Our review of Bitpanda crypto platform: 2.8/5

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Bitpanda in brief

Our opinion of Bitpanda

Bitpanda presents itself as a multi-asset platform, allowing users to trade cryptocurrencies, stocks, ETFs, and even precious metals. While this broad offering makes it stand out from traditional crypto exchanges, its high fees and limited advanced trading features may not appeal to all users. 

We liked its clean and intuitive design, which makes buying and selling assets straightforward, especially for beginners. The ability to invest in multiple asset classes from a single platform is a unique advantage. We also liked that staking is available, allowing users to earn passive income on select cryptocurrencies.

We would have liked it if Bitpanda offered lower trading fees, as the 1.49% spread-based pricing is significantly higher than most competitors. It would've been nicer if margin trading and derivatives were available, as the platform lacks options for traders who use leverage. The absence of a crypto card and NFT marketplace also limits its competitiveness, especially for users interested in expanding their digital asset investments.

Customer support could also use improvement. The lack of live chat and phone support means users must rely on email-based assistance, which can be slow in urgent situations. Additionally, for Canadian users, the lack of direct CAD deposits and withdrawals makes funding an account less convenient.

Who is Bitpanda best for?

Bitpanda offers a beginner-friendly experience with a wide asset selection, but its high fees, limited trading options, and lack of Canadian regulation make it less attractive for serious crypto traders. The platform is best suited for casual investors looking for an easy-to-use interface rather than professional traders seeking advanced tools or low-cost trading.

Before you zero in in Bitpanda, explore the best crypto trading platforms in Canada:

Let's find out more about our test results on Bitpanda.

Reliability and Security 3/5

Bitpanda was founded in 2014 and has grown into a well-known European trading platform, offering a variety of assets beyond just cryptocurrencies, including stocks, ETFs, and precious metals. The platform has gained a strong presence in Europe, with over 6 million registered users. Over the years, Bitpanda has received multiple fintech awards, recognizing its innovation in digital asset trading.

Despite its solid reputation in Europe, Bitpanda is not regulated in Canada and is not registered with the Ontario Securities Commission (OSC), the British Columbia Securities Commission (BCSC), or the Alberta Securities Commission (ASC). This means it does not operate under Canadian financial laws, which may be a concern for traders who prioritize compliance and investor protection.

Risk Control & Security Features

To ensure fund security, Bitpanda employs:

• Two-factor authentication (2FA) for account protection.
• Cold storage for crypto assets, reducing the risk of hacks.
• Compliance with European financial regulations, providing a level of oversight, but no direct Canadian regulatory approval.
• Transaction monitoring and fraud prevention measures to detect suspicious activity.

Cryptocurrencies Available 3/5

Bitpanda positions itself as a multi-asset platform, offering not only cryptocurrencies but also stocks, ETFs, and commodities. In terms of digital assets, it provides a moderate selection of cryptocurrencies, focusing mainly on well-established tokens and a few altcoins. Unlike some competitors, Bitpanda does not support NFTs or have an extensive list of DeFi tokens, making it less appealing to traders looking for broader exposure to blockchain-based assets.

Below is a comparison of the number of crypto assets available on Bitpanda versus the market average:

Our opinion on Bitpanda's offerings

While Bitpanda offers a decent selection of cryptocurrencies, it falls short in NFT support and advanced DeFi tokens. The lack of a dedicated NFT marketplace and fewer niche altcoins makes it less competitive compared to platforms that specialize in crypto trading. The inclusion of stocks and commodities expands its overall asset offering but does not fully compensate for the limited Web3 and blockchain-based assets.

Services and Tools 3/5

Bitpanda offers a multi-asset investment platform, but its range of crypto-related services is more limited compared to competitors. While it provides basic staking and savings plans, it lacks essential tools like crypto lending, farming, or derivatives trading. Below is an overview of the main services available on the platform:

• 🔗 Staking: ✅ – Supports staking for select cryptocurrencies, allowing users to earn passive rewards.
• 📊 Automated Investing: ✅ – Users can set up recurring investments in crypto or stocks through Bitpanda Savings.
• 🏦 Precious Metals & Stocks: ✅ – The platform allows users to invest in stocks, ETFs, and commodities, expanding its asset selection beyond crypto.

