Is Luno Safe? Is it Legit or Scam?
Initially named Bitx, Luno is a popular wallet provider and a well-known crypto exchange. The platform was first launched in 2013 in Singapore, and in a short time, it expanded to 44 different countries around the globe.
Luno aims to make investing a simple task for everyone, and it has already achieved that to some extent. Today, the platform has its local presence in countries like the United Kingdom, South Africa, Singapore, Malaysia, Australia, Nigeria, Indonesia, and Stamford.
Regardless of its popularity and growth, many people still ask: is Luno safe, or is Luno legit? This article will help you find the answers if you are among them.
Is Luno Safe? How is Luno Protecting Your Money?
Before we explore the answer to this question, let's learn more about Luno, its products, and its offerings. Luno is a cryptocurrency trade exchange that helps connect different traders from around the world to sell and buy digital assets. The platform is famous for its low fees, free signup procedure, and quick selling features.
What's more, Luno's services are pretty similar to what Binance offers. For instance, the platform assists users in trading crypto instead of simply selling or storing them.
Here are a few prominent services that Luno offers:
Instant Sell and Buy: It helps users trade cryptocurrencies Ethereum and Bitcoin quite effortlessly. There is a fiat fee, but there are transaction limits in most countries as well.
Luno Exchange: This service works like a trade room where crypto pairs can be traded. There are various charts and indicators for beginners and professional traders.
Luno Wallet: This wallet offers a secure environment for your crypto, and you can store almost 95% of crypto in a deep freeze wallet that comes with multiple-signature security. This facility ensures that your coins stay with you at all times.
App: Luno App is a well-designed application available for iOS and Android users. The app offers a seamless experience and is considered quite efficient.
All the above features make Luno an excellent platform for cryptocurrency enthusiasts, but is Luno safe? The platform's official website mentions that Luno is a secure, compliant, and transparent platform.
The platform applies strong anti-money laundering policies and Counter Financing of Terrorism controls, ensuring that Luno conducts itself with regulation. This company also strongly believes in customer protection and makes sure that the cryptocurrency held or sold by consumers goes through a strict third-party verification.
According to a report published on the website, it is pretty clear that the platform provides its nine million users with all the security they require. In addition, the Luno wallet is considered one of the safest and secure ways to store cryptocurrency and keep all the cryptos accessible.
What's more, the company also follows many different security standards. This, again, reflects that Luno believes in regulation and client protection at all levels.
How Do Governments Regulate Luno?
Unfortunately, Luno isn't regulated by the government. That's because there is no external body present to regulate the entire cryptocurrency market, so Luno also doesn't receive that treatment.
The cryptocurrency exchange platform falls under the Central Bank of Malaysia. This bank works as a crypto reporting authority, so Luno is registered with this private body. But that doesn't mean that Luno is unsafe or illegal.
Despite not being regulated, the exchange is safe and offers a secure trading system. As stated earlier, Luno follows the anti-money laundering compliance and ensures that the cryptocurrency of all its users is safely stored in Luno wallets.
Furthermore, Luno believes in regulation and follows all the industry standards for customer protection. Therefore, it is safe to conclude that Luno looks after your money in any way it can.
Has Luno Had Any Security Compromises?
No, there have been any incidents of security comprises yet. That's because Luno believes in working with regulators, ensuring the safety of their clients' money. Moreover, the platform aims to build a regulatory framework for crypto exchanges to trade without any security concerns.
Luno Security Rules
Luno takes the security of your cryptocurrency as its top priority. Considering that, here are some standard security rules that the exchange follows.
Deep Freeze Storage
Luno stores most of the cryptocurrency in deep freeze wallets with multi-signature security. The keys to these wallets are stored and generated offsite and offline.
Additionally, all the keys are protected by the famous Bitgo Custody. This company provides secure custody of digital assets worldwide.
Hot Wallet
As stated above, Luno provides all its customers a hot wallet that helps make quick transactions with their Bitcoin. The keys to this wallet are usually stored in geographically dispersed boxes. Additional security is practiced through external custody of these keys.
Air Gaps
One of the best things about Luno is that it stores the keys offline, ensuring that they are not connected with any internet sources. This act decreases theft chances, as there is limited physical access.
Luno stores the airgap machine in a security vault located in an offsite place. This again makes it difficult for hackers to access the wallets.
Luno also practices strict authentication procedures. Here are a few examples.
Two-factor Authentication: This authentication offers excellent security for the customers. It adds an extra layer of protection through a one-time unique code easily accessible through your phone.
Passwords: If you are a trader at Luno, know that no one except you will learn about your password. Every password created on the platform appears in the form of hashes. Moreover, the platform also ensures that all its users apply only strong passwords when signing up.
Other than the above measures, Luno also ensures that:
All high-risk transactions made through an account should be authorized appropriately.
The entire financial and personal data of a user is conveniently stored in cloud folders, following strict security rules.
Amazon Web Services proudly host the infrastructure of Luno. The former company ensures that all Luno customers get accessible services and control their money. Moreover, constant monitoring happens over every account.
All employees follow the two-factor authentication security to access any internal services. Besides, anyone who joins Luno should pass a criminal background test before securing a position.
The company partners with many security researchers so that Luno's security policies remain top-notch and highly effective at all times.
Luno Pros and Cons
Here are somepositives and downsides of Luno. Take a look and see whether this exchange platform suits your needs or not.
👍 Luno Pros
• Luno is a functional, secure, and easy-to-use cryptocurrency exchange platform.
