SwanBitcoin Review [2022] – Fees, Limits, KYC

Swan Bitcoin is an initiative founded in June 2019 by Cory Klippsten and Yan Pritzker. It was established to make it easier for users in the United States of America, as well as in other countries, to buy and invest in Bitcoin.

Functioning as a Web app, for now, Swan Bitcoin is open to users in all brackets(big corporations and wealthy individuals who are ready to spend as much as $10 million on buying crypto, as well as retail investors who may only be able to afford less than $50 on a single purchase).

Swan Bitcoin homepage

SWAN BITCOIN SUMMARY


  • It has provisions for making one-time purchases up to $10 million and recurring payments at pre-designated intervals.
  • It is available to US residents and residents of other countries like the UK, Australia, Canada, Germany, etc.
  • It implements standard KYC(know your customer) regulations.
  • Crypto assets are stored in cold wallets and only transferred to hot wallets at the bidding of the user
  • It has competitive fees.
  • As the name implies, Swan Bitcoin deals only in Bitcoin. No other cryptocurrency is supported.

HOW DOES SWAN BITCOIN WORK?


Swan build your stack

Swan Bitcoin enables Bitcoin buying and investments in two ways:

  • For US citizens, one-time purchases are funded through an ACH (Automated Clearing House) transfer or via wire transfer for international customers.
  • Recurring payments at pre-established intervals. This is one of the most popular services of Swan Bitcoin. You can set up automatic payments to buy specific amounts of Bitcoin at regular intervals. It could be daily, weekly, or monthly, however you want it.

This investment method is known in the financial world as Dollar Cost Averaging and is one of the least risky(and most rewarding) ways to invest in financial assets. To put this in perspective, if you had invested $50 per week over the last three years in Bitcoin, you would have turned $7,850 to $59,929. Pretty impressive, right?

We recommend Gemini instead

FEATURES OF SWAN BITCOIN


  • Automatic Recurring Buys: There are two ways of doing this:
    • An annual plan which is the cheapest and lets you pay all transactions as one annual payment
    • A pay-as-you-go plan in which you pay for every transaction individually. The transaction fees for this are more expensive.
  • Entity Buys: Swan Bitcoin also offers bulk purchases to corporations and individuals with a high net worth. This program is known as Swan private and will be discussed in detail later in this article.
  • Auto-withdrawals: You don’t need to constantly check your Swan Bitcoin to see how much Bitcoin you have amassed. With the automatic withdrawal feature, your purchased bitcoins are sent to your preferred wallet at specific intervals.

There is also a manual withdrawal method. In this case, you do not withdraw your bitcoin to your wallet automatically. You just leave it with Swan Bitcoin until you are ready to use it. Swan Bitcoin stores Bitcoin that has never been withdrawn in a cold storage wallet at Prime Trust(more on that later). Thus, you are sure your funds are safe.

To further boost funds’ security, if you’re withdrawing Bitcoin for the first time, the asset is sent manually from the cold wallet to a hot wallet under Prime Trust’s supervision. This may take up to 72 hours. After that is successfully done, subsequent transactions can be withdrawn automatically and on time.

You can withdraw your assets free of charge. Processing time depends on your payment method and can vary between 24 hours and 10 days.

  • Referrals: Swan Bitcoin also offers referrals as a way of passive income for active users. If you refer someone to sign up with Swan, they will get $10 free Bitcoin while you will receive 25% of their fees for a year

SWAN BITCOIN REVIEW: PROS AND CONS


PROS


  • It allows you to be able to DCA(Dollar Cost Average) into Bitcoin conveniently. With it, you won’t have to worry about timing the market right; it does everything for you
  • There is no hidden fee structure with this service. Also, the transaction fees are not that much.
  • It lets you buy bitcoin with significant capital without much hassle and paperwork.
  • It keeps your funds securely in a trust account registered in your name. The funds are held in cold wallets(the most secure wallet types) until you request otherwise.
  • It has a provision to withdraw to your personal bitcoin address if you so wish.
  • It is a legit corporation duly registered in the United States.

