Luno Bitcoin exchange review

Last updated: 11/1/18

Luno is a Bitcoin and Ethereum exchange aimed mainly at developing countries such as Nigeria, Indonesia and Malaysia.

Luno review summary

Luno is a cryptocurrency exchange aimed mainly at emerging markets. Luno offers Bitcoin services to countries such as Malaysia, Nigeria and Indonesia which are usually not allowed on most Bitcoin exchanges.

If you want a detailed review of Luno keep on reading. Here’s what I’ll cover in this post:

  1. Luno overview
  2. Luno services
  3. Currencies and payment methods
  4. Fees
  5. Luno buying limits
  6. Luno supported countries
  7. Customer support and reviews
  8. Conclusion

1. Luno overview

Established in 2013 originally as BitX and rebranded to Luno in 2016, Luno has offices in 3 cities around the world – London, Cape Town and Singapore. The company serves over 2 million users from over 40 countries worldwide and has over 100 employees. The company is based in the UK and has raised over $13m from prominent investors such as Ventura Capital and Digital Currency Group.


2. Luno services

Luno offers several services for its users including a cryptocurrency trading platform, a brokerage service, a Bitcoin wallet and an API for developers. Your Luno account is controlled through a simple dashboard that gives you access to different sections such as the instant buy / sell service, account reports, settings, etc.

luno dashboard

Luno’s trading platform

Luno offers a Bitcoin to fiat trading platform for its users. The platform supplies users with features such as advanced charting, API access for automated trading, various indicators and in depth reporting.

Luno’s trading volume at its trading platform is rather tiny, comparing to other trading platforms around. This is probably due to the fact that the site serves mainly visitors from developing markets. The fee structure for the exchange is pretty competitive mainly for market makers.

Luno’s instant buy / sell (brokerage service)

Like many other exchanges out there, Luno offers a “simple” way to buy Bitcoin or Ethereum without the need to use to confusing trading platform. Luno simplifies the buying process by selling you the coins directly and charging a premium fee for their services.

How much fee? It’s hard to tell. Fees vary between country and purchase amount so every transaction will end up having a different fee. That’s a bit of a downside in my opinion, and if you do end up using this service, make sure to double check the fees.

Luno mobile wallet

Luno offers a Bitcoin wallet for iOS and Android that can be paired to your Luno account. This gives you greater flexibility to access your Luno account on the go, however it also means that you’re not in control over your Bitcoins. The coins in your wallet are under Luno’s control and you can’t get access to the private key / seed of your Bitcoins if you needed to.


3. Luno currencies and payment methods

Luno supports the buying and selling of the following cryptocurrencies:

  • Bitcoin (BTC)
  • Ethereum (ETH)

Luno accepts the following fiat currencies:

  • Euro (EUR)
  • Indonesian Rupiah (IDR)
  • Malaysian Ringgit (MYR)
  • Nigerian Naira (NGN)
  • South African Rand (ZAR)

Luno accepts the following payment methods:

  • Debit / Credit card (EUR)
  • SEPA (EUR)
  • Bank transfer (IDR and NGN)
  • Interbank Giro / IBFT (MYR)
  • Card deposit  (NGN)
  • Paystack  (NGN)
  • GT Bank transfer (NGN)
  • EFT (ZAR)
  • Cash deposit penalty (ZAR)

Keep in mind that different payment methods have different fees incorporated within them, so make sure to double check before completing a deposit. Interestingly enough, credit and debit card deposits are free of charge with Luno, whereas at most other exchanges you can be charged up to 5%.


4. Luno fees

Luno has the following fees associated with its services:

  • Deposit fees (for certain payment methods)
  • Transaction fees (only for takers)
  • Withdrawal fees
  • Sending / Receiving fees from your Luno account to other Bitcoin addresses

Transactions are based on a taker maker fee schedule (you can read/watch a detailed explanation about that here). Makers don’t pay anything while takers can end up paying anywhere between 0.25%-1% depending on the currencies they are trading.

It’s important to note that if you use Luno’s ‘instant buy’ feature, fees will vary depending on your country and amount of purchase. Make sure to double check before completing the transaction so you don’t end up paying more than you intended.

Luno’s fee structure is very confusing, it can be viewed in detail here.


5. Luno buying limits

Deposit limits depend on your account verification level:

Level 0 (email verification) – can’t deposit / withdraw fiat at all

Level 1 (phone verification) – can deposit / withdraw up to 1000 Euros in total

Level 2 (ID verification) –  can deposit / withdraw up to 5000 Euros per month

Level 3 (proof of residence) –  can deposit / withdraw up to 100,000 Euros per month

If you’re using the ‘instant buy’ feature you also have limits on how much Bitcoin / fiat you can buy in each order you submit. For example – you are limited to spending up to 8,000 EUR per order.


