Best Crypto Exchanges in Australia

Best Cryptocurrency Exchanges in Australia

Our team conducted an extensive review of 31 crypto platforms accessible to Australian users. We evaluated each based on compliance with the Australian Securities and Investments Commission (ASIC) regulations, plus other factors like available assets, fees and AUD deposit options. Below are the top 5 digital asset exchanges for Australian investors.

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1. CoinSpot

CoinSpot is Australia’s largest crypto exchange and is based in Melbourne. Launched in 2013, it has earned the trust of over 2.5 million users by offering a secure platform for trading over 500 digital currencies. It also offers an OTC trading desk, NFT marketplace, and customisable crypto bundles that allow users to diversify their portfolios easily. 

Safety is a major focus for CoinSpot, which is certified by Blockchain Australia and holds an ISO 27001 certification. This ensures advanced security standards for user funds and data. It also offers staking services, enabling users to earn rewards on their holdings. There is a mobile app with seamless functionality for investors looking to manage their crypto investments on the go.

• Fees: 1% for instant buy/sell, 0.1% for market orders.
• Supported Assets: Over 500 crypto assets.
• Regulation & Licensing: Registered with AUSTRAC and holds an ASIC Australian Financial Services Licence number 169 528 796.‍
• AUD Deposit Methods: Bank transfers, PayID, BPAY, cash deposits, PayPal, credit cards and debit cards.

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2. eToro

eToro is a popular choice for those who want to diversify across multiple asset classes, from cryptocurrencies to stocks. With over 35 million users globally, it offers a user-friendly platform that allows Australians to trade and manage over 6,000 assets, including a wide variety of digital currencies, stocks, ETFs and commodities. 

One of the top features is its CopyTrader™ system, which lets users automatically copy the trades of top investors. This makes it easy for beginners to learn by mirroring successful strategies in real time. In addition to its copy trading capabilities, it offers educational resources through the eToro Academy, including courses, webinars, and podcasts. 

• ‍Fees: Variable based on the spread, with zero upfront trading fees. Our tests found an average spread of 1-2%.‍
• Supported Assets: 80+ Cryptocurrencies and over 6,000 stocks, ETFs and commodities.
• Regulation & Licensing: Regulated by ASIC and holds Australian Financial Services Licence number: 491139.‍
• AUD Deposit Methods: Bank transfer, debit card and credit card.

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3. Kraken

Kraken is popular among institutional investors for its deep liquidity, advanced trading options, and comprehensive security measures. With over 10 million users globally, it supports more than 280 cryptocurrencies for spot and futures trading with 5x leverage. It offers services like an OTC trading desk for high-volume transactions and tailored custody solutions.

Security is one of its biggest selling points, with industry-leading measures that include cold storage and regular proof-of-reserves audits. Its API allows institutions to execute large trades efficiently while keeping costs low with tight spreads. The exchange has an impressive quarterly trading volume exceeding $207 billion.

• ‍Fees: Maker fees at 0.01%, Taker fees at 0.02%.‍
• Supported Assets: Over 280 spot markets and 100+ margin markets.‍
• Regulation & Licensing: Registered Digital Currency Exchange (DCE) with AUSTRAC.‍
• AUD Deposit Methods: PayID, Osko, Bank Transfer, and debit or credit cards.

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4. Bybit

Bybit is a futures trading platform, offering high leverage of up to 200x. It supports over 1,400 cryptocurrencies for spot trading and over 400 derivatives contracts. Traders can automate their strategies using the Grid Bot and DCA Bot, or take advantage of copy trading to follow top performers. It also features an AI-powered tool, TradeGPT, to help users make decisions.

In addition to futures, Bybit has an extensive range of financial products such as staking, earning, lending and borrowing options. The platform is known for its liquidity, ensuring traders can execute large trades quickly and with minimal slippage. Plus, it is continually expanding its offerings with new listings and promotions to keep traders engaged.

