CoinTree cryptocurrency exchange review – May 2018

This Australian bitcoin exchange offers good rates, a low $200 minimum purchase amount and beginner-friendly features.

CoinTree is a dedicated cryptocurrency exchange operating since 2013 in the Australian market. As a local bitcoin trading platform, CoinTree has been the starting point for many new traders exploring cryptocurrency.

CoinTree might be a good choice for first-time bitcoin buyers to consider. It’s designed to be simple and straightforward, and even creates a wallet for you. It also offers a free demo so you can see how it all works.

Experienced buyers might also be drawn to it by one of the lowest purchase commission rates in Australia, and no fees on anything else.

Product Name CoinTree Cryptocurrency Exchange
Fiat Currencies AUD
Cryptocurrencies BTC, BCH, ETH, ETC, LTC, DASH, XMR, XRP, ANT, REP, BNT, BAT, BTS, BLK, CVC, CLAM, DCR, DGB, DGD, DOGE & 35+ more
Deposit Methods Cash, Electronic Funds Transfer, POLi
Trading Fee 0.5-0.7%
Maker: 0.4%
Taker: 0.6%
Deposit Fees None
Withdrawal Fees None

Pros

  • Ideal for novices. Simple signup and interface for ease of use.
  • Proof of solvency. Verification that your bitcoins are genuine.
  • Low minimum purchases. One of Australia’s lowest minimum purchase amounts.
  • Free demo. Road test the platform before you get started.

Cons

  • Basic functionality. Advanced trading features not available.
  • Limited customer support. Some online criticism of poor response times.
Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade. Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

What is CoinTree?

CoinTree is a cryptocurrency exchange that:

  • Allows users to buy, sell and transfer bitcoin, and trade bitcoin for a range of other altcoins
  • Supports AUD deposits using a range of payment methods
  • Caters heavily to new and casual traders‚ with an emphasis on easy sign-up and a simple interface
  • Provides its own in-built bitcoin wallet

While these features are pretty commonplace across most exchanges‚ CoinTree has created an intuitive platform that new traders should find easy to use.

What makes CoinTree unique?

CoinTree has a few features that make it unique in Australia, and make it largely an all-in-one service. Let’s review some of them:

  • Low fees and no fees. The only fee charged by CoinTree is 3% on bitcoin purchases. It does not charge for transfers or anything else, although sometimes its affiliated providers may charge fees. You’ll be informed if any service incurs fees.
  • Free demo. Try it out for yourself and do whatever you want. You can’t commit to any purchases or break anything, and don’t even have to create an account or sign in. Try the demo here.
  • Regular transactions. Regular transactions let you specify an AUD amount and then buy that much worth of bitcoin. This gives CoinTree more flexibility to hunt down better exchange rates, or wait until the price dips before buying. This is in contrast to the fixed-price transactions used by other providers, where you specify a bitcoin amount and make a purchase at a set rate. See the fees section for more information on regular transactions.
  • Altcoin exchanges. You can diversify your investments by trading your bitcoin for a wide range of other altcoins. Note that your CoinTree wallet cannot hold any coins other than bitcoin.
  • Paying bills with bitcoin. You can pay your bills with bitcoin on CoinTree. By entering the dollar amount of your bill you can see the equivalent bitcoin price. By confirming the transaction, you can pay the bills with bitcoin at the current market rate. This is a fee-free service.
  • Make transfers. The CoinTree service lets you make bitcoin transfers too. See the fees section for more information on how it works.

Which cryptocurrencies can I buy/sell?

CoinTree chiefly trades in bitcoin‚ but also offers access to a number of other cryptocurrencies (collectively known as altcoins) on its platform. These cannot be purchased directly through CoinTree though. Instead you buy bitcoin and can then trade bitcoin for a wide range of altcoins.

  • CoinTree does not charge any fees for these transfers. Instead, it uses a cryptocurrency exchange called ShapeShift to make transfers. The only fees involved are those laid out here at ShapeShift. You can use CoinTree to transfer bitcoin for any of the currency types listed there.
  • Note that the wallet CoinTree provides does not support currency other than bitcoin. To access those currencies after trading you will most likely need your own cryptocurrency wallet.

Which countries does CoinTree support?

CoinTree allows everyone over the age of 18 to use the platform, but it’s specifically designed for users from Australia.

Prices, rates and fees are all in Australian dollars, and many of the features may only be available in Australia.

Which payment methods are accepted?

CoinTree accepts the following payment methods:

  • Cash deposits at selected Australian bank branches
  • Electronic Funds Transfer (EFT)
  • POLi Payments

CoinTree fees and charges

Transaction typeFee
Buy bitcoin3%
Sell bitcoin0%
Pay bill0%

The only fee charged directly by CoinTree is a 3% commission (including GST) when it buys bitcoin on your behalf. However, that doesn’t mean you won’t incur other costs through third- party services that CoinTree uses on your behalf.

For example, when trading bitcoin for another cryptocurrency, a portion of your trade will go towards the fees on the ShapeShift exchange. Or when you transfer bitcoin to another person, CoinTree may need to pay relevant fees to the transfer services.

