Cryptsy Exchange Review
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Cryptsy operated out of the USA and was a duel cryptocurrency as well as fiat currency exchange service with a large number of altcoins available to its members. However, due to a huge breach in their system the company has had to liquidate and is currently in the midst of several lawsuits as the management struggle to pay back its members.
The company was one of the first to set the trend of what has now become a flurry of cryptocurrency exchanges. The exchange operates out of Florida in the Delray Beach area and their operations are fully disclosed to the public.
The company boasted over 150 currencies on their platform and give its members to trade in more than 200 markets. Their total pairs come in at around 2k and 4k a day making them a stern leader in the altcoin industry.
As the company is US based it is heavily regulated and has been fully approved with the FinCEN MSB as well as compliant with all AML/KYC rules and regulations. The only real downfall is that the layout of the backend certainly needed some athletic improvement, but despite its less than average appearance, the exchange had still become very popular.
Despite its regulatory associations and the fact that the company deals in huge volumes of altcoins, you should read the complete review to get an overall picture of just what Cryptsy is all about because there are also some downsides to using this website.
Both iOS and Android apps were available with the exchange. Downloads from the obvious places such as the Apple iStore and Google Play were available and still are for those that want to try to access their account to recover lost funds. The app worked very well and have all the same features and function crammed into your smaller mobile device screen, so performance and the ability to trade are also fully available while you are out and about as long as you are connected to the internet.
Literally, there were so many coins on offer here that we couldn’t possibly list them all. Your best bet is to visit their site and check out all the altcoins and markets that were available to build up an overall picture of just how many cryptocurrencies its members were able to dabble in.
Here are just a few examples of currency pairs for your reference:
Really the list just goes on. At the time of closing, there were 16 US pairs, but also pairs in plenty of other currencies.
You have probably already gathered that Cryptsy stood out so popularly because of a large number of pairs that are available for trading. The pairs do not just include crypto to fiat currency pairs, but also fiat to fiat pairs.
If it is diversity in pairs that you are looking for, you are in the right place. Although you will need to read up on the pairs that can be traded directly because many of the cryptocurrency pairs cannot be traded.
All trade should be made via USD, Bitcoin or Litecoin; while, Cryptsy has put a limit of 6 pairs that can be purchased from the exchange. There were also some issues with the fees involved on Cryptsy because the bid-ask spreads were a little high. You can read more about fees in the section below.
As for ease of use, the system may look quite messy in many respects, but trading is actually relatively straightforward. Buying and selling is a simple process, and this is probably one saving grace for this exchange because there seems to be a lot of downsides to other areas such as support.
Finding the trading screen is easy enough. Once you are there, placing an order could not be easier as counting 1, 2 and 3. All you need to do is enter the amount you want to trade and click to confirm. Furthermore, there is an order book but not much in the way of added research amenities.
Another aspect of the trading area that is quite strange is that there is no way to analyse your portfolio performance. Most sites have this feature available, so instead, you will need to do this via a trade report and figure it out for yourself. Not ideal, but at least the trade report is an option.
Registering at Cryptsy
You now cannot register at Cryptsy until either the company comes back online, which is unlikely because of a huge dent in its reputation or if the owners decide to open under a new name and start again. The latter is more likely to be the scenario that we see. It is a case of waiting to see if they do manage to pay back all their members that lost huge amounts of altcoins due to a hack.
Making a Purchase at Cryptsy
As Cryptsy was involved in both fiat currency as well as cryptocurrency trades, it was easy to make a purchase using one of the accepted payment methods. Fiat cash could be converted into one of the altcoins available or you were able to fund your account using a crypto wallet.
Accepted Payment Methods
or funding your Cryptsy account can be a little difficult at times. The reason for this is because there are limitations on payment methods accepted. You must use the EgoPay wallet which is one of the only ways to get around the small number of payment options.
Transaction fees on Cryptsy were always a little pricier than other exchanges. This was a small price to play for some as they enjoyed the fact that they were able to deal with so many different altcoins.
