Should you trust Cobinhood? Read in our detailed Cobinhood review!
Read This Detailed Cobinhood Review
Cobinhood cryptocurrency exchange entered the electronic coin market in 2017. The developers of this platform are unknown to the digital community. They definitely lacked knowledge to create a universal service with reliable protection. The platform has a zero fee for internal transactions, but that is just a bait. Traders speak negatively about its functionality and lack of features.
Yet, is Cobinhood a scam or a reliable platform, convenient for beginners and experienced traders, that allows you to withdraw funds in the required amounts in a short time and earn on margin trading? Is it another scam? A detailed overview of the platform will provide answers to these and a number of other questions.
Cobinhood crypto exchange is not rather popular among traders due to many problems and even legal issues. You cannot find a lot of information about this service, as users do not even want to waste their time on this low-quality platform. Registration and verification at cobinhood.com takes place as usual, but it will take a while. To create a personal account on the platform, it is important to come up with a complex password, since this is one of the ways to protect personal data that the client entrusted to the crypto exchange. However, there is no guarantee that the company will not share this private data with anyone else. It usually takes a day to verify a user's information and confirm his account.
Verification consists of two stages (in the near future, the launch of the third is planned) and the first of them takes place through the trader's e-mail, where a user receives a letter with a link, which he or she must follow by clicking on the button "Activate your account." After that, there is a transition to the exchange in your personal account. You can see three tabs in your account: "Personal Information", "Security", and "Finance". In the first of them, the password is changed. The second contains security settings - in this section, two-factor authentication is enabled via Google Authenticator. When you go to the third tab, you can see the current limits on financial transactions.
Verification consists of two stages, and the first of them takes place through the trader's e-mail, where a user receives a letter with a link, which he or she must follow by clicking on the button "Activate your account." After that, there is a transition to the exchange in your personal account. You can see three tabs in your account: "Personal Information", "Security", and "Finance". In the first of them, the password is changed. The second contains security settings - in this section, two-factor authentication is enabled via Google Authenticator. When you go to the third tab, you can see the current limits on financial transactions.
After the successful completion of the registration and verification processes, you can proceed directly to the service interface, which is available in many languages, but translations are very poor and tricky. Perhaps, it was done intentionally. You should start examining the options from the terminal, which is located in the "Exchange" section.
You can customize the coin chart in accordance with your preferences. For example, choose indicators RSI, MACD, Volume, EMA moving averages, set a timeframe from one minute to a month. The terminal can be switched to one of two modes: advanced or TradingView. The latter option is suitable for those users who are accustomed to viewing trading information in a standard form. Setting up order books (that is, tables of limit orders for buying and selling coins) is done through the order log, where you can round off prices by using one of the two buttons - "Plus" or "Minus."
For the convenience of users, there is an order log on the right side of the site, divided into three sections. The spread is indicated between the buy orders (located in the first section) and sell (located in the third section). The register is kept in an open mode. The information in it is ordered and presented in the form of a ladder diagram, where it is easy to find a list of current orders and their parameters.
On the panel of the order form, the client selects its type - it can be limit, market, stop order, or stop limit. Market orders cannot be canceled as they are executed instantly.
A limit order allows you to specify the highest or lowest price for the sale and purchase of cryptocurrency. It can be redeemed incompletely and changed depending on the value of other orders on the market. Stop orders are closed during the period when the price rises to the level specified by the user. Due to the fact that they are executed as market ones, price slippage may occur. The stop-limit is closed at the highest value after reaching the stop-price level specified when filling out the order. If the market value of the crypto asset fluctuates too quickly, such an order may not be executed.
The exchange fee for internal operations is zero (just to attract naive traders), but for the withdrawal of electronic coins from the platform, you will have to pay a specific percentage of the transfer amount. The amount of fees in such cases depends on the type of cryptocurrency. Transactions are limited by a minimum and maximum threshold - the amount of withdrawn funds must range from $30 to $1 million. In addition, there are restrictions on the amount of client accounts - at least $1 must always be kept there (this is quite enough for internal transactions).
Any of the cryptocurrencies registered on the platform is available for buying or selling (the whole truth about cryptocurrency is here). The creators of the project plan to gradually add to the listing not only tokens, but also precious metals, futures, and other assets. However, these are “dead promises” as they still have a limited range of options.
Platform specialists help clients launch ICOs. Projects proposed by users will immediately receive support from the exchange. In addition, the service will in every possible way contribute to the promotion of the startups that would also trick beginners and even professionals. The client can not count on the reliable support from the company and legal advice.
Replenishment and Withdrawal of Earnings
Deposits and withdrawals are performed in the "Deposit and Withdraw" section of cobinhood.com, which opens when you click on the "Wallet" button. It is enough to follow the instructions. You need to understand the following:
- The site has two stages of restrictions on the deposit and withdrawal of funds, and soon it is planned to launch the third one. The limits depend on the passed verification stages.
- The first verification category is assigned to each registered user after specifying the date of birth, name, country of residence and phone number. He will be able to enter any amount of cryptocurrencies without any limits. At the same time, he will be allowed to withdraw no more than 3 Bitcoin per day.
- When the client moves to the second stage of verification, it becomes possible to withdraw funds in the amount of up to 100 Bitcoin within 24 hours.
- Account replenishment and withdrawal of funds occurs on average within a few hours. Sometimes such operations are performed instantly, often they take a week.
- To withdraw funds in a special section, you must specify the address of your wallet. The e-wallet coordinates must be entered in the account address book immediately after registration. In order to then get the address into the register, you need to complete the procedure for adding it there by clicking on the "Set up Withdrawal address" button. After that, all the necessary information will be available in the "Deposit, Withdraw" section.
Regulation of the Cobinhood Crypto Exchange
Cobinhood is owned by Being, Inc., a Cayman Islands registered company. The platform appeared thanks to the collaboration of its co-founders: Chen Tai-Yuan, better known as Popo Chen, and Wei-Ning Yuan; later, Tony Scott was invited to the team as a consultant. They promise that most of customer funds are transferred to cold storage, which, in turn, is protected by multisignature. However, many users claim that this service did not return them their money at all. Also, some users reported that their money, along with personal data, were stolen by some third parties.
Financial transactions must be confirmed by a QR code, which must be scanned using a mobile phone. However, that is one of the ways for Cobinhood to steal user’s data.
Every time a client visits the exchange website via a stationary computer (or its mobile application, any platform API and other Cobinhood services), his personal data is processed on servers located in the Cayman Islands.
Only a user who is 21 years old can become a participant in trading operations on a crypto exchange. Otherwise, his account is blocked. Still, they do not really check this sort of information. Residents of countries belonging to the European Economic Area (EEA) should be prepared to transfer personal data to the exchange branches and service providers from the United States and Israel.
Is Cobinhood a Scam?
Crypto exchange Cobinhood is a scam cryptocurrency trading service. Now we know that. The developers of the exchange claim that they are doing everything possible to shape the economy of the future with the help of the financial center they have created on the exchange. At the same time, the registration and verification processes are tricky and time-consuming, and we would not recommend sharing private data with this platform.
The zero commission for operations on the site is just a way to attract unexperienced traders and steal their data. There is no exchange of cryptocurrencies for fiat money, Almost each registered client can apply to promote his ICO here, but, if approved, they cannot expect full support from the service specialists.
Traders worldwide generally characterize the platform negatively, commenting that they have lost plenty of funds because of this nasty website.