Sri Lanka is a curious case when it comes to cryptocurrency. Due to record-high inflation and the sovereign debt crisis, more and more people have been turning to cryptocurrency as an alternate source of investment.
At the same time, crypto transactions effectively remain banned in the country as per the various circulars issued by Sri Lanka’s central bank. As a result, peer-to-peer(P2P) trading platforms like Paxful and informal channels on Telegram are more popular here than centralized exchanges like Kraken or Coinbase.
Still, it is a good idea to know about the various crypto exchanges in Sri Lanka. Hence, we have compiled this list of the best bitcoin exchanges in Sri Lanka for your perusal.
7 Best Crypto Exchanges in Sri Lanka
Coinbase
Coinbase is one of the largest cryptocurrency exchanges and it is also available in Sri Lanka. It is a simple exchange that is perfect for inexperienced traders to start their crypto journey. Along with the desktop version, the Coinbase mobile app is also very easy to navigate and has all the features of the web version.
On Coinbase, besides crypto trading, you can explore NFT collections and also venture into the world of Web3. You can create and customize a Web3 profile and even check out the profiles of other users. With Coinbase Web3, you get to access popular DApps such as OpenSea, Aave and CyberConnect.
Coinbase’s native crypto wallet is a non-custody wallet that lets you retain control of your private keys. It also holds user assets on a 1:1 basis and the majority of the assets are kept in cold storage for security. Crypto assets can be stored safely in the Coinbase Vault with time-delayed withdrawals.
Features
✔️Second biggest crypto exchange in the world
✔️250+ cryptocurrencies available for trading
✔️Publicly listed company
✔️Cold storage, encryption and Coinbase Vault for security
Pros and Cons
✅Straightforward interface ❌Fees can be higher on basic version
✅Native self-custody wallet ❌Charges high commission for staking
✅Extensive learning material
✅Holds assets 1:1
Trading Fees
Coinbase cryptocurrency exchange fees
Customer Reviews
Coinbase is a safe place to buy and sell cryptocurrency
Network fees can make trades costly on Coinbase
Why We Picked It
Coinbase is the perfect platform for beginners with its straightforward and minimalist user interface. Buying and selling cryptocurrency is very easy here. For more advanced traders, there is the Coinbase Pro platform with more sophisticated analysis tools.
Kraken
Kraken is another major cryptocurrency exchange operating in Sri Lanka. It is a flexible exchange with high liquidity where you can buy, sell and trade 200+ cryptocurrencies. Here, you can set up recurring buys to build up your portfolio for the long term or set target prices at which your trades would be automatically executed.
Kraken supports both fiat and crypto funding options. You can also buy cryptocurrency simply with your debit or credit card or a bank transfer. For margin trading, you can get up to 5x leverage and returns with up to 50x leverage with crypto futures. Kraken also offers personalized OTC services to users.
Kraken is an ISO 27001-certified exchange and periodically conducts Proof-of-Reserve audits the results of which are publicly available on its website. Advanced cold storage is used for storing user funds and a bug bounty program is there to encourage the larger security research community to report bugs.
Features
✔️200+ cryptocurrencies for trading
✔️Basic and Pro platforms available
✔️Enables spot, margin and futures trading
✔️Proof-of-Reserve audits for transparency
Pros and Cons
✅Satisfactory crypto selection ❌Kraken Instant Buy is expensive
✅Kraken Pro has low fees ❌Reports of compromised user accounts
✅Facilitates recurring buys
✅Provides OTC services
Trading Fees
Fees for Kraken Instant Buy
Fees for Kraken Pro
Customer Reviews
Withdrawals are a breeze on Kraken
ID verification can be lengthy on Kraken
Why We Picked It
Kraken supports all the major crypto trading types and you can even set up recurring buys for regular transactions. In addition to that, it also offers personalized OTC services and opportunities for staking with good returns. Kraken also runs a bug bounty program to reward those who find and report vulnerabilities in its system.
Crypto.com
Singapore-based Crypto.com is a popular and fast-growing crypto exchange. With the Crypto.com app, you can buy and trade 250+ cryptocurrencies with over 20 fiat currencies. You can also use a debit or credit card or bank transfers to instantly buy cryptocurrency with minimal fees.