Fees and Commissions 2/5

Bitpanda positions itself as a user-friendly trading platform, but its fee structure is significantly higher than many competitors. The platform applies spread-based fees, which can be as high as 1.49% for crypto transactions, making it one of the more expensive options for traders. Unlike other exchanges that offer tiered fee reductions based on trading volume, Bitpanda does not provide substantial discounts for high-frequency traders.

Below is a comparison of Bitpanda’s trading fees versus the market average for the most traded cryptocurrencies:

Other Fees

• Deposit Fees: ❌ Free for SEPA transfers, but third-party payment services like PayPal or credit cards charge up to 2.5%.
• Withdrawal Fees: ✅ Varies by method, with crypto withdrawals subject to standard network fees.
• Conversion Fees: ✅ Applies when swapping between different currencies or assets.
• Inactivity Fees: ❌ None – Bitpanda does not charge inactivity fees.

Our opinion on Bitpanda's fees and commissions

Bitpanda’s spread-based pricing structure results in higher fees than many competitors, making it less attractive for active traders. The lack of tiered fee reductions and higher fiat deposit fees further reduce its cost-effectiveness. While it provides a simple pricing model, the overall costs are significantly higher than other major exchanges.

Customer Reviews 3.8/5

Bitpanda has a Trustpilot rating of 3.8/5 based on 11,845 reviews, reflecting a mix of positive feedback on its user-friendly interface and asset diversity, but also criticism regarding high fees, customer support response times, and limited features for advanced traders.

Here are some recent reviews from Canadian users:

• Michael T (January 15, 2025): "Bitpanda is easy to use, and I like that I can invest in crypto, stocks, and metals all in one place. However, the trading fees are way too high compared to other platforms. I only realized how much I was paying after a few months of trading, and it adds up fast. The lack of live chat support is also frustrating—I had an issue with a deposit, and it took four days to get a response."
• Sophie L (December 2, 2024): "I tried Bitpanda because of its staking options, but I was disappointed with the low yields compared to other platforms. The interface is beginner-friendly, which is nice, but the fees are steep. Also, since I’m in Canada, I had to convert my CAD to EUR first, which added even more fees. Would be great if they had better support for Canadian users."
• Ryan D (November 20, 2024): "I signed up for Bitpanda thinking it would be a good all-in-one trading platform, but I regret it. The spreads are ridiculously high, and I lost a lot on hidden fees when converting between assets. I also had a withdrawal stuck for 48 hours, and the only way to get help was through email, which took forever. If you’re an active trader, there are way better options out there."

How does Bitpanda compare to other Crypto brokers?

Bitpanda is a multi-asset platform offering cryptocurrency trading alongside stocks and commodities. However, its high fees and lack of certain features place it at a disadvantage compared to other exchanges. Below is a comparison with three other well-known platforms:

Conclusion of our analysis of Bitpanda

Bitpanda is designed for users looking for a simple investment experience across multiple asset classes, but its high trading fees and limited support for key crypto features make it less competitive for frequent traders.

The absence of a crypto card, NFT marketplace, and lending services reduces its appeal to users looking for a more comprehensive crypto ecosystem. Additionally, without Canadian regulatory approval, the platform lacks the investor protections offered by some alternatives.

Before opening an account on Bitpanda, compare the best crypto brokers and platforms in Canada:

What types of accounts are available with Bitpanda?

Bitpanda offers different account levels, each with varying access to features, limits, and verification requirements. Below is a breakdown of the available accounts:

Bitpanda's account structure is tiered, providing more benefits as users verify their identity or hold higher trading volumes.

Basic Account

A Basic Account requires only email registration, allowing access to limited crypto trading features. However, fiat deposits and withdrawals are not available, and users must complete identity verification (KYC) to unlock the full platform.

Verified Account

A Verified Account requires full identity verification, allowing unrestricted access to all Bitpanda services, including fiat deposits, withdrawals, staking, and savings plans. This is the standard account for most users.

Bitpanda VIP

The Bitpanda VIP program is designed for high-volume traders and users holding large amounts of Bitpanda tokens. VIP members receive higher trading limits, priority customer support, and fee discounts, making it the best option for active traders.

