Coinbase is a well-known Canadian cryptocurrency exchange allowing users to buy, sell, and trade various digital currencies like Bitcoin, Ethereum, Litecoin, etc.
Founded in 2012, Coinbase has become one of the most recognisable names in the crypto industry, providing a simple and user-friendly interface for new and experienced traders.
The platform has also expanded its services to include a digital wallet and a Coinbase Pro trading platform, making it a comprehensive solution for those looking to enter the cryptocurrency world.
In this comprehensive Coinbase review, we will explore the features, fees, safety measures, and benefits of Coinbase, as well as any potential drawbacks to consider before using the platform.
- It is a simple way to purchase, sell, and store cryptocurrencies
- Offers a wide range of cryptocurrencies
- Avenue to earn cryptocurrency
- They insured your cryptocurrency in the case of a hack
- You can fund your account at the lowest minimum
- Low pricing with their Coinbase Pro
- Higher fees associated with their trading
- The fee structure is not easy to understand
- Bad customer service
- No access to trade many altcoins
What is Coinbase?
Coinbase is a cryptocurrency exchange that offers a simple way to buy, sell, and store cryptocurrencies like Bitcoin, Ethereum, and Litecoin. It was founded in 2012 in the United States and has since served as a digital asset exchange, a marketplace for cryptocurrencies.
Coinbase has made huge steps in becoming the most popular exchange globally. In March 2018, it launched its investment products like the Coinbase Bundle or the ‘Coinbase Index Fund’. You can easily set up a wallet on any cryptocurrency exchange and begin trading in just a few minutes.
Newcomers can buy cryptocurrency with fiat money, i.e. normal national currencies such as USD, EUR or CNY. It also provides online wallets for all its customers, but they cannot be used to store large amounts of money.
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Cryptocurrencies Available on Coinbase
Coinbase is currently the most popular and well-known broker, wallet and exchange platform for cryptocurrencies such as:
- Bitcoin (BTC)
- Ethereum (ETH)
- Litecoin (LTC)
- Bitcoin Cash (BCH)
- Cardano (ADA)
- Solana (SOL)
- Polkadot (DOT)
- USD Coin (USDC)
- Dogecoin (DOGE)
- Stellar Lumens (XLM)
- Polygon (MATIC)
- DAI (DAI)
- SushiSwap (SUSHI)
- Uniswap (UNI)
- Shiba Inu (SHIB)
- Algorand (ALGO)
Is Coinbase Available in Canada?
Yes, Coinbase is available and legal in Canada. Canadian customers can add Canadian Dollars (CAD) to their Coinbase account using Interac e-transfer
Coinbase is a great cryptocurrency exchange for Canadians, providing a wide selection of coins. Cryptocurrency wallets are available for free on Coinbase. Transferring cryptocurrencies between Coinbase wallets is free. Canadians benefit from these features.
Features of Coinbase
Coinbase offers many exciting features that make the exchange platform an ideal option for novice and experienced traders. Here are some of Coinbase’s features:
1. Extensive Cryptocurrency Selection
There are only a few cryptocurrency exchange platforms in the US that can compete with Coinbase’s crypto selection. It offers over 100 crypto coins for trading, including Bitcoin and other major digital coins.
2. Coinbase Pro
Coinbase Pro is not only for professionals; anyone with a Coinbase account can access and use it. You can use more trade types, including limit and stop orders unavailable on Coinbase’s main platform.
It is more straightforward and based on the volume of trade you make each month and the liquidity at the time of purchase. Coinbase Pro only allows deposits and withdrawals via bank account; card purchases are prohibited. Fees still apply for wire transfers.
3. Free Crypto
Coinbase offers a very cool feature, the Coinbase Earn. This lets you earn free crypto whenever you complete educational modules about it.
Though you won’t earn much, you can complete modules in less than a minute and also get to learn more about different cryptocurrencies.
4. Mobile App
Coinbase App offers a very user-friendly and intriguing platform where users can also buy, sell and manage their cryptocurrencies, just like the web-based platform.
The Coinbase App has high ratings on the Apple Store and Google Play Store. You can download and start trading your cryptocurrency on the go.
5. Crypto Rewards
With Coinbase, you can earn interest on several cryptocurrencies on your account. Some stablecoins, like USDC, generate automatic interest from COinbase.
If you stake coins like Ethereum and Solana, you can earn rewards on them. However, you must be eligible to earn rewards. Eligibility depends on your region and the cryptocurrency.
6. Coinbase Debit Card
You can apply for a Coinbase debit card. The card is linked to your Coinbase account, and you can spend your cryptocurrencies.
The Coinbase debit card offers crypto rewards, and you can choose which crypto to earn from. You can earn up to 4%.
7. Educational Contents
Coinbase offers a library of educational materials, like crypto basics,m market updates, tips and tutorials on trading, and many more,
If you want an easy step-by-step guide on Bitcoin or the tax implications of investing in cryptocurrency, Coinbase got you covered.
Coinbase Fees
Coinbase’s fee structure is quite complex and expensive compared to its competitors, despite its convenience.
