Coinbase Review 2022

Coinbase is one of the most popular cryptocurrency exchanges out there today. This Coinbase review will look at various aspects of the crypto exchange platform, including its pros & cons, pricing structure, features, and much more. 

In essence, this review is to help you –

  • Weigh the advantages and disadvantages of the platform.
  • See if its features are a selling point for you.
  • Figure out if the platform offers what you are looking for and much more.

prosPros

  • Easy to use for beginners
  • Supports a large number of cryptocurrencies
  • Comparatively lower amount required to fund account

consCons

  • The transaction fees can be high
  • Customer service can be problematic
  • Very few altcoins to trade

Disclosure: As a rule, we review the best cryptocurrency exchanges and brokers. This is not financial advice and does not exclude you from the risk of loss that comes with trading volatile financial instruments like cryptocurrencies.

Quick Takeaways

  • Coinbase is a conglomerate that has amassed over 89 million users and processes around $278 billion in assets. 
  • The platform offers customers the ability to buy, sell, and trade over 100 tradable cryptocurrencies, including popular coins like Bitcoin and Ethereum and a few unpopular ones.
  • Coinbase also offers a debit card – Coinbase Card – for users to purchase everyday products using the cryptocurrency stored in their Coinbase wallet.
  • Coinbase is a good choice for any new crypto investor as most features come with detailed descriptions and are easy to use. The platform’s learning program also helps. However, experienced investors may prefer Coinbase Pro, which offers advanced charting features and more trading options.

Getting Started With Coinbase 

Starting with creating a Coinbase account is easy: 

  • Go to www.Coinbase.com from any device and click the signup button. It will be located at the top-right corner of the webpage. 
  • Mark the “I am not a robot” security box and click the option to accept the User agreement.
  • Click the Create Account button. 
  • You’ll also be sent a verification link to confirm your email address. Once you click the link, you’ll be reverted to the Coinbase website with your account set up and ready to use.

With the account now created, you now have the choice to upgrade it by completing the verification process. This process will allow you to increase the number of cryptocurrencies you can hold in your wallet. It will also make your account more secure. 

  • To verify your Coinbase account, you must go to the settings and security options from your Coinbase Dashboard.  
  • Next, fill in your residential address. 
  • Click on the button that reads Start verification 
  • Click on the type of government-issued ID you want to upload. 
  • The next screen will have a camera feature that will enable your device’s webcam. Hold your ID in front of your webcam. Take a picture of the ID. 
  • You’ll also have to take a picture of yourself.
  • It may take 2-3 minutes to verify the details. You’ll be redirected to the ‘Documents’ page if it’s done successfully. Otherwise, you may be prompted to retry the entire process again.

How Does Coinbase Work

  • Coinbase is a secure crypto exchange platform where you can buy, sell, transfer, and/or store cryptocurrencies once you create an account.
  • The platform hosts a day trading option and margin trading of cryptocurrency. 
  • Coinbase also features staking, wherein you can earn rewards for staking certain cryptocurrencies. On Coinbase, you can stake Ethereum, Tezos, Cosmos, and more.

Who Should Choose Coinbase?

  • Anyone new to the world of crypto will appreciate the ease with which you can run transactions on the Coinbase interface. 
  • Coinbase is equally lucrative for the more experienced trader who is more technical. With the Coinbase pro interface, the advanced trader can pay less than the average fees that would typically apply. 
  • Despite its expensive fees, there is still a lot to like about Coinbase. A prime example of this is its unique educational platform, where you get to earn crypto rewards as you progress through lessons.  

Coinbase Features

Coinbase has several features and products for public use. In this section of the Coinbase review, we will look at the different products:  

Coinbase Pro

Coinbase Pro might sound like an exclusive private club for a select few; this is not the whole truth. The Coinbase Pro is an interface that is available for every Coinbase user; it gives more types of trades, and you will be able to access the advanced stop and buy limit, which is not available on the main Coinbase platform. 

Coinbase Earn

The Coinbase Earn program makes earning money with Coinbase easy. It also helps you get the necessary knowledge and skills to trade crypto. All you need is to watch several videos on your favorite cryptocurrency and complete a short, simple task or quiz to test your understanding. You’ll then get rewarded for the same with that particular crypto.

Educational Resources

Coinbase features a rich library of educational materials, making it ideal for newbie traders. Studying the resources will also give users a shot at earning through the Coinbase Earn program. 

