Coinbase Exchange Review 2022: Is it safe? Pros, Cons, And More!

The post Coinbase Exchange Review 2022: Is it safe? Pros, Cons, And More! appeared first on Coinpedia - Fintech & Cryptocurreny News Media| Crypto Guide

Have you ever wished for the best thing since sliced bread which is sharp as a tack? Easy to approach and up to speed. Coinbase exchange is the best option for those who are full of vim and vigor. In this broad range of crypto worlds, figuring out which exchange is the finest is crucial!

Let’s pay attention to one of the leading crypto exchanges, Coinbase. It has hit it out of the park to the best of my knowledge.

Due to Its advantages and exceptional security measures, it is ranked among the finest crypto exchanges around the world. It is quite popular in the class of crypto traders.

In this context, you will be able to determine, whether this exchange is good enough for you? Dive in to know this encyclopedic knowledge of Coinbase.

The credentials provided in this article will help you to know about the diverse system of the platform.

Overview

What is Coinbase?

Coinbase global, Inc known as Coinbase. Embarked its journey as a cryptocurrency exchange in June 2012. It turns out to be an American company with no physical headquarters.

The founders of this centralized exchange are Brian Armstrong, an ex-Airbnb employee, and Fred Ehrsam. This platform was dedicated to Bitcoin.

Further, it expanded its platform to different kinds of cryptocurrencies. It is well known for trading, investing, storing, and marketing cryptocurrencies.

Coinbase is listed on Nasdaq by means of the direct public offering on April 14, 2021. They gained bitlicense and trading license in 2017 allowing the exchange to operate in Newyork.

Coinbase has 89+ million verified users. Offers 158 coins and  447 pairs. The quarterly volume traded is $327 billion. It has Twitter followers of around 4.9 M and more than 3700 employees.

Why Coinbase?

Coinbase takes security pretty seriously and has never been hacked till now. Investments and funds are held and ensured by Coinbase through Lloyds of London.

Most of the crypto assets are actually stored offline in cold storage vaults. Coinbase provides you with a simple trading platform that guides you through trading. It was the most downloaded app in 2017.

 Another contribution is Toshi, a mobile application for decentralized apps. It has captivated crypto traders from all around the world.

Its buying method is considered to be the fastest process available. Despite the fact that it took many years to be famous, it has built a strong foundation of trust between its users.

While Coinbase is a remote-first company, the organization offers offline facilities. Also provides this service at 12 locations across the US, UK, Japan, Ireland, Germany, and the Philippines. 

Company Overview

Coinbase is a centralized exchange. It has 4,22,000 daily active users. Over 6.1 M traders make the smallest of one transaction every month. Its dashboard is convenient and straightforward.

There are a very limited number of exchanges that accept paper money by means of debit cards and bank transfers. Coinbase is one of them. It is also deemed the most trusted cryptocurrency podium. USD wallet has a cover-up to $250k by FDIC insurance. An advantage for United States residents, which no other crypto exchanges offer.

Is Coinbase safe and Legit?

Yes, It is a safe and secure exchange. Coinbase is considered to be the most trusted exchange in the world. Until now it has a good security record.

Coinbase funds were never hacked. It has a strong verification process. You are required to enter the verification code every time you log in.

The best part is 98% of the user’s funds are stored offline. The information is stored in deposit boxes and vaults worldwide. Only 2% of them are online to ensure liquidity.

Coinbase is not insured by SPIC but has an insurance policy for cryptocurrencies. This will help from security breaches and burglary.  It provides three types of two-factor authentication.

They are SMS, Google, or Duo authenticator and Hardware keys. It is popularly traded as a Nasdaq coin.

 Pros And Cons

Pros

• Various trading dashboards
• User-friendly and handy platform for beginners
• Learn and earn free cryptos
• Possesses its own debit card
• Cold storage facility

Cons

• More complaints about customer support
• No privacy
• Transaction fees are towering.
• No diversity in coins
• Verification is needed most of the time.

Coinbase Features

1. Payment methods: It allows users to make payment through local currency. It offers 4 types of payment methods. They include bank transfer, SEPA, credit/debit cards and wire transfers.

2. Coinbase learn: In this section you will find tips and tutorials related to cryptos, guides and explainers. It also provides answers to all your crypto questions and market updates. 

3. Trading fees: The fees may vary anywhere between $0.50 to 3.99$ based on your transaction. There are no fees attached for using a Coinbase card. They charge a fixed spread fee of 0.50% for every trade.

4. Security: 98% of the users funds stored offline through cold wallets. There is less chance of hacking where only 2% of the funds are stored in hot wallets for liquidity.

5. Earning : You can earn through Coinbase by learning about the projects given by the platform. It consists of videos and you have to pass the test to earn free cryptos.

6. Different versions : Coinbase has different versions like coinbase pro, it is designed for proficient traders. It has a little bit of obscurity. Coinbase prime is intended towards asset managers, offices, companies where it helps for the advancement of the funds.