CONS


  • It is mainly available for residents in the United States of America, with only wire payments available for users living in other countries.
  • It deals only with Bitcoin. In a world where many altcoins are showing huge potential, this is a significant disadvantage.

HOW TO GET STARTED WITH SWAN BITCOIN


Account Creation: To get started with Swan Bitcoin, you must create an account on their site. You’ll need to input details like your email address, your preferred password, what Bitcoin plan you would choose, etc. After you enter those details, the verification process begins.

Verification: This is where KYC rules come in. The verification requirements for creating an account with Swan Bitcoin are divided into two categories:

  • For US Citizens:
    • A valid Social Security Number (SSN) is required.
    • A minimum age of 18 is required to participate.
    • An identification card valid in the United States is required. Accepted models are International Passport, Driver’s License, and Government-issued ID card.
    • A utility bill within the past 90 days to confirm your address
    • An active US bank account number with your bank’s ACH routing number.
    • An active phone number
  • For Non-US customers:
    • A valid international ID document(preferably passport)
    • An active international phone number used in a smartphone
    • An international bank account, standard enough to perform international wires.
    • A valid TID(Tax ID) with proof
    • Internationally accepted proof of address.
    • You must be an adult(18 years of age or more).

The verification process shouldn’t take more than five days(sometimes it’s done in minutes) depending on how complete your documents are and how clear and readable the images and print on them are.

Start Purchasing Bitcoin: Once your verification is done, you’re good to go. Swan Bitcoin will set to work, and start buying Bitcoin from your bank account in whatever purchasing plan you selected.

WHAT COINS CAN I BUY WITH SWAN BITCOIN


Swan Bitcoin founders and executives are ardent Bitcoiners. There is a clear indication of this in the name and on their website. This may change in the future, but at this moment, the platform only supports Bitcoin.

If you would have bet on the right coins this year you could easily have 10xed your capital…

You could even have made as much as 100x which means you could have turned $100 into as much as 10k.
Experts believe this will happen again in 2022, the only question is which coin do you bet on?
Our friends from WhaleTank are on top of it, working non-stop to find the best gems one can buy on the market.
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SWAN BITCOIN FEES AND LIMITS


Swan Fee Table

The following fee structures apply to Swan Bitcoin:

  • Instant Buys carry a fee of 1.49%
  • Wire transfers come with a 0.99% fee, while trading is free.
  • Recurring buys attract:
    • 2.29% fee for purchases between $5 to $24 per week.
    • 1.79% for purchases between $25 to $49 per week.
    • 1.19% for purchases above $50 per week
  • Prepaid annual buys attract:
    • 1.99% fee for purchases between $5 to $24 per week.
    • 1.49% for purchases between $25 to $49 per week.
    • 0.99% for purchases above $50 per week

SWAN BITCOIN ACCEPTED PAYMENT METHODS


For US customers, Swan bitcoin uses direct ACH(Automated Clearing House) payments while wire transfers are accepted from customers in other countries.

SUPPORTED CURRENCIES AND COUNTRIES


Bitcoin is the only supported cryptocurrency on Swan Bitcoin, while US Dollars is the only supported fiat currency.

Even though it is mainly based in the United States of America, Swan Bitcoin stretches out to other countries like Mexico, Canada, Germany, the UK, France, etc.

CUSTOMER SUPPORT


Their customer support is quite impressive. At the bottom of their website(which is very neat, by the way), you find a link to a FAQ(frequently asked questions) section with well-detailed articles which answer most of the questions that may come up during the process of using the Swan Bitcoin program. At the time of writing, there are 178 articles in the FAQ section, and more articles are regularly added.

In addition, they have social media presence on Twitter, LinkedIn, and Instagram. The Swan Bitcoin Network also has a blog on which they post the latest information and developments. To cap it off, they have an active phone number, an email address, and a physical address through which users can reach them.

WHAT IS SWAN PRIVATE


Swan Private

The Swan Private service was designed to improve the reliability and efficiency of Bitcoin investment solutions for large corporations and high-net-worth individuals. It was launched on Feb 3, 2021, in the wake of increased institutional interest in Bitcoin.