It’s also important to note that the cost of a purchase may not always work out to exactly 3% due to the nature of regular transactions.

Regular transactions

These are the usual type of CoinTree purchase. You specify how much AUD-worth of bitcoin you want to buy, and receive an estimate of how much bitcoin you’ll get for it. CoinTree will then purchase that much AUD-worth of bitcoin on your behalf and give it to you, charging 3% commission for this service.

You should typically receive near the estimated bitcoin amount, but it will vary because bitcoin prices change so quickly. By the time your purchase has been processed, your payment confirmed, the bitcoin purchased by CoinTree and transferred to you, prices may have increased and dropped a number of times.

It’s unlikely you’ll receive exactly the estimated amount of bitcoin, or that the actual total cost of making a purchase will end up at exactly 3%.

Best price guarantee

CoinTree claims to offer a best price guarantee, but it’s worth paying attention to how it actually works before you depend on it.

To claim this guarantee, you need to make a simultaneous purchase of at least AU$1,000-worth of bitcoin through CoinTree and another service.

The other service must use the same business model as CoinTree where it purchases bitcoin on behalf of its users, and must be Australian owned and operate only in Australia.

Even if you do manage to successfully claim the best price guarantee, by making a simultaneous purchase of at least $1,000 on CoinTree and another eligible business, a successful claim only entitles you to a discount on the commission for your next purchase.

Processing times

When adding funds to your CoinTree account, the deposit method you use will influence confirmation times.

Deposit typeConfirmation time
Cash deposit at bankApprox 30 minutes
POLi PaymentInstant
Internet banking (EFT)1-2 days
Buying/selling bitcoin
Transaction typeFunds available
Buying bitcoin~20 mins (or two confirmations)
Sending bitcoinMay vary
Selling bitcoin5 days

CoinTree explains that sending to another person’s wallet may take “anywhere from a minute to a couple of hours (or sometimes longer)” depending on the user’s wallet and its service.

Are there any transaction limits?

Buying
Minimum purchase amount$200
Maximum purchase amount (daily)$10,000

Beyond this, CoinTree indicates “actual limits vary between accounts and purchase options”. If you’re seeking to trade outside these limits, you’re encouraged to contact the support team for further information.

Selling
Minimum sale amount$200
Maximum sale amount (daily)$50,000

CoinTree also indicates that a higher daily maximum is possible with manual processing.

Is CoinTree secure?

CoinTree takes a number of steps to increase security:

  • A CoinTree account can be created with an email address and a bank account, but before you can use the service CoinTree may verify your identity by requesting additional information such as name or address.
  • All important user details are encrypted with the latest encryption technology, similar to the systems used by banks and government agencies.
  • User verification is handled by an identity verification provider that is 100% compliant with Australian laws and regulations.
  • Alongside the common methods for ID verification and two-factor authentication (2FA) seen across other platforms‚ CoinTree also allows for login via BitID and use of a QR code on mobile phones.
Proof of Solvency
CoinTree provides all users with Proof of Solvency. Proof of Solvency (PoS) is a process to verify your bitcoins are real. PoS verifiers have become increasingly useful tools to verify bitcoins are legitimate and protect traders against buying fake coins or using a scam exchange platform.

Customer support

CoinTree offers two main options for support. The first is an expansive FAQ section which seeks to address a wide variety of common questions traders may have. The second is a direct email for enquiries. This setup is reasonable, and most likely meets the needs of most newcomers, the support doesn't appear to be as comprehensive as some other exchanges.

How do I create a CoinTree account?

CoinTree offers newcomers the chance to try simulated crypto trading via a free demo. While such simulators have long been popular in traditional share trading, they remain a pretty rare offering in the Australian cryptocurrency world. For anyone still deciding how best to begin cryptocurrency trading, making use of CoinTree’s demo account can be a great starting point.

If you’re ready to get started, the official signup process is also very straightforward. CoinTree indicates that email signup and ID verification should take no more than around 5 minutes if you’re in Australia, and 1-2 business days for overseas users.

CoinTree-Homepage

Pros and cons

Pros

  • Ideal for novices. Simple signup and interface for ease of use.
  • Proof of solvency. Verification that your bitcoins are genuine.
  • Low minimum purchases. One of Australia’s lowest minimum purchase amounts.
  • Free demo. Road test the platform before you get started.

Cons

  • Basic functionality. Advanced trading features not available.
  • Limited customer support. Some online criticism of poor response times.

Frequently asked questions

Image source: CoinTree

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2 Responses

  1. Default Gravatar
    IanDecember 9, 2017

    Which australian exchange lets you withdraw funds when you sell your coins and also supports multiple coins?

    • Staff
      JoanneDecember 12, 2017Staff

      Hi Ian,

      Thank you for visiting finder, we are an Australian financial comparison website and general information service.

      For this you will need to research on each of the exchanges so you can check which of those support the coins that you wish to trade.

      This page will show the following platforms that are available in Australia and offer cryptocurrency trading. Some trading platforms will suit your needs much better than others. It’s worth comparing them in detail and trying demos where available to find the one you like.

      Cheers,
      Joanne

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