Luno Review For Australians: Here’s Why We Didn’t Rate It

Last Updated on December 24, 2023 by Kevin Groves

Luno is a popular crypto exchange that offers traders and investors easy access to cryptocurrencies. The cryptocurrency exchange is beginner-friendly, however, it offers a limited number of crypto assets. Read our full Luno review to see if it’s the right exchange for you. 

Luno Pros Explained

• Beginner-friendly exchange: Luno has a user-friendly interface and a simple platform that makes the exchange suitable for beginners. 
• Supports AUD deposits: Australian customers can deposit and withdraw funds from their Luno accounts in AUD. The available payment methods include debit/credit cards, PayID, and bank transfers. 
• Mobile app available: Mobile-first users can access the Luno mobile app on Android and iOS to trade and manage their accounts on the go. 
• Crypto wallet available: Luno has one of the most secure crypto wallets that customers can set up immediately after signing up on the exchange. Each coin Luno customers invest in can have dedicated multi-signature wallets. 

Luno Cons Explained

• Limited coin support: Only ten cryptocurrencies are listed on the Luno exchange, which is a significant downside to the platform. 
• No advanced trading features: Luno offers simple trading features to cater to beginner traders. Investors can only trade in the spot market. The platform doesn’t support advanced trading features like grid, derivatives or leveraged trading. 
• High transaction fees: Luno charges a 2% fee for instant buy/sell, which is relatively high compared to the 0.5% fee for instant crypto purchases on a competitor exchange like Binance.

Who Should Use Luno Exchange?

Luno is a simple trading platform built for crypto beginners. The exchange only offers trades in the spot market and supports only Bitcoin and ten other altcoins like Ethereum. As a result, experienced traders may tilt towards more comprehensive exchanges like Binance.

Luno At A Glance

Here is a quick summary of Luno.

Exchange Name	Luno
Supported Countries	Worldwide (including Australia)
Fiat Currencies Supported	8 including AUD
Supported Cryptocurrencies	10
Markets	Spot only
Deposit Methods	Debit/credit card, bank transfer, PayID, crypto
Deposit Fees	Bank transfer and PayID: $1.30 fee if <$50. Credit/debit cards: 3.50%.
Trading Fees	Instant: 2%. Exchange: 0.03% (maker) 0.10% (taker)
Withdrawal Fees	$1.30 fee if <$50.
Customer Service	Email, live chat
Mobile App	Yes (Android and iOS)

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Our Thoughts on Luno’s Features

Luno wallet makes investing simple

The Luno Mobile Wallet is a secure crypto wallet integrated into the Luno mobile app. Luno stores customers’ assets and private keys with this wallet. So, with the Luno Wallet, you can prevent your assets from being stolen by malicious actors, as only you can access the private keys for transactions. 

The Luno wallet supports the buying and selling of cryptocurrencies using fiat currencies and crypto. All the available crypto assets on Luno are supported by the savings wallet, offering instant crypto purchases to users. Luno Wallet is a hot wallet, similar to Coinbase Australia’s Wallet, so it’s not a good option if you prefer cold storage. Despite this, crypto noobs just getting their feet wet using the Luno Wallet since it’s so easy to use.

Repeat buys so you can invest slowly

More commonly referred to as recurring purchases, Luno has a Repeat Buy feature to automate your crypto purchases through Dollar-Cost-Averaging (DCA). With this feature, you can save time and mitigate the risk of volatility by purchasing the same assets in real time with live market prices. You can set a schedule to buy Bitcoin daily, per week, or monthly. The Repeat Buy feature is suitable for beginner investors who want to make repeat orders without going through the platform every single time.

Multi-buys so you can diversify easily

If you’re considering diversifying your portfolio by combining multiple crypto assets into one purchase, Luno lets you do this using the Multiple Purchase feature. With the feature, you can choose from the coins listed on Luno and split your investment amount across these assets for better profitability. This feature is better suited for advanced investors who want total control and a diversified investment portfolio at a reduced fee. 

Buy and trade all the major cryptocurrencies

One of the downsides to Luno is its limited support for a range of cryptocurrencies. The exchange only supports 10 digital currencies including Bitcoin, Ethereum, Cardano, USD Coin, Ripple, Solana, Chainlink, Uniswap, Litecoin, and Bitcoin Cash. Although Luno has limited coin support, the exchange lists the most popular cryptocurrencies on the market.

These coins typically offer higher Returns on Investment (ROI) over the long term, so as a beginner, you may not be missing out on so much if you pitch your tent with Luno. If you plan on buying altcoins in Australia, you’ll need to seek an alternative exchange that supports at least 300 digital assets. Examples that we have reviewed include Binance Australia (380+), Swyftx (320+), and CoinSpot (370+).

