Bitbuy Review

Updated: Aug 28, 2021 | Published: February 11, 2021   

By: Alex Dabek

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3.4

NowFuture Rating:

The Bottom Line: Bitbuy offers 9 coins, relatively tight spreads (0.79%), and low trading fees (0.1%/0.2% maker/taker). However it's the most expensive Canadian exchange for CAD deposit and withdrawal fees (1.50% e-transfer fee). The user interface is well designed with beginner and pro features however it's expensive overall compared to other platforms.

My top recommendation for Canadians is Newton because it offers more coins (25+) and significantly lower fees. 

Bitbuy Overview

Overall:

3.4

Coins Available:

9 (BTC, ETH, XRP, BCH, LTC, XLM, EOS, AAVE, LINK)

Fees:

Spread: 0.79% (On March 01, 2021)

Trading Fees: 0.1% Maker, 0.2% Taker

CAD Deposit/Withdrawal Fees: 1.50%

Crypto Withdrawal Fees: 0.00025 BTC

Funding Methods:

Interac e-Transfer: 0-6 hours (1.50% fee in and out)

Wire Transfer: 2-3 business days (0.50% fee $20k min.)

Pros & Cons

  • Nice user interface
  • Offers features for beginner and intermediate investors
  • Expensive deposit and withdrawal fees - Fees range from 0.50%-1.50% to get money in or out of your account
  • Cryptocurrencies - Only 9 coins whereas on other Canadian based platforms you can find 20+
  • Low reviews on Google Play app

About

Bitbuy is a Toronto-based cryptocurrency exchange that was founded in 2016. They market themselves as "Canada's trusted choice to buy and sell cryptocurrency." So far, they've served 300,000+ Canadians on a platform that offers both beginner and advanced features.

The crypto exchange is available on web, iOS and Android and according to LinkedIn, they have over 40 employees. They also have a partnership with the Canadian Elite Basketball League (CEBL) to pay players in cryptocurrencies.

Is Bitbuy Regulated?

Yes, Bitbuy is a registered Money Service Business (MSB) by FINTRAC, an entity of the Federal Government of Canada. Those are just fancy words saying Bitbuy is legit and legally compliant.


Opening An Account

Setting up a Bitbuy account requires some documents but is very easy. Be ready to provide personal info because you need to verify your identity for KYC and AML purposes. This is required by law on all Canadian crypto exchanges and stock brokers.

Bitbuy uses an automatic verification process with third-party agent Trulioo, and verification is instant for most people.

Who Is Eligible?

  • Canadian citizens or residents
  • People above the age of 18
  • People with a North American cell phone number

Sign Up Requirements

  • Email address, username, password, and phone number
  • Legal name and date of birth
  • Occupation industry and occupation name
  • Address

Manual Verification

If you don't pass automatic verification with the info above, you'll go into a manual verification process which can take 1-2 days. This requires extra documents such as:

  • Passport, drivers license, or Government-issued ID
  • Upload a selfie holding ID and a piece of paper that says, "For Bitbuy Use Only" and today's date
  • Financial statement (credit card statement, bank statement)
  • Utility bill (phone bill, water bill)

Screenshots


Deposits & Withdrawals

One of Bitbuy's major downsides is expensive fees for depositing and withdrawing Canadian dollars. Fees will range from 0.50%-1.50% to get money in and out.

CAD Deposits

Method

Fee

Time

Minimum

Maximum

Interac e-Transfer

1.50%

Near Instant

$50

$10,000

Bank Wire

0.50%

2-3 Business Days

$20,000

$500,000

CAD Withdrawals

Method

Fee

Time

Minimum

Maximum

Interac e-Transfer

1.50%

Under 24 hours

$50

$10,000

Bank Wire

1.00%

2-3 Business Days

$20,000

$500,000

Crypto Withdrawals

Bitbuy charges fixed fees to withdraw cryptocurrencies.

