Coinify Exchange Review
The crypto word is witnessing adoption of the ICO model at an unprecedented rate. Indeed, the world at large views token distribution as commonplace nowadays. That said, few crypto companies have tried to forge ahead commercially while also improving the cryptocurrency experience.
Coinify is one such company, however, that has taken a route to enabling merchants to transact in digital currencies. Claiming lower fees overall and immediate payment conversions between fiat and virtual coins, Coinify is a business-facing project. Presenting a cryptocurrency payment platform offering bitcoin and 14 other virtual currencies, Coinify is essentially a digital payment gateway.
The stated aim of the platform is providing better rates, greater convenience and absolute security to end users. An exchange in the true sense of the word, vendors employing Coinify can accept the listed cryptocurrencies as payment, and can then opt to be paid in fiat currencies like EUR and USD if desired.
Users can also buy and sell bitcoin and others, either employing digital currency from a wallet or conventional routes like MasterCard, Visa or even EFT. Traders on the exchange can sell their bitcoin and be paid in fiat deposited into their bank accounts. Moreover, the company claims that its merchants experience an overall margin betterment of around 3% by transacting through the platform.
A finely-tuned technical project, Coinify [Coinify.com] is also a careful pitch to users based on their lower fees when compared to the banks. Coupled with this is the desire for this preferential offer to come at no compromise to UX. Coinify not only claims lower fees, they have also ensured that the user experience is nothing less than a modern standard for fintech protocols.
Although a seemingly simple offer, Coinify and other exchanges know that the battle for adoption lies in the two bugbears of altcoins: fees and speed. The company has ensured that a digital or fiat transaction via the exchange is more cost-effective than a bank action. Especially enticing for merchants who suffer legacy charges on a constant basis, by connecting new and existing technology, Coinify is among the companies pushing cryptocurrencies as better, not just an option.
As with other competitors, users can trade digital currencies, pay with them or simply add the methodology of crypto payments to their offering. Individual traders looking to buy into altcoins as well as business owners who want to bring alternative payment options into the fold can both benefit from the exchange. Larger corporations too can employ the Coinify API as a white label payment solution to suit their needs. Government and other large payrolls are all theoretically not only enhanced, but also cheaper and at least as fast on the Coinify network.
The company pitches two broad divisions – For Trade and For Merchants. Coinify For Trade has been a later offering from the platform. In a nutshell, it will accept a person’s legacy fiat payment for bitcoin or any of the offered altcoins, and then send those virtual funds to the user’s wallet for trade or transacting.
Users can employ their bank cards to purchase bitcoin and others and, in the event of a newcomer lacking a wallet, Coinify will assist with setup as a part of the transaction. Users value the swift swapping out of currencies, and being able to “cash out” of bitcoin as needed for minimal expense appeals to many. Very much like 24/7 banking services, there is no limit on transacting between currencies, and some traders even scalp on buoyant pairs to generate small daily profits through the exchange.
Coinify For Merchants was and remains the exchange’s original bitcoin payment gateway. This aspect sees merchants accepting virtual currency payments at zero risk to them, while being able to expand their offer by accommodating users paying with digital currencies. Merchants can even opt to collect local currency at a local venue if so desired, to swap out received bitcoin.
Largely expecting to become a default, baseline service offering, Coinify’s “crypto welcome” stance is heavily geared towards ecommerce, facilitating those with an online store. The Coinify platform not only allows merchants to accept virtual payments from across the globe, the service lands cheaper than existing internet protocols like PayPal.
Much tech development sits behind the platform that ties into shopping carts and payment buttons, and kicks in wherever a user may be shopping online with a Coinify merchant. The company has made much of a seamless fit with ecommerce, recognizing the looming value as online retail expands.
A client on the Coinify For Merchants platform may display a dollar price, but a user wishing to pay with bitcoin, for example, sees the price quoted in BTC. The platform fixes an exchange rate at the time of purchase, avoiding fluctuations, a big negative for ecommerce to date. With most credit card payment services only paying merchants for transactions at month’s end, Conify’s next-day offering is a notable improvement for many.
Adding to its ease of use, Coinify has a created hybrid app that allows vendors to physically accept bitcoin payments as well. This point of sale solution has received a positive response from retailers, market vendors, taxi drivers and other professionals who make use of the face-to-face transaction facility.
Coinify has no sign up or transaction fees, no processing cap and no chargebacks. If a merchant’s goods are priced at $50, for example, the full $50 appears in their account after a sale.
Although Coinify’s available intel doesn’t divulge the method used to determine exchange rates, the company’s profit has to lie in pegging an exchange rate for a buyer that allows it to skim a small percentage. There is no indication of whether the percentage is fixed, based on current prices at the time, nor what that percentage might be. The notable omission of specific fees and other exchange rate charges that are absent from Coinify’s online intel is sometimes considered one of its cons.
Apart from the active products, Coinify also has an “Innovation Lab” where blockchain-based proof of concepts emerge from constant research and development. Activity in the lab includes a recent collaboration with Nets, the largest digital payments company in Europe. Coinify’s onsite bona fides extend to partners in “governmental organizations, NGOs, and other corporations.”
Coinify User Ratings
Founded in 2014 and based in Copenhagen, Denmark, Coinify has unfortunately picked up its fair share of flack from users. It would appear that, much like many other crypto payment solution providers, it has focused on fishing for larger clients unto whom it gives most of its attention in order to gain traction.
User reviews and comments on bittrust.org and others are scathing in their appraisal of the platform, and cases of funds completely lost and other apparent misfortunes abound. To be fair, the company makes some effort to answer users, even when the issues are not inherent to the platform, but Coinify risks losing a swathe of adoption by bread and butter users due to poor individual UX.
Coinify’S co-founder and CEO is Mark Højgaard. The company CPO and other co-founder Lasse Birk Olesen is capably supported by the CTO, Jeppe Nejsum Madsen, CFO Peter Nordgaard, and the CCO Rikke Stær.
While the site’s testimonials are unsurprisingly glowing, while a dark body of complaint accompanies the platform’s journey, it remains a long way from being a truly seamless, modern currency facilitator.
Coinify in Conclusion
The Coinify platform is potentially an extremely swift and fluid payment solution for many. Unfortunately, however, while much could be forgiven last year of companies trying to establish polished offerings with an emerging technology, those days are over. Now, any company reaching the heights of a financial exchange cannot afford the shocking press Coinify has collected over the last year.
Serious user complaints persist for 2018, hence it appears that they are indeed succumbing to the same malaise that has plagued others. Although theoretically smart and admittedly the kind of payment solution provider needed by a world slowly coming up to speed with crypto, users are advised to transact with a low initial value and determine the quality of experience for themselves.