This Wealthsimple Crypto review covers the offerings of Wealthsimple’s crypto trading app for Canadians.
While there are a lot of crypto brokers in Canada, Wealthsimple Crypto is one of the best options. It is a full-service crypto broker that aims to offer a convenient and secure solution for investors new to the crypto trading world.
Despite being a relatively new crypto platform, Wealthsimple Crypto already compares favourably with some of the best crypto platforms in Canada in terms of the supported coins and features.
In this Wealthsimple Crypto review, we’ll explore how the company can help you invest in cryptocurrencies like Bitcoin, Ethereum and Litecoin easily and conveniently. We’ll also cover some Wealthsimple Crypto alternatives and how they compare.
Overview of Wealthsimple Crypto Reviews
Let’s start with an overview of the key features of Wealthsimple crypto:
|Number of coins||50+|
|Funding options||Bank account & Crypto|
|Deposit and withdrawal fees||None|
|Spread||1.5% – 2.0%|
|Sign up bonus||$25|
|Regulator||FINTRAC & OSC|
Having established that, let’s now go into the details of Wealthsimple crypto reviews.
What is Wealthsimple Crypto?
Wealthsimple Crypto is a crypto broker that lets you invest in the cryptocurrency market in a simple and safe way without dealing with the complexities crypto exchanges.
It is particularly suitable for beginner crypto investors because of its intuitive and easy to navigate interface. The platform allows users to trade 50+ cryptocurrencies in one place, a number that is higher than the supported coins at many other Canadian crypto exchanges.
But note that Wealthsimple is not an exchange. It is a crypto broker. That means they do buy and sell cryptocurrencies from their users and make some money on the spread.
The platform was launched in 2020 with support for a handful of digital coins and limited features. Since then, it has grown its number of available currencies to trade and added several useful features to its platform.
Wealthsimple Crypto is registered and regulated as a Restricted Dealer by the OSC and also regulated by the Canadian Securities Administrators under its Regulatory Sandbox framework.
Finally, the Wealthsimple Crypto platform is available on both desktop and mobile devices (iOS and Android) within the Wealthsimple Trade app.
Wealthsimple Crypto Key Features
Wealthsimple Crypto has several features that set itself apart from the other crypto investment platforms out there.
Here are some of the platform key features that you can look at to determine if Wealthsimple Crypto is a great choice for your crypto portfolio:
- Supported Cryptocurrencies: 50+
- Supported Fiat Currency: Canadian Dollar
- Funding Options: Crypto and bank account
- Minimum Deposit: $0
- Spread: 1.5-2%
- Trading Fees: No trading fees
- Deposit Fees: No deposit fees
- Withdrawal Fees: No withdrawal fees for bank accounts. Crypto withdrawal varies
- Sign-up Bonus: $25
How Does Wealthsimple Crypto Work?
Wealthsimple is a successful Canadian crypto broker that aims to make cryptocurrency trading more accessible and available for the average person.
The company has recently expanded its offerings to include more cryptocurrency assets, allowing customers to buy and sell bitcoin and several other digital currencies.
The minimum investment amount is $0 and there are no fees associated with buying or selling cryptocurrencies through Wealthsimple Crypto.
Also, Wealthsimple Crypto uses a third-party custodian, Gemini Trust Company to hold its crypto assets to add an extra layer of security.
Users can deposit and withdraw Canadian dollars, but crypto deposits and withdrawals are currently not available for all the supported coins. That means you’ll have to sell your holding to cash to get them out of the platform.
Wealthsimple Crypto List
Wealthsimple Crypto is a digital investment service that allows you to invest in over 50 cryptocurrencies.
