Bitpanda: A Comprehensive Guide to Investing in Cryptocurrencies

Bitpanda is a popular European cryptocurrency exchange that allows users to buy, sell, and trade a variety of digital assets. It was founded in 2014 by Eric Demuth, Paul Klanschek, and Christian Trummer, and is headquartered in Vienna, Austria.

Bitpanda supports over 50 cryptocurrencies, including Bitcoin, Ethereum, and Litecoin. The platform also offers a range of features, including a user-friendly interface, real-time market data, and a mobile app.

One of the key benefits of using Bitpanda is its fast and secure transactions, which are processed in real-time. This makes it an ideal choice for those who want to quickly and easily buy or sell cryptocurrencies.

Bitpanda also offers a range of payment methods, including credit and debit cards, as well as bank transfers.

Bitpanda was founded in 2014 by Eric Demuth, Paul Klanschek, and Christian Trummer.

The company initially operated under the name Coinimal GmbH, while its cryptocurrency trading platform was known as Bitpanda.

In 2017, Bitpanda partnered with the Österreichische Post to offer vouchers for Bitcoins at over 1,800 locations.

This move helped process transactions with various cryptocurrencies amounting to USD 672 million that year.

Bitpanda's revenue reached a net profit of USD 12.49 million in 2017, with 15 employees.

The company was renamed Bitpanda GmbH in 2018, and an office was opened in London.

In September 2020, Bitpanda raised USD 58.2 million in an initial funding round, with investors including Peter Thiel's investment firm.

This funding round was followed by a second investment round in which Bitpanda raised a total of USD 160 million, increasing its valuation to USD 1.2 billion in March 2021.

The main investors in this second round were Valar Ventures and partners of DST Global, making Bitpanda the first Austrian start-up to meet the criteria for unicorn status.

Take a look at this: Lingjun Investment

Bitpanda offers a wide range of services and features to help you manage your assets and investments.

In summer 2019, Bitpanda launched a token called Best, which offered a discount on trading fees for payments.

The company also began integrating precious metal trading into its platform, allowing you to buy and sell physical metals like gold, silver, palladium, and platinum.

Bitpanda partnered with Visa in early 2021 to introduce a debit card that can be used to pay for goods and services in cryptocurrency or commodities in stores.

This debit card is a convenient way to use your cryptocurrency or commodities to make purchases.

In April 2021, Bitpanda received a license for securities trading, allowing investments in fractional shares and ETFs.

You can now invest in a total of over 1,000 assets, including shares of your favorite companies and popular ETFs, starting at just €1.

Bitpanda offers a feature called Crypto Indices, which automatically invests in a diverse portfolio of the top 5, top 10, or top 25 cryptocurrencies on the market.

This is a low-involvement trading solution for retail investors who can't afford to constantly monitor the market.

Readers also liked: Halifax Stocks and Shares Isa

Bitpanda's Crypto Indices are powered by MVIS and automatically adjust the share of each asset in your portfolio over time.

You can also use Bitpanda's Spotlight feature to get early access to innovative projects, such as OBT.

In addition to these features, Bitpanda offers advanced tools like Leverage, limit orders, savings plans, and cryptocurrency indices to support your investment strategies.

Here are some of the key features of Bitpanda's services:

Bitpanda offers a wide range of products and offerings to cater to various investment needs.

The company's electronic trading system, Bitpanda, allows users to trade over 390 different cryptocurrencies, including Bitcoin, Ethereum, and Tether, on its website and mobile app.

In addition to cryptocurrency trading, Bitpanda offers investments in crypto indices, and short-term trading in the cryptocurrency market. It also provides trading in precious metals like gold and silver, as well as stocks and ETFs.

Bitpanda has a debit card in collaboration with Visa, enabling users to make payments with cryptocurrencies, precious metals, and fiat currency.

Additional reading: Fiat Currency Exchange Trading

The company operates the educational platform Bitpanda Academy, which provides resources and knowledge to help users navigate the world of cryptocurrency and investing.

Bitpanda's investment products include a selection of stocks and ETFs, available 24/7 and fully backed by physical assets held by a custody bank.

Fractional investment starting at €1 is also available, commission- and exchange rate fee-free, with Bitpanda only profiting on a "spread" between the "Buy" and "Sell" positions.

The company offers a Spotlight tool for early access to innovative projects, as well as Leverage, limit orders, savings plans, and cryptocurrency indices to support investment strategies.

Bitpanda has expanded its offering to over 500 cryptos on a single platform, aiming to respond to the growing retail and institutional demand in the sector.

This expanded selection allows users to explore both emerging projects and coins that are already consolidated, providing a wider portfolio diversification option.

The company's Deputy CEO, Lukas Enzersdorfer-Konrad, commented that the demand for a wider portfolio diversification is stronger than ever, with investors seeking to explore innovative projects and take advantage of market sentiment.

See what others are reading: China Integrated Circuit Industry Investment Fund

Bitpanda offers a wide range of investment products, including stocks, ETFs, precious metals, and cryptocurrency trading. With over 500 cryptocurrencies available, users can diversify their portfolios and take advantage of various investment strategies.

