Coinbase experiences - The crypto exchange review

Overall Rating: 
5/5 stars

Quality

speed

cost

If you are looking for Coinbase experiences, you are in the right place: crypto exchanges are becoming more and more popular. The number of providers is rising and rising - so if you search the internet for a suitable portal, you will find that there are more and more providers who offer trading in cryptocurrencies, such as bitcoin.

Even if the field of cryptocurrencies is still absolutely new territory for many people, the number of traders and investors who are at least familiar with the matter and possibly considering saying goodbye to traditional financial products is also increasing. But it is not only about understanding how cryptocurrencies work, but also about the question of which platforms can be recommended. Because of course there are also black sheep here who want to pull money out of the pockets of traders and investors alike.

So if you want to trade cryptocurrencies or just invest because you think a certain digital currency will increase in value in the near future, you have to find a suitable platform. In this case, test reports from independent rating portals or even testimonials that can be found everywhere on the World Wide Web can help.

One platform that can definitely be examined more closely is Coinbase. Here you don't have to be afraid of possible fraud; if you take a look behind the scenes, you will quickly come to the conclusion that Coinbase is a reputable provider.

What is Coinbase?

  •    Coinbase is a crypto exchange that has been around since 2012. The company is based in San Francisco, United States of America, and can count on money from renowned investors such as the New York Stock Exchange (NYSE). The Coinbase Exchange can now be accessed from 102 countries.
  •     There are two platforms at Coinbase: The normal one for newcomers and the Bitcoin Coinbase Pro, which is tailored to professional traders. With the professional version, the fees are lower than with the normal platform.
  •     The licensed and monitored exchange offers the possibility to buy cryptos, exchange the coins for fiat currencies and many more exchanges with crypto assets.
  •     However, cryptocurrency trading is only available in a few countries, mainly in Europe. In Africa, for example, it is only possible to exchange digital currencies for fiat or vice versa.
  •     Coinbase is also involved in developing and supporting a stable coin called USD Coin (USDC). The crypto exchange belongs to a consortium called Centre, which also includes Circle, the developer of USDC.

The story behind Coinbase

Brian Armstrong and Fred Ehream founded Coinbase in June 2012 and still work for their company today. Prestigious firms such as BBVA, IDG Ventures, USV, SVAngel and more have since invested in the exchange.

The Los Angeles-based crypto exchange is licensed and regulated.

However, not much more about the history and development of the company can be found online.

Key data

Coinbase

regulation

Yes

Deposit insurance

Yes, FIAT max. 250,000 / customer

Broker type

Crypto exchange

Spreads

1.49% / trade

Minimum deposit

No

verification

Yes fast

Scalping

allowed

Mobile wallet

Yes, Android and iPhone

Mobile app

Yes

Credit card payment

Yes

Payment methods

Debit and credit card payments, bank transfers, eWallet

For those in a hurry: An overview of Coinbase's supported countries, currencies and payment methods.

Coinbase is available in 102 countries on all continents worldwide. The most notable countries include:

    Germany
    Switzerland
    Austria
    USA
    Great Britain
    France
    Spain
    Brazil
    Singapore

All 102 fiat currencies are accepted by the respective countries. A Singaporean performs his transactions in Singapore dollars (SGD), a Swiss in Swiss francs, etc.

The supported payment methods, however, depend on the country. For investors from Europe, the following options are available:

    SEPA bank transfer
    Debit card (only for payouts)
    Paypal (only for payouts)
    Ideal / Sofort
    Secure 3D Card

Traders from the USA have the following options:

    Bank Transfer
    Bank Account (ACH)
    Paypal
    Debit card

Coinbase in the test: reputable or to be treated with caution?

Before deciding on a crypto exchange, the first question is whether it is a reputable provider or not. To find out, you should first read various test reports written by independent rating portals. But apart from the test reports, it is also about the experiences made by users, which can be found on the internet. If you combine the test ratings as well as the experience reports, you will get a relatively quick overview of whether it is a reputable provider or not.

Coinbase is a reputable provider, as long as you take a look behind the scenes - you don't have to be afraid of fraudulent dealings here.

