Our Verdict

Luno is a beginner-friendly cryptocurrency exchange founded in 2013 in the UK. Its range of tradable assets may be smaller than competitors, but it offers the most popular cryptocurrencies, making it suitable for casual and beginner traders. The platform’s fees are competitive but vary depending on regions and trading volume.

Its strong features include a user-friendly interface on both the desktop and the app, making it easy to buy and trade crypto on the spot market. Security measures, such as multi-signature wallets and two-factor authentication, ensure a safe trading environment. Although Luno excels in simplicity, its limited advanced trading tools might challenge advanced traders seeking multiple trading strategies.

Overall, Luno is an excellent choice for new and mid-level traders who prioritize ease of use and security over advanced trading functionalities.

Luno Pros and Cons

Is Luno Right for You?

Not all traders are the same. Some seek easy apps for trading on the go, while others look for advanced features like leverage or social trading. When reviewing exchanges, we cater to all types of traders, from beginners to advanced. We divided all traders into seven main target groups.

Our thorough yet straightforward method ensures a clear understanding of trading strategies and their requirements. By assessing, ranking, and recording key factors, we determine how well the exchange meets the needs of each target group. We use three types of rankings: perfect match, good choice, and not recommended. Here’s our verdict:

Casual Traders: Acceptable Choice

Luno is an acceptable choice for casual traders due to its beginner-friendly interface and simple account setup. While its trading and non-trading fees are competitive with exchanges like Binance, Bitstamp, and Kraken, the limited range of cryptocurrencies and trading pairs could be a drawback for those seeking more variety.

Luno offers security measures like two-factor authentication, 1:1 crypto storage, proof of reserves, and multi-biometric authentication.

Day Traders: Acceptable Choice

Luno is an acceptable choice for day traders. While it provides essential trading tools like charts and indicators, its offerings are limited to advanced trading. Day traders who need extensive trading pairs and categories, including memecoins, will find Luno below average.

However, the platform’s security and simplicity can appeal to those who focus on major assets rather than a broad portfolio. There are Bitcoin, Ethereum, Litecoin, Solana, XRP, and other popular crypto exchanges. Moreover, it has 100+ trading indicators.

Hodlers & Position Traders: Not recommended

Luno is not recommended for hodlers and position traders. The exchange only provides staking services in some countries like Malaysia and South Africa. However, it offers secure wallets and easy asset storage for hodlers and position traders.

It also offers more earning opportunities through loyalty and referral rewards. However, I found Luno unattractive for hodlers who want a broad portfolio. Supporting only 27 cryptocurrencies, competitors like Gate.io, with 700+ cryptocurrencies and 350+ cryptocurrencies, are better options.

Leverage & Derivatives Trading: Not Recommended

Luno is not recommended for leverage and derivatives trading as it does not currently support these tools. Traders looking for futures, options, or margin trading should explore alternative exchanges like Binance and Bybit.

Auto, Social & Copy Trading: Not recommended

Luno is not recommended for auto, social, or copy trading. The platform lacks integrations with social trading networks or automated trading tools. For copy trading, eToro and Bybit emerge as better options. Zignaly and eToro offer social trading, while Pionex and Bitsgap provide bots for auto trading.

Algorithmic Traders: Acceptable Choice

Luno is an acceptable choice for algorithmic traders. The API access it provides primarily supports trading Bitcoin and Ethereum. With the Luno API, developers can access current and historic cryptocurrency market data, create trade orders, view order status, and access Bitcoin and Ethereum wallet addresses.

While the platform can facilitate rapid trade execution, I discovered that Luno doesn’t offer back-testing or a sandboxing environment. Nevertheless, a decent liquidity score of 556 on Coinmarketcap (Nov 2024) helps Luno support high-frequency trades.

DCA Investors: Perfect Match

Luno is a perfect match for DCA investors, offering an easy way to set up recurring purchases. Its simplicity and focus on major cryptocurrencies make it ideal for consistent accumulation over time, especially for beginners.

