{"id":122068,"date":"2023-11-02T15:24:12","date_gmt":"2023-11-02T15:24:12","guid":{"rendered":"https:\/\/www.techopedia.com\/?post_type=review&p=122068"},"modified":"2024-10-18T11:58:45","modified_gmt":"2024-10-18T11:58:45","slug":"coinbase-review","status":"publish","type":"review","link":"https:\/\/www.techopedia.com\/cryptocurrency\/coinbase-review","title":{"rendered":"Coinbase Review 2024 – Fees, Features, Pros & Cons Revealed"},"content":{"rendered":"
Our review of Coinbase covers the pros and cons of using the exchange, comparisons to other platforms, and the overall user experience.<\/p>\n
Is Coinbase the right crypto exchange for you? Let’s find out.<\/p>\n
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Coinbase<\/a> is a cryptocurrency exchange that allows users to buy cryptocurrency with fiat currencies, like the USD or GBP, sell crypto for cash, or trade one crypto for another. Founded in 2012 by Brian Armstrong, a former Airbnb engineer, and Fred Ehrsam, a former Goldman Sachs trader, the exchange has grown to over 100 million users in more than 100 countries worldwide.<\/p>\n In 2021, Coinbase went public, offering its shares on the US Nasdaq exchange. The move led to increased transparency for users through SEC filings<\/a> and quarterly earnings reports<\/a>.<\/p>\n Daily trading volume on Coinbase often exceeds $1 billion, ensuring higher liquidity for traders and making Coinbase one of the leading crypto exchanges in the world.<\/p>\n Coinbase offers over 250 cryptocurrencies for trading, including top assets like Bitcoin and Ethereum, which combined represent about 45% of the total volume on the exchange.<\/p>\n <\/p>\n But you’re not limited to the leading crypto coins and tokens. Coinbase offers a wide range of cryptocurrencies and serves as a launchpad for many new cryptocurrencies.<\/p>\n When The Graph (GRT) launched on Coinbase in December 2020, the value of the token increased fivefold in the first three days of trading, later going on to increase in value by nearly 20x compared to its launch price of $0.12. Coinbase featured the crypto in its learning rewards program, a popular way to earn free cryptocurrency while learning about new tokens.<\/p>\n Top traded assets on Coinbase include:<\/p>\n Like similar trading platforms, Coinbase applies various fees to trades. These can include percentage-based fees or spread fees. In addition, some traders may see non-trading fees, including deposit fees.<\/p>\n Coinbase offers two trading platforms for retail traders: Simple Trades and Coinbase Advanced. Of the two, fees for Coinbase Advanced take a smaller bite out of your trades, sometimes much smaller.<\/p>\n Buy\/Sell buttons throughout the site point to Coinbase’s simple trading platform. Trades on the simple trade platform use a tiered fee structure based on trade amount. In addition, prices include a spread that varies based on market conditions but is often 1%. In this context, a spread offers a simple way to temporarily lock in a price for your trade and is included in the quoted price for the asset you’re trading.<\/p>\n Simple trades use a fixed fee for smaller trades, transitioning to a percentage-based fee for trades above $75. Generally, the fee structure below applies, although we did see some small deviations in actual trades and slightly lower fees for bank transfer-funded transactions.<\/p>\n At the high end, you’ll pay between 10% and 50% for orders up to $10. The fee for the minimum order of $2 is $0.99 (50%).<\/p>\n With higher purchase amounts above $50, trading fees drop to 4% or less for simple trades. Simple trades also use a spread, which is included in the quoted price. On a Bitcoin purchase, the quoted price included a 1% fee. However, a similar trade for USDC, a stablecoin pegged to $1 in value, did not use a spread.<\/p>\n <\/p>\n Some quick math puts the cost of buying $100 worth of Bitcoin at $4.84 ($3.84 trading fee + $1.00 estimated spread fee). However, total fees may vary depending on the asset type and market conditions.<\/p>\n To reduce the cost of trading on the platform, you can use Coinbase Advanced. Although not as easy to use as simple trades, the savings available with lower trading fees may make it worthwhile to learn the advanced platform.<\/p>\n Coinbase Advanced uses a percentage-based fee based on the type of order as well as your 30-day trading volume.<\/p>\n At the lowest volume tier, the fees are as follows:<\/p>\n <\/p>\n Orders placed using Coinbase Advanced interact directly with the order book, a list of open orders on the exchange. Coinbase does not add a spread to these orders, but you’ll pay the actual market spread if you use a market order.<\/p>\n We’ll cover Coinbase’s trading platforms and order types in more detail later in our Coinbase review.<\/p>\n The cost to trade on Coinbase depends on the amount of your trade (for simple trades) or the type of order you place —<\/span> and your 30-day trading volume (for Coinbase Advanced).<\/p>\n The table below compares the cost of buying $100 worth of Bitcoin on Coinbase versus other leading platforms.<\/p>\nWhat Cryptocurrencies Can You Trade on Coinbase?<\/h3>\n
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Coinbase Fees & Commissions<\/span><\/h2>\n
Trading Fees<\/h3>\n
Coinbase Simple Trade Fees<\/h4>\n
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Coinbase Advanced Trade Fees<\/h4>\n
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Coinbase Trading Fees Compared<\/h4>\n