Staking Rewards

Coinbase gives rewards to users who hold particular tokens. These rewards can be earned in many ways, including staking and inflation. Coinbase participates in the Proof of Stake (PoS) networks on your behalf and distributes the rewards to eligible customers who have opted into staking or inflation. 

As a rule, staking is not available for every coin; there are selected coins on which returns can be received. 

Wallet

Coinbase wallet is one of the most inclusive wallets provided by a cryptocurrency broker. It is a wallet that works with all the EVM-compatible L1/L2 networks, supports NFTs, and is a multi-platform browser extension for iOS and Android mobile apps.

Coinbase Platform And Technology

Coinbase is usable on mobile apps, desktop applications, and browser extensions. The trading experience across different devices and interfaces is quite standard and equal. You will enjoy fluid, functional trading regardless of your device or platform. 

There is an easy-to-use trading terminal, and there are more than a hundred cryptocurrencies supported across different devices. All of the platforms allow you to switch to the Coinbase Pro interface. 

Design & Usability

The Coinbase platforms and channels’ design is functional, clean, straightforward, and to the point. The layout and the linkages are also quite easy to follow. 

User-friendliness  

The platform is user-friendly, with a quick and easy-to-follow interface. 

Desktop Experience

  • You can use Coinbase on your desktop by downloading its browser extension that allows for complete wallet functions. 
  • The desktop app is a complete, end-to-end system that gives users a wallet and allows them to collect NFTs with a single click. 
  • It also gives access to cryptocurrency trading, staking, and other functionalities.  

Mobile App Experience

  • The Coinbase application is highly coveted by iOS and Android users. It is functional and fluid, allows instant trade execution, and gives a complimentary wallet where you will be able to store tokens.  
  • The ease of use that the app confers is enough to sell it to the newbie trader in the world of cryptocurrency. 
  • It also allows for simple, safe ways to buy, sell and transfer tokens from one user to the other in a seamless manner.  

coinbase_screenshot coinbase_screenshot coinbase_screenshot coinbase_screenshot coinbase_screenshot

Is Coinbase Safe?

Coinbase prioritizes the safety and security of its users. The information you give out on the site is encrypted and secured. Coinbase uses Industry-leading security technology and has a cold wallet infrastructure to keep investors’ funds safe. It also has two-factor authentication to keep hackers out.

There are over a hundred coins available to US customers on the Coinbase Interface. The most popular include:

  • Bitcoin (BTC)
  • Ripple (XRP)
  • Ethereum (ETH)
  • Cardano (ADA)
  • Solana (SOL)
  • Polkadot (DOT)
  • USD Coin (USDC)
  • Dogecoin (DOGE)
  • Uniswap (UNI)
  • Litecoin (LTC)
  • Shiba Inu (SHIB)
  • Algorand (ALGO)
  • Stellar Lumens (XLM)
  • Polygon (MATIC)
  • DAI (DAI)
  • SushiSwap (SUSHI)

Depositing And Withdrawing Money

Depositing and withdrawing money from Coinbase is simple. Generally, your funds will reflect in your account instantly. However, in the case of a bank or wire transfer, you may experience a delay.

The timing may get extended in case of international deposits. Since Coinbase has partners in various geographic locations, the time may vary based on your location. For example, EUR (SEPA transfers) deposits may take 2-3 business days, and withdrawals may get processed within 1-2 business days. On the other hand, CAD (EFT & Interac) deposits may take 3-4 business days, while withdrawals may take 1-2 business days.

Direct Deposit

Coinbase has a ‘Direct Deposit’ option for its users. Using this option, you can (provided you’re eligible) transfer a fraction or your entire paycheck amount to your Coinbase account. You can choose how your paycheck gets deposited into your USD wallet – as USD or converted into one of the available crypto assets. You can access this feature in your account settings.

Coinbase Fees And Commissions

Coinbase charges a spread every time you buy, sell, or convert the cryptocurrencies listed on its platform. The fee or rate is determined by considering several factors like the time you place the order, market conditions, the size of your order, your chosen payment method, and others. You’ll be able to see the fees in the trade preview screen before you proceed with the transaction.