However, for those seeking a more diverse range of assets for their DCA strategy, Luno falls short. With only around 27 cryptocurrencies available, its limited offering may not meet the needs of more experienced investors looking for variety.

Supported Countries and Regions

Luno operates in over 40+ countries, with a strong presence in regions such as Africa, Asia, and Europe. This positions it as a globally accessible platform, though it falls short of competitors like Binance, KuCoin, and Bitstamp, which supports over 100 countries.

Luno does not currently operate in the U.S., a significant limitation compared to major competitors. It is also unavailable in Algeria, Bangladesh, China, Cuba, Egypt, Iran, Iraq, Morocco, Nepal, North Korea, Qatar, Russia, Saudi Arabia, Syria, Tunisia, and Ukraine.

In South Africa and Nigeria, Luno offers lower fees and localized payment options (e.g., bank transfers). There’s also enhanced support for local fiat currency integration in countries like Malaysia (MYR). I also discovered that only countries like Malaysia and South Africa get access to Luno staking services.

Luno Bonuses and Special Offers

Luno offers a welcome bonus for new users, typically in the form of free Bitcoin credits upon completing their account verification and making their first deposit or trade. Bonuses on this crypto exchange are often region-specific and not universally available. For instance, rewards aren’t available to users in the UK. Referrals are not available in Uganda or any countries in Europe other than France.

Luno doesn’t provide regular deposit bonuses that match a percentage of deposits, as some major exchanges do. Instead, its rewards focus on usability, offering occasional fee reductions or Bitcoin giveaways during promotional events.

Join Luno using FXEmpire affiliate link.

Luno Background

Luno was founded in 2013 originally as BitX and rebranded to Luno in 2016. The platform was founded by Marcus Swanepoel, a former investment banker, and Timothy Stranex, a former Google software engineer, who aimed to make cryptocurrencies more accessible to the global population. In March 2023, co-founder and Chief Executive Officer Marcus Swanepoel moved into a new role as Executive Chairman and Chief Operating Officer. James Lanigan succeeded him as the CEO of the crypto exchange.

The exchange is backed by leading investors such as Naspers and Digital Currency Group (DCG), lending credibility to its operations.

Security and Transparency

Proof of Reserves

Luno provides Proof of Reserves (PoR) for its crypto assets, and it claims to provide a monthly report of coverage. It stores all crypto on a 1:1 basis to maintain transparency.

Deposit Insurance

Luno lacks crypto deposit insurance for digital assets and does not provide global insurance for fiat deposits. While the platform complies with local regulations for fiat currency, users should exercise caution when depositing significant amounts.

Cyber Security Measures

The exchange implements standard two-factor authentication (2FA) and multi-biometrics authentication (MBA) to secure user accounts.

General Reliability

Luno offers a bug bounty program powered by BugCrowd and offers up to $7500 as a reward. This is a lot, as some prominent crypto exchanges like Bybit only offer up to $4,000 as bug bounty rewards. This initiative offers a proactive approach to discovering and fixing potential security issues.

Luno operates in over 40 countries and complies with local regulations in each jurisdiction. The platform’s headquarters are in the UK, though its exact compliance in all regions could be better documented.

Luno maintains a high level of transparency in its communications with users. It offers clear information about its services, fees, and company operations, including details about its founders and team. It is also active on X, LinkedIn, and Telegram channels.

Verified Trusted Scores

Luno’s third-party ratings are decent but lower than those of competitors like Kraken, Bybit, or Bitstamp. Nevertheless, the exchange maintains a solid reputation within the regions it operates, without any major incidents that would significantly damage its standing.

Know Your Customer (KYC)

The Luno KYC process is quite straightforward, and the requirements vary according to the user’s location. Some countries only have Levels 1 and 2 in KYC, while others have Levels 3 and up. Luno notified that some countries may have integrated verification systems that don’t require documents.

Generally, the KYC requirements and access of each level are as follows:

When I signed up on Luno, the KYC procedure took less than 3 minutes to approve, and it gave me access to all the exchange offerings.

Is Luno Safe to Trade With?

