Coinfloor is a popular UK-based bitcoin exchange. The exchange makes it easy to buy bitcoins in minutes using a simple online interface. Read our Coinfloor review to find out if it’s the right choice for you.
What is Coinfloor?
Coinfloor is a bitcoin exchange service found online at Coinfloor.co.uk. The service promises to make it easy to buy bitcoins in minutes. You visit the site, enter the amount of fiat currency (in GBP) that you wish to spend on bitcoin, then buy your desired amount. You can conduct an ordinary purchase for no fees, or conduct an “Express Buy” purchase for an additional fee.
Yes, I just said “no fees”. Coinfloor made headlines in January 2017 for announcing its “no fee” bitcoin trading policy. Obviously, that’s unusual in the bitcoin community. So how does it work?
Coinfloor – which was already one of the UK’s largest bitcoin companies before the “no fee” announcement – is embracing a pricing strategy we’ve seen on other large worldwide exchanges, including mostly large China-based exchanges. These Chinese exchanges withhold fees on bitcoin trades.
Why would they do that?
The reason is simple: they want to boost liquidity on their exchange. China’s exchanges have some of the strongest liquidities in the world thanks to this no fee structure.
In January, Coinfloor was conducting about 630 BTC of GBP/BTC trades per day, which was ahead of major competitors like GDAX and Kraken at the time.
Ultimately, Coinfloor announced the no fee structure in an effort to boost trading activity in the UK. At the time of writing, over 90% of trades on the Coinfloor exchange were in the BTC/GBP pair. The remaining trades were split between three pairs, including BTC/EUR, BTC/USD, and BTC/PLN.
Obviously, Coinfloor has to make money somehow. The company charges traders for bitcoin withdrawals as well as GBP deposits and withdrawals. Traders who access the Express Buy feature will also pay an additional fee.
Coinfloor offers all of the following features:
Coinfloor is the UK’s longest running bitcoin exchange. The exchange also offers the best liquidity in the GBP/BTC pair. As proof, Coinfloor regularly publishes audits to verify balances held on behalf of clients.
Coinfloor has a proprietary trade engine at the heart of their system designed to make all of their services possible. We’ll talk more about the Coinfloor trading technology down below.
All Coinfloor client’s bitcoin deposits are stored safely offline and require multiple signatures to be released. Clients can also access two factor authentication for additional security.
How Does Coinfloor Work?
Coinfloor’s trading technology is described as “unique, robust and scalable”. Here’s a basic overview of the key features of Coinfloor’s trading system:
Coinfloor’s offers HTTP and WebSockets APIs optimized for ultra-low latency connections. Access keys are available on the client dashboard page. In addition, Coinfloor offers native libraries and sample clients in popular programming languages for your use, as well as a suite of non-official third party libraries.
The trading application itself is a simple program available for Windows, Mac, or Linux. It’s designed for day traders who wish to enjoy a fast and reliable execution of trades.
Xchange Financial Trader API
Xchange is a financial trader API built on a Java library to provide a simple and consistent interface for interacting with over a dozen bitcoin exchanges. Using Xchange, traders can access a consistent interface for trading and accessing market data.
Coinfloor made headlines earlier this year for adopting a no fee trading structure. However, Coinfloor isn’t a charity organization, and the exchange still charges fees.
Creating a Coinfloor account is free. Storing bitcoins with Coinfloor is free. Bitcoin deposits are free, although you’ll pay a nominal fee for bitcoin withdrawals (just to cover the mining costs).
Trading on the Coinfloor exchange does not incur any fees. Aside from the free services mentioned above, here are some of the fees you should know about:
- Bitcoin Withdrawals: 0.0005 XBT (minimum amount of 0.0050 XBT)
- GBP Deposits: 5 GBP (minimum deposit of 1000 GBP)
- GBP Withdrawals: 10 GBP (minimum withdrawal of 15 GBP)
- Euro Deposits: 1.50 EUR (minimum deposit of 1000 EUR)
- Euro Withdrawals: 1.50 EUR (minimum withdrawal of 5 EUR)
- Polish Zloty (PLN) Deposits: 0 PLN (minimum deposit of 1000 PLN)
- PLN Withdrawals: 1.00 PLN (minimum withdrawal of 5 PLN)
- USD Deposits: 10 USD (minimum deposit of 1000 USD)
- USD Withdrawals: 15 USD (minimum withdrawal of 20 USD)
- Express Buy: The Express Buy fee varies depending on your trade. However, the fee is built into the trade. So the price you see when using the Express Buy service is the price you pay, including all fees.
The above fees are flat deposit and withdrawal fees for bank and blockchain deposits/withdrawals. You can view the complete fee table here.
Coinfloor is the UK’s number one bitcoin exchange. The company was formed through a collaboration of the country’s top bitcoin brokers. Key members of the team include Obi Nwosu (Managing Director), who has 20 years of experience building online marketplaces like QXL and WeeWorld, as well as Mark Lamb (Commercial Director), who was one of the UK’s first bitcoin brokers and personally handled 10% of the UK’s bitcoin volume at one point (in addition to being named on the Forbes list of “30 Under 30” for the finance world).
Coinfloor is funded by Passion Capital and Taavet Hinrikus (the co-founder of TransferWise and the first employee of Skype). Private investors include Adam Knight, the former MD of Goldman Sachs and Credit Suisse’s commodities trading business.
Coinfloor, Ltd. is based at the following address in London:
1 Quality Court
London, WC2A 1HR, UK
You can contact the company by email at firstname.lastname@example.org
Coinfloor is a popular bitcoin exchange based in London. The exchange has strong liquidity in the GBP/BTC pair, and allows traders to trade on the exchange with no fees. The only “catch” to the no fee trading structure is the high deposit requirements: you typically need to invest about 1000 units of your local currency to start trading with Coinfloor. Fortunately, Coinfloor charges flat rates on all deposits, including a flat deposit fee of as little as 1.5 EUR.
To start trading with Coinfloor today, visit the organization online at Coinfloor.co.uk.