LiteBIT Review: Complete Analysis
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Over the past few years, we can’t deny the mere fact that there has been a lot of talk about cryptocurrency. Many people were very skeptical at first as it sounded like a scam when it was still new but eventually, cryptocurrency slowly gained the trust of many. Up to this date, its popularity is on a steady rise and along with this, is the birth of other cryptocurrencies and exchanges such as LiteBIT which will we shall look at below.
What is LiteBIT?
LiteBit is a European cryptocurrency exchange that has 46 cryptocurrencies as at the moment. Something likable about LiteBIT exchange is that, when it started, the company accrued the famous cryptocurrencies such as Bitcoin, Ethereum, Litecoin and much more immediately. Also, they offer a variety of payment methods which can provide a wide selection of opportunities.
This young innovative company which was founded five years ago (2013) is a trademark from LiteGroup B.V. established in Gorinchem, Netherlands. Unfortunately, LiteBIT exchange is only available in European countries and users outside Europe can’t use the system in any way.
There are a plethora of vital information one should know when planning to try this exchange and it is almost certain that you are reading this LiteBIT review right now because you want to make sure if it is worth a try if it is safe, or probably if it is some scam. Below are some pieces of important information to know before making a transaction on their site.
Trading on LiteBit
- Buying orders – When placing an order, spending limits are set, and limits per account depending on the level of verification. A limit is set every day/week/month.
This exchange is under the United Bitcoin companies Netherlands, and limits per verification tiers are set to adhere to the Anti Money Laundering (AML) rule. This is the reason why you can trade more when you have a higher tier. You may choose which tier you would like to verify on, and you do not need to upgrade to the highest tier available if desired.
|Tier||Daily Limit||Weekly Limit||Monthly Limit|
In detail, For starters who have only registration but no verifications, LiteBit applies these limits: €75 daily, €225 weekly and €2,100 monthly. After verification, you will be in one of the three different tiers, depending on your level of verification. Remember that the higher the tier is, the higher the limits you can have. For comparison, see the table below:
As for the payment methods, Lite BIT accepts both fiat currencies and Bitcoin. Sadly, it doesn’t accept what could have been the easiest mode of payment which is through credit cards and PayPal. Other payment methods accepted are GiroPay, Sofort, SEPA, iDeal, and MyBank. For full details, kindly see the table below:
|Payment Method||Credits||iDeal||Bancontact||Giro Pay or Sofort||SEPA||MyBank|
|Duration||Instant||Instant||Instant||1-3 business days||1-3 business days||Instant|
|Recalculation||No||No||No||No||Yes, when the order is processed||No|
|Transaction costs||€0,00||€0,42||€0,39 + 2%||€0,39 + 2,5% / 0,39 + 2%||€0,61||€0,24 + 1,5%|
- Selling orders – As per litebit.eu, there is no limit to the number of sell orders you can place per day. However, there is a limit per sell order to guarantee the set price.
To make it clearer, it means that if you want to sell €20,000.00 with a limit of €5,000 per order, you can create four orders to sell your €20,000.00 worth of cryptocurrency completely.
For selling the same payment methods applies the same applies to buying orders. I suggest choosing LiteBIT credits if possible because aside from ditching the wait times, no transaction fee is involved as well. Moreover, received LiteBit credits from sell orders can also be directly used for buy orders later on.
Unfortunately, there is no detailed information about the fees. The LiteBIT fees vary depending on the type of coin. On top of the asking price, a transaction cost plus a blockchain cost are charged as well.
- Blockchain fees – For some currencies, the withdrawal/transaction fees of every order are so high that it stipulates LiteBIT to ask their users to cover those fees for orders below €500. If these fees are lowered, LiteBIT will, of course, lower the fees on the page as well.
- Mining fee – Mining fee is the fee charged for every transaction with cryptocurrencies. These are the transaction fees paid to the servers to confirm the transaction. The amount to be paid depends on whether the cryptocurrency requires a fixed rate or a percentage. Unpaid fees will result in failed transactions. Furthermore, most wallet programs present calculated transaction fees. In fact, there are some programs with a slider to determine how much transaction fees will be sent to make the confirmation of the transaction quicker.