On Crypto.com, you can stay on top of the game by setting up price and price movement alerts for your desired cryptocurrencies. Also, there are more than 21 cryptocurrencies and stablecoins available for staking with private members even getting extra 2% p.a. rewards in CRO.
While the fees on Crypto.com are already quite competitive, you can get further discounts on it if you lock up the CRO token. Crypto.com has ISO 27001 certification and keeps user assets fully backed on a 1:1 basis. Its Proof-of-Reserve reports are also publicly available and can be verified by users.
Features
✔️Focuses on mobile app-based trading
✔️More than 250 cryptocurrencies available
✔️Supports crypto loans
✔️Native coin is called Cronos(CRO)
Pros and Cons
✅Fantastic crypto selection ❌Scant learning material
✅Competitive trading fees ❌Not beginner-friendly
✅Holds assets on 1:1 basis
✅Opportunities for asset staking
Trading Fees
Fees for Crypto.com exchange
Customer Reviews
Crypto.com app has many intriguing features
Crypto.com needs better customer support
Why We Picked It
Go for Crypto.com if you prefer the ease of trading anytime from your phone. The app is easy to navigate if you have prior experience with crypto trading or even stock trading from an app. The fees on Crypto.com are very competitive and the exchange further offers discounts on the same if you stake a certain amount of CRO token.
OKX
The OKX cryptocurrency exchange is full of features with plenty on offer for different demographics of crypto traders. It even has its own blockchain and token along with a native OKX wallet. Here, you can indulge in spot, margin, options and futures trading.
OKX also enables easy crypto conversions at no fees and zero slippage. It supports copy trading as well and you can use the trading bots available on the platform to automate your trades.
OKX gives you the opportunity to grow your assets by investing in several simple or structured products. It also supports crypto lending and with the Jumpstart Initiative, you can access new and intriguing crypto projects.
Features
✔️Over 400 cryptocurrencies available
✔️Native blockchain known as OKX Chain
✔️OKX Web3 Wallet supports multiple networks
✔️Enables spot, margin, futures and options trading
Pros and Cons
✅Fees are quite low ❌Customer service is bad
✅Many payment options ❌Complex fee calculation system
supported
✅Extensive learning material
✅Supports crypto lending
Trading Fees
OKX cryptocurrency exchange fees
Customer Reviews
Customers like OKX for its ease of navigation
OKX does not have competent customer support
Why We Picked It
OKX supports several crypto trading types and charges quite low fees for the same. You can grow your crypto holdings here by investing in simple and structured products. Crypto loans are also available on OKX and you can access new crypto projects with the Jumpstart initiative.
Bybit
Bybit is also a popular cryptocurrency exchange suitable for traders who want to check out a variety of crypto-related products in addition to regular crypto trading. Along with spot trading, Bybit also supports derivatives and margin trading. You can easily convert crypto at zero fees and no slippage here.
With trading bots, you can automatically execute your trades and Launchpad gives you early access to new tokens. Bybit also gives you customized recommendations for trading tools by analyzing your investment profile with AI. The Bybit wallet helps you access popular DApps and you can also check out NFT collections on the platform.
Bybit is committed to maintaining the security of the platform and employs data encryption technologies, Trusted Execution Environment(TEE) and Threshold Signature Schemes(TSS) for the same.
Features
✔️Mainly for derivatives trading
✔️Over 280 spot trading pairs available
✔️World’s largest USDC Options marketplace
✔️Encryption, TSS and TEE for security
Pros and Cons
✅Easily navigable platform ❌Not the best place for spot trading
✅Inexpensive trading ❌Unverified trade stats
✅Supports many order types
✅Facilitates demo trading
Trading Fees
Trading fees levels for Bybit cryptocurrency exchange
Customer Reviews
Bybit has a great user interface
Allegations of price manipulation on Bybit
Why We Picked It
Bybit is a great platform, especially for derivatives trading. Both the website and mobile app have a slick UI and transactions are quickly settled here. All the relevant security measures including data encryption are implemented on Bybit.
KuCoin
KuCoin is heaven for people who love to check out new crypto coins. And with 700+ cryptocurrencies, there is a lot to explore here. Combined with the low trading fees, KuCoin ticks off all the boxes for a good cryptocurrency exchange.