In summary, our findings indicate that Luno has a moderate level of trust and stability due to the following factors:

• Robust Security Measures: Luno employs 2FA, biometric authentication, and multi-signature wallets but lacks deposit insurance for added protection.
• Proof of Reserves (PoR): While Luno publishes its reserves, more frequent updates and independent audits would enhance transparency.
• Operational Transparency: Luno communicates its structure and fees but could improve protections for users in all jurisdictions.

Trading Experience

Trading Test

For our trading test, we thoroughly evaluated the Luno platform. Our process included signing up, completing the KYC (Know Your Customer) verification, logging in, depositing funds, and making withdrawals. We also tested the trading functionalities by exploring different trading pairs and conversions and assessed the associated fees for transfers and withdrawals. This comprehensive test allows us to provide an informed and reliable review of the exchange’s usability, features, and actual costs. Here’s our detailed analysis:

Step 1: Setting Up and Funding Your Account

On Luno’s website, I created an account by entering my email and password. I then verified both my email and phone number.

I also had to verify my location. The location a user selects determines the type of services they get from Luno.

I started the KYC process, which involved submitting the necessary documents and taking a quick selfie. The process took around 5 minutes to complete.

I logged into my Luno account and deposited $100 worth of Litecoin from my Binance wallet. Binance charged a network fee of 0.0001 LTC.

After the deposit arrived in my Luno wallet, I saw it required 12 confirmations to be processed. It took over 30 minutes for the deposit to clear, which felt quite slow compared to exchanges like Bitstamp or Binance.

Step 2: Trading

I chose the LTC/BTC trading pair, although I was surprised to find that LTC/USDT wasn’t available, which is offered on platforms like Binance and Bybit. I found Luno’s interface to be well-organized and intuitive, making it easy to navigate.

I then converted the LTC to BTC at market price. I was charged a 0.6% fee for a 1.08077 LTC trade. The order is executed in seconds.

I then converted the BTC to LTC while setting a tight stop loss. The order was executed in less than a minute.

Step 3: Withdrawal and Review

I then withdrew the remaining 1.05799 LTC to my Binance account and was charged a network fee of 0.0001 LTC.

The trading interface is simple, but it lacks a wide range of trading pairs. For instance, there was no LTC/USDT pair, so I had to use LTC/BTC instead. I found the exchange had decent liquidity, as my trades were executed within seconds.

Depositing on Luno wasn’t the most seamless experience. It required 12 confirmations, which meant I had to wait over 30 minutes for the deposit to be processed. In comparison, at exchanges like Binance, the same deposit would typically be confirmed and processed in about 5 minutes.

Withdrawal, however, was much smoother. The fees were minimal, and the transaction was completed in less than 4 minutes.

Desktop Version

Luno’s desktop version provides a clean, intuitive interface. It doesn’t offer separate basic or pro versions, it supports a single exchange interface alongside its wallet.

Luno offers essential tools such as a simple buy/sell feature, market overviews, TradingView integration, a DCA trading tool, and wallet tracking.

While it may not be suitable for advanced traders, Luno is an effective platform for simple spot trading and portfolio management.

Trade Navigation

The trade navigation is straightforward, featuring a buy/sell section and real-time market prices on the dashboard. The interface is divided into charts, order books, trades, and user orders.

Clicking buy or sell takes users to a screen for selecting limit, market, or stop-limit orders. While easy to use, Luno offers only basic spot trading features compared to more advanced tools on platforms like Binance.

Withdrawal Navigation

Luno makes withdrawals straightforward, with a dedicated wallet section that guides users through the process. I discovered that in the wallet section users can choose to withdraw through crypto and their local bank account. Wallet security measures like “high-risk address flagging” and QR code scanning also add a layer of protection.

Order Book Navigation

The order book is easy to locate. It provides clear insights into market depth and activity. While basic market data is accessible, experienced traders might find the lack of detailed analytics and customization options a limitation compared to Coinbase, Bybit, etc.