With this service, Swan Bitcoin promises more one-on-one touch with clients by:

  • helping them fill their tax forms after purchasing Bitcoin
  • Putting them in touch with a dedicated team,
  • Transferring money without limits via wire transfer.
  • Teaching them practical safety guidelines to keep their funds safe, and
  • Guiding them on retirement accounts.

Swan Private users can also make one-time purchases of up to $100 million without any annual limits.

SWAN BITCOIN VERSUS COINBASE


Like Swan Bitcoin, Coinbase is an exchange that allows DCA(Dollar Cost Averaging) purchases of Bitcoin and other cryptocurrencies. Apart from Coinbase, we also have Bitpanda, Cashapp, Gemini, etc., in that category. The table below outlines the differences between Swan Bitcoin and Coinbase:

CRITERIACOINBASESWAN BITCOIN
Available on?Android iOS As a web applicationAs a web application
Target AudienceAll Crypto enthusiasts in supported countriesOnly Bitcoin enthusiasts
Support teamImpressiveImpressive
TrainingYes, they provide a lot of training initiativesNot really. They focus more on exchanging
AgeThey have been around since 2012Came on show in 2019
BaseAvailable in 100+ countriesMainly in the US with outreach in a few other countries
ServicesCrypto staking, crypto saving, learn and earn, crypto exchanging, etc.Only crypto exchanging
Dollar-cost average frequencyDaily, weekly, bi-weekly, or monthly.Daily, weekly, or monthly.

We will make another table to differentiate them in terms of fees. Here it is:

Weekly PurchaseCoinbaseSwan Bitcoin (Pay as you go)Swan Bitcoin (Prepay Annually)
$1002.99%1.19%0.99%
$503.98%1.19%0.99%
$255.76%1.79%1.49%
$109.90%2.29%1.99%

Other crypto exchanges to check out:

SWAN BITCOIN REVIEW: CONCLUSION


As cryptocurrencies gain popularity and become mainstream investments, their importance is increasing exponentially. That is why it is good that there are investment options like Swan Bitcoin to make buying and investing in Bitcoin a seamless experience.

With the Dollar-cost averaging option to regular bitcoin purchases, the Swan private arrangement for high-value investments, and the relatively low transaction fees, Swan Bitcoin is living up to its mandate to be the best platform for buying BTC in the world. Of course, it has competitors and inadequacies, but this review touts it as one of the best platforms out there.

FREQUENTLY ASKED QUESTIONS


What are Swan Bitcoin fees?


The following few structures apply to Swan Bitcoin:

  • Instant Buys carry a fee of 1.49%
  • Wire transfers come with a 0.99% fee, while trading is free.
  • Recurring buys attract:
    • 2.29% fee for purchases between $5 to $24 per week.
    • 1.79% for purchases between $25 to $49 per week.
    • 1.19% for purchases above $50 per week
  • Prepaid annual buys attract:
    • 1.99% fee for purchases between $5 to $24 per week.
    • 1.49% for purchases between $25 to $49 per week.
    • 0.99% for purchases above $50 per week.

Where is Swan Bitcoin located?


Swan Bitcoin has its physical head office in Los Angeles, California, USA, with the following complete address:

         Electric Solidus LLC

         26565 W. Agoura Rd Suite 200

         Calabasas CA 91302

However, the majority of the workforce does not work at the above address. Instead, they are remote workers working from different parts of the US and even outside the United States.

Is Swan Bitcoin safe?


In concise terms, yes, Swan Bitcoin is safe. Consider the following reasons:

  • Your Bitcoin is not Stored with Swan. It is stored by a licensed trust company known as Prime Trust. Prime trust is a Nevada-based financial platform that moves billions of dollars between customers and crypto accounts.

Founded in April 2016, Prime trust is trusted by financial giants like Binance.us, Kraken, Aave, Strike, Bittrex, etc. In addition, your funds are stored under your name, giving you sole ownership over your assets.