Along with spot, derivatives and margin trading, you can also lend out your crypto to earn interest on it on KuCoin. With KuCoin Earn, you can increase the value of your holdings by investing in products with lucrative returns. There is also an NFT platform where you can easily buy, sell and swap NFTs.
KuCoin runs a referral program where you can get up to 20% commission by inviting your friends to KuCoin. It is committed to platform security and uses multisig technology for secure asset storage. Data is encrypted during transit, storage and use and alerts are issued to users in case suspicious account activity is detected.
Features
✔️700+ available cryptocurrencies for trading
✔️Supports multiple languages
✔️Native token is known as KuCoin Token(KCS)
✔️Encryption and multisig technology for security
Pros and Cons
✅Massive crypto collection ❌Fee structure is complex
✅Fees are on the lower side ❌Coins are not strictly vetted
✅Referral program for users
✅Has an NFT marketplace
Trading Fees
KuCoin cryptocurrency exchange fee levels
Customer Reviews
Wide variety of coins available on KuCoin
KuCoin has bad customer service
Why We Picked It
KuCoin is a great place if you want access to a wide variety of cryptocurrencies on a single platform. You can automate your trades with the platform’s trading bots and use KuCoin Earn to grow your crypto holdings. There is also an NFT marketplace where you can buy, sell and swap NFTs.
Paybis
UK-based Paybis is a trusted cryptocurrency exchange with seven years of experience in the crypto industry. With just 30 cryptocurrencies, it does not have the largest crypto collection but it is a reliable exchange to buy and sell cryptocurrency.
On Paybis, you can easily buy cryptocurrencies like Bitcoin and Ether with your credit or debit card. The commissions here are very low and settlements are lightning-fast. You get your Bitcoin as soon as you make the payment. Paybis also features a conversion calculator that you can use to estimate the cost of purchasing a particular cryptocurrency.
Features
✔️30+ cryptocurrencies for trading
✔️Accepts debit and credit cards
✔️Has a crypto conversion calculator
Pros and Cons
✅Quick transactions ❌Fewer cryptocurrencies available
✅Active customer support ❌Mobile app not available
✅Multiple payment options supported
✅Fee structure is transparent
Trading Fees
Paybis fees explained
Customer Reviews
Paybis is an excellent professional exchange
Payments may fail on Paybis
Why We Picked It
Paybis is a professional no-nonsense exchange for cryptocurrency trading. You can easily estimate the cost of purchasing any cryptocurrency with its conversion calculator. There is also 24/7 multilingual customer support to attend to your queries.
Top 4 P2P Exchanges in Sri Lanka
Paxful
P2P crypto exchanges are gaining ground in many countries where banks and other payment service providers are often hesitant to process crypto transactions. Paxful is one such exchange that is quite popular among crypto traders in the region.
It is simply a marketplace that allows crypto buyers and sellers to engage with each other and negotiate and settle their trades. Users have the option to choose any of the 350+ methods available to pay for their cryptocurrency. Be it online wallets like PayPal, debit or credit cards or even cash, you can use anything to buy crypto on Paxful.
For businesses, there is Paxful Pay which enables them to accept crypto payments from a global user base at a transaction fee of 1%. Paxful also has a referral program where you can grow your network by inviting people to the platform and getting rewards for the same.
Features
✔️More than 350 payment options
✔️BTC and USDT to buy and sell crypto
✔️Escrow trading available
✔️Has a wallet for storing BTC
Pros and Cons
✅Several payment options ❌Selling crypto can be expensive
supported ❌Scams are possible
✅Receive payments with Paxful
Pay
✅Has a Refer and Earn program
✅Sellers can set BTC rates
Trading Fees
Paxful fees explained
Customer Reviews
Paxful is a convenient and efficient exchange
There is always a possibility of scam trades on Paxful
Why We Picked It
Paxful is fast and efficient and does not charge anything for buying cryptocurrencies. There are a plethora of payment options available and you can trade the way you like. Merchants can check out Paxful Pay for its relatively lower charges.
Remitano
Remitano is a popular P2P platform for trading Bitcoin and other cryptocurrencies. It supports LKR and you can buy BTC with LKR in the simplest possible manner. Remitano also supports crypto lending and has a Gamehub where you can play games to earn coins.