The platform's advanced tools support these strategies, including the Spotlight, which provides early access to innovative projects. Leverage, limit orders, savings plans, and cryptocurrency indices are also available.

You can invest in a wide range of assets, pay using a Visa card, and access your account from any device, thanks to Bitpanda's user-friendly apps and desktop experience.

Bitpanda's workforce is quite diverse, with half of its employees being programmers. This is a testament to the company's focus on innovation and technology.

In July 2021, Bitpanda made a significant move by announcing plans to open an office in Berlin. This expansion into new markets marked an exciting chapter for the company.

The company's rapid growth was a double-edged sword, leading to a 70% decline in Bitcoin's price and forcing Bitpanda to lay off 35% of its workforce in June 2022.

Bitpanda received a crucial crypto license from the Federal Financial Supervisory Authority by the end of 2021, allowing the company to custody and trade cryptocurrencies.

Since 2023, Bitpanda has been operating a branch in the UK and partnered with Coinbase to provide institutional clients with a regulated trading infrastructure. This move has greatly expanded the company's reach and capabilities.

In 2023, Bitpanda invested a significant USD 10.27 million in artificial intelligence development, further solidifying its commitment to innovation and technology.

Through a collaboration with N26 Bank, Bitpanda's cryptocurrency trading platform was integrated into the N26 app, allowing bank customers to trade over 200 cryptocurrencies via the app.

In April 2023, Bitpanda partnered with Raiffeisenbank Niederösterreich-Wien, giving customers access to Bitpanda's cryptocurrency trading services through the bank's own platform.

Since 2023, Deutsche Bank has served as the European bank for Bitpanda's cross-border services in Austria and Spain.

In April 2024, Bitpanda announced a collaboration with Landesbank Baden-Württemberg (LBBW) to enable LBBW corporate clients to custody and procure cryptocurrencies.

By May 2024, Bitpanda GmbH had over 4.5 million customers, with 25% of them residing in Germany. This is a remarkable achievement and a testament to the company's growing popularity.

The subsidiary Bitpanda Technology Solutions provides financial institutions with the trading infrastructure developed for cryptocurrencies by Bitpanda, serving clients like N26, Mambu, Lydia, Plum, Raiffeisenlandesbank Niederösterreich-Wien, and Landesbank Baden-Württemberg.

A fresh viewpoint: Trade Republic

Bitpanda offers a wide range of advanced investment tools to support your strategies. With over 500 crypto options available, you can diversify your portfolio and take advantage of new opportunities.

One of these tools is the Spotlight, which provides early access to innovative projects. This is a great way to get in on the ground floor of new ideas and potentially make some significant gains.

You can also use the Leverage tool to amplify your investments, or place limit orders to control your trades. Additionally, the savings plan feature helps you set aside funds for the future.

Here are some of the advanced tools available on Bitpanda:

Bitpanda's advanced tools are designed to help you make the most of your investments. Whether you're a seasoned trader or just starting out, these features can help you achieve your financial goals.

Bitpanda GmbH is a service provider of digital assets registered with the Austrian Financial Market Authority (FMA) in accordance with the Financial Market Money Laundering Act.

The company has a PSD2 payment service provider licence and state-of-the-art security technology, ensuring a high level of protection for your investments.

Bitpanda is a MiFID II investment firm and a PSD 2 licensed payment institution, which means it meets the necessary regulatory requirements to operate securely.

You can sign up with Bitpanda in just a few minutes and verify your identity online, thanks to its user-friendly process.

The investment product is fully AML5 compliant, so you don't have to worry about the safety of your funds or transactions.

Bitpanda's security measures are designed to provide a safe and reliable experience for its users.

Take a look at this: Fifth Third Bancorp Payment Business

Bitpanda is a solid choice for retail investors, offering a wide range of assets to choose from.

The mobile apps on both iOS and Android work well, with no unnecessary features and a visually appealing design.

One of the limitations of Bitpanda is that its desktop browser client's feature set is somewhat limited.

However, the UI is very clean and all the core functions you would expect to be there are present and work flawlessly.

Bitpanda enjoys a great customer rating, with an average of 4.4 stars out of 5 on Trustpilot.

The loyalty rewards and cashback accumulating in BEST (Bitpanda Ecosystem Tokens) can accelerate your portfolio's growth as Bitpanda expands its range of products and coins.

If you're looking for alternatives to Bitpanda, there are some solid options to consider. BUX and Trade Republic are two European neobrokers with very similar products that are worth exploring.

Both BUX and Trade Republic offer easy-to-use and straightforward apps that can help you make your money work without getting too caught up in details. They're great options if you want a hassle-free experience.

BUX and Trade Republic have been compared before, and they're definitely worth considering if you're in the market for a new app.

Worth a look: BUX (brokerage)

Bitpanda's unique features are a direct result of the competitive landscape, forcing innovation and better products for users. This competition has led to the development of unique features that set Bitpanda apart.

One of the standout features is the ability to buy and sell a wide range of assets, including cryptocurrencies, metals, and stocks. Bitpanda's platform is designed to be user-friendly and accessible to consumers.

The "space race" among cryptocurrency platforms has created a positive outcome for end consumers, who get to enjoy innovative features and products as a result of the competition.