NDAX vs Wealthsimple | Which Is Canada's Top Exchange?
Jack Moreau
Feb 2024
8 min read
Fact checked
NDAX vs Wealthsimple: In this comparison, we will analyse key factors such as security, user experience, trading fees and available cryptocurrencies to help you determine which platform is the better choice for your crypto investing needs. Whether you prioritise simplicity or advanced features, read on to find out which exchange suits you best!
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
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eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
eToro USA LLC: Investments are subject to market risk. Including the possible loss of principal. Don’t invest unless you’re prepared to lose all the money you invest.
NDAX and Wealthsimple are both Canadian-based cryptocurrency exchanges that cater to users in Canada. While they share a common geographical market, there are notable differences between the two exchanges in terms of their features and offerings.
NDAX, short for National Digital Asset Exchange, was founded in 2017 by Bilal Hammoud and is headquartered in Calgary, Alberta. With a workforce of over 50 employees, NDAX has established itself as a secure and user-friendly platform for Canadians to buy, sell, and trade cryptocurrencies.
The exchange places a strong emphasis on compliance, security, and customer support. NDAX has between 250,000 and 500,000 registered users in Canada and its Android and IOS app has been downloaded over 50,000 times.
While NDAX offers a relatively small range of 40 cryptocurrencies, including popular options like Bitcoin (BTC), Ethereum (ETH), and XRP, it covers a decent selection of well-known coins and tokens.
Wealthsimple was founded in 2014 by Michael Katchen and Brett Huneycutt and is headquartered in Toronto, Canada. With over 1,000 employees, Wealthsimple is a Canadian-based financial services company that offers a range of investment services to customers in Canada.
While not exclusively focused on cryptocurrencies, Wealthsimple provides an accessible platform for Canadians to invest in various financial instruments, including cryptocurrencies like Bitcoin and Ethereum.
The platform is known for its beginner-friendly interface, diverse investment products, and commitment to security. Wealthsimple has garnered over 3 million users in Canada and in terms of cryptocurrency offerings, Wealthsimple supports a small range of around 50 cryptocurrencies.
So while NDAX and Wealthsimple are both prominent Canadian exchanges, NDAX focuses solely on cryptocurrency trading while Wealthsimple provides a wider range of investment services, including cryptocurrency trading.
NDAX vs Wealthsimple KYC Requirements
Starting with NDAX, creating an account is quite easy. Users simply need to enter their full name, select a username, and provide their email and password. Once the email address is verified, the account is ready to go.
Only Canadian citizens can trade on NDAX, so non-Canadians are out of luck in this case. The KYC process on NDAX is mandatory for all users. Without completing the verification, users won't be able to access the services on the app.
To complete the KYC, Canadian users need to provide personal information such as their full name, date of birth, phone number, address, and a valid government ID. Once this information is submitted, NDAX will verify it which typically takes around 1-2 business days.
Moving on to Wealthsimple, signing up for an account takes just a few minutes. Users need to complete the necessary information and upload the required documents to complete the KYC process.
It's worth mentioning that KYC is mandatory on Wealthsimple and users won't be able to access any services without completing it. The verification process on Wealthsimple can take a couple of days to complete. Users need to be patient as their documents and information are thoroughly reviewed.
Once the verification is complete, users can start enjoying the various services provided by Wealthsimple.
NDAX vs Wealthsimple Crypto Products
Let's take a closer look at the products and services offered by each exchange. NDAX is a very basic exchange that offers access to spot trading for a limited range of 40 cryptocurrencies. Users can buy and sell these cryptocurrencies using the exchange's simple and easy-to-use platform.
NDAX also supports recurring buys which allows users to schedule automatic purchases to dollar cost average their investments. Additionally, NDAX offers staking services for five cryptocurrencies, including Ethereum, Graph, Polygon, Polkadot, and Cardano. Albeit with a high staking fee of 20%.
While NDAX may be suitable for beginners who value simplicity and ease of use, more experienced traders will find the exchange's limited range of cryptocurrencies and lack of advanced features insufficient for their needs.
Furthermore, NDAX's liquidity is relatively low, resulting in higher spreads and potentially higher prices for users due to lower trading volumes.
Wealthsimple offers Canadians a broader range of products and services. Users can access fractional shares of thousands of stocks and ETFs commission-free, buy and sell over 50 cryptocurrencies, stake cryptocurrencies like Ethereum and Solana, and utilize managed investing with a 0.5% management fee.
Wealthsimple also provides savings accounts, 1% cashback, and free and simple tax filing services. In terms of user experience, Wealthsimple has done an excellent job of designing a user-friendly website that is easy to navigate.
The platform's products and services are well-explained, making it suitable for both beginners and seasoned investors. Compared to NDAX, Wealthsimple offers a more comprehensive range of features and services, making it a more attractive option for users who require more advanced functionalities.
When it comes to trading fees, NDAX and Wealthsimple have slightly different approaches and fee structures.