7. Deals: It has recently made a deal worth $1.36 million with the U.S immigration and custom enforcement (ICE) department. It is delivering data to ICE about how Americans are buying and spending crypto currencies. 

8. Coinbase card: This card is amazing and let me tell you why! It’s easy to use and you can connect to a bank account by clicking on add funds. You can earn upto 4% in crypto currency by using this card.

9. Coinbase custody: It meets these 3 points, safety of asset, regulatory clarity and transparency. It’s like a bank aimed at providing financial supervision. For asset allocators, endowments, foundations, pension funds and family offices.

10. Coinbase wallet: You don’t need to have a Coinbase account to use a Coinbase wallet. You cannot directly connect Coinbase wallet to your bank account. It gives you a wide choice of DEX, where you can buy and store Erc20 tokens, collect NFT’s, take part in airdrops and much more.

Coinbase Fees and Limits

Coinbase trading fees are correspondingly higher than the majority of the exchanges. For every trade, it charges 0.50% and a further 1.49% for bank transactions. It also applies a bursting charge of 3.99% for credit card acquisitions.

Let’s understand it in a simple way. There are two main fees you have to understand. Firstly, ‘consumer exchange rate’ where they add a margin to the current market price of the cryptocurrency. They are basically taking a 0.50% profit for themselves.

The second fee is the ‘Coinbase fee’, this fee is based on several contingent factors. It depends on the amount you are buying and selling, your region, product features, and the payment type. For up to 10$ it’s going to be 99 cents, for up to 25$ the fee charged is 1.49$, up to 50$ it’s gonna be 1.99$ and if it’s equal to 200$ the fee charged is $2.99.

They also charge a cryptocurrency conversion fee. If you want to convert Bitcoin to Dogecoin then you have to pay a 2% fee for that.

The best way to buy is using a bank account for Coinbase.com. You shouldn’t use a credit card if you want to save some funds.

If you want even lesser fees then you have to use coinbase pro. This is the main trading platform of Coinbase.

Crypto Currencies Available

Coinbase supports over 158 coins and 447 pairs of cryptocurrencies. Some of the important ones are:

• Bitcoin
• Cardano
• Ethereum
• Solana
• Polkadot
• Dogecoin
• Uniswap
• Litecoin
• Polygon

More knowledge about coins will be found in the Asset Dictionary.

 Major Trading pairs include :

• BTC/USD
• ETH/USD
• BTC/EUR
• ADA/USDT
• ETH/BTC
• BTC/GBP
• USDT/USDC
• SOL/ETH
• BTC/UST
• ETH/DAI

Coinbase Supported Countries

Coinbase is available in 100 + countries. The exchange is trying very hard to provide their service in every country.

Below are some of the countries, Coinbase is available in :

• North America( 18 countries supported)
• South America (8 countries supported)
• Europe (39 countries supported)
• Asia (21 countries supported)
• Oceania (1 countries supported)
• Africa (13 countries supported)

US states are not yet supported by Coinbase including Hawaii.

Coinbase Mobile App

• The mobile app of Coinbase is user friendly. Anyone can use this app and has a friendly interface. The app is accessible for both IOS and android users.
• You can check analytics for each of the coins in the app. You can study cryptocurrencies  through various articles.
• Coinbase file size in android is 57 MB and has a rating of 3.3. Bitcoin buy and sell guide for Coinbase file size is 3.6 MB .
• On the Apple store it has 4.7 star ratings and file size is 123 MB.
•  Although the mobile app and desktop versions are the same. The desktop edition has more features like learn and earn crypto and much more.
• For vault wallets there is no extra fee charged. It executes orders in seconds and helps the trade go easy.
• It makes sure that it is you signing in through a secondary verification process. SMS text code is its default two step verification method. This way it helps you to secure your account.
• This app requires your location permission. There should be enough storage to download the app.

How to Sign up on Coinbase?

1. Go to Coinbase.com. Click on ‘Get Started’.
2. Enter the details like your name, Email and password.
3. Agree to user agreement and policy.
4. Click to the link which is sent to your Email and get started.
5. Set up two step verification by adding your current phone number.
6. Whenever you sign in on a new device it sends you a code to verify it’s you.
7. Tap on ‘send code’. Enter the code and click on ‘Submit’.

How to verify your identity on Coinbase?

1. Click on your profile. Go to ‘settings’ option.
2.  Upload your picture(max file size 20mb). Fill in profile information.
3. Click on verify your document ID, which is located at the bottom of the page.
4. Select ID type like passport, drivers license or national ID card.
5. Choose an upload method.
6. You will receive a text msg with a link on your verified phone number.
7. Click on the link. Take a photo of the front and back of your ID.
8. You will get Email confirmation, whether it is verified or not.

Note: Make sure your ID is valid. Coinbase does not accept expired IDs.  Check your entire card is visible and your Id is in the frame.

How to recover your password on Coinbase?

