Digital currencies have soared in popularity over the past few years. It seems like everyone and their mothers are interested in trading these days. So why is it so difficult to find a decent exchange that offers everything you need – especially versatility with fiat currency or want to trade altcoins?
An exchange that offers everything in one place without moving things around between exchanges? Yes, please! On the surface, Livecoin seems like the answer to all of these problems. Plus, it offers flexible fees – perfect for high volume traders, right?
But after digging a little deeper, we discovered that there’s more to this exchange than the owners might let on. Here’s what you should know before you sign up and get trading.
Livecoin: Trustworthy Exchange for High Volume Traders or Scam?
Anytime you put your money or tokens onto an exchange, you’re taking a risk.
Most exchanges recognize that there’s a certain level of trust involved here and they make an effort to be transparent. Let’s take a look at how this one stacks up.
Trading Volume and Basics
Livecoin is a peer-to-peer cryptocurrency exchange based in the United Kingdom. At the time of writing this, the exchange’s 24-hour trading volume is $21,288,358 USD, according to CoinMarketCap.
Both bot trading and arbitrage are acceptable and allowed on the exchange. This exchange boasts low trading fees, a use-friendly interface, and smooth maneuvering environment for high-volume traders.
If you’re depositing crypto, you don’t need to worry about fees because there aren’t any. If you’re depositing fiat, you can use Payeer, PerfectMoney, Capitalist, AdvCash, Qiwi, Yandex, and Webmoney. Deposit fees range from 0% with Capitalist to 10% from AdvCash and Payeer. Expect to pay the highest fees if you’re using Russian rubles.
You can also deposit directly from a Visa or Mastercard although these fees are not clearly stated.
Cryptocurrency withdrawal fees vary based on the coin – and Livecoin offers a lot of coins so make sure to check their extensive chart before doing any trading.
It will cost you the most to withdraw funds onto a Visa or Mastercard. Withdrawing your funds to a site like Payeer or Advcash will cost you a flat 1.5% or 3.5% depending on your fiat currency. With Visa or Mastercard, you’ll pay these percentage fees (which can range up to 6%) plus an additional $6 USD or 50 Russian rubles.
If you want to best leverage your withdrawals, get comfortable with sites like Capitalist or Advcash.
200+ Currencies Traded on Livecoin
A big plus to using Livecoin is the sheer number of currencies available for trading. You can trade all of the big currencies like Bitcoin, Ethereum, BitcoinCash, Litecoin, and others. However, you can also trade well over 200 different altcoins.
In fact, there are currently 283 active markets on the exchange right now. Dogecoin is the 25th highest-traded coin on the exchange at the moment, in case you were interested.
Bitcoin/USD is in the number one spot with a 24-hour trading volume of just over $10,000,000 USD. Next up is the Ethereum/Bitcoin combo trading nearly $5,000,000 USD in the past 24 hours. In the third spot you have Oremus/Bitcoin with a 24-hour trade volume of about $1.5 million USD.
At the same time, Binance offers over 300 active markets and there’s a higher level of industry authority. Why bother risking your funds on LVC? (We’ll get to that a little later.)
As you can see, this isn’t a giant exchange – it certainly can’t compare to Binance. But a solid trading volume is certainly there, and the sheer number of currencies is probably one big reason.
Versatile for Fiat Currency and Trading Pairs
Another big draw is the flexibility with fiat currencies. With Livecoin, you have instant access to nearly 500 fiat/crypto or cypto/fiat pairs. It’s easy to see the appeal in that respect.
The exchange has really designed and marketed itself for global traders – particularly those in Russia. The website offers video tutorials in Russian and traders can easily trade or deposit from Russian rubles.
Despite this, Bitcoin/ruble is currently the tenth highest-traded pair.
Tiered Fee Structure is Perfect for High Volume Traders
The tiered fee structure is particularly attractive for anyone trading large amounts on a monthly basis.
Anyone trading under $100,000 USD in a 30-day period pays a fee of 0.18%. However, if you trade between $100,000 USD and $200,000 USD, your rate goes down to 0.16%. The rate continues to decrease in increments of 0.02% for every additional $200,000 USD until you reach a 30-day trading volume of $1,000,001 USD.
At this point, you’ll need to trade an additional $500,000 USD to make it into the next bracket as opposed to $200,000 USD. Once you reach a 30-day trading volume of $2,000,001 USD, your fee plateaus at 0.02%.
Three Types of Livecoin Orders
You have three order choices on this exchange which is pretty unique because most exchanges only offer two. However, LVC caters to high-volume traders which likely prompted them to add the third type of order.
- Market Order: Simply choose the amount you’d like to spend and get it done. A market order happens in the moment.
- Limit Orders: Set highs and lows to buy and sell. This is a good way for frequent or high-volume traders to avoid losing too much (or any) money.
- Pending Orders: These are much like limit orders but no one can see them on the books. This helps the exchange avoid market disturbances from several competitors clamoring over an order.
Most of the general population can feel satisfied with market orders for the most part before advancing to limits. Unless you’re trading super high volumes, there’s no reason to really concern yourself with pending orders.
Livecoin doesn’t offer margin trading, derivatives, or futures.
Poor Customer Service
Although the exchange offers customer service in several languages including Russian and Chinese, users report very poor customer service in extremely important situations like many of the circumstances you'll read about in the points below.
This exchange doesn’t offer a live chat and directs you instead to the contact page to submit a ticket. Some users report contacting the company to ask about missing funds after transactions didn’t complete only to have Livecoin delete their account all together.
Transactions Might Take Uncomfortably Long
Most of the complaints regarding this exchange involve lengthy transactions. So long, in fact, that this prompted many traders to remove their accounts from the exchange. In some cases, transactions can take 24 hours but in other cases it can take weeks to get things sorted out.
When you’re trading large amounts that you plan to buy and quickly sell, even a 24-hour delay can translate into hundreds or thousands of dollars.
They Might be Running a Scam
Traders report that Livecoin has many tricks for acquiring funds from people who frequently use the exchange. Some users have reported many different types of problems that all resulted in their funds turning up missing with nothing the company could do to replace them.
- Changing your deposit address. Many traders report that the exchange changed their deposit addresses leaving many large transactions in limbo. Some users were able to recover their funds but many weren’t.
- Delisting currencies without warning. Some traders report that currencies they had planned to buy and sell ended up delisted from the exchange without any warning. In August, the exchange allegedly collected 235k from holders after delisting DBIX.
- Posting updates to their blog. Users say that they do not receive emails or notifications about updates to their deposit address or plans to delist currencies from the exchange. Instead, the company posts all important updates to their website’s blog.
- Pointing to terms and conditions. Traders claim that in most cases, the company will not attempt to solve minor (and solvable) problems but will instead immediately point to the terms and conditions you agreed to.
This is a big concern when you consider that the exchange is designed for high-volume traders. With millions of USD passing through their system each day, this leaves a lot of room to make big mistakes.
It seems like in this case, they really want you to make these mistakes.
The Bottom Line
It’s true that this exchange offers amazing rates for high-volume traders. At the same time, these lower fees might not be worth the risk of lengthy transaction times and missing funds.
In some cases, you might not have many other options for purchasing an altcoin so do what you need to do.
Just make sure you stay up to date by reading their blog daily. That seems to be the only way to track their plans to de-list currencies and make updates to their system that could lose you big bucks.