Starting with NDAX, they charge a flat fee of 0.2% for both buying and selling cryptocurrencies. While this fee is not the lowest in the market, it's certainly reasonable and in line with other popular exchanges like Gate.io and MEXC.
Unfortunately, NDAX does not offer any rebates or discounts for high-volume traders, so everyone pays the same fee regardless of their trading activity.
Wealthsimple does not operate its own exchange. Instead, they work with other exchanges to facilitate cryptocurrency transactions. This means that they charge a slightly higher fee for their services. Specifically, Wealthsimple charges a fee of 1.5-2% per transaction.
So, which one is the winner in terms of trading fees? Well, it's rather obvious that NDAX offers much lower and more competitive trading fees compared to Weathsimple.
NDAX and Wealthsimple are two popular cryptocurrency exchanges that offer different deposit methods for their users.
Users can deposit CAD into NDAX through two methods: Interac e-Transfer and Wire Transfer. Both deposit methods are free of charge, making it convenient for users to fund their accounts. The main difference lies in the processing time. Interac e-Transfers are instant, with the funds arriving within minutes.
On the other hand, Wire Transfers can take up to 1 business day for the funds to arrive.
Wealthsimple offers a variety of fiat deposit methods. Users can deposit funds through bank transfers and credit/debit cards. Wealthsimple does not charge any fees for fiat deposits or withdrawals, making it an attractive option for users.
This exchange provides flexibility and convenience to users who prefer different deposit methods. In terms of deposit flexibility, NDAX only allows deposits in Canadian Dollars, whereas Wealthsimple supports the deposit of multiple fiat currencies, including USD, EUR, and GBP.
This gives Wealthsimple an advantage for users who hold different currencies and want to deposit funds in their preferred currency. Furthermore, the processing time for deposit methods is also worth considering.
NDAX provides instant funding through Interac e-Transfer, while Wealthsimple offers quick deposits with bank transfers and credit/debit cards.
When it comes to withdrawing funds, users on NDAX can choose to withdraw either their CAD or their cryptocurrencies.
For CAD withdrawals, NDAX only offers one method, which is EFT (Direct Bank). This method takes 1 business day to arrive and has a cost of $4.99 CAD to execute.
On the other hand, cryptocurrency withdrawals on NDAX are more or less instant. The fees for these withdrawals vary depending on the type of cryptocurrency being withdrawn.
For Bitcoin, the fee is 0.0004 BTC, for Ethereum it is 0.001 ETH, for Solana it is 0.01 SOL, and for ERC-20 Tether, it ranges from 10 to 20 USDT.
In conclusion, NDAX and Wealthsimple are both prominent Canadian cryptocurrency exchanges that cater to users in Canada.
NDAX offers a secure and user-friendly platform with a smaller range of 40 cryptocurrencies. Wealthsimple provides a wider range of investment services, including cryptocurrency trading with supports for 50 cryptocurrencies.
Both exchanges prioritise user security and regulatory compliance making them trusted platforms for Canadian investors seeking exposure to the world of cryptocurrencies.
When it comes to signing up and completing the KYC process, both NDAX and Wealthsimple requires Canadian citizens to create an account and pass KYC. No trading can occur with out KYC verification and this is only available to Canadian citizens.
In terms of products and services, NDAX offers access to spot trading for a limited range of 40 cryptocurrencies, along with staking services for five cryptocurrencies.
Wealthsimple, on the other hand, provides fractional shares of thousands of stocks and ETFs, along with a range of investment options including over 50 cryptocurrencies, staking, managed investing, savings accounts, and tax filing services.
Wealthsimple offers a more comprehensive range of features and services compared to NDAX, making it a more attractive option for users who require more advanced functionalities.
When it comes to trading fees, NDAX charges a flat fee of 0.2% for both buying and selling cryptocurrencies, while Wealthsimple charges a fee of 1.5-2% per transaction. NDAX is thus the much more competitive exchange when it comes to trading fees.
NDAX supports Interac e-Transfer and Wire Transfer deposits in Canadian Dollars, while Wealthsimple offers a variety of fiat deposit methods including bank transfers and credit/debit cards, supporting multiple fiat currencies.
For Canadians that only care about buying large cap cryptocurrencies with low fees on an Canadian exchange, NDAX is better than Wealthsimple as it charges much lower trading fees.
For Canadians that want to venture beyond cryptocurrencies and invest in other financial products, Wealthsimple is the only option as NDAX does not offer such services.
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
eToro USA LLC: Investments are subject to market risk. Including the possible loss of principal. Don’t invest unless you’re prepared to lose all the money you invest.
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
eToro USA LLC: Investments are subject to market risk. Including the possible loss of principal. Don’t invest unless you’re prepared to lose all the money you invest.
Author
Jack Moreau
Jack is a crypto writer and reviewer who has been active in the space since he caught the crypto bug in 2017. With a passion for trying out new shiny things, Jack is always eager to try the latest cryptocurrency exchanges, wallets or DeFi applications.