US regulation

Coinbase is regulated by US authorities. If the company operates in the US, it must comply with US laws as well as regulations - both federal and state. The following applies to Coinbase:

    Coinbase is registered with the Financial Crimes Enforcement Network (FinCEN for short) as a Money Services Business (MSB for short).
    Coinbase complies with the Patriot Act and the Bank Secrecy Act.
    Coinbase must also comply with the laws and regulations when it comes to transferring funds, for example.
    The laws and regulations also force Coinbase to be accountable time and again.

Security

In addition, it is also a question of what security precautions are taken.

    Coinbase uses the so-called 2-factor authentication here. This means that access to the user account is only possible with a user name and password and a matching key.
    Furthermore, Coinbase also works with SSL encryption. This means that you don't have to be afraid that your data will be intercepted and misused.

For some time now, the platform has provided a 3-key encryption architecture. This means that we are working with the most secure and stable variant, although this does not mean that it has become more complicated for users.

Press


Another point in Coinbase's favour is the lack of negative headlines. This means that there have been no scandals in recent years - so anyone looking for negative reports will not find anything here either.

Investors

Coinbase is active in over 30 countries. It should also be mentioned at this point that there are numerous investors who have invested in Coinbase - for example:

    the Bank of Tokyo,
    Digital Currency Group,
    Blockchain Capital and also
    Alexis Ohanian, the Reddit co-founder.

Indices

Indices aggregate the most important shares of a particular stock exchange or sector to give a better and weighted overview of their price performance. At Libertex, 20 leading stock indices are offered for trading.

    American indices: NASDAQ 100, S&P 500, U.S. Dollar Index Future, Dow Jones, RUSSELL 2000, MEX BOLSA.
    Asian indices: China A50, Hang Seng Index, Nikkei 225
    European Indices: AEX, Russia50, EURO STOXX 50, CAC 40, DAX, FTSE 100, Italy 40, Spain 35
The indices can be traded with a 1:20-1:30 leverage (private investors) and 1:50-1:100 leverage (professional investors), the minimum trade size is 2,500 EUR.

Commodities

Unfortunately, Libertex does not offer commodity trading in agriculture or food CFDs, but crude oil and natural gas CFDs are offered for trading. Specifically, these are Henry Hub Natural Gas, WTI Crude Oil, Brent Crude Oil, Light Sweet Crude Oil and Heating Oil.

The maximum leverage is 1:10, the minimum trade size is 2,500 EUR.

3-key encryption

Deposit and withdrawal

The architecture is composed of the Coinbase key, the shared key and also the user key. To begin with, it is about the Coinbase key with which the customer signs the transactions. The shared key has been encrypted with the customer's password and is stored at Coinbase as well as at the customer. The user key is then needed to ensure that transactions can be signed.

    In conclusion, it can be said that Coinbase is a trustworthy platform that can be recommended without any problems if you want to trade in cryptocurrencies. Especially because you can feel really safe here as a customer due to the numerous precautions.

trading with Coinbase

A step-by-step guide to trading with Coinbase

Buying bitcoin via Coinbase is a breeze, as Coinbase registration is possible in just a few steps. Coinbase even offers direct purchase of coins via credit card.

Registering with Coinbase is done in these steps:

Step 1: Register

Only a few personal details are required for registration. All you need is your first and last name, an email address and a password.

The email address must then be confirmed via a verification link. The account is then opened. For security reasons, however, it is recommended to use two-factor authentication, which is optional.

After a short time, the future user will be sent a confirmation e-mail in which the account is to be verified.

You will then be given access to the trading platform and you should add two-factor authentication as an additional security measure.

Step 2: Link bank account

After the first login, the user can link his bank account to the Coinbase account. Again, this is easy on Coinbase's user-friendly instructions page. Once the bank account is linked, the trader can deposit funds on Coinbase and start trading. However, supported Coinbase payment methods also include debit and credit card payments.

Step 3: Buy Coins

Now the investor can buy their preferred digital currency in the desired amount. Before completing the purchase, Coinbase shows a detailed view of the fees to be paid and the amount of coins. Those who buy for less than 200 euros pay a flat fee that is higher than usual for Coinbase.

Step 4: Withdraw Coins

Withdrawals are possible to Coinbase's own wallet and also to a private wallet. It is only necessary to specify to which destination wallet the cryptos should be transferred.

Another option is to send money to someone, or to complete purchases and sales. The Coinbase transfer time is only a few hours.

