Should you trust your money with a little-known cryptocurrency exchange from Lithuania? Scammers often create fake projects to lure in unsuspecting crypto investors and traders. Despite the positive reviews about Coinsdrom, we doubt the platform’s reliability, and here’s why.
Highlights
| Official Website | https://coinsdrom.com/ |
| Company Name | Clearcrest Inc |
| License Status | None |
| Account Types | None |
| Demo Account | None |
| Assets Offered | Crypto |
| Leverage | Undisclosed |
| Trading Platform | Unknown |
| Deposit Methods | Crypto |
| Withdrawal Time | Undisclosed |
| Affiliate Program | Available |
Key Trading Features
Coinsdrom is a rather secretive cryptocurrency exchange that does not disclose many key terms. There’s no information on fees, supported cryptocurrencies, leverage, or whether futures trading is available or if it’s limited to spot trading. What asset listings are offered?
The only thing we could confirm was mandatory identity verification. Without KYC, users can’t even evaluate the platform and its other features. Depending on the investment amount, clients must submit varying sets of documents:
- Deposits from €200 to €5,000 require identity verification and a selfie.
- From €5,000 to €75,000 requires proof of residence and Form 501 (Cryptocurrency Purchase Confirmation).
- €75,001 and up requires source of funds evidence and video call verification.
On the one hand, it’s a good sign that the company has stringent KYC requirements. On the other, mandatory verification, without even a glimpse at the functionality and features, looks very suspicious.
Overview of Available Trading Instruments
We’d love to see which assets are available for trading here, but that’s impossible. As mentioned above, nothing can be done without KYC. Furthermore, the crypto exchange didn’t even bother to provide a list of tradable assets beyond the basics: BTC, ETH, LTC, and USDT. Any reputable and serious cryptocurrency exchange typically offers a full list of altcoins.
Trading Platform Analysis
The only thing Coinsdrom mentions about its platform is a “user-friendly interface”. However, we can’t see it for ourselves. On the official site of any well-known exchange, you can usually preview the trading terminal without even creating an account. We suspect that Coinsdrom has a basic web terminal with minimal features — possibly just a chart and buy/sell buttons.
Additional Services
There are no unique services on this platform. These could include DeFi, an earn product, a native token with special bonuses for holders, copy-trading, and much more. However, the only feature Coinsdrom offers beyond cryptocurrency buying/selling is a referral program.
The platform pays rewards based on referral commissions. It does not disclose the percentage of payouts, but becoming a partner requires a separate registration and verification.
Fee Structure
Coinsdrom hides all information about commission rates. The user agreement also lacks clear information; the company only mentions that additional fees may apply when using services, related to credit card transactions, chargebacks, and receiving messages from the operator.
Legitimacy of Coinsdrom
This cryptocurrency exchange doesn’t offer anything good or interesting. The footer on the official site states that the platform is owned by the legal entity Clearcrest Inc., which is officially registered in Lithuania and “authorized to provide virtual currency services”.
This company does indeed exist. We even found its official website, clearcrest.io. At first, we thought it might be a different organization, but no. The company’s profile actually lists coinsdrom.com as its website.
Based on the information, it appears the firm conducts some kind of business and even pays taxes. What caught our attention, though, is that Clearcrest Inc. manages not only Coinsdrom but another very similar exchange called Voltcoin, with a website at voltcoins.com. This also mentions the Lithuanian entity. Very strange. Why would the company need multiple websites?
We also noticed a large number of positive reviews online, yet these contain no specific information about the platform’s reliability. It’s evident that the management is promoting their activities in a somewhat deceptive manner.
Company History
The platform does not disclose its exact founding date. However, various sources indicate it has been operating for no more than three years, since 2022. This is supported by the domain registration date, September 5, 2022. Although the company isn’t falsely advertising an extensive history, this operational period is neither long nor well-established.
Conclusion
We do not recommend engaging with Coinsdrom, as it is a very risky partnership. This cryptocurrency exchange lacks a name and reputation, conceals all important trading conditions, has a short operating history, and operates similar sites despite having an officially registered legal entity.
Weighing the Pros and Cons
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The legal entity has been operating in Lithuania since 2022.
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Terms of cooperation are undisclosed.
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Fake positive reviews.
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Short operating history.
Common Questions
Why is a lack of information on fees a red flag?
A lack of transparency on commission fees is always a cause for concern, as fees are a key aspect for any investor or trader. Coinsdrom does not disclose its fee structure, leaving users at risk of encountering unexpectedly high charges that could turn trading into a loss. Transparent exchanges usually provide clear information about their fees upfront, allowing users to assess the conditions before starting. If a company conceals this information, it might plan to apply hidden or inflated fees.
Is it true that Coinsdrom is a scam?
The platform strongly resembles a scam, as it conceals conditions, publishes fake positive reviews, lacks listings on Coinmarketcap/Coingecko, and remains unknown. While it might be operating honestly at the moment, there’s no guarantee that the founders won’t decide to deceive users and take their money at some point.
I can’t tell if this platform is reliable or not. I came across their website while searching for a place to buy Bitcoin. But I’m worried it’s a fake and a scam. The positive reviews look too suspicious to be true, making me highly doubtful.
I submitted documents for KYC, but they still haven’t approved my verification. It’s taking too long. It’s been over a week, and customer support hasn’t responded. I don’t think this is a good sign. I won’t be investing my money in Coinsdrom. This service is terrible and slow; I’ve already found better platforms for cryptocurrency trading.