Coinbase
Special terms and conditions apply
Estimated reading time: 8 minutes
In 2012, Fred Ehrsam and Brian Armstrong together made a joint effort to establish Coinbase. Originally, they had thought of creating the platform for Bitcoin investors. However, in due course, Coinbase made its service available in over 100 countries. Today, you can trade in 50+ cryptocurrencies on this platform.
The San Francisco-based cryptocurrency exchange has gained high popularity within a short time in the USA. The beginners can choose it as the standard platform for crypto investment. In terms of liquidity, trading volumes, and traffic, Coinbase has achieved a high rank. Moreover, the team has claimed that it has more than 50 million verified users and several ecosystem partners.
Coinbase has different products and services, including its own stable-coin, cryptocurrency investment, custodial accounts, retail investors’ wallets, and a trading platform.
You can trade in more than 50 cryptocurrencies. Some of these include:
The exchange is presently available in more than 100 countries, and thus, traders from these countries can easily find value from the cryptocurrency exchange. Some of these include India, Hong Kong, United States, and South Africa.
It is a simple process to create an account. Firstly, you have to visit the official website and click on the Sign-Up button at the top of the screen.
Nex, you have to enter some basic details to create your account at Coinbase, agree to the Privacy Policy and User Agreement. Then, hit the option- Create Account.
You will reach a confirmation page. Then you have to open your email and click on the verification link.
While selecting the account type, you have to choose between business and individual. Then enter your phone number and go through the 2-step verification process.
Choose your preferred payment mode and connect your debit/credit card and bank account. You are now ready to buy and sell cryptocurrency.
After setting up the Coinbase account, you may purchase a limited amount of Bitcoins until increasing your limit. To raise the limit, it is essential to verify your mobile number, personal information and photo ID.
As a verified trader, you may reach the daily limit up to $25K per day. However, you can set the limit based on the payment mode for buying cryptocurrencies.
Thus, before selecting the payment method, you need to enter the personal identification number. You may choose any of the modes for your identity verification-
The first-time investors can enter the cryptocurrency trading world using Coinbase. The user-friendly interface will make you familiar with online exchanges. You can find options for transferring over to GDAX and make transactions with more currencies.
The broker exchange, Coinbase, helps you in purchasing crypto with fiat currency. That is why they has covered a large part of the crypto trading market.
Some small businesses think of investing cash into cryptocurrency. They can start their ventures with Coinbase. However, Coinbase can charge a slightly higher fee for bigger organizations that make large investments.
Create a standard trading account. With at least $2 at your disposal, you may trade different cryptocurrencies. You may not be an active seller, buyer, and user of cryptocurrencies. Still, you will leverage the benefits of several other products from Coinbase.
The special feature, known as Coinbase Earn, enables you to gain free cryptocurrencies. You have to watch different short instructive videos on cryptocurrencies and take a test after every lesson. These few steps will let you have crypto in your Coinbase wallet.
Coinbase also provides you with stablecoins, like USD Coin. These coins are different from volatile cryptocurrencies. There is a chance of redeeming USD coins for US dollars. The USD Coin users using the mobile app get rewards at 0.15% APY.
While looking for crypto storage options, you will find Coinbase storage wallet app. You may use the app to deal with your crypto assets and private keys.
Surely, there are several other Bitcoin wallets and crypto wallets, giving non-custodial storage facilities. However, the Coinbase wallet is available with some distinctive features. Users will receive a long recovery phrase, and no one can access it.
The first-time users can feel that Coinbase has a complicated fee structure with some confusing elements. There are two major parts related to the buying and selling process-
You can visit the official website to read fees-related guidelines from Coinbase.
Both of them are owned and operated by Coinbase Global Inc. Coinbase has a virtual wallet and it works like a brokerage. Coinbase Pro also functions as a cryptocurrency exchange to let you purchase and sell currencies.
Beginners prefer Coinbase, as it is easy to trade in cryptocurrency. They do not need to have knowledge about investment terms. After signing up with the platform, you can engage in trading activities.
Those who are professional traders can choose Coinbase Pro to find different types of trading.
FDIC insurance protection for Coinbase Pro users is for securing an amount of up to $250,000. When your account balance is high, you can pay low trading charges.
Coinbase Pro’s fees include maker-taker charges. When your account balance is lower than $10,000, the taker fee can be about 0.50%. With an amount of over $500 million, the fee is 0.04%.
On the contrary, marker fees are applicable while placing orders not immediately matched with your present orders. When another trader has placed a similar order, you have to pay the maker fee.
To redeem any cryptocurrency for the desired cash, you can choose e-wallets like PayPal. Wire transfers are best for deposits and withdrawal of funds. Moreover, you can use your debit and credit cards to purchase crypto coins.
Another available option for you is to connect your Coinbase trading account with your bank account. It will be useful for your crypto transactions.
After the identity verification process, you may add your preferred payment option. By submitting your credit and debit card details, you can instantly buy Litecoin, Bitcoin, and other currencies on Coinbase. While submitting the bank account details, you may need to wait for two additional days.
Instant withdrawal is one of the major reasons for choosing Coinbase. However, your bank can take 3 days to process the fund transfer.
In the case of digital currency, you can find a slight delay while making transactions from the Coinbase account. It especially happens when you have not authorized your transaction. Within 72 hours, there will be an automatic transaction.
Security and reliability- these are two major factors while choosing the best cryptocurrency exchange. However, you can rely on Coinbase to get access to the crypto market. Most importantly, Coinbase enables you to buy only the guaranteed currencies, like Bitcoin, Ether, and Litecoin. It does not permit tokens that can cause security issues.
Moreover, your money is safe with Coinbase, as 99% of the financial assets remain stored in the offline mode. Thus, hackers cannot access them in any way. The remaining 1% of assets are available online. But, they are insured assets to ensure protection against losses. When hackers steal your money, you will get it back.
Coinbase is a trusted cryptocurrency exchange licensed under the BitLicense program. That is why it sticks to the KYC rules to stay compliant with legal rules. There is no way of using Coinbase anonymously. According to the KYC rules, you have to submit valid government-issued ID details. You may need to verify your address to buy and sell cryptocurrencies.
Coinbase has released mobile apps for Android and iOS users. You can store, convert, and transfer your virtual currency on the mobile app. The way of using the app is similar to the desktop platform. You sign up to own digital currencies within a few minutes. Moreover, you will get updates about price alerts and automatic buys.
The app is secure and designed with high safety standards. You have to undergo the multiple-step verification process to start trading.
Is Coinbase a digital wallet?
Although it is a cryptocurrency exchange, it has an integrated wallet. You can use the wallet to store your assets.
To conclude, it can be said that Coinbase is a reliable cryptocurrency exchange with a well-insured platform. It is easy to sign up with the platform and start trading crypto coins. The company tracks your transactions. You do not need to leave crypto assets on the website. You can transfer them to your hardware wallet for long-term storage. You will not encounter problems during your trading sessions.
The company is presently trying to grow its business and increase its customer base by adding better features to the platform.
| Founded | 2012 |
|---|---|
| Official website | https://www.coinbase.com/ |
| Customer support URL | https://help.coinbase.com/ |