Coinbase is one of the most renowned and secure platforms for trading Cryptocurrency (including buying, selling, transferring, and storing digital currencies).
They have two platforms: Coinbase and Coinbase Pro.
They now also offer a new option which is Advanced trading, where investors can trade, stake, borrow and earn cryptocurrency.
The company is focused on evolving its platforms as its investors evolve too and have new needs in terms of investments.
They said, ‘As our customer needs evolve and more sophisticated trading tools are required, we’re exploring creative solutions to continually improve the Coinbase experience’.
Their objectives were to welcome all types of investors, to make it easy for everyone but also to offer more specific features and options for advanced traders so no one was left out.
A lot more options are available now which allows all types of investors to trade with them.
You can either use their website to create an account or their mobile app to do so.
We went through their options and features to help you choose if this exchange matches your investment needs.
Is Binance Exchange Limited To Expert Traders?
Coinbase is a great exchange for investors interested in CeFi (Centralized Finance) but also for novice investors.
In fact, there are lots of articles and step-by-step instructions to guide new investors, so they don’t feel overwhelmed and lost (and sometimes end up not investing as it can be too complex).
Having more options for trading thanks to their new ‘Advanced trading’ options, makes it more interesting for traders, to explore and trade in a different way (as mentioned above with, staking, borrowing, and others).
However, for investors who are more into DeFi (Decentralized Finance, with liquidity providers, pools, and other options) it is still quite limited at present.
Pros & Cons Of Coinbase
|Available in more than 100 countries worldwide||High Transaction Fees|
|Offers Cold Storage (offline storage)||Restricted Choice of Altcoins|
|Numerous Trading Options Supported (Futures, Borrowing and Staking)||Minimum investment of $2|
|NFT Marketplace (beta version, you can buy and sell NFTs)||Tracks how users spend cryptocurrency|
|Live Phone Support Customer Service||Not the same features and options available in all the supported countries|
Our Take On Coinbase
In the end, Coinbase is an interesting exchange for traders looking to invest and hold for the long run.
It is also an appropriate and complete platform for beginners as it is full of resources and support (with its learning section, blog, and articles but also thanks to their FAQ).
It is a great way to start investing and trading if you don’t have any support and don’t know where to start.
However, if you want to do some short-term investments, day trading, or if you wish to complete severalf transactions a day, it may not be the right platform for you.
In fact, the fees but also sometimes the lack of variety in terms of options may restrict advanced traders to use this exchange.
Coinbase fees will vary depending on if you use Coinbase or Coinbase Pro.
It will also depend on the type of transaction or payment method used.
Coinbase applies a fee of approximately 0.50% per transaction.
The latter can vary depending on the market fluctuation at the moment of your transaction (i.e higher transaction fees tend to apply when in high demand, usually when a price drops quite drastically or when there is a huge opportunity to invest a large number of traders usually tend to do transactions at the same time hence the high demand and the increase of the fees.
In that case, it might be judicious to wait for less traffic to complete any transaction at a lower rate).
(Please note that an extra fee will also be applied depending on the account used for the transaction.)
Coinbase Pro, on the other hand, proposes lower fees if you are an active user, which allows you to complete more transactions per day (or at least less costly ones).
(Please note that Coinbase Pro does not allow credit card or debit card purchases.)
For example, the fees for a buy or sell transaction with a bank account on Coinbase will be approximately 1.49% when doing it with Coinbase pro and will vary between 0% and 0.50% only.
Is Coinbase Safe?
In terms of security, Coinbase offers the possibility to add a Two-Factor Authentication verification.
Users will receive a verification text via SMS or digits via their authenticator app.
This may be requested as the user logs in or for the validation of trading transactions.
Due to the numerous attempts and hacking in the cryptocurrency space, Coinbase and Coinbase Pro offer the possibility to store 98% of crypto assets offline in secure cold storage (not stored on the internet).
They also both protect their users against fraudulent withdrawals through cryptocurrency vaults.
Although Coinbase’s policy won’t cover losses from unauthorized access to the users’ accounts or loss of their credentials they offer FDIC (the Federal Deposit Insurance Corporation) insurance on USD deposits up to $250,000.23.
There is also the possibility to restrict access to addresses that can withdraw your cryptocurrency on Coinbase Pro.
Users of Coinbase Pro will only be able to save specific addresses in their address book which will block all other addresses from accessing and possibly withdrawing their funds.
Coinbase stated on their platform ‘There are many ways to make the most of crypto on Coinbase, and this will only increase as we build a full suite of crypto-first financial services’.
They now offer the possibility to make limit, market, and stop limit orders but also to stake cryptocurrencies (including but not limited to Ethereum, Algorand, Cosmos, and others), borrow cash against bitcoin, consult charts, and earn rewards (with the learning program and with the staking option).
Traders on Coinbase also have access to education through their learning center.
There will be more to come in mid-2022, in fact, they plan on releasing their Advanced trading mobile app this year as well as setting up a trading API (Application Programming Interface, a third-party platform that would connect you to another exchange to give you access to more possibilities in term of trading transactions.)
In the meantime, you can access their advanced trading setting on their website by following the below steps:
Trade tab > Top of the page > Advanced trade > Select your preferred crypto market
Banking at Coinbase
Coinbase users have the possibility to deposit money with a credit or debit card as well as a bank transfer.