• The signup process is free, and the initial fees are pretty low.
• Luno offers a high quality of security for all its members.
• The platform provides quick services and is also appropriate to trade high volumes.
• This exchange is quite suitable for beginners.
• Luno supports both bank transfers and credit cards.
👎 Luno Cons
• While it is safe, the platform isn't regulated by a government body.
• Any referral program is absent.
• This platform doesn't offer high liquidity.
Is Luno Good For Beginners?
Yes, it is. As explained earlier, Luno is a low-fee cryptocurrency exchange ideal for anyone with a low initial investment. Moreover, the signup process is quick and straightforward.
But what's more convenient is that this platform offers excellent security for its members. So even if this is your first time on an exchange, Luno makes sure that you don't suffer from any security incidents that might make you lose your trust in this platform.
Top 10 Luno Reviews
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Comment
I didn't like this company. There were already very terrible slippages, most of the transactions were knocked out with hairpins, which disappeared after a couple of days, somehow looks like a fraud. Yes, and the money was withdrawn for 2 months ...
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I got burned trading with this broker. The first month even made a profit. I remember how much joy there was then) But already in the second month something went wrong. It was unprofitable, like the third one, although the losses were not very large, so I did not expect anything bad, on the contrary, I thought that there would be a reversal now. And then in one day my money was gone!
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Comment
I was looking for a reliable company that makes it possible to use cryptocurrencies to receive passive income. You cannot invest in accounts with a deposit freeze and high-interest rates on Luno. But for funds free from trading, the broker charges from 2%, which, together with high-security guarantees, suits me. After I studied the trading conditions of the broker, I began to think that it would be nice to try trading. Luno offers authored training courses. I will have to look for information on other resources, but I will definitely trade on luno.com.
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Comment
I trade on Luno using a mobile application that can be downloaded from markets or via a QR code on the company's website. I can't devote much time to trading, so I liked Luno’s customizable automatic coin purchase function. Additional pluses of the interface and trading platform are understandable even for a beginner. The methods for withdrawing funds in fiat for different regions are different, but basically, it is a bank transfer, which is not very convenient for me. The advantage is that only the receiving bank takes the commission. In general, I am satisfied with this broker.
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Comment
Any crypto exchange, to one degree or another, focuses on attracting customers through various bonuses and promotions. Luno also has such offers, but my choice was not based on the number of free goodies. First of all, I liked the broker because its trading commissions are much lower than those of its competitors. Another important point is the high degree of account security and guarantees of the safety of funds. I have only recently cooperated with Luno, but I am already convinced that trading here is profitable and safe.
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Comment
I decided to trade cryptocurrency, but I was unlucky and ended up with scammers! They don't understand anything about trading on the crypto market at all, because it is designed only for the fact that you will replenish your account and you will be blocked. Complete rip-off.
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Comment
I read a lot of negative reviews about the Luno terminal, but I like the software that the broker provides. The advantage of its trading platform is that it is not overloaded with technical indicators, the excess of which often affects performance. Technical analysis gurus will not agree with me, but I belong to those traders who, when opening positions, are based on macroeconomic data and current stock news. The main disadvantage of the Luno broker is that the movement of fiat funds is only allowed using a bank transfer.
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Comment
The Luno exchange offers a small list of popular cryptocurrencies. I am not interested in illiquid assets, so this set of instruments is more than enough for me. For each country, the number of instruments for trading and the size of non-trading commissions are different, so it is better to refer to the luno.com website for specific numbers. I work mainly on Ether and fiat pairs on it. I am satisfied with the commissions: the broker takes only 0.1% for trading, and the withdrawal in crypto to the Luno wallet is free, not counting the small network fees for miners. Money is always withdrawn without delay and without providing additional documents.
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Comment
Luno scammers say their company is based in London. But try this company in London, it won't work. I have written to tech support more than once since my account was blocked. Only one letter was answered, in which they wrote that the question was received, wait for an answer. I've been waiting for a month and trying to find these Luno scammers. But so far no result!
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Comment
I did not regret that I took the choice of the company seriously and settled on the Luno broker. Six months ago I lost my mobile, and at that time there was a serious amount on my account, the loss of which was simply unacceptable for me. I could not provide the 2FA code, as well as other data for authorization, but the support service specialists nevertheless solved my problem. Of course, I had to go through a long procedure with the provision of documents, selfies, and other things. But everything worked out: the money remained intact, access was restored, and I trade again. Although before that I considered Luno a decent broker, now I definitely won’t even consider another company!
FAQs
What are the cryptocurrencies that this exchange offers?
Luno currently only deals with Bitcoin and Ethereum.
How to trade on Luno?
If you want to buy or sell a currency on this exchange, use the simple-to-use app available for iOS and Android users.
Is Luno safe?
With high and well-curated security policies and compliances, Luno is a safe and legit platform for beginners and professional traders.
How does it offer a good customer experience?
Luno offers features such as instant buy and sell and convenient bank transfers that help enhance the customers' overall experience.
Team that worked on the article
Andrey Mastykin is an experienced author, editor, and content strategist who has been with Traders Union since 2020. As an editor, he is meticulous about fact-checking and ensuring the accuracy of all information published on the Traders Union platform. Andrey focuses on educating readers about the potential rewards and risks involved in trading financial markets.
He firmly believes that passive investing is a more suitable strategy for most individuals. Andrey's conservative approach and focus on risk management resonate with many readers, making him a trusted source of financial information.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO).