Catalyx Review: We Spent $100 To Fully Test Their Crypto Exhange

Catalyx Quick Summary

Catalyx supports a variety of popular cryptocurrencies, including Bitcoin, Ethereum, Cardano, The Sandbox, Chainlink, and more. It’s reassuring to know that the exchange is registered with FINTRAC and offers insurance coverage for assets, which adds a layer of security.

While fees are on the higher side at 0.75%, free deposits via Interac e-Transfer help offset some of the costs.

Catalyx is exclusively for Canadian residents, but the good news is that Canadians can still access the trading platform even when traveling outside of Canada.

Catalyx Features

At first glance, Catalyx might seem a bit overwhelming for beginners, but it’s actually quite easy to use once you get familiar with it. The trading platform offers charts, order book data, and advanced order types, providing experienced investors with all the tools they need.

I like that Catalyx supports both fiat-to-crypto and crypto-to-crypto trading pairs, making it simple to swap one cryptocurrency for another without hassle.

Another standout feature is their referral program, where you can earn up to 20% of your referee’s trading fees with no lifetime cap. It’s a smart way to incentivize users to bring more people onto the platform.

Catalyx also maintains its own blog, covering general crypto news, platform updates, and helpful features, which is a nice touch for staying informed.

Registration and Verification Process with Catalyx

Signing up to Catalyx is a fast and simple process and not as invasive as some other Canadian exchanges. 

What You Need to Open an Account:

• Must be 18+
• A government-issued ID
• A selfie video
• Answer Employment questions

As usual you will first need to enter your name, email and phone number which you’ll then have to verify. You’ll also need to set a password for your account.

Next you’ll have to enter your occupation and employer. 

Once you’ve done this and logged in, you can continue the verification process so you can begin trading. The documents required are necessary for compliance with FINTRAC and every compliant Canadian crypto exchange will require the same documents. 

Upload your identity documents, then you’ll need to allow your computer to use your camera and microphone. You will record yourself saying the three digits that appear on screen.

After that, Catalyx will check your documents and verify you instantly. 

Once you’re verified, in your dashboard click “wallets”. You’ll see your fiat wallet and from here you can select “deposit”.

Choose Interac e-Transfer and enter the amount you want to deposit. Catalyx will then show you the email address and information you need to include in your Interac transfer. Go to your online banking to complete it. 

Catalyx Fees

Catalyx charges a flat 0.75% trading fee, which means there’s no spread—you’ll know exactly what you’re paying for every purchase or sale. While the fee is slightly on the higher side, it’s still more competitive than some other exchanges. For instance, Newton doesn’t charge trading fees but applies a spread of 0.9% per trade, which can add up.

Deposits via Interac and crypto are free, making it easy to fund your account without extra costs. However, there is a 1% fee for fiat withdrawals via Interac, which is worth keeping in mind.

To summarize:

• Free CAD deposits
• Flat 0.75% trading fee
• 1% CAD withdrawal fee

Catalyx Spreads

In my experience, understanding trading spreads is crucial for evaluating an exchange. A spread represents the difference between the highest price a buyer is willing to pay (bid) and the lowest price a seller is willing to accept (ask). It’s typically how exchanges generate profit.

What I appreciate about Catalyx is their transparency. They clearly state on their fee page that they don’t charge a spread. Instead, there’s a fixed 0.75% trading fee, so you know exactly what you’re paying each time. I also like that Catalyx plans to introduce a volume-based fee schedule in the future—offering lower fees for higher trading volumes, which is a great incentive for active traders.

How Much Does it Really Cost To Trade With Catalyx?

With the $100 we deposited to Catalyx, we decided to buy Bitcoin. As advertised, the fixed 0.75% trading fee was applied accurately, costing us $0.75. After the fee, we received $99.25 worth of Bitcoin. It was reassuring to see that the fee structure matched exactly what was stated on the platform.

Catalyx Liquidity

Catalyx has a trading volume of roughly $10m per day, which provides sufficient liquidity to its assets. Catalyx is partnered with Bittrex Global which is their main liquidity provider. 

Currencies & deposit methods

Catalyx offers Canadians the ability to deposit Canadian dollars into their fiat wallets via Interac e-Transfer or bank wire. You can also use credit cards to purchase crypto but your bank may reject the purchase. For more information on crypto-friendly banks, see our previous article. 

How Long Do Deposits Take?

We deposited $100 via Interac e-transfer to Catalyx and it took five minutes to reach our account.

How Long Does it Take to Withdraw Coins?

We withdrew our $99.25 worth of Bitcoin to a hardware crypto wallet (Trezor Model T in my case). The Bitcoin appeared in our wallet within five minutes. Withdrawals times depend on the crypto network you are using. The busier the network the longer the wait. 

Catalyx Security and Safety

Catalyx claims to have insurance for its digital assets, but unfortunately, there’s no detailed information provided about this coverage. It’s also unclear what percentage of assets are stored in cold storage, which is disappointing for anyone looking for clarity on security measures.

On a positive note, you can enhance your account’s security by enabling two-factor authentication with Google Authenticator, which I always recommend for added protection.