This platform uses a maker-taker fee model to calculate its trading fees. The maker and taker fees may vary as depicted in the table below – 

Pricing

Maker Fees

Taker Fees

$0 – 10K

0.40%

0.60%

$10K – 50K

0.25%

0.40%

$50K – 100K

0.15%

0.25%

$100K – 1M

0.10%

0.20%

$1M – 20M

0.08%

0.18%

$20M – 100M

0.05%

0.15%

$100M – 300M

0.02%

0.10%

$300M – 500M

0.00%

0.08%

$500M+

0.00%

0.05%

Deposit And Withdrawal Fees

The deposit and withdrawal fees on the Coinbase platform vary for different payment methods and regions. Here’s a preview of the fee you may likely incur if you use any of the following methods to deposit/withdraw –

 

Deposit Fee

Withdrawal Fee

ACH

Free

Free

Wire (USD)

$10

$25

SEPA (EUR)

€0.15

€0.15

Swift (GBP)

Free

£1

Note: You’ll be able to see the fees in the trade preview screen before you proceed with the transaction.

Discounts/Offers

  • New Coinbase users who purchase cryptocurrency on the platform get the option to spin a wheel. In doing so, they can receive a reward between $3 – $200 worth of BTC. 
  • There is also another offer where Coinbase users can earn crypto rewards when they complete the various educational materials available on the platform.

Coinbase Customer Service

One of the major issues with Coinbase is its customer service. While Coinbase is trying to remedy that aspect, customers noted that it was nearly impossible to reach a normal human for help or any other type of tips. An example is when users across the country had their accounts hacked, and the exchange’s customer support fell short in addressing their concerns, leading to their reputation taking a hit.

However, it looks like the platform has been improving its customer service. You can consider checking out these options for help – the help page, emailed support tickets, a live phone system, and a chatbot.

Comparison With Other Exchanges

Here's how Coinbase fares against other crypto exchanges - 

Binance.US vs. Coinbase

  • The Coinbase platform is available globally and in all the US states. In contrast, the Binance.US platform is only available in 45 US states so far. However, Binance.com has a global presence.
  • Binance.US has over 80 cryptocurrencies on its platform, while Coinbase offers over 100.
  • Coinbase charges a percentage for crypto-to-crypto conversions, whereas Binance.US does not.

 Crypto.com vs. Coinbase 

  • The maker-taker pricing structure of Crypto.com rewards users with higher trading volumes, whereas Coinbase has maker-taker fees that are a bit higher and may also charge fixed fees. 
  • Crypto.com is available in 90 countries, while Coinbase is available in over 100 countries.
  • Crypto.com offers more cryptocurrencies than Coinbase.

 Gemini vs. Coinbase

  • Gemini offers a fixed fee for trades, while Coinbase is more fluid and offers varying charges per trade or mode of payment. However, Gemini comes in cheaper. 
  • Coinbase is more user-friendly as compared to Gemini. 
  • Coinbase is more widely available to users across the globe than Gemini, which is limited to over 60 countries.

Key Details

Min Investment
-
$2
Trading Fees
-
0.50% per trade
Conversion Fees
-
1%
Crypto Transfer Fee
-
Free
Account Type
-
One account type, multiple levels
Number Of Cryptocurrencies
-
100+
Crypto-To-Crypto Trading Pairs
-
402
Minimum Withdrawal
-
$0.10
Withdrawal Fee
-
1%
Withdrawal Limit
-
$50,000/day
Minimum Deposit
-
$25
Hold On Deposits
-
1-2 business days
Deposit Limit
-
$25,000 a day
Customer Support Options
-
Official ‘Contact Us’ page, chatbot
Support contact
-
+1 (888) 908-7930, +1 (844) 613-1499
App Store Rating:
-
4.3/5 (iOS), 3.5/5 (Android)

Company Information

Coinbase was established in 2012 to make trading cryptocurrencies easier for everyone. The company has nearly 100 million verified users, 230,000 ecosystem partners, and over 13,000 institutions using its services.  It also has an advanced variant, Coinbase Pro, for more experienced traders. 

Take a look at some of its basic details

Founding Year
-
2012
Founded By
-
Brian Armstrong and Fred Ehrsam
Years in Business
-
10
Headquarters
-
San Francisco, California
Serves in
-
100+ countries

Coinbase Reviews & Ratings

Here’s what customers have to say about Coinbase in popular review platforms -

Review Platform No. of Reviews Rating
Trustpilot 7,194
1.6 / 5
Site Jabber 607
1.44 / 5
BitTrust 680
1.59 / 5
BBB 429
1.1 / 5

It is evident that Coinbase doesn’t enjoy a lot of popularity on these review platforms. Most negative customer reviews state concerns over their withholding funds and substandard customer service.