Some of the cryptocurrencies available on Wealthsimple Crypto include:
|Bitcoin (BTC)||Ethereum (ETH)||Decentraland (MANA)||Dogecoin (DOGE)|
|Cardano (ADA)||0x (ZRX)||1 inch (1INCH)||Ankr (ANKR)|
|Aave (AAVE)||ApeCoin (APE)||Amp (AMP)||Avalanche (AVAX)|
|Axie Infinity (AXS)||Balancer (BAL)||Basic Attention Token (BAT)||Bitcoin Cash (BCH)|
|Celo (CELO)||Chainlink (LINK)||Chiliz (CHZ)||Compound (COMP)|
|Cosmos (ATOM)||Curve (CRV)||Dai (DAI)||dYdX (DYDX)|
|Enjin (ENJ)||Fantom (FTM)||Filecoin (FIL)||Gala (GALA)|
|The Graph (GRT)||Kyber Network (KNC)||Litecoin (LTC)||Loopring (LRC)|
|Maker (MKR)||Polkadot (DOT)||Polygon (MATIC)||Quant (QNT)|
|Ren (REN)||Sandbox (SAND)||Shiba Inu (SHIB)||Solana (SOL)|
|Stellar (XLM)||SushiSwap (SUSHI)||Synthetix (SNX)|
|Tezos (XTZ)||Uma (UMA)||Uniswap (UNI)||USD Coin (USDC)|
|Yearn Finance (YFI)|
Update: Following the devaluation of Terra in 2022, Wealthsimple ceased to offer the coin. In other words, there’s no more Wealthsimple Terra (LUNA) as the above table shows.
Pros and Cons of Wealthsimple Crypto
Using Wealthsimple Crypto is an easy way to get started investing in crypto but it has some pros and cons you need to be aware of before you jump in.
Here are some of the pros and cons of using the Wealthsimple Crypto platform:
- No account minimums: Opening an account with Wealthsimple Crypto doesn’t require a minimum amount to get started. This means you don’t need a big amount to start investing on the platform.
- Low fees: There are no deposit and withdrawal fees on Wealthsimple Crypto. Trading fees are also waived. The only fee it charges is the spread between the bid price and ask price which averages around 1.5 to 2% to cover its operation fees.
- Several popular crypto coins: Wealthsimple Crypto allows you to invest in a variety of cryptocurrencies, including bitcoin, Ethereum, Ripple, Bitcoin Cash and more.
- Easy to use: You can buy and sell cryptocurrencies with just a few clicks on the website or mobile app. If you’re new to crypto, it’s a great way to get started without having to deal with any complicated processes.
- Cold storage: Wealthsimple Crypto has partnered with Gemini to provide secure storage for your crypto assets, which means that your holdings are kept safe from hackers or other security breaches that could put your money at risk if it were stored on your computer or phone or somewhere else on the internet.
- Portfolio tracking: Wealthsimple Crypto is a great way to track your portfolio. It allows you to evaluate your investments over varying timeframes, set notifications and alerts and track gains/losses.
- Unlimited Price Alerts: Get informed when your favourite cryptocurrencies are on the move with the free price alert feature.
- Limited features: Though it continues to add more features, Wealthsimple Crypto still has a limited set of features that make it limiting for intermediate and advanced traders.
- Slow account funding: Wealthsimple Crypto has a limited number of deposit and withdrawal methods. There are no Interac e-Transfer option so funding your Wealthsimple Crypto account may take some days. However, you can take advantage of the Instant Deposit feature to deposit up to $5,000 immediately.
Wealthsimple Crypto Fees
Wealthsimple does not charge any deposit, withdrawal and trading fees on its crypto trading app.
However, it charges an operational fee which includes all costs associated with buying or selling cryptocurrencies on your behalf.
The Wealthsimple Crypto operational fee is a 1.5-2% spread on the bid and ask prices of your buy orders and sell orders. The spread is determined by several factors, including market volatility and liquidity.
The table below summarizes the Wealthsimple Crypto spread using data as at May 20th, 2022:
|Quoted Buy Price||$39,333.06||$2,650.75|
With no other fees for using the Wealthsimple Crypto platform, most of your investment goes directly into building your portfolio.
Wealthsimple Crypto Wallet
Wealthsimple Crypto wallet is a digital wallet that lets you store and manage your digital asset holdings without the need to withdraw them to your external crypto wallet.