Fast deposits & withdrawals to your bank

Another reason to consider choosing Luno is its fast withdrawals and deposits. Apart from providing Australian-friendly AUD payments via PayID and bank transfers, withdrawals and deposits are processed quickly. 

For instance, Luno deposits via bank transfer are processed within 48 hours, which is faster than Binance deposits, which may take up to 4 business days. Withdrawals are processed within 24 hours. This means on Luno, you have quicker access to your funds and can buy, trade and withdraw your funds in no time.

What Are Luno Fees?

Deposit & withdrawal fees

You can near-instantly deposit Australian Dollars into your Luno wallet for free via bank transfer or PayID. A minor and annoying fee of $1.30 will apply if the deposit amount is less than $50 which shouldn’t pose many issues for most Australians. Similarly, withdrawals of AUD are also free but a $1.30 fee applies if the withdrawal amount is less than $50.

Trading fees

Luno charges a 2% fee when customers buy and sell using its savings wallet or Instant Buy/Sell feature. Considering that the 1% fee on CoinSpot is already considered high, Luno is unnecessarily expensive to use if you intend on using the Instant Buy/Sell feature. With the abundance of crypto exchanges available to Australians, there are simply a lot of cheaper options out there such as Swyftx (0.6%) and Independent Reserve (0.5%).

Luno uses a maker-taker model for crypto trades. All maker fees are 0%, but taker fees range from 0.03% to 0.10%, depending on your customer tier and trading volume.

In terms of transaction fees, Luno deposits and withdrawals are affordable for Australians – all you need to do is deposit above $50 and get it processed for free. Luno has maker and taker fees as low as 0.03%, making it a very affordable exchange for crypto trading. However, the 2% instant buy/sell fee is relatively high compared to what is obtainable on competitor exchanges like Binance and Coinbase.

Fee Type	Luno	Binance	CoinSpot
Deposits	Bank transfer and PayID: $1.30 fee if <$50.	None	BPAY: 0.9%, cash deposits: 2.5%
Withdrawals	$1.30 fee if <$50.	None	None
Trading	0.03% (maker) & 0.10% (taker)	0.1% (maker) & 0.1% (taker)	0.1%
Credit/debit cards	3.50%	2%	2.58%

Supported Cryptocurrencies & Trading Pairs Are Limited

Luno supports ten cryptocurrencies and 50+ trading pairs, as discovered during our Luno review. While the coin support is low, the trading platform offers popular cryptocurrency assets such as Bitcoin and Ethereum. Notable omissions from Luno’s supported asset list include popular meme coins Dogecoin (DOGE) and Shiba Inu (SHIB).

• Bitcoin (BTC)
• Ethereum (ETH)
• Solana (SOL)
• Cardano (ADA)
• Ripple (XRP)
• USD Coin (USDC)
• Bitcoin Cash (BCH)
• Litecoin (LTC)
• Chainlink (LINK)
• Uniswap (UNI)

These cryptocurrencies are also paired with other cryptocurrencies and fiat to offer tradable pairs in the spot market. Here are some popular trading pairs:

• BTC/AUD
• BTC/XRP
• ETH/BTC
• LTC/BTC
• SOL/BTC

The tradable assets and trading pairs supported on Luno are significantly limited compared to other exchanges, like Binance Australia with 380+ digital assets, and Coinstash with 410+ crypto assets.

Getting Started on Luno

Verifying your account

Luno requires every new user to undergo a mandatory ID verification process as part of its Know-Your-Customer (KYC) and Anti-Money Laundering (AML) compliance. Investors can only buy or sell crypto on Luno once they are verified.

After creating an account, the platform automatically begins the verification, requesting you to add your details, including your full name, address, and job details. You must also upload a picture of a valid ID document and snap a selfie. Luno also requires that you add and complete a phone verification process. 

The ID documents include a passport, driver’s license, or government-issued ID. Once all the documents are submitted, the team will review them and update you on your verification status. This was completed within a few minutes during our review.

Funding your account

Once verification is completed, you can fund your Luno account using crypto or fiat currencies. Since Luno supports AUD, you can make direct AUD deposits via bank transfer and PayID. You can also use your credit card to purchase Bitcoin and other altcoins directly. However, before buying crypto on Luno, you must create a crypto wallet to store your assets. The good part is that this is all part of the funding process, so you don’t need to create a wallet separately.

After creating the Bitcoin wallet, you can choose between a one-off purchase or a repeat buy and deposit funds into the Luno account using the “Add Money” button. Luno has no deposit limits for Australian customers, making it easy for you to buy crypto according to your investment plan.

