The Commonwealth Bank of Australia (CBA), or CommBank, does not allow customers to purchase cryptocurrencies directly on its platform. However, CommBank customers can link their banking accounts to a licensed cryptocurrency broker to buy digital assets such as Bitcoin (BTC) and Ethereum (ETH). To purchase cryptocurrencies using CommBank, Australian investors must register with a regulated crypto exchange like CoinSpot and deposit AUD from their CommBank account.
How to Buy Crypto with CommBank
There are five simple steps to buy crypto with CommBank in Australia:
Step 1: Compare the best crypto exchanges
CommBank customers can invest in digital currencies through a secure and compliant platform. They can transfer AUD to a reputable crypto exchange to purchase crypto assets. It is recommended to select a platform regulated by AUSTRAC and ASIC to ensure the safety of your investments.
After thorough research, we recommend CoinSpot as the top choice. CoinSpot boasts a user-friendly interface, over 370+ coins supported and top-notch security measures. It accepts deposits from Commonwealth Bank and Netbank via Bank Transfer, PayID, Debit/Credit Card, or POLi. CoinSpot also provides Live Chat support, similar to the customer service experience expected from CommBank, ensuring access to assistance when needed. Refer to our CoinSpot review for more details.
If you haven’t decided which crypto exchange to use, read our review of the best crypto exchanges in Australia. If you prefer using your mobile phone to buy crypto on CommBank, you may find our review of the best crypto apps in Australia helpful.
Step 2: Sign up for a CoinSpot account
To create an account with CoinSpot, click the link: https://coinspot.com.au to access CoinSpot’s home page. From there, click on the “Register” button in the top right corner of the page, which will direct you to a page similar to the screenshot below. Enter your email address, choose a password, check the box to confirm you’re not a robot, and click “Create Account”.
Once your CoinSpot account is created, the next step is verification. Click the “Complete Verification” button and follow the prompts. You must verify your email address first, provide your details and verify your driver’s license. It may take some time for the verification to be completed. In the meantime, feel free to explore CoinSpot’s account features to familiarise yourself with how it works.
Step 3: Deposit AUD into your account
Once your verification is completed, you can deposit AUD into your CoinSpot account. To do this, locate the “Deposit Funds” button under the CoinSpot logo in the top left corner of the page, and click on it. This will direct you to a page, as shown in the screenshot below.
On the deposit page, you will find different deposit methods to choose from. We recommend using PayID as it is instant and free when depositing from Commonwealth Bank and Netbank accounts. Select the desired deposit amount, choose Commonwealth Bank from the dropdown menu, and click “Continue to POLi” to proceed with the payment.
Step 4: Buy crypto with CommBank
Once your funds have arrived in your CoinSpot account, it’s time to purchase your crypto. Start by clicking “Buy/Sell” in the top menu, then search for the specific cryptocurrency you want to buy. Alternatively, you can scroll down the list to find the coin of your choice (refer to the screenshot below). Next, click the “Buy” button next to the cryptocurrency you wish to purchase. For example, if you want to buy Solana, click “Buy SOL”.
You will then be directed to the purchase screen, where the price of one coin will be displayed. Select the amount of AUD you want to spend on the coin and click the “Buy” button.
A pop-up window will appear, showing the details of your crypto purchase. This includes the number of coins you will receive, the price per coin, the fee charged, and the total amount you will pay. Once you have reviewed and confirmed the details, click “Confirm Buy” to complete the transaction.
Step 5: Securely store your crypto
After purchasing your cryptocurrency, it’s time to choose a secure method for storing your digital assets.
Depending on your security preferences, there are several options for storing your cryptocurrency. When you purchase cryptocurrency, it is typically stored in a wallet provided by the exchange. However, if you are unsatisfied with the exchange’s chosen wallet provider or want to enhance security, you can transfer your cryptocurrency to a separate hot or cold wallet. Note that some exchanges may charge a small fee for this transfer.
Hot crypto wallets are online wallets that run on internet-connected devices such as tablets, computers, or phones. Non-custodial or self-custody hot wallets give you control over the private key and seed phrase for your crypto assets, which are stored within the app or software. While accessing a non-custodial wallet via a web browser or app is convenient, it also makes these wallets vulnerable to cybersecurity threats, hacks, scams, and fraud.