Coinbase Review: The offer

Coinbase Review
The Coinbase offer comprises various activities. The very first experiences were gained by the provider as a classic eWallet in which various cryptocurrencies - such as Bitcoin, Litecoin or Ethereum - were stored. Even today, the deposits are secured, whereby Coinbase no longer only provides the offer of a digital wallet, but has also become a platform through which one can buy digital currencies.

Coinbase uses the GDAX platform for trading - trading is therefore extremely simple, as the company has opted for an easy-to-understand and clear platform.
It was probably important to the creators of Coinbase to provide a fairly simple programme, so that even beginners who have never dealt with the matter before will have no problems opening an account or trading with cryptocurrencies.

The registration is free of charge; after the registration you can start trading.

Another point that can be used positively is the fact that you do not have to start a download - the platform can be used without installation. Due to the fact that it is a browser-based platform, Coinbase can therefore be accessed from any computer.

There are also numerous tools on Coinbase so that the trading risk can be reduced. Those who act here with stop loss or limit orders reduce the risk of loss.
At this point, it must be mentioned that it can be extremely dangerous to pump your money into the crypto market. If you think back to 2017, for example, when bitcoin was still at 1,000 US dollars in January and was scraping the 20,000 US dollar mark towards the end of the year, none of the investors at the time would have thought that bitcoin would be at 4,000 US dollars at the beginning of 2019.

The Coinbase cryptocurrencies

Bitcoin Coinbase and 23 other tradable cryptos are among the offerings at this exchange.

Here are all of them at a glance:

Bitcoin
Bitcoin Bargeld
Ether
Ether Klassisch
Ripple
Litecoin
Kettenglied
EOS

Tezos
USDC
Stellar Lumen
Kosmos
Dash
Zcash
Zusammengesetzt
Maker

Augur
Orchid
Ox
OMG Network
Algorand
Kyber Network
Dai
Basic Attention Token

Trader newcomers are likely to be confused by these unknown coins. Coinbase alternatives include eToro, for example, which is also a regulated broker but offers a good balance.

Coinbase fees

Fees are only incurred when depositing with a regular currency in order to then exchange the Euro, Swiss Franc or US Dollar into Litecoin, Bitcoin or even Ethereum. In this case, Coinbase charges a fee of 1.0 percent.

If the deposit is made with a cryptocurrency, such as Litecoin or Bitcoin, no fees have to be paid - the deposit is therefore free of charge.

Fee type

height

Deposit with regular currency

1.0 percent

Deposit with cryptocurrency

Toll-free

Maker fees

Toll-free

Taker fees

0.1 percent

The main positive aspect of trading is that there are no maker fees.

It is also positive to note that trading is also extremely favourable when it comes to so-called taker fees. The fee here is just 0.1 per cent.

    If you compare Coinbase with other competitors, it can very well be said that very low fees are charged here.

 The lower the fee, the higher the return, of course.  If you speculate with cryptocurrencies, it is important that you always take a look at any fees, as they eat into your profits.

Coinbase fees and costs - in detail

As mentioned, there are costs associated with Coinbase transactions. There are also Coinbase fees for withdrawals. Here is a brief overview of these:

Art

Coinbase

Deposit

free of charge with SEPA transfer

fees

1.49% on the total amount

Transaction fees

Spreads of 0.50%

Payout

€ 0.15

Other Coinbase costs include:

    Network fees
    Spreads

In addition, Coinbase charges costs on the purchase volume. Here are those fees at a glance:

Flat Coinbase fee:

Bithumb App

Purchase volume

fee

<$ 10

$ 0.99

$ 10- $ 25

$ 1.49

$ 25- $ 50

$ 1.99

$ 50- $ 200

$ 2.99

For transactions by customers from Europe, Coinbase charges the buyer and seller 1.49% as standard in addition to the flat-rate fees. Those paying by credit card must pay 3.99%.

Coinbase fees by payment method:

Regular buying / selling

Instant purchase (credit card)

Bank Transfer (SEPA) deposit / withdrawal

1.49%

3.99%

Free / € 0.15

However, the trader only has to plan for these costs if the percentage fees are higher than the flat-rate fees. Thus, it can be stated: Anyone who buys bitcoins in the total amount of 100 euros has to pay a fee of 2.99 euros. If the investor pays by credit card, however, Coinbase charges a fee of 3.99%.