To gain higher limits for exchanging, you are required to complete some verification procedures. Various documents are asked depending on which tier you want to be verified on before actions can be made. Tier is the level of verification. The lower the tier is, the lower the level of verification is. The requirements for each tier are as follows:
Tier 1: Verification is done by phone. A code is sent to your phone to be entered on the verification page.
Tier 2: Address needs to be verified.
Document type must be:
- Bank statement
- Rental agreement
- Government-issued document
Document requirements are:
- Not older than three months
- Should state name, date, and address
- Not an ID card, driving license or passport
Tier 3: A passport or an Identification card is required.
Requirements for presented passport/ID should include:
- Front and back copy of the passport/ID card (presented ID should be photo-bearing).
Is LiteBIT Safe?
It is secured with 2 Factor Authentication and an SSL certificate. However, there was some leakage last year. According to reports, a hacker attacked the site twice in 2017 exposing the information of users and their bank account details which alarmed many. Fortunately, no coins were stolen according to LiteBIT. But still, this doesn’t erase the question “Is LiteBIT safe?” among all the users. And because of what happened, it still raises doubts about the security. If they want to go a long way, security is something that they should treat with a high degree of importance.
Support is available in different ways: phone, creating a help desk, opening a ticket, sending email, and you can contact them as well on their social media accounts (Not to mention the frequent updates they provide mostly on Twitter). Unfortunately, they tend to be slow on getting back to you especially on issues concerning bigger cryptocurrency you might be having.
For the most part, the speed of transactions depends on the chosen mode of payment. As shown in table 1, some are processed instantly, while in some requires a waiting period. Withdrawals from wallets could take as long as any typical transaction depending on the involved cryptocurrency.
How to Use LiteBIT?
Before you can make any transaction on Lite BIT, first you would need to create an account. To do so, follow the steps below:
- Go to LiteBit.eu
- Click on create new account situated at the top of the page
- Fill in the required fields
- Read the terms and conditions
- Lastly, click on create my account
An activation link will then be sent to the provided email for confirmation.
Placing an order
- Click on the buy page of the cryptocurrency you are contemplating to buy.
- Select the amount you want to buy
- Copy and paste your wallet address in the received address or utilize the LiteBIT wallet by clicking the button.
Selling from LiteBIT wallet:
- Go to my wallet.
- Select a cryptocurrency and click on direct sell.
- Select the amount you want to sell.
- Click sell for credits.
Selling from the external wallet:
- Proceed to the sale page of the cryptocurrency you want to sell.
- Select the cryptocurrency you want to sell.
- Select the amount.
- Send the cryptocurrency to the given address within 15 minutes.
Withdrawing LiteBIT credits
- Go to My account.
- Click on withdraw found on the left side of the credit section.
- If 2fa (two-step verification/Google Authentication) is on: CONFIRM ORDER WITH A CODE.
- If 2fa (two-step verification/Google Authentication is off: A CONFIRMATION EMAIL IS SENT TO YOUR DEVICE TO COMPLETE THE TRANSACTION.
Additionally, the mode of payment is something they should improve on as well. It could have been better if they added credit cards and PayPal as payment methods because they are very convenient for online transactions nowadays.
Aside from this, LiteBIT only accepts fiat in euro which makes sense because this company only operates around Europe. However, they should have considered other countries in Europe that have other currencies as well such as Sweden, Denmark, Norway, Switzerland, and many more. At times, conversion rates are also not so propitious.
This exchange has been a long-established company that offers several altcoins which aren’t available anywhere else yet. Surely, LiteBIT spearheads the list when it comes to this aspect. However, like any other LiteBIT review out there, there are some setbacks to consider as well. Firstly, the fees are very unpredictable as they depend both on the network cost and the type of coin.
Lastly, the privacy and the security of their clients MUST be improved. With the recent hacking incident in 2017, which exposed the details of their users, it wouldn’t be a surprise if their clients will continue raising uncertainties about how secure they are with LiteBIT. And considering how innovative the businesses are today, a race to the top of crypto exchanges has already started warming up. So, “now” should not be the time for LiteBIT to slack off.
Thanks for reading along as the various concepts unfolded. Kindly look up to our site for more crypto-related information. We have got a wide coverage of crypto-related topics suitable for beginners, investors, gurus, and everyone else interested in cryptocurrencies.