What could be improved
High fees
Coinify’s fees are higher than many other platforms’, especially if you pay by card. It has a high minimum handling fee, relatively high minimum spend, and you don’t get a great exchange rate. That said, since Coinify deposits your assets directly into an external wallet, you don’t have to pay withdrawal fees. Check out our list of top cryptocurrency apps and exchanges for lower-fee options.
No custodial wallet
Custodial wallets are a thorny topic in crypto circles. There’s a popular saying among old-school crypto investors: “Not your keys, not your coins.” Cryptocurrencies use public keys and private keys — a bit like your bank account number and PIN. The idea is that if you don’t move your assets into your own wallet, you don’t fully own your coins.
However, billions of dollars’ worth of cryptocurrency can no longer be accessed because people have lost the passwords or seed phrases for their crypto wallets. In some cases, people lose the hardware wallets altogether. As a result, many newer investors prefer to leave their assets on the exchange where they bought them.
No trading or other features
Coinify does not offer cryptocurrency trading at all. You can’t trade from one coin into another. There are also no price charts or other data about coins. And there are no opportunities to earn passive income on your crypto. However, if you want to access these services, you can connect your external wallet to any number of decentralized finance platforms that offer them.
Limited selection of coins
Coinify has a solid list of available cryptocurrencies, including many of the top 20 coins. But its selection doesn’t compare with a number of other top exchanges. This isn’t a problem if you only want to buy Bitcoin (BTC), but if you plan to expand into less-established tokens, you might look elsewhere.
Not available in all U.S. states
Coinify is not available throughout the U.S. If you live in Alabama, Alaska, Connecticut, Florida, Georgia, Hawaii, Idaho, Louisiana, Michigan, New Mexico, New York, North Caroline, Rhode Island, South Dakota, Tennessee, or Vermont, you can’t use Coinify’s services.
Read More: Coinify Review: Pros, Cons, and More | The Ascent by Motley Fool