For fees, you would have been looking at around 2% or more for BTC/USD and as much as 9% for BTC/LTC so be careful because there are much cheaper options out there if you are looking for a more cost-effective way to trade.
Regular trade fees for buying/selling would also add an additional 25 basis points. This made things quite confusing in some cases especially when it came to trading currencies like Dogecoin in an exchange with Peercoin. In this case, the trade would count as double or two trades so to speak. This would mean a cost of 50 basis points as the standard 25 basis points fees were doubled.
Then limit orders were set as the only order type whereby buy or sell values would only be equal to the best ask or bid. However, some members preferred the advanced order types if they could use them because they had more options. All in all, despite some easy trades, the transaction fees and order types took some getting used to before being fully comfortable with the way Cryptsy worked.
There were some country restrictions on Cryptsy because it was and still is, for the most part, a US-based entity. With rules regulations so strict in the US, there were plenty of countries that were banned from dealing with the exchange. Mostly the client base was from the US and so not many citizens from non-US countries were affected by the major hack that seems to have wiped the company off the face of the cryptocurrency exchange market.
When it comes to finding out information without having to attempt to get in touch with customer support, members were able to use the ‘Wiki’ function provided by the website. There was a wealth of information here, and at first it seemed a little overwhelming, but in the end, it was better than nothing and as you got to understand how the site operated, the technical paragraphs in the articles began to make more sense.
It is not surprising because Cryptsy was never an exchange that keeps things simple. Most of the time you will stumble through the way the site works and it takes experience rather than ploughing through the huger amount of information provided in its self-support Wiki centre.
Saying that though, when it comes to FAQs, which are arguably the best way to get answers quickly rather than reading through technical articles provided by wiki, well, let’s just say the FAQ far from covers all the bases.
As for getting in touch with customer services, there was no live chat or telephone number. Instead, you had to use a ticket system Yet again, and very surprisingly this style of support seems to be common with the cryptocurrency exchange marketplace – i.e., personalised customer support seems to be lacking.
One of the main comments we often saw was that sometimes (not all the time) support can be quite slow at getting back to customers. Sometimes 3 or 4 communications between member and support can take up to 10 days with replies to support questions not answered for another 48 hours.
- Wiki section with technical articles
- Not very good FAW section
- No telephone support or live chat
- Support ticket system available, but can be slow
Well, we would like to say that Crypsy was a safe exchange to do business with, but obviously, they failed on many accounts to keep their security up to scratch hence at this moment the management team are trying to figure out how to either fully and legally liquidate the company or find a way to restart operations. The later looking increasingly unlikely at the moment.
Account protection or login information for the exchange account itself was very secure. There were 2-factor authentication and encrypted SSL encryption, but flaws in the system, which are yet to be fully disclosed meant that the company servers were hacked and their stash of altcoins nearly all wiped out.
Why Choose Cryptsy?
Obviously one of the major reasons in the past to choose Quadriga was because of its many pairs and the fact that you were able to use both fiat currency and cryptocurrency side by side. There is a mix of exchanges out there that allow both fiat currency and cryptocurrency and Cryptsy was one of the most well-known for this. This attracted a lot of members who are probably still in the midst of court settlements and claims with the exchange.
Another good reason for joining Cryptsy was because of the huge number of ALT coins that were available to its members. Rather than opting for a wallet or exchange that deals in just a few cryptocurrencies, those that really know the cryptocurrency market had a lot of flexibility and were able to dabble in several different markets.
We always like this style of exchange because it f=gives you flexibility and you will always have access to any new up and coming cryptocurrency that happens to suddenly boom. The alternative is being stuck with a wallet or exchange that has not accessed to new up and coining cryptocurrencies and missing the boat when there are sudden climbs in the value of a lesser known cryptocurrency.
Weighing up the site overall, it is pretty obvious there was neglect. Cryptsy is a little like Kodak were – too late to respond to market trends. With the website and confusing trading fees which could have easily been upgraded, it is fair to say the management took their fingers off the pulse and neglected what was, in fact, an amazing trading platform.