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A very frequent question we receive at Bitnovo is about what are the commissions or fees we charge. In this short article we are going to clarify what are the fees paid at Bitnovo.
But first of all, let’s take a quick look at what Bitnovo does.
What does Bitnovo do?
Bitnovo is a company that offers cryptocurrency services such as buying and selling. But unlike many other companies, it does not operate as a cryptocurrency custodian or exchange.
Cryptocurrencies can be purchased both on the website (with prior registration) and in physical establishments or cashiers through Bitnovo coupons (without prior registration). Once the purchase is made, buyers receive their coins directly to the wallet address they specify, and they fully own them.
Therefore, the only profit Bitnovo makes comes from charging commissions or fees when buying and selling cryptocurrencies.
What commissions does Bitnovo charge?
Before buying or selling cryptocurrencies very important that you know what are the Bitnovo commissions. I will explain them below:
The only profit or fee that Bitnovo gets for your purchase or sale of cryptocurrencies is from the “rate” or “exchange rate” that we offer in our platform (just above the “average price” of cryptocurrencies).
If you want to know the price at which you can buy each cryptocurrency in Bitnovo, you can see it here. Also on the page to buy cryptocurrencies or sell cryptocurrencies, indicating the amount you need in our calculator, we show you the exchange rate on that amount in real time.
In addition to this rate, there are associated costs that do not imply benefits for Bitnovo and that you will have to pay depending on the type of purchase you make. These are:
Method of payment
Depending on the payment method you use, you may or may not have commissions:
- Bank transfer: 0%.
- Credit / debit card: 1.5%.
- Coupons or vouchers (in physical or online store): maximum 5% commission. This depends on the store where you make your purchase, since the percentage is the profit that the store associated with Bitnovo chooses to obtain. In many cases this percentage is less than 5%, but it will never be more than that.
Network commission (miners)
Finally, you will have to pay the network commission (also called miner fee) which also does not depend on Bitnovo. This is the commission to be paid to the network miners for issuing the transaction and varies depending on the situation or moment. These will be higher if there is a lot of use of the network and very low otherwise, but are unrelated to Bitnovo.
However, when network fees are high, we will display a “high network fees” warning on our website or app, so that you do not incur unnecessary expenses.
Users of other exchanges do not have to pay network fees to buy cryptocurrencies, but don’t be fooled, because you will have to do so when you withdraw funds from the exchange.
As we expose in this article, Bitnovo considers it essential that you take your funds out of the exchanges, as it is a very bad decision to leave your money in centralized platforms.
Here are some examples of how commissions work in Bitnovo.
Examples of Bitnovo fees
To be even clearer, let’s look at some examples of Bitnovo purchases and calculate the commissions to be paid.
- Purchase through the web:
If a user buys cryptocurrencies on our website via bank transfer, he/she will only pay the Bitnovo exchange rate + network commissions. In case of buying cryptocurrencies by credit or debit card, you will have to add a 1.5% commission to that.
- Purchase with coupons or ATM:
In case you buy a voucher with cash or card in physical or virtual store (without registration), you will pay Bitnovo’s exchange rate + merchant commission (maximum 5%) + mining commission.As we have said, the merchant commission may vary, and in many cases it is less than 5%.
The same calculation we did with the coupons also applies to Bitnovo ATMs.
I hope this makes it pretty clear how Bitnovo’s commissions work. In case you still have any questions, remember that you can contact our support team available 7 days a week to answer your queries in English, Spanish, Italian or French.
Thank you very much for reading and we hope you found this article useful!