Luno Is Easy To Use (But Limited on Trading Features)

Luno prioritises easy trading and investing. It offers a simple platform with only a spot market, making it seamless for beginner investors to buy, sell, and trade crypto coins and trading pairs. Similarly, the cryptocurrency trading site offers Australian customers crypto-to-crypto and crypto-to-fiat transactions. 

Although the Luno trading interface is basic with just the necessary features for spot trading, it still comes equipped with TradingView charting. With the “Trade” feature, you can choose any of the available trading pairs and set limits. You can also monitor trades using price alerts. 

In addition, there are live charts on the spot market with basic indicators and tools like Accumulative Swing Index, Average Price, Average Directional Index, Bollinger Bands, and more. Switching across multiple trading pairs is near instant. However, there are no advanced trading features like margin, futures, or derivatives trading on Luno, limiting the platform compared to major competitors. The limitation makes Luno better suited for beginner traders.

Comes With A Sleek Mobile App

Luno offers a mobile app on Android and iOS devices to support its mobile-first customers. The app is intuitive and instantly responds to taps and clicks, offering beginner and experienced investors effortless trading. This app functions similarly to the desktop platform, but unlike the desktop version, the mobile app features Luno hot wallets, where you can securely store your assets.  

The Luno app has an above-average interaction rate on the Google Play Store, with a rating of 3.9 out of 5. There are a few complaints about deposit and transfer issues, but over 70,000 mobile users have given the app a 5-star rating. In contrast, the app’s interaction rate on the Apple App Store is high, with a slightly better rating of 4.3 out of 5. iOS users love the app for its ease of use and no-frills trading experience, which we also discovered to be true during our review.

Customer Reviews Are Mostly Positive

During our Luno review, we discovered that the exchange maintains a 4-star rating for customer support on Trustpilot. This is likely because the cryptocurrency platform offers various support features, including 24/7 customer aid. 76% of the total reviews were positive, and online reviewers rate the platform highly because of its region-specific offerings, decent fee schedule, and user-friendly interface. 

We also discovered during our review that the Luno support team responds to positive and negative reviews with detailed explanations and guides, which may come in handy to solve users’ issues.

Customer Support Is Responsive

To cater to its customers and help them navigate whatever issues they may encounter when using the exchange, Luno provides a Live Chat feature and a “Contact Us” page, where customers can send an email or report suspicious activities. There’s also a “Help Centre” with frequently asked questions (FAQs) and learning materials to aid easy platform usage. 

You can try out the Live Chat feature on Luno. The chatbot is quite active with a few suggestions about common issues, and you should be connected to an agent within a few minutes, which is commendable. 

So, Is Luno Safe?

The Luno platform excels with its different robust security measures to protect customers’ funds and data. The exchange claims to store the majority of users’ assets in a ‘“’deep freeze’”’ cold storage that is entirely offline. At the same time, your keys are stored offline and managed by the highly-regarded security company BitGo. 

Luno’s hot wallet is also secured with multi-signatures that must be entered for all crypto transactions, and private keys are backed up offline. Additionally, the industry-standard Two-Factor Authentication (2FA) is supported on desktop and mobile channels, storing passwords in hashed form so only you can access your passwords. 

Luno is also regulated in Australia. And from our research, the exchange has never been hacked, so it seems to suggest the security architecture on Luno is quite effective.

Frequently Asked Questions

Our Final Luno Verdict

There are numerous crypto exchanges available in Australia, and Luno is one of them. The exchange offers a smooth trading experience with its simple trading platform, instant buy/sell, and repeat buy features. 

Beginners will find it easy to get started on the cryptocurrency trading platform. However, with its limited coin support and lack of advanced trading features like futures trading, if you’re an experienced investor, you may find alternatives like Coinbase and Binance better suited to your needs.

Luno Alternatives You May Want To Consider

Luno is a viable exchange to invest in Bitcoin and other major altcoins. But it is behind the pack in terms of its features whereas other beginner-friendly platforms are better developed. If you’re still considering your options after this review, then you may be interested in reading about these exchanges that offer similar services.

• Bybit: A fully established, robust, and feature-rich crypto exchange that also offers trading bots. Bybit offers outstanding fees for its spot and margin trading markets, all of which can be accessed on its state-of-the-art mobile app. Since the exchange is not regulated in Australia, you don’t need to complete KYC procedures.
• Swyftx: Swyftx is the best Australian crypto exchange to buy and trade crypto with AUD. The AUSTRAC-registered platform provides a suite of features including over 320 digital assets, a TradingView charting package, and a multitude of AUD deposit methods, all on a uniquely designed interface that can be customised.