Third-Party Sign-In

Luno supports third-party sign-in options like Google and Apple, which makes account creation and login easy. This puts Luno above other exchanges like Bitstamp, which doesn’t offer this.

Simplified Trading Process

Luno’s trading process is streamlined for efficiency, allowing users to execute trades within seconds. The platform’s simplicity appeals to casual traders, though the absence of automation or algorithmic trading tools limits its suitability for more sophisticated strategies. Furthermore, Luno lacks search functionality.

Conditional Orders

While Luno supports basic order types like market and limit orders, advanced conditional orders such as take-profit, or iceberg orders are absent. This limits the platform’s appeal for traders who require complex risk management tools or advanced execution strategies.

Mobile App

Luno offers a single app for mobile trading, featuring both an exchange and wallet interface. Users can set the trading interface as their homepage through settings. The app caters to all experience levels, with an intuitive design, strong security, and essential tools for managing trades and portfolios efficiently.

 

The Luno Exchange app features an intuitive design with clean navigation pathways, making it highly accessible for beginners. I tested version 8.72.2 of the app on Android and found the layout straightforward. The home, explore, wallets, rewards, and profile sections are clearly defined.

The Explore section stands out, offering various DCA investment options and educational resources that are easy to understand and use. The wallet section efficiently organizes cryptocurrencies and fiat balances, providing quick access to transaction history. However, I noticed that the loading time on the trading interface was slightly lengthy.

Overall, while the app excels in ease of use and functionality, adding a search functionality could enhance the user experience further.

Security Features

Luno features two-factor authentication (2FA), biometric login, and real-time alerts for unauthorized access. Additional measures, such as QR code scanning for secure transfers and “high-risk addresses,” enhance wallet protection and transaction safety.

Core Features

The mobile app has core features such as trading, market discovery, watchlist management, quick trade execution, withdrawal ease, portfolio clarity, and price/security alerts.

My Key Takeaways After Testing Luno

After exploring all the exchange and wallet services Luno has to provide, here are some things users have to keep in mind:

• Based on my testing, Luno is a buy-and-sell crypto exchange for beginners. It offers only spot, API access, and DCA trading as its major offerings.
• For its spot trading, it offers a TradingView integration with around 107 technical indicators. Its staking service is only for users in South Africa and Malaysia.
• Luno competitors like Binance and Gate.io have pro and basic versions with more advanced trading strategies like derivatives, margin, futures, and copy trading. Luno is just a simple trading platform for beginners and casual traders.

Overall, I think Luno is a basic crypto exchange meant to buy only major cryptocurrencies like Bitcoin and Ethereum. I’d recommend that advanced crypto traders look for other exchanges with more trading features and offerings. However, if you’re looking for something simple, Luno could be a good choice.

Fees

Spot Maker/Taker Fees

In our review of spot fees, we examine spot fees across three distinct tiers, focusing on the fees for different trading volumes. We focus on the essentials and potential savings through native tokens and various discount schemes. Our unique methodology provides a clear view of fee structures and how they benefit traders of all levels.

The first tier typically represents casual traders, as they don’t usually trade more than $10,000 per month, while the higher tiers often relate to more advanced traders. Using this method, we’re categorizing users not only by their trading style but also by the amount of money they spend on the exchange.

Additionally, we also compare these fees with industry standards to give a thorough perspective on each exchange’s affordability. We calculated an average trading fee for Luno Exchange to provide a better overview of their fee structure.

The maker/taker fee model at Luno varies by country. However, countries like the United Kingdom, Australia, and Uganda have the lowest fees for this exchange. Tiered pricing offers discounts as trading volume increases, incentivizing high-frequency and institutional traders. In this model, makers pay higher fees than takers.

These are Luno’s fees in some of the popular countries:

Luno’s fee structure is competitive compared to industry averages in the UK, Uganda, Indonesia, and Australia. The calculated fees are based on the typical trading volume range equivalent to $0 – $10,000.