1. Search for Coinbase and click on ‘Sign in’ .
2. Click on forgot password.Enter your Email of your Coinbase account.
3. Coinbase will send you an Email for resetting your account.
4. Click on reset password. You will be directed to the Coinbase portal.
5. Enter the password. Tap on ‘Update password’.

Hence your account will be recovered.

How to deposit on coinbase?

For desktop

1. Go to the homepage of Coinbase. Click on the ‘BUY/SELL’.
2. A Box appears giving you options to choose. You can add funds via bank account or debit card.
3. For debit cards, provide the details related to debit cards and do the verification process.
4. For easy trading, let’s choose a bank account. It’s free. 
5. Click on ‘bank account’, where you can buy crypto currencies instantaneously.
6. It will take you too, ‘Coinbase uses plaid to link your bank’. Tap on ‘Continue’.
7. Select your Bank. If you do not see your bank account just type in it.
8. Enter your user ID and password of your bank. Tap ‘submit’.
9. Once your bank account is linked. You have to repeat the process.
10. Go back to the homepage and press the ‘Buy/sell’ option. Enter the amount you want to deposit. Click on ‘Preview Buy’.

For mobile

1. Open Coinbase app on your mobile. 
2. Add a payment method. If you have not added it to your account.
3. Go to the ‘Portfolio’, which is located at the bottom of the page.
4. Choose the currency. Here we are going with US$. Press onto US$. Click the ‘deposit’ button.
5. Choose the deposit method and follow the above instructions from step no 4.

How to withdraw funds from Coinbase?

1. Go to the ‘Portfolio’ option. In your assets you can see different crypto currencies and fiat currencies.
2. Select the ‘Buy/Sell’ icon located on the right side. At the top navigation bar.
3. Select the Sell option. Enter the amount you want to sell.
4. Click on ‘Preview sell’.
5. Select ‘portfolio’ option. Go to ‘Your Assets’. Select the currency you entered above and click on it.
6. In the asset page, select the withdraw option. Enter the amount you want to withdraw.
7. Click on ‘Withdraw all’. Click on the withdraw button.
8. Select the payment method and Click ‘continue’. Click on the ‘withdraw now’ button to confirm your transaction.

How to Buy Crypto on Coinbase?

1. Sign in into your account and verify the code .
2. Go to the Buy/sell option located at the right side of the top navigation bar. Click on the ‘buy’ field in the box.
3. Select the currency you want to buy. Click on ‘Preview Buy’.
4. Click on ‘Buy now’ to complete your buy.

How to sell Crypto on Coinbase?

1. Go to the dashboard of Coinbase. Click on Buy/Sell option on the top.
2. Select ‘Sell’. Fill in the crypto you want to sell.
3. Enter the amount and tap on ‘Preview Sell’.
4. Click on ‘Sell now’ to complete the process.
5. After this process, your funds will be transferred to your local wallet.

Traders Reviews

One of the drawbacks of Coinbase is its high fees. Some of the users find themselves pleased with the good support system that Coinbase provides.

Most of the complaints are about frozen accounts, so many fees, daily limits, unable to withdraw funds, no response from customer support, and blocked cards.

6000 people lost all their currencies last year. There are more unresolved complaints. It has a total review of 1.6 which is considered to be bad.

Though it has the most appealing security features it is still lacking behind in the privacy section.

It has a very easy interface for beginners. If you want lower fees then you have to try Coinbase pro. Most of them find it difficult to understand the fee structure. It should work on; concentrating more on users’ complaints.

Coinbase FAQ’s

1. What happens if you send a different currency address then the one you are sending?

The software will not identify the transaction. You will lose your funds and cannot access the currencies in the dashboard.

2. Can I have different accounts in Coinbase and Coinbase pro?

No, you can only have one account with Coinbase pro. If you have an account in Coinbase then use the same information for Coinbase pro

3. What is Coinbase commerce?

It is a dashboard where users can accept cryptocurrency payments all over the world. This platform is decentralized. If you lose your password then Coinbase will not help you to recover it. You are in full control of your account.

4. Is it possible to reverse your transaction on Coinbase?

No, once the payment is done you cannot change it .

5. The data which is provided during identity verification, does Coinbase keep it private?

Yes, Coinbase uses this information only to open your account. The information is kept within the confines of the company. This also includes your pictures.

Closing Thoughts

Coinbase is one of the leading companies in the world of crypto exchanges. If you are ready to pay the fees and have complete trust in this exchange.

Then go for it. Everyone is riddled with flaws so Coinbase. If it works more on customer complaints, then it will be the prime choice of all the traders.

It has a cool interface with a blue and white combination. Its popularity is increasing day by day. It has an advanced trading system for traders of all levels.

You are creating through your choices, even now, choose wisely which is the best crypto exchange for you!

Read more: https://coinpedia.org/exchange/about-coinbase-exchange/

Text source: Coinpedia – Fintech & Cryptocurreny News Media| Cr