In a traditional sense, a hosted wallet is like an online bank account. The only difference is that you don’t need to worry about keeping up with your password because it is managed by a third party.
Hosted wallets are also safer because they aren’t stored on your computer or mobile device, which makes them less vulnerable to hackers than non-hosted wallets.
You can use the Wealthsimple Crypto wallet to store and trade any cryptocurrency that the platform offers. Any coins you buy through Wealthsimple will be automatically stored in your crypto wallet until you decide to sell it or withdraw it to your own wallet.
How to Sign-up for Wealthsimple Crypto
Signing up for Wealthsimple Crypto is as easy as signing up for any other Wealthsimple account. You get the same easy-to-follow and intuitive onboarding process that we’ve come to know with Wealthsimple.
Here’s how to do it:
First, you will need to create an account with Wealthsimple Crypto by visiting its website. You will be taken to the registration page where you will be asked to enter your details such as full name, date of birth etc.
Next, you’ll need to verify your account and personal information to get access to the full service. After verifying your identity, you can deposit funds into your account using crypto deposits or bank accounts.
Once the funds are available in your account, you can begin investing them into cryptocurrencies like Bitcoin, Ethereum, Litecoin and Ripple with just a few clicks.
Wealthsimple Crypto will credit your account with $25 once you deposit a minimum of $150. Learn more about this offer in this Wealthsimple Crypto Promotion article.
Is Wealthsimple Crypto Safe?
Wealthsimple uses the same high-level security measures as other fintech companies and banks in Canada. That means that it uses encryption technology that prevents unauthorized access to your information.
The platform uses two-factor authentication (2FA) on all accounts. 2FA requires you to enter an additional code from a physical device when signing in from an unrecognized device or browser. This helps ensure that only you can access your account.
Also, when you sign up for Wealthsimple Crypto, it stores your digital assets in cold storage (offline) wallets, which are more secure than hot wallets that are connect to the web.
Overall, you can trust that Wealthsimple Crypto is a safe and secure crypto platform. But you should take extra steps to protect your crypto holding by investing in a crypto wallet like the ones from Trezor or Ledger.
Wealthsimple Crypto Alternatives
Wealthsimple Crypto is one of the big players in the crypto platform arena in Canada. But how does it stack up against other leading crypto brokers?
Here’s a look at how Wealthsimple Crypto compares to other cryptocurrency platforms in Canada:
Wealthsimple Crypto vs Shakepay
Wealthsimple Crypto and Shakepay are two of the most popular no-commission crypto platforms available to Canadians.
Both Wealthsimple Crypto and Shakepay offer easy-to-use interfaces that make buying, selling, and storing cryptocurrencies easy for beginners.
Also, both services charge a spread fee instead of charging a commission on each transaction. The spread is the difference between the highest price you can sell at (bid) and the lowest price at which you can buy (ask).
While both exchanges offer similar features, they differ in other ways:
The main difference between the two is that Shakepay only supports bitcoin and ether while Wealthsimple Crypto supports up to 50+ cryptocurrencies.
Another difference between the two platforms is the minimum investment amount. While Wealthsimple Crypto doesn’t have a minimum investment amount, Shakepay has a minimum amount of $5.
Shakepay also offers a Shakepay crypto card that lets you spend your CAD and earn bitcoin as cash back. Wealthsimple Crypto does not have a similar product for now.
If you’re looking for no-commission crypto exchange, Wealthsimple Crypto and Shakepay may be your two best options.
Learn more in the Shakepay Vs Wealthsimple Crypto comparison or read my full Shakepay review.
Wealthsimple Crypto vs Newton
Newton is another popular crypto broker in Canada with the largest supported cryptocurrencies among the Canada-based crypto platforms.
Both Newton and Wealthsimple Crypto offer a wide range of coins, high-security storage for your cryptocurrency, and the ability to buy crypto with fiat currency.
In addition, both platforms offer high security for your cryptocurrency holdings, with both offering cold storage for offline storage of your digital assets.
However, there are some key differences between Wealthsimple Crypto and Newton, though.
The first difference between the two platforms is fees. While both platforms only charge spread fees, Wealthsimple Crypto charges a higher spread fee.
Wealthsimple Crypto charges a spread fee that ranges from 1.5 to 2% while Newton on the other hand charges a spread fee that ranges from 0.50 to 0.70%.
Another difference between the two platforms is the number of cryptocurrencies supported. Newton supports 71 cryptocurrencies while Wealthsimple Crypto supports 50+.
Overall, while either Newton or Wealthsimple Crypto will meet your needs if you want a crypto platform with lots of coins to trade, Newton outshines Wealthsimple with its higher number of available coins and lower overall fees.
LEARN MORE: Newton Review
FAQs on Wealthsimple Crypto Reviews
Wealthsimple has a lot of features that make it easy for you to invest in cryptocurrencies. The platform allows you to buy and sell cryptocurrencies, as well as store them securely.
The platform also has a dashboard that displays important information about recent trends in the market, so you can stay up-to-date with any changes that may affect your investments.
Withdrawals on Wealthsimple Crypto are normally completed within 30 minutes, although they can take up to 24 hours in certain situations.
Sure, you can withdraw over 50 different cryptocurrencies from Wealthsimple to an external wallet. This includes Bitcoin, Ethereum, Litecoin, Shiba Inu, Dogecoin and so on.
As a fraud prevention measure, new deposits on Wealthsimple Crypto must clear for 5 business days before they may be withdrawn.
Wealthsimple Crypto is particularly suited for beginners or anyone with little knowledge of cryptocurrencies and trading in general. The platform is well designed, making it easy to navigate. And with limited features, you won’t get confused like you would if you start with a full-fledged crypto exchange like Binance.
Yes, you can buy Ethereum on Wealthsimple and other 50+ cryptocurrencies.
It is safe to buy crypto on Wealthsimple because your personal information are protected with advanced encryption that prevents unauthorized access to your information.
In addition, Wealthsimple is regulated by two major regulatory bodies in Canada, FINTRAC & OSC.
Wealthsimple doesn’t not charge trading fees, deposit fees or withdrawal fees which is the case with other crypto trading platforms.
The only fee Wealthsimple charges for crypto is the operation fee (spread) which ranges between 1.5% to 2% per transaction.
Wealthsimple crypto is not completely free. It’s free in the sense that it allows you to execute crypto trading, deposit and withdrawals for free.
On the other side, you will be charged 1.5% – 2% per crypto transaction as an operational fee which covers the difference between the amount you buy and sell crypto.
Although Wealthsimple Crypto doesn’t charge trading fees, it is one of the most costly cryptocurrency trading platforms when compared to other cryptocurrency trading platforms’ spread fees.
Wealthsimple doesn’t offer a standard crypto card as do other crypto trading platforms. However, the Wealthsimple Card allows you to earn crypto back instead of cashback upon making eligible purchases through your Wealthsimple Spend account.
Shiba INU (SHIB) is one of the over 50 coins supported on Wealthsimple. However, you may sometimes find it difficult buying the coin through Wealthsimple Trade. Don’t panic, that could be a technical issue resulting from high demand. Wealthsimple will notify you when the coin is unavailable and available for trading.
Conclusion on Wealthsimple Crypto Review
If you are a beginner and are looking for a simple and easy-to-use solution, Wealthsimple Crypto may be the right option for you.
The platform is a great way to begin investing in cryptocurrencies with a low amount of money. It has no minimum deposit requirement and you can start investing with only $1.
Overall, this Wealthsimple Crypto Review is mixed. While it supports a good number of digital coins, its fees are on the high side compared to many other Canadian crypto apps.
Hopefully, you now have enough information to decide on whether or not you want to invest through Wealthsimple Crypto. If you’re still not sure if Wealthsimple Crypto is the right choice for you, you may choose any of the alternatives compared above.
Wealthsimple Crypto Review
Wealthsimple Crypto is a crypto broker that lets you invest in the cryptocurrency market without dealing with the complexities of digital wallets and exchanges.