Coin

Min. Withdrawal

Fee

Bitcoin

0.001 BTC

0.00025 BTC

Ethereum

0.05 ETH

0.005 ETH

Litecoin

0.05 LTC

0.02 LTC

Bitcoin Cash

0.01 BCH

0.001 BCH

Stellar Lumens

26 XLM

0.02 XLM

XRP

25 XRP

0.02 XRP

EOS

1 EOS

0.02 EOS

Chainlink

8 LINK

0.3 LINK

AAVE

0.75 AAVE

0.03 AAVE


Fees

Overall, Bitbuy is on the expensive side. Most of their fees are normal like their trading fees, spread, and crypto withdrawals. However, they charge a 1.5% fee to e-transfer money in and out of the platform which makes it expensive overall. 

Total BTC Purchase Fee

2.29% (Mar 01, 2021)

Pro Trading Fees

0.1% Maker

0.2% Taker

Express Trading Fees

0.2% Buy/Sell

CAD Deposits

0.50%-1.50%

CAD Withdrawals

1%-1.5%

BTC Withdrawals

0.00025 BTC

Other Fees

N/A

Spread (Mar 01, 2021)

BTC Spread

0.79%

BTC Buy Price

$62,427

BTC Sell Price

$61,398

Ref. Price Difference

Buy: +0.59%

Sell: -0.19%

Reference Price (Google)

$62,058

After testing 11 exchanges, Bitbuy ranked 8th most expensive for buying Bitcoin as cheaply as possible. The total purchase fee was 2.29% when you factor in all fees. That's mainly because of the 1.50% fee just to deposit money onto the platform.  To compare, NDAX was the cheapest Canadian exchange with only a 0.50% total purchase fee, more than 4x cheaper.


List Of Features

  • iOS, Android, Web App - Access Bitbuy on any device
  • Markets - Trade 9 cryptocurrencies through either the Express Trade or Pro Trade interface
  • Express Trade - Make beginner friendly buy/sell orders
  • Pro Trade - Find more advanced trading features like limit and market orders, a live order book, market depth chart, trading view charts, and market statistics.
  • Corporate - Bitbuy offers business accounts for small and large corporations looking to put crypto on their balance sheet
  • OTC Desk - For those who want to invest CAD$50,000 or more, Bitbuy offers specialized services
  • Referral Program & Affiliate Program - Earn $20 for each referred friend that uses your code and deposits $250. There is also a separate affiliate program for influencers looking for longer term rewards
  • Resources - On their website and email newsletter you can find crypto news, crypto guides, product updates and more

Security

Crypto security is obviously very important. Bitbuy is considered a safe platform so let's take a look at why.

Company Security Features

  • 95% of customers funds held in cold storage
  • Founded in 2016 with no hacks so far
  • FINTRAC regulated and a registered Money Service Business in Canada
  • 1:1 Bitcoin insurance policy on cold storage assets through Knox
  • Published a proof of reserves report
  • See website status (if everything is operational)
  • See the rest on their security page

User Security Features

  • 2-Factor Authentication (SMS, Google, or Authy) 
  • Biometrics to login to app
  • Add authorized devices

Is Bitbuy Safe?

Yes, Bitbuy is a safe crypto exchange. It was founded in 2016 and has never been hacked or lost users funds. They are compliant with Canadian laws, store 95% of users funds in cold storage and have multiple security features built in the app. However, Bitbuy does not provide you with your private keys. If you want the safest way to store your crypto, a hardware wallet is recommended (especially for long term savings and large amounts).


Support

Bitbuy Customer Support

If you need to reach the Bitbuy team, you can submit a request via email. Currently, there is no live chat or phone support. Bitbuy also has a system status page, FAQs and help articles.