On the other hand, cold crypto wallets are not connected to the internet, making them the most secure option for storing cryptocurrency. They are external devices like USB drives or hard drives. However, be cautious with cold wallets, as losing the key code or facing device failure may permanently lose your cryptocurrency. Some hot wallets are run by custodians who can help you regain access to your account if you get locked out, but this may only be the case with some cold wallets.
About the Commonwealth Bank of Australia
The Commonwealth Bank of Australia (CBA) was established by the Australian Government in 1911 and is one of the “big four” banks in Australia, alongside the National Australia Bank (NAB), Australia and New Zealand Banking Group (ANZ), and the Westpac Banking Corporation. Over the years, the CBA has become one of the largest banks in the country, with a market capitalisation of over AUD 100 billion as of 2021.
The CBA offers various financial products and services to individuals, businesses, and institutions, including banking, lending, insurance, investment, and wealth management. With an extensive network of 807 branches and 2,095 ATMs, as well as online and mobile banking services, the CBA is committed to providing convenient and accessible banking options to its customers. Apart from its domestic operations, the CBA has a significant international presence, with operations in Asia, the Pacific, and the United Kingdom.
Does CommBank Allow Crypto Purchases?
CommBank has a progressive stance towards the cryptocurrency ecosystem and does not impose policies restricting its customers from buying or selling digital assets. They enable their clients to securely deposit funds into ASIC-licensed exchanges, showcasing their forward-thinking approach.
CommBank is at the forefront of innovation, where traditional banking intersects with cryptocurrencies. It’s actively driving initiatives to integrate digital assets into Australia’s private banking system, showing its commitment to staying ahead of the curve. In November 2021, the bank publicly announced its plans to integrate crypto trading into the Netbank app. However, due to the volatile nature of the digital asset market, the rollout was paused in May 2022.
CommBank users can invest in digital currencies through a secure and compliant third-party exchange licensed by the Australian Securities & Investments Commission (ASIC). CommBank account holders can conveniently transfer AUD to purchase and trade crypto assets while ensuring compliance with regulations.
FAQs
Can I purchase crypto in Australia with CommSec?
CommBank does not provide cryptocurrency trading services on its Netbank platform or through CommSec. However, Australian customers can invest in digital assets through a third-party exchange licensed by AUSTRAC and ASIC. Transfer AUD from a CommBank account to a crypto investment platform and then use the platform to purchase tokens.
When will CommBank offer crypto services?
In November 2021, Commonwealth Bank announced its partnership with Gemini Exchange and Chainanalysis to provide a crypto exchange and custody service for its Commbank users. However, in May 2022, the service’s rollout was paused, and the bank stated that it would restart the pilot once the regulatory situation became clear.
What are the deposit fees using CommonBank?
The main fees to consider when buying digital assets from an exchange are the AUD deposit fees, trading fees and the price spread. Deposit fees from Commonwealth Bank to Australian exchanges are usually free using the PayID or Osko method. Regarding fees, CoinSpot Australia is the lowest-cost option in Australia, with 0.1% trading fees for market buys.
What are the deposit fees with CommBank?
When purchasing digital assets from an exchange, you should consider various fees, including AUD deposit fees, trading fees, and price spread. Typically, using the PayID or Osko method to transfer funds from Commonwealth Bank to Australian exchanges is free of deposit fees. CoinSpot Australia is known for being the lowest-cost option in Australia, with market buys incurring only 0.1% trading fees.
Is crypto purchase using CommBank safe?
If you choose a trusted cryptocurrency exchange, purchasing, selling, and trading crypto with funds from your CommBank account can be done safely. The leading Australian exchanges such as CoinSpot and eToro employ multiple layers of security measures, providing peace of mind for buyers.
Final Thoughts
In summary, due to market uncertainty, the Commonwealth Bank of Australia and its brokerage platform, CommSec, have temporarily suspended their plans to launch an in-app cryptocurrency trading service. Despite the pause in the development of the crypto app, CommBank maintains its crypto-friendly stance, allowing customers to buy and sell digital assets through AUSTRAC-licensed exchanges. CoinSpot is recommended for its low fees, extensive range of cryptocurrencies, and instant deposit of AUD from CommBank and Netbank.