• ‍Fees: Spot trading is 0.1%, and futures trading are 0.02% for makers and 0.055% for takers.‍
• Supported Assets: Over 1,400 cryptocurrencies, including 400+ derivatives contracts.‍
• Regulation & Licensing: Registered in Dubai and Seychelles, and available in Australia.‍
• AUD Deposit Methods: Credit card, debit card, bank transfer, Apple Pay and Google Pay.

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5. Independent Reserve

Independent Reserve is based in Sydney and the top option for Self-Managed Super Funds (SMSFs) in Australia. Established in 2013, it supports over 30 leading cryptocurrencies. It offers competitive fees and multiple deposit options, including instant AUD, USD, and NZD deposits through bank transfers, PayPal, and cards.

The platform is known for its rigorous compliance with financial standards and security, holding ISO 27001 certification and undergoing annual audits. Independent Reserve is trusted by over 300,000 investors, including SMSFs and institutional clients, and offers exceptional customer support and a user-friendly mobile app.

• ‍Fees: Starting at 0.5%, decreasing to 0.02%.‍
• Supported Assets: 30 Cryptocurrencies.‍
• Regulation & Licensing: Regulated by AUSTRAC and ASIC
• Deposit Methods: PayID, bank transfers, PayPal, and debit or credit cards.

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Is Crypto Regulated in Australia?

Yes, cryptocurrency is regulated and is overseen by the Australian Securities and Investments Commission (ASIC). They’re responsible for ensuring that crypto-related businesses follow the rules laid out in the Corporations Act. Whether you're issuing tokens or running a trading platform, you’ll likely need to get an Australian Financial Services (AFS) licence to stay compliant. 

It’s not just ASIC keeping an eye on things, AUSTRAC also plays a role, especially around anti-money laundering (AML) and counter-terrorism financing (CTF) requirements. Even if a business operates offshore, Australian law still applies if they’re marketing or selling to Aussies. The goal is to keep the market safe for investors while encouraging innovation.

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How Does the ATO Tax Crypto?

‍In Australia, cryptocurrencies are considered capital assets, meaning they fall under the scope of capital gains tax (CGT) if you use them as an investment. Any time you sell, trade, or swap crypto, it triggers a CGT event, and you’ll need to report the transaction to the Australian Taxation Office (ATO). If you make a profit, you’ll pay tax on the capital gain. 

However, if you’ve held the crypto for at least 12 months, you might qualify for a 50% CGT discount, which helps reduce the taxable amount. On the flip side, if you make a loss, you can offset it against future capital gains. For crypto used in business transactions, such as receiving it as payment or through mining, it's treated as ordinary income and taxed at regular income tax rates.

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How to Buy Bitcoin in Australia

Investing in Bitcoin in Australia is straightforward when using a cryptocurrency exchange registered with AUSTRAC. Follow this simple guide to get started:

1. Create an Account: Choose an Aussie exchange that supports Australian dollars (AUD). Sign up by providing your details, complete the identity verification process, and submit necessary documents like your ID and proof of address.
2. Deposit AUD: Once your account is verified, head to the deposit section, select AUD, and enter the amount you wish to invest. Exchanges typically offer deposit options such as bank transfers, PayID, BPAY or credit/debit cards.
3. Locate Bitcoin: Navigate to the trading section and search for Bitcoin (BTC). You’ll see the current price in the AUD/BTC pair. You can place a market order to buy at the current price or set a limit order if you prefer to purchase at a specific price.
4. Complete Your Purchase: Confirm the amount you’re buying and review any associated fees. Once everything looks good, click 'buy' to finalise your transaction.

After confirmation, you’ll have successfully purchased Bitcoin in Australia.

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Bottom Line

In conclusion, as cryptocurrency adoption in Australia accelerates, choosing a reliable exchange is key to success. Each of the top platforms we’ve reviewed, CoinSpot, eToro, Kraken, Bybit, and Independent Reserve, offers unique features to suit various investment needs. Make informed decisions by considering the strengths of each platform and start your crypto journey.