However, these will be subject to a fee.
|U.S. Bank Account||1.49%|
|Coinbase USD Wallet||1.49%|
|Credit/Debit Card Buy||3.99%|
|Instant Card Withdrawal||Up to 1.5% of any transaction and a minimum fee of $0.55|
|USD Deposit Method||Free|
|Wire Transfer||$10 ($25 outgoing)|
Coinbase and Coinbase Pro users are able to trade over 150 cryptocurrencies.
There are, however, more than 4,000 cryptocurrencies available on the market.
Coinbase offers the opportunity to trade the most known and the most traded of them.
Users of both platforms will be able to buy cryptocurrency in dollars. Although Coinbase Pro doesn’t have a minimum price required to make a purchase, Coinbase does have a $2 minimum.
With Coinbase, investors have the possibility to stake coins and earn up to 5% interest depending on the staked asset.
They can also stake and earn a different cryptocurrency. A
t the moment, you can stake the following cryptocurrencies: Ethereum, Algorand, Cosmos, Tezos, DAI, and USD coin.
Coinbase App Experience
You can download the Coinbase: Buy Bitcoin & Ether app on both iPhone on the AppStore and Android on Google Play.
The Coinbase app is smooth and simple to navigate through. There are different ways of accessing your account, you can set up a PIN, Face or Touch ID depending on your device for quick and secure access. (If you wish to log out, you can do so by going to your profile page).
You’ll find the menu at the bottom of your screen, with assets, trade a two arrows icon menu, pay, and the for you section.
In that two arrows icon menu, you can find different options such as: buy, sell, convert, send, receive, add cash, and cash out.
Buying a cryptocurrency is fast and made easy too, you can also find them with the search engine at your disposal.
As mentioned just above, buying is made easy as they offer you the option to set installments or frequent buys.
Investors have the choice between the following: One-time purchase, daily, weekly, 1st and 15th of the month, or monthly.
There will be a preview of the transaction before clicking on ‘buy’. In that preview, the fees will also be displayed.
On the app, investors will find a list of crypto prices, top movers, charts to analyze the performance of a coin before investing in it, and crypto articles for in-depth analysis and search.
Coinbase Site Experience
Navigating through the Coinbase website is as simple and smooth as on the app.
You’ll need your email address, password, and a 7-digit code that you’ll have received by text message (so you’ll need to have your phone close by to access your account).
On the left side of your screen you’ll find, a column of sections; home, portfolio, trade, for you, and notification. On the right-hand corner, you’ll have the option to buy/sell and send/receive.
Right in the middle of the screen, you’ll have access to your watchlist and if you scroll down, you’ll find crypto articles.
You’ll also have the possibility to earn crypto with Coinbase earn. That’s an educational and rewarding program where you can earn coins by watching videos and completing a quiz.
Registration Process At Coinbase
The registration process at Coinbase is straightforward, below are the required documents to complete your verification (that you can find on their website):
- Be 18 years old or more (Proof needed)
- Agovernment-issued photo ID(passport cards won’t be accepted)
- A computer or smartphone connected to the internet
- A phone number connected to your smartphone (they’ll send a verification text message)
- The latest version of your browser (they recommend Chrome), or the latest Coinbase App version.
- Legal full name (Proof needed)
- Email address (use one that you have access to)
- Your State (Proof needed)
Coinbase will ask you for further details about your identity along with your financial situation.
Including your full name, date of birth, address, source of funds, occupation, employer, and the 4 last digits of SSN (Social Security Number).
After completing these steps, you’ll need to link a payment method (options will vary depending on your country of location).
The verification of your ID can take anywhere from a few hours to up to 3 to 5 business days (once again depending on your location).
Coinbase Global Restrictions
Coinbase is available in more than 100 countries, including 18 countries in North America, The United States, 8 countries in South America, 39 countries in Europe, 21 countries in Asia, and New Zealand, and 13 countries in Africa.
However, they do not offer the same trading options everywhere.
For example, in New Zealand, Singapore, and Turkey investors cannot sell their cryptocurrencies. Some other countries such as Paraguay, Serbia, India, and others only have the option to convert their cryptocurrencies.
Coinbase mentioned that they are still working on establishing the same options and features for all the countries, however, these options depend on the partnerships or agreements they have with banks in these countries.
Coinbase is legal in the US, however, there is disclosure for unsolved complaints in some states.
You can easily find them on the Coinbase website; this includes the following states Alaska, Colorado, Florida, and others.
These are meant to protect investors and to support them with their complaints by providing them with the right support in their respective states.
Coinbase Customer Service
Coinbase has a help center with various categories of answers among which include; NFT, Wallet, Exchange, and more.
It is also followed by their top articles for further content and sometimes deeper explanations of some topics.
You have the choice to contact their customer support team via email, you’ll have to select the platform which you’re having an issue with such as Coinbase, Coinbase Pro, Coinbase NFT, and others.
You’ll then be able to refine your search to be redirected to the right email address.
If you require further help, you’ll also have the possibility to call their team as they offer live phone support. (Please note that no specific opening time is mentioned on their website).