Catalyx is registered with FINTRAC as a money services business and adheres to Canadian regulations. While there are areas for improvement in transparency, we can at least confirm that Catalyx is not a scam exchange.

Catalyx Mobile app

Catalyx does not have a mobile app at the moment.

Catalyx Trading Platform

The trading platform is not necessarily for beginners as it looks quite daunting.

Catalyx provides a range of indicators and parameters on their charts, making it suitable for technical analysis. You can also view detailed order book data for all their trading pairs, which is helpful for making informed decisions.

On the left side of the platform, you can easily place a market or limit order and select your preferred trading pair from a drop-down menu. It’s a straightforward setup that caters to both beginners and experienced traders.

One thing I found frustrating about Catalyx’s order form is that you can only enter the amount of crypto you want to buy, not the amount in CAD. Having both options would make the process much more user-friendly, especially for those who are used to inputting their budget in fiat.

While Catalyx supports both fiat-to-crypto and crypto-to-crypto trading pairs, the missing images on the platform stand out and don’t leave the best impression. It’s a small detail, but one that impacts the overall user experience.

At the top of the screen you toggle between USD and CAD and view up to date bid and ask prices. 

Catalyx Customer support

Catalyx offers a live chat bot for quick questions, which can be helpful for basic inquiries. However, if you need real support with your account or trades, you’ll have to contact their support team directly.

What I found inconvenient is that there’s no visible email address on their website or an online ticketing system. Instead, you’ll need to use the live chat bot to “send a message,” which isn’t ideal. Additionally, they don’t provide weekend support, so you might experience delays if you need assistance outside of business hours.

Catalyx Consumer Ratings, Reports & Reviews on Other Platforms

Customer reviews are mostly positive with 87% excellent reviews on Trustpilot. However, there have been no positive reviews since 2021.

Not everyone is happy with Catalyx’s service, however, with several people complaining of slow customer support and long withdrawal times. 

Does Catalyx Restrict or Freeze Accounts?

There is no evidence of Catalyx freezing accounts but any centralized exchange has the power to do so. If they suspect suspicious activity on your account such as larger than usual trade volumes or deposits, they may freeze your account. 

The Canadian government, RCMP, or other authorities may ask Catalyx to freeze your account if you are linked with criminal behaviour and there is never a guarantee that your account will be unfrozen. 

If you deposit an unusually large amount to your account they may freeze your account until you can prove these funds came from legitimate and legal means. 

Latest Updates on Catalyx for Canadians

Catalyx Exchange has ceased operations following a security breach, regulatory actions, and entering receivership in early 2024. The review below is no longer relevant to the current state of Catalyx but is kept for historical and educational purposes.

Catalyx Alternatives

There are several other Canadian crypto exchanges to choose from and we recommend Bitget and Bitbuy as good alternatives to Catalyx. 

Bitbuy was Canada’s first regulated exchange and it complies with the Ontario Securities Commission. It has variable trading fees from 0 to 0.75% and it holds over 97% of funds in cold storage, which is excellent. 

Common Crypto Exchange Scams

Even if you’re using a reputable crypto exchange like Catalyx or any other in Canada, it’s essential to stay vigilant about your crypto activity. Scammers are constantly finding new ways to exploit users.

One common tactic is creating fake, lookalike websites for crypto exchanges. If you accidentally deposit funds into one of these, they’re gone forever. Scammers may also send phishing emails claiming there’s an issue with your account, tricking you into clicking a link that leads to a fake website or infects your computer with malware to steal your private keys.

Social media is another hotspot for scams. Fake accounts posing as exchanges often promise airdrops or rewards, encouraging you to send crypto, connect your wallet, or even share your account credentials.

Always double-check the official website, email addresses, and social media accounts of any exchange you use. Even experienced investors can fall victim to these scams if they let their guard down. It’s always better to be cautious and verify before taking action.

Does Catalyx Offer Staking or Other Services?

Catalyx does not offer staking, crypto Visa cards or other features. 

Does Catalyx Have an OTC Desk?

Catalyx does not currently have an OTC desk. 

Conclusion

Disclaimer: Catalyx Exchange has ceased operations following a security breach, regulatory actions, and entering receivership in early 2024. The review is no longer relevant to the current state of Catalyx but is kept for historical and educational purposes. You can explore the best crypto exchanges in Canada here for alternatives.

Catalyx is a crypto exchange with slightly lower trading fees compared to some competitors, though this might change once they implement a volume-based fee schedule. I appreciate that deposits are free, but it’s disappointing that withdrawals aren’t.

The trading platform is straightforward enough, although the order form could be more intuitive. On the plus side, the dashboard is clean and easy to navigate, and there’s a decent variety of trading pairs, making crypto-to-crypto swaps convenient.

Customer support is an area where Catalyx falls short, particularly on weekends. While it’s understandable for a smaller exchange, it’s still a drawback. The lack of a mobile app is another limitation for users who prefer trading on the go.

One of my main concerns is the lack of detailed information about Catalyx’s security features and insurance coverage. Transparency in these areas would go a long way in building trust.

Overall, Catalyx is fine for making quick purchases, but there’s nothing that sets it apart. If you’re looking for a reliable exchange for regular use, there are better options available. You can explore the best crypto exchanges in Canada here for alternatives.