For crypto exchanges between traders, Coinbase charges 1% of the trading volume. It should be noted that there are different fees for deposits and withdrawals in other countries.

Comparison of fees between Coinbase and other providers


Coinbase

eToro

Plus500

Deposit 

free

free

free

Purchase fees

1.49%

1.9%

Spreads

Sales charges

free

1.9%

free

Holding fees

1.49%

free

Spreads

Payout

€ 0.15

$ 5 

free

What deposit and withdrawal options are accepted at Coinbase?

Deposit

If you want to make a deposit, users have various methods at their disposal to fund their account.

1. bank transfer:

On the one hand, a transaction can be carried out with a bank transfer - this is the classic way to top up one's Coinbase account. However, as already mentioned, fees apply when a deposit is made with a fiat currency. So if you want to top up your Coinbase account with euros or US dollars, you will have to accept a fee of 1.0 percent. In addition, a waiting period of several days, usually two to four working days, must also be taken into account.

bank transfer

2. credit card:

On the other hand, there are also alternatives - a credit card is recommended here, for example, as there is no waiting time to consider. Here, too, it should be noted that fees are incurred, since the credit card also accesses a fiat currency.

3. cryptocurrencies:

However, one can also carry out a transaction from another wallet without any problems. The advantage is that the transaction only takes a few moments in this case. Furthermore, there are no fees here - so if a transaction is made with a digital currency, it is 100 percent free of charge. The maximum deposit is 30,000 euros. If the amount is higher, it is automatically transferred back.


Payout

The payout at Coinbase is possible via:
    Wallet
    Bank transfer

Please note that a certain waiting period must be waited for.
    The advantage is that the requested amount is then automatically transferred to the bank account in euros.

Coinbase - The Platform

Coinbase is particularly popular in countries because the website is also available. In addition, the platform is extremely user-friendly; this means that even those who have never had anything to do with the matter before will not be faced with any problems.

Opening an account is done within minutes. Trading is extremely easy - even storing the coins is no problem. You don't have to worry that it will get complicated after opening the account - which is also quite simple.

    The fact is: Coinbase is a platform that can be used by beginners as well as professionals without any problems.

The offer is also available on the go

Those who want to take advantage of Coinbase's offer do not have to access a computer all the time, but can also work with an app that can be installed on a tablet or also on a smartphone. The app is available in two different versions - there is an app version for iOS devices (Apple) and also an app for Android.

After the app has been downloaded, the installation can be started. The advantage is that the app, whether for Android or iOS, is free of charge.

Whether in the waiting room at the doctor's, in the underground, on a walk with the family or even during the lunch break - with an app you can access Coinbase at any time. This is the only way to react to various events at any time and intercept any losses if the market moves in the other direction.

offer is also available

The customer support of Coinbase

Coinbase implements customer support in various ways. The chat bot available on the website is particularly interesting. This is an interactive FAQ area.

It should be noted that although Coinbase also provides a language platform, the answers are only given in English. This is also the case when a direct conversation is held with a Coinbase employee.

The FAQ section available on Coinbase is extremely comprehensive. However, it must be mentioned at this point that account-specific matters cannot be clarified in the FAQ section.

Coinbase rating: What are the experience reports like?

Coinbase rating

Coinbase is not a young provider - the platform has been available since 2012. When you look at the history of cryptocurrencies, this is extremely early, because virtual currencies only really took off at the end of 2016/beginning of 2017.
Today, after Bitcoin caused a sensation towards the end of 2017 when it scratched the 20,000 US dollar mark, there are more and more people, including security-oriented investors, who are interested in digital currencies. At this point, however, it should be mentioned that the high flight of Bitcoin, the mother of all cryptocurrencies, has been over for some time: in 2018, the digital currency lost around 80 percent of its value - today, one is in the range of 4,000 US dollars.

Due to the fact that Coinbase has been available on the market for a relatively long time, it naturally also has several years of experience, which benefits customers in particular, as it has always been able to react to changes over the last few years.

If you take a look at the testimonials found on the World Wide Web, it quickly becomes clear that the provider is very convincing. Of course, there are a few users who are not satisfied, but compared to the positive testimonials, they are in the minority.

    If you combine the test reports of the independent rating portals with the testimonials that can be found on the internet, Coinbase can definitely be recommended.

