A Complete CryptoMarket Review

If you’re looking for a good South American based cryptocurrency exchange, the Chilean based CryptoMKT might be a good fit. It offers the chance to buy Ethereum, Bitcoin, and Stellar Lumens using the Chilean Peso, Argentinian Peso, Brazilian Real and Euro (as of June 2018).

Signing up for CryptoMKT is easy enough, but trading requires additional verification. Currently there are four levels of verification on the platform; Observer, Basic, Trader and Institutional. The Observer level is just that, it allows you to use the platform to observe the markets, but you cannot trade. If you want to deposit, withdraw, and trade on the CryptoMKT platform you need to provide verification that includes banking details to level up to the Basic verification level. This allows for trading of up to $50,000 monthly. This verification requirement was put into place to prevent money laundering.

CryptoMarket Review: Advantages

The primary advantage of CryptoMKT is that it is the first cryptocurrency exchange for South Americans to buy Ethereum. And it supports currencies from the major South American countries, as well as the Euro. Thanks to Cryptomarket, tens of thousands of South Americans from Chile, Argentine, Brazil – and Spain –  have been able to participate in the cryptocurrency markets.

Bank transfers are fast too, with the website claiming a maximum of 2 business hours, and stating that typically bank transfers are processed in just minutes.

Advanced Trading Platform

CryptoMKT is an entry level service, and typically the trading platform in these beginners services leave something to be desired when it comes to features. This is not the case with CryptoMKT, where the trading platform comes with advanced features such as market depth, technical indicators, strong charting, and an overall useful package for analyzing the markets.

Beginner Friendly

CryptoMKT was designed to support the beginning cryptocurrency enthusiast, and with quick and easy bank transfers as well as support for major South American fiat currencies even the newest Ethereum enthusiast will find using the platform to be simple. Plus, there is a full-fledged support center (in Spanish only) that has detailed instructions on how to use the platform, as well as answering many common questions and concerns.

Ethereum Wallet Service

Because CryptoMKT understands that many new users are unfamiliar with such things as cryptocurrency wallets, there is an Ethereum wallet made available on the platform. There are also links to other popular Ethereum wallets, and instructions on how to get started using them. In addition, any transfer out of an exchange wallet for more than 100 ETH is done automatically through a smart contract in order to provide maximum security.

Security

Speaking of security, CryptoMKT says that all client funds are held offline in a multi-signatire cold storage wallet. Additionally, each password is divided, encrypted and stored in multiple safe storage locations.

CryptoMarket Review: Disadvantages

Like any cryptocurrency exchange, all is not perfect at CryptoMKT. They have some issues they need to work through, but there have been improvements made since the exchange was created, which bodes well for the future.

Limited Cryptocurrency Offerings

When CryptoMKT launched the only cryptocurrency it offered was Ethereum. This was still notable however, as they were the first to offer Ethereum in South America. Since then they have expanded to include trading in Bitcoin and Stellar Lumens, but this is still a very limited offering. It’s curious that they haven’t begun offering the ERC-20 tokens such as Augur, OmiseGo, EOS, Tron, etc. Typically Ethereum exchanges offer ERC-20 tokens, so we wonder what’s keeping CrpytoMKT from doing so as well.

High Fees

Fees at CryptoMKT are as high as 0.70% per trade, which is more than double the standard exchange fee. Large volume traders can get a discount to 0.35% per trade, but this is still far higher than the industry average. Most exchanges charge 0.15% – 0.25% per trade, and some do not apply any fees to market makers.

In addition to the trading fees, CryptoMarket also charges transfer fees of 0.7% for both deposits and withdrawals in fiat currency. This is in addition to any usual bank charges.

Primarily for Latin Americans

Users outside the target countries of Chile, Argentina, Brazil and Spain aren’t likely to appreciate the serve being offered. It is an entry level service, and is geared towards those countries specifically, and Spanish speakers more generally. With the limited offerings and high fees there’s little reason for those outside the target countries to consider using this particular exchange.

No Trading on Margin

In Conclusion

CryptoMKT says it is the first exchange to offer Ethereum in South America, but since then it hasn’t expanded its offerings very rapidly. The lack of support for ERC-20 tokens is especially notable. It does accept deposits of several local fiat currencies, and has a secure platform and Ethereum wallet, as well as a pretty advanced trading platform given the target for those new to cryptocurrencies.

The high trading fees are a definite downside, and the exchange is really only suitable for those in the countries being targeted – namely Argentina, Brazil and Chile. The platform also accepts traders from Spain, but I think Spanish traders will find better options among the European exchanges.

One other thing you’ll want to consider, and this is a problem throughout the cryptocurrency exchange world, is the issue of counterparty risk. There is no regulation of cryptocurrencies or exchanges in South America, and you have no recourse if your funds disappear. On a more positive note, the Chilean appeals court just recently required banks in Chile to reopen frozen accounts for CryptoMKT, so it does look as if the industry has the backing of the judiciary in Chile at the very least.

CryptoMarket Rating: 3.5 - Review by

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