Good to know

Bitpanda’s account structure is designed to encourage verification and engagement with its native token, but it lacks advanced trading account types such as margin or professional accounts, limiting options for experienced traders.

How do deposits and withdrawals work with Bitpanda?

Bitpanda offers multiple deposit and withdrawal options, but fees vary depending on the method used. Below is a summary of the available options, supported currencies, processing times, and associated fees:

Bitpanda offers a variety of deposit and withdrawal methods, but the lack of direct CAD support makes it less convenient for Canadian traders. Unlike some competitors that allow free Interac e-Transfers or direct CAD bank withdrawals, Bitpanda users must rely on third-party services like PayPal or Skrill, which charge additional fees. Processing times for fiat withdrawals can take several business days, whereas some exchanges provide instant or same-day processing.

While crypto deposits are free, withdrawal fees vary by the blockchain network, which is standard among exchanges. However, high fees for fiat transactions make Bitpanda a less cost-effective option for users who frequently move funds in and out of their accounts.

Does Bitpanda offer crypto staking?

Bitpanda offers staking services, allowing users to earn passive income on select cryptocurrencies. Staking rewards vary depending on the asset and staking duration. The platform provides flexible staking, meaning users can unstake their assets at any time, but the yields are generally lower compared to other exchanges.

Below is a summary of the staking options available on Bitpanda:

Bitpanda’s staking program is simple and accessible, but its yields are lower than what some competitors offer. The absence of fixed-term staking with higher rewards makes it less attractive for users looking to maximize staking profits.

Watch out!

Bitpanda does not offer crypto lending services, meaning users cannot lend out their assets to earn interest as they would on platforms with lending pools. This limits passive income opportunities, especially for users looking for yield-generating alternatives beyond staking.

How are revenues generated by Bitpanda taxed?

Taxation of Crypto Trading on Bitpanda in Canada

In Canada, income generated from cryptocurrency trading on Bitpanda or any other exchange is subject to taxation under the Canada Revenue Agency (CRA) guidelines. The tax treatment depends on whether the activity is classified as capital gains or business income.

• Capital Gains Tax: If you buy and sell crypto as an investment, only 50% of your profits are taxable. This applies to activities like selling crypto for fiat, swapping one cryptocurrency for another, or converting crypto to a stablecoin.
• Business Income Tax: If you engage in high-frequency trading, margin trading, or operate as a professional trader, the CRA may classify your earnings as business income, meaning 100% of your profits are taxable at your personal or corporate tax rate.

How to declare your crypto trading income in Canada

• Keep Records of All Transactions: This includes buying, selling, staking rewards, and any crypto-to-crypto trades. The CRA requires details such as dates, amounts, and fair market values in CAD.
• Report on Your Tax Return:
• Capital Gains: Declare on Schedule 3 of the T1 tax return under "Capital Gains (or Losses)".
• Business Income: Report on Form T2125 if trading is considered business activity.
• Staking and Rewards: Report staking and other rewards as income at the time of receipt. If sold later, capital gains may apply.
• Consider GST/HST Registration: If your crypto trading is classified as a business and earns over $30,000 annually, you may need to register for GST/HST and charge tax on certain services.

Tax Implications for Bitpanda Users

Since Bitpanda is not a Canadian-regulated exchange, it does not automatically report transactions to the CRA. However, Canadian traders are still legally required to declare their crypto income. Using crypto tax software or working with a tax professional can help ensure compliance, especially for traders engaging in staking, margin trading, or frequent transactions.

Watch out!

Failure to report crypto income can result in CRA audits, penalties, and interest charges, making accurate reporting essential for Canadian users.

Contact: How to contact Bitpanda customer service?

FAQs

Nishadh Mohammed

Nishadh Mohammed is a seasoned news editor and financial writer, working with HelloSafe since May 2023. Nishadh has developed expertise in financial markets, insurance, and investment products, with a deep understanding of the Canadian financial landscape. He has honed his SEO skills and content marketing strategies while writing for Canadian publishing houses. Armed with a master's in Business Analytics and extensive journalistic experience, Nishadh uniquely combines data proficiency and thorough research to deliver comprehensive and accessible information.