Author

Author :

Osueke Henry

Osueke Henry is an experienced blockchain writer who creates Industry-leading content that helps founders, investors, startups, crypto, and blockchain enthusiasts connect with their audience and win investment through the written word.

Name Price 24hr Change
BitcoinBitcoin $17154.87 0.43%
EthereumEthereum $1270.68 0.22%
BNBBNB $288.37 0.01%
XRPXRP $0.39 -0.45%
CardanoCardano $0.31 -0.46%

Frequently Asked Questions (FAQs)

Is Coinbase Good For Beginners?

Coinbase is exceptionally good for beginners, and its earn-to-learn model is a game changer as it allows anyone new to buy, sell or exchange crypto.

Is Coinbase An Exchange Or A Broker?

The primary difference between a crypto broker and an exchange is that a brokerage acts as an intermediary. Brokers allow users to trade their cryptocurrency for another or cash in exchange for a premium. 

On the other hand, an exchange allows you to trade directly without the involvement of a third party. Most expert reviews suggest using brokerages while trading a large amount as they offer more security.

Coinbase offers both brokerage and exchange services for its users. It also provides a trading interface where anyone can trade crypto pairs through Coinbase Pro.

Are Coinbase Fees Too High?

Coinbase fees are not too high. Compared with other crypto exchanges, it might be on the high side. You might want to shop around for the right price that works for you.

How Do I Avoid Coinbase’s High Fees?

To avoid the high cost, you can switch to Coinbase pro. The fees are lower, giving room for more trading forms as well.

Can You Lose Money On Coinbase?

Yes, you can lose money on Coinbase. If your trade goes in the wrong direction, you lose your investment and the extra fees and charges you had to pay for making the trade.

What Is The Difference Between Coinbase And Coinbase Pro?

Coinbase is like a brokerage with a virtual wallet, whereas Coinbase Pro works as an exchange where people buy and sell from each other. Beginners use Coinbase because it’s simple to buy and sell cryptocurrency.

Is Coinbase Legitimate/Trustworthy?

Yes, Coinbase is a legitimate cryptocurrency exchange. It is one of the most popular and reliable exchange platforms in the US.

Is Coinbase FDIC Insured?

No, since cryptocurrencies are not legal tender, they do not enjoy backing from the government. As such, cryptocurrencies on Coinbase are not protected by the FDIC (Federal Deposit Insurance Corporation) or the SIPC (Securities Investor Protection Corporation).

Will Coinbase Refund If Hacked?

Yes, Coinbase has crime insurance to protect part of the digital assets on its platform. So, in case of any breaches, theft, or any covered security incident, Coinbase will attempt to refund your assets in full. However, you should note that the total losses may sometimes exceed the insurance liability making the total recovery of your funds improbable.

Is Coinbase Fee Free?

No, Coinbase is not free. It doesn’t charge anything for its wallet services, meaning that you can store USD or a supported cryptocurrency or transfer crypto from one Coinbase wallet to another free of charge. However, it charges a percentage fee when you buy, convert, or sell cryptocurrencies. The platform also charges network fees for transactions on cryptocurrency networks.

How To Cash Out On Coinbase?

To cash out your funds, you must first sell your crypto assets for cash. You can only transfer the funds to your bank or use them to buy more crypto assets. You need a payment method linked to your account to cash out. 

Here’s how you can cash out your funds after selling crypto (Web Browser) – 

  1. Select your required cash balance under ‘Assets.’
  2. Enter the amount you wish to take out in the ‘Cash Out’ tab and click ‘Continue.’
  3. Next, choose where you’d like to cash out your funds and click ‘Continue.’
  4. Finally, click on ‘Cash Out Now’ to complete your transaction.

Are Coinbase And Coinbase Wallet The Same?

No, Coinbase is a cryptocurrency exchange where you can buy, sell, or trade crypto assets. The Coinbase Wallet, a venture of the same entity, is a self-custody wallet where you can store your crypto assets and private keys (representatives of your cryptos’ ownership) on your mobile device.

Is It Safe To Give Coinbase My SSN?

Yes, it is safe to state your SSN on Coinbase. It is one of the world’s most trusted crypto exchanges, and the only reason the platform asks for your SSN is to verify your identity and stay in line with government regulations. The exchange incorporates stringent preemptive security measures to ensure your data is always safe.

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