6. Luno supported countries

Luno is open to the following European countries:

Austria, Belgium, Bulgaria, Croatia, Cyprus, Czechia, Denmark, Estonia, Finland, France, Greece, Guernsey, Hungary, Iceland, Ireland, Isle of Man, Italy, Jersey, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Monaco, Netherlands, Norway, Poland, Portugal, Romania, San Marino, Slovakia, Slovenia, Spain, Sweden, Switzerland, United Kingdom

It is also open for users from:

  • Indonesia
  • Malaysia
  • Nigeria
  • South Africa

7. Customer support and reviews

Luno has a very basic knowledge centre available on their website. There’s also an option for dedicated email support if needed. At the time of writing Luno is doing relatively poor from a customer review perspective, scoring only 4.1 on TrustPilot. Most complaints are about locked accounts or funds that haven’t arrived on time. Luno seems to be trying to respond to most of the critical reviews.

It’s important to remember that customer support is probably the weakest link at any Bitcoin exchange. It’s not uncommon to see ratings such as 2/10 or 3/10 for the most successful exchanges like Coinbase or even Bitstamp.


8. Conclusion – Is Luno Trustworthy?

To sum things up, it seems Luno has found their niche in the emerging markets. The company is highly focused on the main cryptocurrencies in countries that are usually overlooked by most other exchanges.

The website is solid, supplying users with all of the basics for buying or trading cryptocurrencies. Putting the limited geo availability aside (as this is more of a feature than a downside), the only thing I’d look out for is the dynamic fee schedule. Since each country and action you take on the site has different fees, it’s important to make sure you don’t end up overpaying because of a hidden fee.

Have you used Luno? I’d love to hear about your experience in the comment section below.

Luno

8.2

Fees

7.5/10

Ease of use

9.2/10

Support

8.0/10

Reputation

8.2/10

Pros

  • Easy and intuitive interface
  • Supports developing countries
  • Reputable company

Cons

  • Confusing fee structure
  • Wallet does not give access to private keys

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Peter WilsonNokuthula MkhizeJessica ChasterFrancesca GubelliniI.J. Blanco Recent comment authors
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Peter Wilson
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Peter Wilson

Luno is a scam NEVER ever go near it. As soon as I made a deposit my account was “Locked” as they put it. Why not lock it before I put any funds in there? Why is my account only suspicious AFTER they have my money. Then when you contact their so called support (what a joke) they spin you around and around asking you for more and more ID, selfies with hand written notes with the date on. They must sit there laughing when they get all these daft pictures. I tell you one thing that doesn’t happen, you… Read more »

Nokuthula Mkhize
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Nokuthula Mkhize

I put money in after creating my account and I got the details such as password but the next time I wanted to check progress the very same password was wrong and I tried creating another password wrote it down and used it to enter and that was wrong too so I ended up leaving it like that I don’t know whether that’s a good thing or a bad thing

Jessica Chaster
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Jessica Chaster

To be fair, despite their sleek looking platform, their fees are somewhat exorbitant, not competitive at all in comparison to GDAX / Binance etc., not to mention their trading options are extremely limited & unintuitive.

If you got some money to burn, go trade somewhere else. Their chart are overtly minimalistic (not helpful at all), which means you’ll have to install another app / go to other sites to pore over live trends & patterns.

Francesca Gubellini
Guest
Francesca Gubellini

Luno is a scam, It’s not safe, no fraud department, no investigations, no customer service. It’s worthless and I’m owed money as well. Never again and I’m discouraging everyone I know from using it and from investing in crypto currencies

I.J. Blanco
Guest
I.J. Blanco

My wife opened up an account a few months back. It started well. No complaints untill a few weeks back when 0.03 btc simply ‘vsnished’. I had sended her the btc into her account. After more then 700 confirmations her account only showed ‘pending’. She resides in the USA I in Europe but I will join her in a few weeks. Because of this I opened an account as well. Leveled it up. Made a transfer so far so good until I asked helpdesk where the so called ‘pending’ transaction was. I was a lucky customer I received a reply.… Read more »

James
Guest
James

So, I read that you personally use Coinbase (nice choice). What would your recommendations be on Fiat withdrawl in South Africa?
Finding it hard to find comparisons on your website where it’s not left up to me to decide.
But I get that that’s the point, (not a financial services provider etc.)

On a personal note, what exchange do you use? (Q4 2018, mid-to-end bear market)
And… Again, what exchange do you use for fiat (ZAR) withdrawal, based on fees?
I’ve used AltCoinTrader, but their BTC price seems highly manipulated and always “off”, about $100 off (in the wrong direction)

David
Guest
David

Hello

Its David here

Does luno require funds from a receiver of funds before releasing the funds to the receiver?

Bravo
Guest
Bravo

Can I trust avatrade because I want to invest there?

Favour
Guest
Favour

why can’t I send money to my bitcoin address from the luno app, why did they create another bitcoin address wallet for me….. And I cant transfer to my account , they keep saying error occurred, we will look into it

Vincent
Guest
Vincent

I was able to deposit and withdraw in Luno Bitcoin wallet “just being legit, fair,friendly and safely” I also got free Bitcoins! #have a Nice future investment @love you bye