There is a conversion calculator that can give you an estimation of the LKR-to-crypto conversion rates. The transactions here are fast and Remitano has an escrow system in place to provide a safe and secure crypto trading environment.
Features
✔️30+ cryptocurrencies available for trading
✔️Crypto lending supported
✔️Gamehub to earn coins
Pros and Cons
✅Quick transactions ❌Instances of accounts being locked
✅Supports LKR
✅Refer and Earn scheme
✅Safe trading with escrow system
Trading Fees
Remitano fees explained
Customer Reviews
Remitano is trusted by users
Reports of funds being locked on Remitano
Why We Picked It
Remitano is a good option if you want to buy crypto with LKR on a P2P platform. It has a Gamehub for earning tokens and a referral program with some good rewards. You can also get incentives for completing the learning courses on Remitano.
Bisq
Bisq is a cryptocurrency exchange with a very hands-off approach. It does not interfere with the way trades are conducted and simply acts as a marketplace where crypto buyers and sellers can meet and trade with each other. Bisq is not specifically a website but a software that you have to download and install on your device for trading.
Bisq is governed as a decentralized autonomous organization in order to ensure that it remains self-sustainable and censorship-resistant. There are no geographical barriers to using it and anyone with a computer and internet connection can join and trade with crypto traders across the globe.
Features
✔️Free open-source software
✔️Governed as a decentralized autonomous organization
✔️BSQ is the native token
✔️Fees determined in BTC or BSQ terms
Pros and Cons
✅Decentralized exchange ❌Need BTC or BSQ
✅Private keys are in users’ hands ❌Not suitable for novice traders
✅Zero geographical barriers
✅Code is publicly available
Trading Fees
Bisq fees explained
Customer Reviews
Bisq does not require accounts to be approved by anyone
Transactions can take time to be completed on Bisq
Why We Picked It
Bisq is independent of any central authority and users don’t have to wait for their accounts to be approved for trading. You don’t need to submit any identifying information to the exchange and your private keys always remain in your hands.
DODO
DODO is a DeFi project that addresses the limitations of AMM-based exchanges. This is why, it has adopted the Proactive Market Maker(PMM) system which helps provide better liquidity and price stability on the platform. DODO achieves this by utilizing oracles for better price discovery.
The token listing process is very easy here and you can do it for free with Initial DODO Offerings(IDOs). There are also no minimum deposit requirements or a minimum token lock-up period. Additionally, DODO allows cross-chain trading and helps users create liquidity markets with the help of the DODO Vending Machine.
Features
✔️Runs on the Ethereum chain
✔️Utilizes PMM system
✔️Native token is called DODO Coin
✔️Uses oracles for better price discovery
Pros and Cons
✅Enables cross-chain trading ❌Relatively lower usage
✅Easy coin listing
✅No minimum deposit for liquidity
providers
Trading Fees
DODO trading fees explained
Why We Picked It
DODO offers traders price stability and zero impermanent loss. The platform also makes it easy to list tokens and gives you the freedom to create liquidity markets with the DODO Vending Machine. Cross-chain trading is also supported on DODO which is a big plus for many traders.
Can I Buy Crypto in Sri Lanka?
Cryptocurrency falls into the category of “unregulated financial instruments” in Sri Lanka. The Central Bank of Sri Lanka(CBSL) has also stated that crypto assets are largely unregulated and warned citizens against using them. They are not considered legal tender in the country and there are no regulatory safeguards in place relating to their usage.
Regarding this, the CBSL has issued circulars in 2018, 2021 and 2022. As per directions issued under Sri Lanka’s Foreign Exchange Act, citizens are not allowed to use debit or credit cards for crypto-related payments. The CBSL has also clarified that it has not issued any license to any crypto exchange or authorized any initial coin offering(ICO) in the country.
Similarly, crypto mining is also banned in Sri Lanka.
Conclusion
Sri Lanka is not the most crypto-friendly nation. The country’s central bank remains skeptical of crypto assets and also discourages their use. While there are crypto exchanges that operate in the country, the regulatory uncertainty can make things difficult for traders.
Further, as cryptocurrency trading is already a risky and speculative venture, the lack of safeguards can exacerbate the risk involved in such investments. Hence, if you plan to invest in cryptocurrency, do so only after doing your due diligence and taking the legal environment of the country into consideration.