it is an exclusive operation. Users enjoy exclusive advantages, including discount financing, quick withdrawal and a special wealth manager.
- There are only two ways in which money can be deposited through e-transfer or wire transfer.
- The overall process can be frustrating, particularly when they take withdrawal time 1-3 days and withdrawal time 1-9 days. Withdrawal processes are not sufficient.
- Its charges are one of the largest exchanges.
- Ethical problems with the practice of the exchange have raised questions about business with Coinsquare for many users. The confidence, however, will rely on new leadership. The 2FA user account protection system has been proved to be unsafe in the past.
NDAX.io was founded in 2017 in Calgary, so that people in Canada can buy bitcoin faster and easier.
They maintain a physical location, support for telephone-based problem solving and have partnered proactively with conventional banking institutions to stay ahead of the regulatory curve, offering a combination of connectivity and support for traditional economy and cutting-edge protection and adherence.
- NDAX provides a clean, fast trading platform to investors who do not overwhelm newbie crypto and transactions quickly.
- With 95-98 percent of digital assets offline in cold storage, NDAX.io provides leaders in security on your site. It uses several 24/7 monitoring data servers and uses multi-signature technology to protect properties.
- You may use Interac e-transfer, wire transfer, or bank draft/certified check to finance your account.
- They provide live chat, e-mail and telephone support to support the web.
- NDAX is registered with FINTRAC in the form of a money-service enterprise (MSB). They work closely with regulators to meet today's standards and the laws which are still not in place, which effectively shield their company from a POV.
- You can purchase 8 coins including Bitcoin, Ethereum, Litecoin, XRP, EOS, Dogecoin, Cardano and Stellar from NDAX. They revealed that in Q3 2020 they would sell four new coins/pairs.
- No deposit fees, flat fee withdraws, and 0,20 percent trading fees provide low fees that are particularly beneficial for experienced traders.
- NDAX registration is rapid and reasonably straightforward (approved within 15 minutes). If you have any issues, it is very open to your assistance. It also provides guidelines, advanced business training and product tours to help you achieve pace.
- NDAX represents a wide variety of Canadian consumers - its highlights are not very sexy from a foreign POV. Protection, enforcement, accountability and user-centered customer support are crucial to provide.
- Users with advanced trading features can easily be removed from their convenience zone.
- NDAX is not able to manage massive exchanges, such as kraken, which means that you may also have to deal with many fiat currencies in other exchanges, etc.
- Exchanges in American cryptography for Canadians
- Below are cryptographic exchanges from the USA serving Canadians.
The Coinbase Mission was established in 2012 in San Francisco to allow anyone to access Bitcoin quickly and safely. It provides a simple gui that new crypto buyers prefer.
- Coinbase is one of the biggest trading companies in more than 100 countries with 30 million clients worldwide.
- Coinbase has a wide variety of products, but it provides its key service to customer via credit card and debit card to buy and sell Bitcoins.
- Coinbase UX is improved to the unfamiliar customer.
- Coinbase provides platform conversions for cryptocurrency that allow users to conduct complex transactions without leaving the platform. Conversions are subject to a 2.0 percent fee.
- Coinbase has a wide knowledge base — but has little credibility for serving customers.
- Fees are relatively large and there can be issues with funding.
- For transactions of $200 or less, Coinbase uses a flat charge between $1,50 and $300 (whichever is greater).
- Most transaction costs for regular transactions are 1,49 and credit card purchases 3,99 percent. This means that credit purchases are theoretically much higher. The coinbase pro +0.5 percent market price, which is better than standard sales accounts, but the fees of bigger or institutional purchasers are not competitive.
- Coinbase is poorly classified for not having responded to hundreds of consumer requests by the Better Business Bureau.
- Although Coinbase is common in Canada, there are no delays in transactions based in Canada.
Kraken was founded in San Francisco in 2011 and claims to be in terms of volume and liquidity the largest Bitcoin trade. Its credibility is backed by a broad variety of features, low transaction fees and total security.
- Kraken meets industry safety standards such as cold-storage retention of 95 percent of consumer funds, two-factor authentication and 24-7 exchange surveillance, to avoid anything going in or out without monitoring.
- They were a first exchange which showed that they keep the money of their customers secure through an independent and encrypted audit (proof-of-reserves audit process).
- To appeal to any level of experience, Kraken provides three different types of accounts (starter, intermediate and pro) with different limitations and features.
- Their future and fiat trading are popular features not always seen on other exchanges. Users will trade in five different fiat currencies without having to attend other trading sessions.
- The registration process varies according to which account you choose to open. Only basic information is required if you register as a starter. For an interim account, specifications with a photo ID and proof of address are identical to other exchanges. AML checks and financial statements are additionally mandatory for an advanced account.
- The check period was very quick for Kraken (I was verified in about 15 minutes).
- Kraken, which can also be complicated and sluggish, is a strong platform. Although it has many resources, those who just start may be frustrated and confused.
- It can take a long time to purchase cryptos on the web. It takes a long time compared to other exchanges by establishing an account and expecting verification, depositing fiat currency via bank transfer and waiting for a deposit for 1-5 business days to enter the kraken account in order for you finally to swap fiat currency for crypto.
- While their fees are the lowest in the industry, this is only useful for pro-traders with a volume-based fee model.
- Finally, because Kraken is not located in Canada, cabling money through an intermediary bank means additional time and costs.
Due to current output of BTC, deflationary assets such as cryptography are gaining momentum and have not achieved their high-water value. The "crypt train" cannot get on too late. The train has hardly started to leave the station, apart from controversies and widespread adoption.
Based on their individual skills, a beginner to crypto-investing would want to try out multiple exchanges - from a simple platform to explore others as the user searches for more coins and advanced options.
It is not that policymakers are infailing that there is a lesson to be learnt from the global pandemic and economic implications. Thus, it is easier for the average customer to diversify than to keep their total liquid capital in their national currency.
Note, you can only maintain your wealth in a fiat "basket" that history has shown may go sometimes badly, especially in the course of global economic upheavals, when you don't invest into cryptographic or historically tradesed properties.