They will charge you a different fee depending on the amount you trade, the payment method you use, and the region where you live. Explore the table below:
TOTAL TRADE AMOUNT | FEE |
$10 or less | $0.99 |
From $11 up to $25 | $1.49 |
$26 up to $50 | $1.99 |
$51 up to $200 | $2.99 |
Coinbase Payment Methods
In the US, Coinbase fees vary depending on the method of payment used. Look at the table below:
Payment Method | Coinbase Fee |
US Bank account | 1.49% |
Debit or Credit Card | Up to 3.99% |
Coinbase USD Wallet | Up to 1.49% |
Instant card withdrawal | 1.5% ($0.55 Minimum) |
Crypto Conversation | 2% |
ACH Transfer | Free |
Wire Transfer | $10 or $25 |
Credit transaction | 2% |
So, if you purchase $12 of bitcoin through your U.S. bank account, the flat fee would be calculated as $1.49 (rather than 0.99% as $1.49 is pretty higher), in addition to the spread, which is the difference between the bid and ask price.
Is Coinbase Safe and Legit?
Yes, Coinbase is safe and legitimate for buying, selling, and trading crypto assets in Canada. Coinbase prioritizes security, employing various protocols to safeguard customer accounts.
These include monitoring the dark web for compromised passwords, recommending third-party security keys, and providing on-site security prompts. Additionally, Coinbase strongly encourages two-factor authentication (2FA) to enhance account security.
The exchange employs two crucial security measures to protect customer assets: cold storage and multiparty computation (MPC). Regulatory requirements mandate Coinbase to notify Canadian users if their crypto holdings fall below a certain threshold.
Coinbase imposes limits on total cryptocurrency purchases within a calendar year for all coins except Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC). However, these limits do not apply in British Columbia, Manitoba, and Quebec.
Furthermore, Coinbase provides criminal insurance coverage for security breaches to the platform itself, excluding compromised login credentials. Hence, customers must adhere to Coinbase’s strongest security recommendations to mitigate risks effectively.
How To Open a Coinbase Account
Signing up for Coinbase is like opening a new bank account online. The procedure is seen below
- Login to the website or download the app
- Enter your personal contact information
- Including also your Social Security number to open a fully verified account.
- Submit your ID for proof
- Set up the account and allow your information to be verified
- Once your information is verified, you can buy and sell cryptocurrency up to your coin base account limit.
How Coinbase Compares To Other Cryptocurrency Exchanges in Canada
There are several cryptocurrency exchanges in Canada with similar features to Coinbase. Let’s explore how Coinbase compares to crypto exchanges like Kucoin, Coinsmart and Bitbuy.
Coinbase vs KuCoin
Coinbase and KuCoin are cryptocurrency exchanges in Canada, but they differ in several ways.
Coinbase is a popular exchange that primarily caters to beginner-level traders and investors. It offers a limited selection of cryptocurrencies, but it’s known for its user-friendly interface and high level of security.
On the other hand, KuCoin offers a wider range of cryptocurrencies and trading pairs, making it a more attractive option for experienced traders. It also has lower trading fees and provides more advanced trading tools and features. However, KuCoin’s security measures are not as robust as Coinbase’s and are unavailable in as many countries.
Coinbase vs Coinsmart
Coinbase and Coinsmart are both popular cryptocurrency exchanges. Still, they have some differences worth considering. Coinbase is available in more countries than Coinsmart, which is only available in Canada. Coinbase has a more limited selection of coins than Coinsmart, which offers a wider range of cryptocurrencies.
Coinbase charges higher fees than Coinsmart for buying and selling cryptocurrencies. Both exchanges offer high-security features, such as two-factor authentication and insurance, but Coinbase has never been hacked, while Coinsmart was the target of a hack in 2021.
Coinbase vs Bitbuy
Coinbase and Bitbuy are popular cryptocurrency exchanges that allow users to buy and sell digital assets. Coinbase is available in more countries than Bitbuy, including the US, Canada, Europe, Australia, and Singapore, while Bitbuy is only available to Canadian residents.
Coinbase offers a wider range of cryptocurrencies for trading than Bitbuy. Coinbase supports more than 50 cryptocurrencies, while Bitbuy supports only a handful of major cryptocurrencies. Both exchanges charge fees for trades, but Coinbase’s fees are generally higher than Bitbuy’s.
Coinbase is known for its user-friendly interface and mobile app, while Bitbuy’s platform may be more suitable for advanced traders. Both exchanges prioritise security, but Coinbase has a strong reputation for security measures and insurance, which may appeal to more risk-averse investors.
Final Thoughts on Coinbase Review
Coinbase is a popular cryptocurrency exchange that provides a simple and user-friendly platform for new and experienced traders.
With over 100 coins, a mobile app, Coinbase Pro, and free crypto rewards, it’s no wonder Coinbase is a popular choice. The exchange offers a wide range of cryptocurrencies, an easy-to-use mobile app, and the ability to earn free crypto.
However, its fee structure is quite complex and expensive compared to its competitors, and it has received criticism for its customer service.
Coinbase is a comprehensive solution for those looking to enter the cryptocurrency world. Join the crypto conversation with Coinbase!
FAQs on Coinbase Review
Is Coinbase Trustworthy?
Coinbase is the world’s most popular platform for buying and sell cryptocurrency. It offers a variety of payment options, including crypto credit cards, normal credit cards, and bank transfers, although fees are higher for less common payment methods.
Is Coinbase right for you?
Coinbase is a cryptocurrency platform that makes it easy to buy, sell and manage your portfolio of digital assets.
Whether you are new to cryptocurrency or a veteran of the space, Coinbase has everything you need to buy, use and accept cryptocurrencies like bitcoin, Ethereum, and more.
Coinbase’s basic service is user-friendly and quick, but tracking costs can be difficult unless you use the platform, which is more advanced.
Is Coinbase a Good Place to Buy Bitcoin?
With support for many popular cryptocurrencies and a strong security record, Coinbase is an excellent place to start if you are new to bitcoins and cryptocurrency.
