Luno South Africa Review - Is It Legal? Is it Cheap?

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Launched in 2013, Luno is a popular cryptocurrency exchange that functions in more than 44 countries, including Africa. Previously known as BitX, the exchange achieved a rebranding and got its final name Luno in 2017.

With more than 3 million people using this exchange, Luno has never compromised with its services. Additionally, it is famous for its user-friendly operations and good customer service, making the exchange worth every trade risk.

This article will discuss Luno South Africa in detail. Does Luno work in South Africa, and is Luno legal in the country? Dig in to find answers to these burning questions.

Is Luno Available in South Africa? Is it Legit?

Yes, Luno is available in South Africa and is very much legit. According to the exchange’s official website, Luno is registered with the Financial Intelligence Center. The official body helps detect crimes and identify money laundering and terrorism finance issues. In a nutshell, the institution protects and maintains the integrity of the financial system in South Africa.

Besides, Luno South Africa works with regulators within the country to establish effective regulations for cryptocurrency trading. In addition, the exchange follows strong AML (anti-money laundering) and KYC (know your customer) compliance to ensure a smooth practice of this trading.

Unfortunately, there are no common laws that govern the trading of cryptocurrencies in South Africa. In 2014, the South African Reserve Bank did issue a paper stating that cryptocurrencies are not legal tender in the country.

Nevertheless, according to stats, 7.1% of the entire South African population own a cryptocurrency, proving its popularity. Moreover, thanks to exchanges such as Luno South Africa, safety regarding trading isn’t an issue anymore.

Is Luno South Africa Safe?

Yes, Luno South Africa is a safe exchange, and we have strong reasons to prove that. The platform offers excellent security, ensuring that you don’t hesitate while using it for trading.

For starters, here are some essential security rules that Luno South Africa follows:

Deep Freeze Storage

Luno stores your currency in deep freeze storage with tight security. The storage wallets have multi-signature security, and the keys to the wallet are stored both offline and online.

What’s more, Bitgo Custody looks after the storage of the keys. This company is popularly known for its high-security practices.

Hot Wallet

If you want to make convenient Bitcoin transactions, Luno South Africa is a great option. The exchange offers every customer a hot wallet, ensuring quick processing of cryptocurrency. Additionally, a third-party security company secures the keys to these hot wallets.

There are other ways to keep your currency safe in Luno, South Africa.

  • Two-factor authentication: With an added layer of protection, it becomes pretty difficult for anyone other than the owner to access a wallet. Two-factor authentication ensures that a significant percentage reduces the chances of theft.

  • Passwords: Luno South Africa makes sure that every client who joins them applies a solid password for their wallet, limiting unnecessary access.

  • Staff: No staff member at Luno South Africa has the permission to access any client wallet. In case of assistance, only the customer is allowed to get hold of their storage.

Luno South Africa makes sure that their client's funds are safe in their hands. This gives you the confidence required to be a part of the Luno family.

Luno South Africa - General Information

Luno South Africa is famous for its efficient services. Besides, the platform offers many cryptocurrencies for traders interested in trading. Below we have curated a table highlighting some general information on this platform.

Features Luno South Africa

Currency

Bitcoin, Ethereum, Bitcoin Cash, USD, XPR, Litecoin, Uniswap and Chainlink.

Deposit Fee

For cash deposit: R 20 +5%
For EFT: Free
For Instant EFT: 1.40%

Spread

Market

Instruments

Cryptocurrencies

Instant buy/sell fees

2.00%

Withdrawal fees

Free

👍 Luno South Africa Pros

This exchange is a safe and secure platform for traders living in South Africa.

Luno offers a quick Bitcoin transaction process, courtesy the hot wallets.

The fee structure of this exchange is affordable for the citizens of South Africa.

Luno South Africa offers many cryptocurrencies for trading.

The exchange supports both credit cards and bank transfers.

If you are a beginner, Luno South Africa is a convenient exchange to start your cryptocurrency trading journey.

👎 Luno South Africa Cons

Since Luno doesn’t offer high liquidity, it might not be considered suitable for everyone.

Unfortunately, the platform doesn’t offer any referral programs.

Luno South Africa - Fees

As highlighted many times above, the fee structure at Luno South Africa is fundamental and cheap. The platform charges a minimum deposit fee, and there are no charges for withdrawing money.

Further, the instant buy/sell fees are also around 2.0%, something that every other exchange charges. The table below summarizes the complete Luno South Africa fees.

