Nov
Gate.io is a well-established cryptocurrency exchange for experienced traders looking to buy lesser-known cryptos. It has over 1,300 available cryptos and also offers advanced trading features such as margin trading in some countries. However, it isn’t clear whether the platform is fully available to U.S. residents, and the platform is not easy to use. Read our full Gate.io review to find out if it’s right for you.
Full Gate.io review
This cryptocurrency exchange is a good fit for: Advanced traders who want to access hard-to-find cryptos.
Pros
- Wide range of cryptos
- Accepts around 50 fiat currencies
- Advanced trading features
- Reasonable trading fees
Cons
- Unclear status in the United States
- Poor English
- Not user friendly
- High deposit fees
- No fiat withdrawals
Top perks
| OFFER |
Gemini Exchange
|
Coinbase
|
|---|---|---|
| RATING |
Rating image, 4.50 out of 5 stars.
4.50 stars
Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. |
Rating image, 4.50 out of 5 stars.
4.50 stars
Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. |
| COMMISSIONS |
$0.99-$2.99 orders < $200, 1.49% for orders at least $200 (default), 0% – 0.40% (Gemini ActiveTrader)
|
Variable fees (Coinbase), 0%-0.60% (Coinbase Advanced Trade)
|
| NEXT STEPS |
Depositing funds and verifying your account
Users can only deposit fiat money onto Gate.io’s platform using third-party apps such as Banxa, MoonPay, or Simplex. Bank transfers are handled by a company called Legend Trading. Fees vary, and many of these third-party platforms require additional identity verification. Be aware that some have mixed reviews online, so it’s worth treading carefully.
READ MORE: Best Cryptocurrency Apps and Exchanges
It is possible to deposit funds without completing the know your customer (KYC) process, but this is not advisable. You won’t be able to withdraw funds until you complete the verification process. Not only does verification take time, it also isn’t totally clear that U.S. citizens can use the service. As a result, it’s better to jump through the hoops before you give the platform your hard-earned cash. Nobody wants to end up with assets they can’t access.
It’s also worth noting that Gate.io reserves the right to seize your crypto if you haven’t logged into your account for two years. According to its terms and conditions, Gate.io may donate the funds to charity. If you’re a buy-and-hold investor, it would be wise to store your assets elsewhere.
Fees overview
Gate.io’s trading fees are neither the best nor the worst on the market. The maximum maker/taker fee of 0.2% is more than low-fee platforms like Binance or FTX, but lower than Coinbase or Gemini. However, fiat deposits can be expensive.
Gate.io fee overview
| TRANSACTION | FEE |
|---|---|
| Maker/taker fee | Maximum 0.2% / 0.2% |
| Credit/debit card deposit | Varies by payment processor |
| Bank transfer | At least 0.08% |
| Withdrawal fee | Varies by crypto |
There are three ways customers can reduce trading fees:
- Paying in Gate.io’s utilty token, GateToken (GT). All customers can get a 25% discount on trading fees by using the GT token.
- Buying a package of GT Points. Users can get a discount of 30% to 70% on trading fees by buying a package of points. The lowest cost package is 200 points for $120.
- Trading in high volumes or holding large amounts of GT. To qualify for the lowest maker/taker fees of 0.055% / 0.065%, users need to reach VIP 16. This involves trading 75,000 BTC (about $470,000) in a month or holding 50,000 GT (over $300,000).
Deposit and withdrawal fees
Like most cryptocurrency exchanges, Gate.io charges a deposit fee for fiat currency (traditional money). The deposit fee varies depending on which third party processes the payment. Gate.io’s deposit fees are higher than other platforms. The withdrawal fee depends on which cryptocurrency is withdrawn, but is in line with other exchanges. It isn’t possible to withdraw fiat money from the Gate.io website.
Let’s say you want to buy $500 of Bitcoin (BTC) with U.S. dollars. The cost depends a lot on the deposit method. As you can see from the table below, it’s good to look at both the fee and the total amount of crypto you receive. Some third-party processors offer poor exchange rates, so even if you’re paying a lower fee, you may get less crypto for your cash. The fee to withdraw BTC is 0.001 BTC (about $40).
Here are how some of the payment options work out for a $500 BTC transaction:
| PROCESSOR | FEE | TOTAL BTC YOU RECEIVE | APPROX $ VALUE |
|---|---|---|---|
| Simplex | $17.5 | 0.01236869 | $475 |
| MoonPay | $22.62 | 0.0126 | $484 |
| mercuryo | $19.00 | 0.01255449 | $482 |
| BANXA | $9.76 | 0.01256156 | $482 |
Cryptocurrency selection
A broad cryptocurrency selection is what makes Gate.io stand out. It trades over 1,300 cryptocurrencies on its platform, including many smaller coins and tokens that are difficult to buy elsewhere. It also accepts around 50 fiat currencies, which is more than many exchanges. This includes major currencies such as U.S. dollars, euros, Japanese yen, British pounds, Canadian dollars, and more.
Of the top 20 cryptocurrencies by market cap, only stablecoins USD Coin (USDC) and Binance USD (BUSD) are not available for spot trading. You’ll find all the other top 20 such as Bitcoin, Ethereum (ETH), Binance Coin (BNB), Cardano (ADA), and Solana (SOL). It also has a wide range of cryptocurrency pairs.
It is more important than ever to do your own research when buying less established cryptocurrencies. Check things like who’s in charge of the project, what its purpose is, and how many tokens will be issued. Not only are prices of smaller coins likely to be more volatile, there’s also a bigger chance the coin may fail or turn out to be a scam.
Is your cryptocurrency safe with Gate.io?
Investing in cryptocurrency can be risky. Cryptocurrencies are relatively new and volatile assets, and there’s a lot we don’t know about how the industry will unfold. Plus, hackers often target cryptocurrency exchanges, which is why some investors prefer to move their assets to an external crypto wallet.
Gate.io checks a number of the boxes we look for in terms of security, but the platform is not perfect. Here are some key security features:
- It keeps “most” assets offline in cold storage. It would be nice to have more transparency about what percentage of funds are kept offline.
- External security audit. Gate.io uses professional auditing companies to test its system, as well as third party anti-malware defense.
- User level security measures. These include two-factor authentication, account monitoring, and anti-phishing measures.
Reasons to be cautious
The lack of clarity around Gate.io’s regulatory status is a big reason to tread carefully. In part, this is an issue of trust — you have a platform that says it will fine users for not following its agreement, but then has a mismatch of information about whether they’re actually allowed to trade. But the main issue is that we don’t know what shape new crypto regulation will take. Sticking with exchanges that try to stay on the right side of regulators reduces the risk your funds will end up frozen on a platform you can’t access.
The other risk to be aware of is the use of third-party platforms to process payments. Each one will have its own security features, its own KYC process, and its own system for handling your cash. It’s unlikely something will go wrong, but it’s worth checking out the processor before you transfer cash.
Finally, the Gate.io platform has been hacked in the past. In 2015, Gate.io was called BTER and over 7,000 BTC was stolen from its platform. This is not surprising given it has been going since 2013 and exchange hacks were more common in the early days of crypto.
Gate.io is right for you if:
- You’re an experienced trader who wants to access less common cryptos.
- You already own crypto and don’t need to deposit fiat currency.
- You want to buy crypto using a fiat currency that’s not widely accepted.