In Nigeria, South Africa, and Malaysia, the trading fees are at the high end compared to Binance, Gate.io, etc. Also, the lack of advanced rebates or rewards programs for high-tier users may place Luno at a slight disadvantage compared to exchanges that integrate loyalty incentives, such as Binance or KuCoin.

In practice, the 0% maker fee in the UK and other countries stands out as a significant cost-saver for those employing limit orders to execute trades. For example, a trader using a $10,000 position would pay $10 at a 0.1% taker fee but save entirely when acting as a maker. This makes Luno particularly favorable for swing traders or HODLers placing limit orders over long periods.

Deposit Fees

Luno charges no fee for deposits via bank transfers and a 3.5% fee for credit/debit cards. For example, depositing $1,000 using a credit or debit card will cost you $3.50.

ACH transfers and PayPal options are not available. In my opinion, this is a major downside since competitors like Gate.io, Coinbase, and Binance offer them. Nevertheless, it is better than Bitfinex, which charges a 0.1% fee for bank transfers.

Compared to market standards, where fiat deposit fees range from 0% to 5%, Luno’s rates are competitive but not the most cost-effective. Some exchanges, such as Binance or Coinbase, offer free ACH deposits.

In my testing, the 3.5% fee is manageable for moderate transactions but can become significant for high-volume deposits. For instance, depositing $10,000 via wire transfer costs $15, which might seem negligible but adds up for frequent funders.

Withdrawal Fees

 

Luno offers free bank transfer withdrawals for UK customers, a great feature compared to industry standards. However, withdrawal fees vary by region.

Withdrawal fees vary by region:

• Indonesia: Rp 15,000
• Malaysia: RM 0.10
• Nigeria: 2% fee
• Uganda: Sh 2,000 charge

Wallet withdrawal fees:

• 1.5% for UK users
• 2% for users in other countries

For a $10,000 withdrawal, Luno charges $150–$200, compared to just $5–$20 on other exchanges. This adds substantial costs for frequent withdrawals.

Fee Discounts

Luno does not offer volume trading discounts, staking rewards, or native token benefits, putting it at a disadvantage compared to exchanges like Binance or Gate.io, which provide fee reductions for using their native tokens. This lack of promotional programs may push cost-conscious and high-frequency traders to competitors.

Are Luno’s Fees Competitive?

• Luno’s fees vary by country, with some regions offering competitive rates (e.g., free UK withdrawals).
• Trading fees are 0.1% for maker-takers in the UK, meeting industry standards.
• Withdrawal fees are high in certain countries, and popular payment methods like ACH, PayPal, or SWIFT are unavailable.
• Luno’s free bank transfer withdrawals are competitive, putting it in the same category as exchanges like Binance and Kraken.
• Luno’s fee system is simple and cost-efficient for specific trading styles but may not be ideal for users in countries with high fees (e.g., Nigeria, South Africa, Malaysia).

Please note that fees may vary, and it’s advisable to check Luno’s official website for the latest information. In summary, the fees at Luno are reasonably structured, making it a suitable choice for casual traders in the UK.

Cryptocurrencies Available at Luno

Luno doesn’t have detailed information about its token listing process. I think it lists new tokens based on market demand, regulatory compliance, and the project’s overall credibility. However, Luno does not offer a dedicated Launchpad or New Project Area for emerging coins. In my opinion, this limits users’ ability to access new tokens early in their lifecycle.

The platform supports stablecoins such as USDT and USDC for users seeking stability during volatile market conditions. It also offers fiat-to-crypto trading options, enabling seamless conversion between supported fiat currencies like GBP, EUR and local currencies in countries such as Nigeria, Indonesia, and Malaysia.

Luno’s liquidity rating of 556 from Coinmarketcap is robust for popular cryptocurrencies like Bitcoin and Ethereum. Overall, the limited selection of cryptocurrencies and trading pairs and lack of launchpad are downsides compared to competitors like Binance.

Deposits and Withdrawals

Luno Deposit Options

Luno accepts a variety of fiat currencies, including GBP, EUR, NGA, MYR, AUD, UGX, and IDR. It has payment methods like bank transfers, credit/debit cards, and e-wallets such as Go-Pay (exclusive to Indonesia). However, the absence of wire, and SWIFT transfers limits options for international users. Compared to competitors like Binance and Bybit, which offer P2P trading and a broader range of deposit methods, Luno is more region-specific.