Luno South Africa Fees Fees

Deposit Fees

For cash deposit: R 20 +5%
For EFT: Free
For Instant EFT: 1.40%

Instant buy/sell fees

2.00%

Send Fees

Varies

Receive Fees

Free

Withdrawal Fees

Free

Taker Fees

0.10%-0.03%

Luno South Africa - Supported Coins

Luno South Africa is an excellent opportunity for traders to explore different types of currencies. This platform supports eight different coins.

So, whether you want to trade Ripple or deal with Bitcoin, the exchange offers you an excellent opportunity to experience the best of cryptocurrencies available in the market. Below is the list of coins that this exchange supports.

One of the best things about Luno South Africa is that the exchange isn't biased. The value of every currency presented is authentic, ensuring that every trader gets to taste the actual value of each coin.

How to Withdraw From Luno South Africa

If you wonder how to withdraw from Luno South Africa, this section will help you find an answer. The good news is that you can easily withdraw the South African currency, ZAR, from this exchange.

Here is the process that you will have to follow:

  • Enter the Wallets screen and select the wallet with your local currency.

  • Once done, choose the option of Withdraw.

  • Now enter the amount you want to withdraw.

  • Now tick on the check box before clicking on Next.

  • Select Confirm after a confirmation message appears.

  • End the process by adding your Luno pin and finalizing your withdrawal procedure.

That said, there is a limitation on the amount of funds you can withdraw. For every withdrawal, the maximum amount is R5 million.

This is an express withdrawal procedure for Luno South Africa’s client. The amount you take out through a standard process takes at least two days to appear in your bank account.

However, your funds can appear in less than two days with the express method. However, before you follow the above steps, make sure your bank account is linked with the exchange for a smooth withdrawal process.

Summary-Is Luno South Africa a Good Exchange?

Is Luno legal in South Africa, and is it cheap? Yes, it is. Luno South Africa is an affordable cryptocurrency exchange that offers efficient services for its clients.

Moreover, the fee structure of the exchange is straightforward, so you can withdraw and deposit funds with ease. These fantastic properties make Luno South Africa a tremendous exchange in the country. Besides, its strong security regulations make the platform safe for every new and professional trader.

Top 5 Luno Reviews

  • Luno

    ursulaex60

    08.02.2023

    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 ...

  • Luno

    MalirKn

    09.08.2022

    Comment

    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!

  • Luno

    RobertGor

    23.02.2022

    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.

  • Luno

    Wilberen

    12.01.2022

    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.

  • Luno

    kathrynzb69

    11.11.2021

    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.

FAQs

Here are some common questions on this topic.

Can I trust Luno South Africa?

Yes, you can. With high-security regulations, the exchange makes sure that your funds are safe at all times. Besides, since the platform has millions of customers globally, you can trust it for excellent customer service.

Can you lose money with Luno?

No, you can’t until you aren’t careful. Scammers often portray themselves as Luno traders, agents, or partners, requesting you to send them your money. As a result, they get all the control over your account.
To avoid this, do not trust anyone other than Luno’s official agents with your transactions.

Is Luno South Africa affordable?

Yes, it is a cheap exchange. However, you will be charged an amount for your deposits, which isn’t too substantial.

Is Luno a safe exchange for Bitcoin in South Africa?

When it comes to Bitcoin, Luno South Africa is the most trusted exchange. You can easily start trading on your digital account and earn good profits.

Team that worked on the article

Bruce Powers
Contributor

Bruce Powers is an expert trader and technical analyst with over 20 years of experience in Forex, commodities, ETFs, cryptocurrencies and other assets. He is an active trader, technical and fundamental analyst, media commentator, educator and a writer. As an author for Traders Union, he contributes his deep analytical skills, expertise and understanding of the global economy and financial markets to provide market analysis and insights. Powers is also a frequent guest on business TV news shows.

Peter Emmanuel Chijioke
Contributor

Peter Emmanuel Chijioke is a professional crypto, blockchain, NFT, Metaverse and Web3 writer, and a contributor to the Traders Union website. With a background as a top programmer and a computer science graduate, Peter has been writing articles related to crypto, blockchain, and related technologies since 2018.

Mirjan Hipolito
Cryptocurrency and stock expert

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). Mirjan is a cryptocurrency and stock trader. This deep understanding of the finance sector allows her to create informative and engaging content that helps readers easily navigate the complexities of the crypto world.