Best Finrax Brokers 2024

Finrax is a cryptocurrency payment gateway that allows traders to deposit and withdraw using both digital and fiat currencies. The Sofia-based service provider was founded in 2018 and promises to improve the cryptocurrency gateway landscape by tackling two key issues: volatility and hidden fees. In this review, we explain how Finrax gives traders a better payment experience by tackling these dual concerns. We also give the low-down on fees, how to deposit and withdraw with Finrax brokers, and discuss all-important security.

Use our ranking of the best UK brokers that accept Finrax deposits to get started:

About Finrax

Finrax operates in more than 20 countries worldwide including the UK, with three major office locations, processing more than 60m in volume monthly. It is authorised and licensed by the Estonian Financial Intelligence Unit via its subsidiary, Finrax Exchange OÜ.

The firm works like any other payment gateway. When you go to deposit or withdraw, you will be given the option of a payment method, select Finrax and then the currency you would like to work with, such as GBP. Once chosen, it will provide you with a list of cryptocurrencies and their exchange rates.

The gateway supports more than 20 cryptocurrencies and over 30 fiat currencies for pairing. Importantly, brokers that accept Finrax deposits may vary their currency selection.

How Finrax Works

Volatility

Finrax is different from other payment gateways in that it aims to shield traders from inherent volatility in the crypto market. It does this by offering the option of fixed exchange rates to traders that want to avoid fluctuations caused by market volatility.

In this case, the rate provided when you receive your one-time payment code will be locked-in for a short period of time (variable by Finrax brokers). This allows you to research the current market price and trended price to check you are getting a deal you are comfortable with.

Some brokers that accept Finrax deposits and withdrawals choose to provide floating rates rather than fixed. This gives both brokerage and trader the fairest and most recent market price.

You will be able to see which rate you are getting once you have received your one-time-payment code. There will be an icon that specifies the fixed/floating rate.

Hidden Fees

The company promises increased transparency over exchange rates to traders. Where other payment gateways may inflate the exchange rate in order to hide fees, Finrax facilitates an open and transparent transaction by providing a fair exchange rate in all situations. Plus, the fixed exchange rate means you have time for due diligence. It is an opportunity to research the exchange rate to check you are getting a good deal vs the market rate.

Fiat exchange rates are updated every 30 minutes using openexchangerates.org. Cryptocurrency rates are real-time.

Transfer Speeds

Deposits take up to one hour on FP Markets using Finrax, which is comparable with other crypto payment providers. This is also much faster than wire payments, which can take two to five days, but less convenient than credit/debit card and alternative payment methods, such as Neteller, which are often instant.

Withdrawals take one business day on FP Markets and this is replicated across most brokers that accept Finrax. Importantly, withdrawal times are dictated by the trading broker, rather than the payment service provider. This is often due to KYC/AML requirements.

Payment Fees

Blockchain fees apply with all brokers that accept Finrax deposits and withdrawals.

Blockchain fees are those that are charged for processing a transaction on the network. They are usually small but can vary depending on the size of the trade and the congestion on the network. They are not charged by the brokerage or the payment service provider, they are paid to miners for facilitating the trade.

It is also worth pointing out that the top Finrax brokers cover payment charges. Infinox, for instance, will pay the fee as long as the transfer value is over $60 (~£50).

Safety

Legitimacy is key in crypto payment processing, so it is important to understand Finrax’s position in the market. The firm is a relatively small gateway company, having launched in 2018, some years behind its rivals, such as BitPay, which has been operating since before the crypto-boom.

Small players are sometimes more vulnerable to attacks as their budget for cybersecurity is smaller. Having said that, this is not always the case, and the brand has a track record of working with trusted partners such as BitGo, Praxis and IXOPAY which are renowned for their security services and ambition to ensure cryptocurrencies are safe assets.

Pros Of Finrax For UK Traders

• Lower deposit minimum vs some rival crypto payments services available with trading brokers. On FP Markets, this is $20 or equivalent (~£16). In comparison, the alternative payment service provider (PSP) requires a minimum of $60 (~£50)
• Fast withdrawal times vs alternative payment methods
• Stablecoins and standard cryptocurrencies are available
• Fixed rates available to minimise volatility
• Transparent fee structure

Cons Of Finrax For UK Traders

• Finrax brokers are few and far between, with only two available to UK traders: FP Markets and Infinox
• A limited number of deposit currencies at supporting brokers

How To Make Finrax Deposits & Withdrawals

To get started with brokers that accept Finrax deposits, navigate to the client portal.

On FP Markets, the process is simple:

1. Look for ‘crypto payments’ as a deposit method
2. You will then have two options for crypto payment services, select Finrax from the list. Here you will be able to see that the broker charges no fee for depositing with Finrax and the minimum deposit is lower than the rival PSP at just $20 minimum vs $60
3. Select one of the pre-set deposit amounts, or scroll and choose ‘other amount’
4. Select your currency, e.g. GBP, the amount you would like to deposit, and view the conversion rate. This is your chance to check you are happy with the rate vs the market
5. Press ‘deposit’ to confirm the transaction and scan the QR or copy the transaction to your crypto wallet

On Infinox, another Finrax broker, the process is similar. Here you will have 30 minutes to confirm the transaction. Then the payment will need to be confirmed by the network before it is completed. Times can vary depending on network congestion but can take seconds to around 15 minutes.

To withdraw from brokers that accept Finrax, the process is similar. Select Finrax from the list of options for payment providers, the base currency you are using to trade with and the crypto coin you would like to withdraw. The minimum withdrawal on FP Markets with Finrax is £38.

Should Traders Deposit With Finrax?

For those looking to navigate the world of fiat to crypto transactions, Finrax is as good as any payment service provider. Its transparent fee structure means you will be in-the-know about the value of your exchange rates. Plus, there is an element of protection against market volatility with their fixed confirmation period. However, Finrax brokers are limited to UK traders.

Head to our list of the best UK brokers that accept Finrax deposits to get started.

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