Coinbase user reviews on the internet

There are currently already numerous Coinbase reviews on Trustpilot.

Here are a few reviews:

NoSupport wrote on 16.02.2021:

"What support? I have tried to contact support several times because I wanted to transfer coins from another exchange to the CoinbaseWallet. Unfortunately, not a single response so far. The money is now somewhere in nirvana and I guess I will never see it again."

Philipp MΓΌller, on the other hand, has had good experiences. He wrote on 15.02.21:

"Very beginner-friendly! One of the simplest and best trading platforms there is. Very clearly laid out, especially for newcomers. For depositing money, the SEPA procedure is offered, which is free of charge. For me, who likes to pay low fees, very pleasant.

The opinions on Coinbase are therefore different. Problems apparently exist with Coinbase support. However, the exchange is regulated.  It is a serious platform.

The advantages and disadvantages at a glance

Coinbase can convince on several levels.
    On the one hand, there are the low fees.
    On the other hand, the user-friendly interface. This means that Coinbase appeals especially to beginners.
    Furthermore, there are numerous test reports and testimonials, most of which are positive.

Pros

  • User-friendly, suitable for beginners
  • Easy and direct purchases of cryptos possible
  • Crypto purchases possible with credit card
  • Large range of cryptocurrencies

Cons

  • Insufficient customer support
  • Few deposit methods
  • Technical problems possible due to high number of users (e.g. when accessing wallets)

Coinbase alternatives

Brokers such as eToro or Plus500 are suitable as Coinbase alternatives.

Here is a brief description of the two providers:

Plus500

Plus500

Plus500 also offers a wide range of products, but no real coins. The following is on offer:

    CFDs
    ETFs
    Indices
    Options
    Shares
    Foreign exchange
    Cryptos
    Commodities

Plus500 - like eToro - offers a demo account. Plus500 is available in 30 languages and the minimum deposit is only 100 euros. In addition, the broker offers its own user-friendly trading platform rather than the usual MetaTrader4.

Users do not need a wallet to trade via Plus500. The platform is user-friendly and the broker is regulated by various financial supervisory authorities. Plus500 is also a sponsor of a well-known Spanish football team.

Buy cryptos with eToro

eToro

eToro is a regulated broker with low fees and many features such as social trading, where especially newcomers can benefit from experienced traders by simply (legally) copying their strategy.

eToro allows trading with crypto CFDs as well as with real coins. In addition to trading with currently 13 cryptos, eToro also offers other interesting options for traders, such as:

    Fiat currencies
    Shares
    Funds
    Commodities

Deposits are also secured at eToro (but here only up to a maximum of 20,000 euros per customer). The broker is regulated by the Cypriot financial supervisory authority CySEC. Due to the low fees, eToro is particularly interesting for day traders who want to make quick profits. The offer is rounded off by many useful practical tips and further training opportunities.

Conclusion: Coinbase is the platform for beginners

If you take a look behind the scenes and also look at the various experience and test reports, it can be said that Coinbase is a very interesting platform that can be recommended to beginners in particular.

The platform is not only easy to understand, but there is also an extensive FAQ section - anyone who still has a few questions can contact the staff directly.

Cryptoscene

FAQ

What is Coinbase?

Coinbase is a crypto exchange. Anyone who is registered with this provider can consequently trade in cryptocurrencies.

Is it worth opening an account with Coinbase?

Under certain circumstances, yes; making profits is absolutely possible and the platform is reputable.

How long does Coinbase take for a withdrawal?

This platform processes withdrawal requests quickly. However, the processing time can take anywhere from a few minutes to two business days, depending on the withdrawal method.

What are the requirements to trade successfully on Coinbase?

The prerequisite is knowledge of the financial instrument in which you are investing. Basically, it must be noted that cryptocurrencies are highly volatile and trading is therefore always risky. However, if you are familiar with trading, the luck of the brave is not far away!

Hi, my name is Benzion. I have twelve years of experience in the Forex industry, and I have launched two successful crypto trading services. I have in-depth experience on several blockchain networks like Bitcoin, Etheruem, EOS, Cardano, Hyperledger, ICON, Komado, etc. I also have in-depth knowledge of blockchain techniques, including various consensus mechanisms, DLT, smart contracts, security, and privacy measures. Benzion Friedman