Bitbuy vs. the Competition

Compare Bitbuy and other Canadian platforms with this recent data:

Name

Coins

*Total BTC Purchase Fee

Best CAD Deposit Fee

Trading Fee

BTC Withdrawal Fee

2

1.43%

Free

0%

Free

7

1.41%

Free

0.50%

0.0005 BTC

9

2.60%

Free

0.20%

0.00025 BTC

9

2.29%

1.50%

0.1% / 0.2%

0.00025 BTC

10

0.72%

Free

0.1% / 0.2%

0.0005 BTC

16

0.50%

Free

0.20%

0.000399 BTC

19

2.83%

Free

0%

0.0003 BTC

20+

3.48%

Free

1.48%

N/A

20+

1.48%

Free

0%

0.00025 BTC

25+

0.66%

Free

0%

0.0005 BTC

40+

0.69%

Free

0%

Network fees minus $5

50+

0.80% + $1.25

Free

0.16% / 0.26%

0.00015 BTC

75+

4.55%

3.99%

0.50%

Network fees

100+

1.52%

Free

0%

0.0004 BTC

350+

2.24%

2.00%

0.10%

0.0005 BTC

*Total BTC Purchase Fee was calculated on Mar 01, 2021 and changes daily. It adds all fees to make a purchase (CAD deposit fees, trading fees, etc) plus the % difference to Google's price of Bitcoin which was the reference price.

This table is up to date as of Aug 13, 2021


Best Bitbuy Alternatives

Bitbuy ranks low mostly because of it's expensive deposit and withdrawal fees. If you want more features, coins and lower fees, here are some alternatives:

Newton is my #1 pick for Canadians. It lacks advanced features but has the most coins on a Canadian based platform (25+) and some of the lowest overall fees in Canada. Low fees include free $CAD deposits and withdrawals, cheap crypto withdrawals, zero trading fees, and tight spreads.

NDAX has beginner and advanced features with 15+ coins on the platform. Out of 14 platforms, it also has the lowest purchase fee for buying Bitcoin when tested (0.50% total fee). The downside is expensive fees for withdrawing fiat or crypto.

Binance offers 350+ altcoins and the most features ranking from margin to interest accounts to futures and much more. It's also the biggest exchange in the world by volume and has low 0.1% trading fees. The downsides are it's not available in Ontario (in which case try Kraken) and you can't connect a CAD bank account (so you should sign up for a domestic exchange as well).


Where Bitbuy Shines:

  • Features - Bitbuy offers a Pro Trade, Express Trade, OTC desk, and more which has something for everyone
  • Good spread and trading fees - Out of 11 exchanges tested, Bitbuy had the 5th best spread at 0.79% and their trading fees are 0.1% maker, 0.2% taker which are reasonable

Where Bitbuy Falls Short:

  • CAD Deposit and Withdrawal Fees - Bitbuy charges 1.50% for e-transfers coming in and out. You can do wires for 0.50% however it's a $20k minimum which isn't applicable for most people.
  • Total Purchase Fee - Due mostly to the deposit fees, the total price to buy Bitcoin was 2.29%. To compare, Newton's total fee was only 0.69% and NDAX was 0.50%.

Summary

Bitbuy has a variety of order types, 9 coins, and tight spreads. However, it's expensive overall because of the funding fees and this is why it has a lower ranking.

Who Should Use Bitbuy?

  • If you want beginner or advanced features and don't mind higher fees

Who Should Not Use Bitbuy?

  • If you want the lowest fees and more coins try Newton or NDAX
  • If you want the most advanced features and coins try Binance or Kraken
Bitbuy Exchange
  • Tight spreads and low trading fees
  • 1.50% e-transfer fee in and out
  • Get $20 when you deposit $250

More Info

Is Your Bitbuy Account CDIC Insured?

Bitbuy has a 1:1 insurance policy for users crypto holdings however, there's no CDIC insurance like a traditional bank account. Always make sure to practice good security when it comes to crypto!

Is It Safe To Store Crypto On Bitbuy?

Bitbuy has a good reputation and security measures in place but it's never 100% safe to hold crypto on an exchange. The safest option is to get a wallet where you own your private keys, ideally offline in a hardware wallet.

Has Bitbuy Ever Been Hacked?

Bitbuy was founded in 2016 and has never been hacked or lost users funds. They store users crypto in cold storage and have various systems in place to keep the platform secure.

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