In summary, users should ensure their preferred fiat currency and payment method are supported. For those seeking broader options or lower fees, exploring exchanges like Binance, KuCoin, or Bybit that offer P2P trading or SWIFT support might be beneficial.

Note that deposit options can vary significantly from region to region. Always check the exchange’s official site for the most accurate and region-specific deposit information.

Luno Withdrawal Methods

Luno’s withdrawal methods are more limited compared to competitors like Coinbase, as it lacks features such as P2P payments and third-party integrations. Also, there’s a lack of popular options like SWIFT or ACH, reducing flexibility for users seeking more withdrawal choices.

Luno Daily Withdrawal Limits

Luno provides structured daily withdrawal limits tailored to crypto and fiat transactions, with a cap of 0.13 BTC equivalent or $12,000 per day for most users globally. In Australia, these limits extend to $12,000 daily and $60,000 monthly, offering substantial flexibility for frequent traders. Meanwhile, Europe implements more cautious measures, requiring new users to wait 14 days before activating crypto withdrawals, with a weekly cap of $5,000–$10,000 instead of daily or monthly limits.

In Nigeria, South Africa, Uganda, Zambia, and Malaysia, Luno adopts a tiered system based on user levels. Daily withdrawal limits range from $2,400 (Level 1) to $120,000 (Level 3), while monthly limits can climb as high as $600,000 for Level 3 users.

In my opinion, the 14-day waiting period in Europe may inconvenience new customers, especially those who want to trade immediately. Compared to other exchanges, Coinbase offers a withdrawal limit of up to $10,000,000 per day. Kraken offers the same $10m daily and $100m monthly.

Customer Service

Luno provides customer support primarily through email and an in-app contact form, operating 24/7. There’s no live chat, and the platform’s response time via email is generally within 24 hours. Support is available in 4 languages, including English and French. The exchange provides a solid selection of tutorials, guides, and a comprehensive FAQ section, but it doesn’t have a forum.

When compared to industry competitors like Binance and Kraken, Luno’s customer service is limited, as it primarily relies on email support. These larger platforms often offer live chat, phone support, and even account managers for high-volume traders, which Luno does not currently provide.

Luno Customer Support Test

To evaluate the quality of customer services for diverse user needs, we created a unique trading test. We personally contact support using all available methods and present hypothetical problems that users might face. Our evaluation concentrates on how quickly they respond, the quality of the help provided, and whether we can talk to a real person rather than a bot. This method effectively measures the capability of customer support to assist both active traders and casual investors.

I emailed Luno about their deposit insurance and received an automated response immediately. Within 24 hours, a real agent addressed my questions. While some answers were clear and included the necessary links, others were neither concise nor helpful.

In my opinion, Luno’s support quality and the availability of contact methods leave room for improvement.

FAQ

Can Luno Be Trusted?

Based on our research, Luno can be considered a legitimate exchange. It has several security protocols, such as two-factor authentication (2FA) and cold storage for user funds.

Can US Citizens Use Luno?

No, Luno currently does not support US residents or citizens.

Has Luno Ever Been Hacked?

As of now, Luno has not experienced any major hacks. However, as with any exchange, users should follow best practices, such as enabling 2FA.

Does Luno Require KYC?

Yes, Luno requires KYC (Know Your Customer) verification for all users who wish to trade or withdraw funds.

Can I Use Leverage or Margin Trading on This Exchange?

No, Luno does not offer leverage or margin trading at this time. The platform focuses on spot cryptocurrency trading.

Is Luno Regulated?

Yes, Luno operates under the regulatory frameworks of several jurisdictions, including South Africa and Malaysia.

Does Luno Offer Any Bonuses, Welcome Offers, or Referral Rewards to Its Users?

Yes, join the exchange using our affiliate link and get a welcome bonus.