  • Prime Trust stores your Bitcoin in offline cold-storage wallets. These are the most secure wallets in the crypto environment. They ensure that your assets are entirely air-gapped from the online world, making it impossible for hackers to get to them.
  • Swan Bitcoin cannot move your assets without your approval. To ensure this, Prime trust will notify you whenever Swan Bitcoin wants to make a withdrawal of either your BTC or USD. Thus, you are in sole control of your assets, and you have the right to confirm or deny transactions.
  • Swan Bitcoin never stores your bank details. They are held by Prime Trust, and that is where transactions are initiated.
  • Swan Bitcoin only stores the minimum required personal data. Information like your name, email address, phone number, and date of birth are required by law to be stored. Swan Bitcoin stores your information in an encrypted database.
  • The stored data is protected. Swan Bitcoin stores your data with military-grade AES-256 encryption and industry-standard TLSv1.2  encryption, the exact grade used to secure the information in standard bank accounts.
  • Even if Swan Bitcoin goes out of business, you’re covered. You just need to send an email to Prime Trust requesting disbursement of your funds. Since you are the owner of the trust account, that will be no issue.

What do you think? Can you trust Swan Bitcoin? You should; it’s legit. However, after all that has been said and done, it is best to withdraw your Bitcoin assets to a personal wallet that’s very secure to be sure you’re totally in control.

Does Swan Bitcoin offer margin trading?


IOUs or futures are not provided on Bitcoin by Swan Bitcoin, nor does the company offer margin trading or derivatives. All it offers is the Bitcoin asset, nothing more.

Can you buy Ethereum on Swan Bitcoin?


No, you can’t. Swan Bitcoin offers its services for Bitcoin and Bitcoin only. If you are looking to buy Ethereum or other altcoins using the Dollar-cost averaging method, you might visit some of Swan Bitcoin’s alternatives, like Coinbase, Bitpanda, Gemini, etc.

Can you use Swan Bitcoin in Europe?


Yes, you can. Swan Bitcoin has expanded to countries like the UK, Denmark, Norway, France, Germany, Hong Kong, Italy, Poland, Spain, Switzerland, etc. If you are in any of these countries, you will need to register on Swan Bitcoin and complete KYC verification before you can use Swan’s services

The KYC requirements for European customers are:

  • A valid international document (preferably passport)
  • An active international phone number used in a smartphone
  • An international bank account, standard enough to perform international wires.
  • A valid TID(Tax ID) with proof
  • Internationally accepted proof of address.
  • You must be an adult(18 years of age or more).
We recommend Gemini instead
8.4 Total Score
Swan Bitcoin

Ease of use
9.5
Supported assets
7
Reputation
9
Security
8.5
Fees
8
PROS
  • It allows you to be able to DCA(Dollar Cost Average) into Bitcoin conveniently. With it, you won't have to worry about timing the market right; it does everything for you
  • There is no hidden fee structure with this service. Also, the transaction fees are not that much.
  • It lets you buy bitcoin with significant capital without much hassle and paperwork.
  • It keeps your funds securely in a trust account registered in your name. The funds are held in cold wallets(the most secure wallet types) until you request otherwise.
  • It has a provision to withdraw to your personal bitcoin address if you so wish.
  • It is a legit corporation duly registered in the United States.
CONS
  • It is mainly available for residents in the United States of America, with only wire payments available for users living in other countries.
  • It deals only with Bitcoin. In a world where many altcoins are showing huge potential, this is a significant disadvantage.
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CaptainAltcoin's writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner. The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of CaptainAltcoin.com

SwanBitcoin Review [2022] – Fees, Limits, KYC
SwanBitcoin Review [2022] – Fees, Limits, KYC

Torsten Hartmann

Torsten Hartmann has been an editor in the CaptainAltcoin team since August 2017. He holds a degree in politics and economics. He gained professional experience as a PR for a local political party before moving to journalism. Since 2017, he has pivoted his career towards blockchain technology, with principal interest in applications of blockchain technology in politics, business and society.

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