CEX.IO review: pros, cons, and how it works

CEX.IO is a regulated cryptocurrency exchange that offers a commission-free margin trading platform. It allows users to trade through its website, mobile apps, and a wide selection of API solutions.

It was started in 2013 as a Bitcoin cloud mining provider and hashing power marketplace powered by an in-house mining pool that was called GHash.IO. It allowed people to participate in Bitcoin mining without having to invest in costly miners.

In 2016, CEX stopped cloud mining after GHash.IO was closed because it was not profitable. It shifted its focus to developing a global cryptocurrency exchange that it has run to date.

How it works

CEX.IO offers a wide variety of products grouped into three main categories namely: ‘For Everyone,’ ‘For Traders,’ and ‘For Businesses.

The ‘For Everyone’ category is designed for individuals who want to onboard the crypto space and it includes simple fiat-to-crypto purchase options, a crypto wallet, a crypto lending, crypto staking, and a debit card. The card is however only available for customers in select European countries.

The ‘For Traders’ category is designed for those who want to trade cryptocurrencies and it includes spot trading and margin trading. Traders can trade via the CEX.IO website, and CEX.IO mobile apps, or even choose to use a range of API solutions including WebSocket, REST API and FIX API for automated trading.

The ‘For Businesses’ category allows institutions to access institutional-grade crypto trading services through the CEX.IO PRIME.

For the fiat-to-crypto purchase options, individuals can make payments through card or bank transfers and the allowed fiat currencies include the USD, GBP, and EUR.

Now, before accessing any of the CEX.IO services, you need to sign up for an account. The process is straightforward.

To sign up for a personal account all you need is to provide your name, email address, password, and country of residence. You are then required to confirm your email by inputting a code sent to you on the email. At this stage, you can start exploring the CEX.IO platform.

However, to start trading, you will need to do an identity verification by submitting a government-issued ID. Additional verification stages increase your deposit and withdrawal limits.

To sign up for ‘Business’ services, more information and documentation are required.

Pros and Cons of CEX.IO

Pros

• The CEX.IO interface and trading platform are simple and easy to understand making it a go-to crypto exchange even for beginners.
• It offers a wide selection of withdrawal options including Visa, Mastercard, bank transfer (SWIFT, SEPA, ACH, Faster Payments), and cryptocurrency.
• It has a mobile trading app for both Android and iOS devices making it easier for persons who want to trade crypto on the go.
• It is a regulated and licensed crypto exchange meaning it has passed all the security checks required by the regulatory bodies. CEX.IO is specifically compliant with the Payment Card Industry Data Security Standard (PCI DDS) and General Data Protection Regulation (GDP).
• It protects customers’ funds with full data encryption and hot and cold storage systems.
• It supports a wide range of cryptocurrencies.
• It offers a wide selection of crypto services including crypto staking and crypto lending, which sets it apart from most popular crypto exchanges.
• It charges competitive commissions for both takers and makers with special offers for high-volume traders.

Cons

• Although the verification process is for the advantage of the users, the process is quite extensive and could take more time than expected.
• It has lower liquidity compared to other leading global crypto exchanges.
• Its credit cards are not available across the globe; they are only issued in select European countries.

Why you should use CEX.IO

CEX.IO provides a one-stop platform where you can on-board the crypto space by purchasing a wide variety of cryptocurrencies using fiat money and then proceed to invest your purchased cryptocurrency asset in a variety of ways including spot trading, margin trading, and staking.

If you are from a European country (except for Germany and Malta), you can apply for CEX’s debit card that will allow you to pay for goods and services directly using your crypto holdings. By using the debit card to make payments, you earn up to 5% crypto or cashback on any purchase you make online or in-store.

Final verdict

If you are looking for an easy-to-use crypto exchange where you can purchase cryptocurrencies using fiat money, then CEX.IO could be a good fit for you. The exchange is built for beginners, experienced traders, investors, and institutional crypto players.

The exchange offers excellent security for deposited funds and also offers a crypto wallet allowing you to earn staking interest by staking cryptocurrencies.

It is available in almost all countries around the world including in 48 states in the United States of America.