Comparing Coin Wallet and Crypto.com: Which One Has Better Fees?

Recent user feedback has indicated growing dissatisfaction with Crypto.com, particularly concerning high fees and withdrawal challenges. Reviews on Trustpilot reveal an alarming average rating of just 1.3 out of 5, with about 73% of the over 9,000 reviewers giving one-star ratings.

Specific customer complaints highlight issues with exorbitant fees: one user reported spending $40 in fees to withdraw only $55 in Bitcoin, despite the actual Bitcoin network fee being only $1.19. Another customer noted that a $100 Bitcoin purchase yielded only around $56, with the remaining amount lost to hidden costs and absurd markups.

User experiences shared on platforms like Reddit and Trustpilot have led to the creation of comprehensive lists detailing various issues with Crypto.com, ranging from freezing accounts to hidden commissions, and even allegations of inflated exchange rates.

This context leads us to compare Coin Wallet and Crypto.com, assessing which option offers superior fees and a more transparent, reliable service.

Key Insights

• Coin Wallet provides freedom and privacy, while Crypto.com emphasizes convenience and service integration but requires user trust.
• Coin Wallet is structured to minimize costs, whereas Crypto.com appears to impose higher fees on most transactions.
• Both platforms prioritize safety; Coin Wallet through self-custody and Crypto.com via corporate safeguards.

Custodial vs. Non-Custodial

Coin Wallet is classified as a self-custody wallet, meaning that private keys are held solely by the user and stored locally on their devices. The application does not necessitate KYC (Know Your Customer) verification — no registration, email, or identification is required. Importantly, user data is not stored on any server.

Transactions are processed on the user’s side, with private keys secured by AES-256 encryption and a BIP39 seed phrase. Essentially, users maintain complete control over their assets — the platform acts only as an interface and offers supplementary tools without any access to the coins.

The benefits include the absence of intermediaries, no account freezes, complete privacy, and total control over one’s assets. Even in the unlikely event of a security breach on Coin Wallet’s servers, funds remain safe since users control their keys.

Nevertheless, this independence necessitates responsibility. Loss of the seed phrase or password results in permanent loss of access to one’s crypto holdings — customer support is non-existent in such situations. Thus, security in a self-custodial wallet relies entirely on the user’s practices.

In contrast, Crypto.com operates as a custodial platform — it functions as both a wallet and exchange, where private keys are managed by the company on behalf of clients. While this facilitates straightforward buying or selling of crypto for fiat and access to staking or a Visa card, it necessitates a degree of trust as the company retains control over funds, which could lead to account freezes or withdrawal blocks.

The requirement for KYC verification can be frustrating for some users, with complaints about account blocks due to compliance checks surfacing frequently.

• If maintaining control and anonymity is your priority — Coin Wallet is the ideal option.
• If you favor user-friendly access to fiat currencies and integrated tools — Crypto.com may be better suited for you.

Comparing Fees: Buying, Selling, and Sending Crypto

The fee structures differ significantly between the two platforms.

Coin Wallet does not charge fees for storing or receiving cryptocurrencies; users only pay the blockchain’s miner fee. When sending crypto, a small service fee (approximately 0.5% of the transaction amount, with a minimum of $0.10–$0.30 and a maximum of $50–100) is charged alongside a nominal fixed network fee.

For example, the fee for sending Bitcoin comprises 0.5% plus 0.0000192 BTC. For other coins like Bitcoin Cash, only a 0.05% fee applies, and there’s currently no extra fee for Ethereum and ERC-20 tokens beyond the gas fees.

Small transfers within Coin Wallet incur only negligible costs; large transfers have reasonable caps.

Swaps conducted via the Coin Wallet app are facilitated by external partners or decentralized exchanges, where rates are inclusive of spreads or partner commissions.

Initially, Crypto.com provided claims of zero fees for crypto buying, but these expenses are incorporated into hidden spreads and transaction charges.

Crypto.com features a tiered fee structure for spot trading, with fees dependent on the user’s 30-day trading volume and the ownership of their native CRO token. Maker fees start at 0.25%, while taker fees begin at 0.50% for users with less than $10,000 in trading volume without CRO staked.

For withdrawals to external wallets, Crypto.com enforces a fixed on-chain fee for each coin or network, which varies, with CRO token withdrawal fees typically being 0.2 CRO, 0.001 CRO, or even 70 CRO depending on the chosen network.

Fiat withdrawals aren’t free either; for instance, a significant $45 fee applies for USD withdrawals through SWIFT in the United States.

Add to that, buying crypto with a credit or debit card usually incurs a charge of around 2.99% in several regions, which can further inflate costs.

Considering these various charges, although the base trading fees might appeal to high-volume or CRO-staked users, the cumulative costs for routine actions like card purchases or crypto withdrawals can become significant.

Coin Wallet does not impose fixed withdrawal fees — users only pay small percentages plus network charges. This makes Coin Wallet significantly more affordable for minor transfers. For very large transactions ($50,000+), Crypto.com’s fixed fee may present some advantages, but generally, Coin Wallet offers the better deal.

Security and Fund Protection

Coin Wallet emphasizes local security — user keys are never stored off-device. The data is encrypted using AES-256, and access can be secured with a PIN or biometric scanner, adding an extra layer of protection. The wallet also accommodates hardware keys like YubiKey for enhanced security.

As Coin Wallet does not utilize central storage for user funds, large-scale hacking attempts are not feasible. Risks are primarily tied to user errors or malware. The project regularly publishes parts of its code and claims to perform regular security audits.

As a major exchange, Crypto.com allocates significant investments towards cybersecurity. It keeps 100% of customer funds in secure cold wallets via Ledger Vault, with up to $750 million insured (underwritten by Lloyd’s). Following a $34 million breach in January 2022, Crypto.com promptly reimbursed affected users and instituted the Account Protection Program (WAPP), providing insurance coverage of up to $250,000 per account for funds lost after confirmed two-factor authentication (2FA) usage.

The platform is well-licensed across various jurisdictions (FinCEN in the U.S., MiCA in the EU) and consistently passes security audits. However, users report slow withdrawal processes and extensive KYC checks, especially in specific countries.

Final Thoughts: Which Option Is Right for You?

Your decision should hinge on personal preferences and priorities.

• If you desire complete control, enhanced privacy, and the lowest possible fees, Coin Wallet is your best option. It is particularly well-suited for long-term storage and users keen to maintain independence from third-party services.
• If you lean towards convenience, fiat currency access, and added services like staking and crypto debit cards, Crypto.com presents a comprehensive ecosystem — albeit at the cost of higher fees and stricter regulations.

Both platforms are legitimate and possess unique security features, catering to different user needs. Some clients opt for a hybrid approach, maintaining primary holdings in Coin Wallet while utilizing Crypto.com for fiat conversions or everyday purchases.

Ultimately, your choice will depend on whether you prioritize freedom or convenience, low fees or additional functionalities.