Getting Started with Coinbase Exchange
For many traders, the Coinbase exchange has become the first step and a great opportunity to try cryptocurrency trading. More than 73 million active verified users buy/sell, exchange altcoins every day, and the total number of registered accounts is even higher. Also, users of the exchange are about 10 thousand companies and 185 thousand system partners.
In the CoinBase review, you will learn the reasons for the exchange’s popularity. We will analyze the platform’s key features, from basic buying and selling functions to advanced trading tools. And you will decide for yourself whether the exchange is suitable for buying/selling cryptocurrencies.
Coinbase Overview
What is Coinbase?
Coinbase is a feature-rich cryptocurrency platform that allows users to buy, sell, store and use a variety of digital assets. But crypto platform is more than an exchange. It is an ecosystem of interconnected products and services.
At the heart of the ecosystem is Coinbase Exchange, a trading platform where users can exchange fiat currencies for cryptocurrencies and trade different cryptocurrencies. For more experienced traders, there is Coinbase Pro, which offers advanced trading tools and lower fees.
In addition to exchanges, crypto platform provides educational resources through the Coinbase Learn program, where beginners can gain a basic understanding of cryptocurrencies and blockchain technology. For the safe storage of crypto assets, the company has developed the Coinbase Wallet, a non-custodial wallet that gives users full control over their funds.
Key Features of the Coinbase Platform
For users from different countries, including Malaysia, Coinbase has special advantages and features. Before choosing this exchange to trade digital currencies, you should familiarize yourself with its key features.
- Coinbase is a public company traded on the NASDAQ under the ticker COIN, which adds an extra layer of transparency and trust to its operations.
- The exchange is hack-proof and stores 98% of users’ crypto assets offline, significantly reducing the risk of cyberattacks.
- Over 100 popular, new and exotic altcoins are available on the platform.
- In addition to retail users, Coinbase offers solutions for institutional investors and corporations.
- You can purchase a special Coinbase Card that allows you to spend cryptocurrency in your everyday life, converting it to fiat money when you pay.
Getting to Know the Coinbase App
The Coinbase mobile app is a great offering for users who trade from home. Buying or selling cryptocurrency is now much easier and more convenient, regardless of your location or time.
The application can be downloaded from PlayMarket and AppStore on Android and iOS. The customized interface of the platform is characterized by fast and lag-free operation. All the information available on the web version of the Coinbase exchange is available on your phone.
There are two applications, CoinBase Wallet and CoinBase Pro. The table below compares the key features of the apps.
Features | CoinBase Wallet | CoinBase Pro |
Purpose | Decentralized cryptocurrency and NFT storage application, private key control. | A trading platform for active cryptocurrency trading. |
Asset Control | Full control over the user’s private keys and funds. | Private keys are controlled by the platform, not the user. |
Application Type | Wallet (self-custody), support for DeFi and Web3 applications. | Exchange for active cryptocurrency trading. |
Data Security | Decentralized storage, protected by biometrics and passwords. | Centralized storage, protected by two-factor authentication (2FA). |
Cryptocurrency Trading | Not designed for trading, but you can use decentralized exchanges (DEX). | Supports complex trading operations: limit, stop orders, margin trading. |
Commissions | No storage fees, but there may be network fees when sending transactions. | Low trading commissions, depending on volume and order type (maker/taker). |
NFT Support | Supports saving and viewing NFTs directly in the application. | Does not support NFT. |
Supported Cryptocurrencies
Coinbase offers an impressive selection of cryptocurrencies, making this platform attractive to a wide range of investors. Over 100 different crypto assets are available on Coinbase for Malaysian users. This list is constantly expanding to meet the needs of traders.
- The list is based on the largest cryptocurrencies by market cap, such as Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Ripple (XRP).
- There are popular altcoins such as Cardano (ADA), Solana (SOL), Polkadot (DOT) and many others.
- Projects such as Uniswap (UNI), Aave (AAVE), Compound (COMP) are available on the platform, giving investors access to the rapidly growing DeFi sector.
- For users interested in stablecoins, crypto exchange offers several options including USDT, USDC (which was created with Coinbase‘s participation) and DAI.
Coinbase is also known for its Coinbase Earn program. This program allows users to get a small amount of new cryptocurrencies for free while learning their features. In addition to expanding the list of available assets, it makes it easier for users to discover new projects.
Cryptocurrency Trading on Coinbase
Spot Trading on Coinbase
For beginners who are not sure about their knowledge or experience, they can try spot trading on Coinbase. This is a simplified version of buying and selling cryptocurrencies using your own assets. There is no leverage in spot trading. This means that the user does not need to check the available transaction amount, he only has the money he has in his account. Another advantage is a low entry threshold and many possible trades.
The disadvantage of spot trading is that there can be a low income from buying/selling cryptocurrency. However, it all depends on the user’s initial capital.
Margin Trading on Coinbase
Unlike spot trading, margin trading requires leverage. This means that users can make transactions for large amounts with only a small amount of capital. However, there is currently an option to borrow BTC from Coinbase itself or its affiliates for a commission of 2% of the transaction amount.
Commissions on the Coinbase Exchange
One of the disadvantages of the Coinbase exchange is its commission structure, which may seem complicated to many new users. However, understanding its peculiarities will help you optimize your trading costs.
Coinbase uses a dynamic commission system that depends on several factors, including the type of transaction, payment method, and transaction volume.
For standard buying and selling on Coinbase’s main platform | Fixed fee | Varies by transaction amount from $0.99 to $2.99. |
Interest Fee | Typical fees are 1.49% for wire transfers and 3.99% for purchases made with a credit card. | |
For Coinbase Pro users | For makers | Starts at 0.5%, with the option to reduce to 0% for large trading volumes. |
For traders | Starts at 0.5%, with the option to reduce to 0.04% for large trading volumes. |
Sign up and start trading
Registration and Verification
It only takes a few minutes to sign up and log into your personal account.
- Go to the official CoinBase website and click on the “Sign up” button.
- Fill in your details in the registration form: First name, last name and current email address. Choose a strong password.
- Go to your email to confirm your registration.
- Pass the verification. Enter your first name, last name, age, place of residence, occupation and source of funds. This step is very important.
- After that, you can log in to your personal account.
How to buy cryptocurrency
To start trading, you need to deposit any amount of money into your account. You can deposit via fiat, P2P or from exchange to exchange.
Buying cryptocurrency is very easy on the platform. Just select the cryptocurrency you want from the list. Next, enter the amount and click “Buy”. The exchange will transfer the altcoins to your wallet and deduct the commission.
FAQ
Coinbase offers 24/7 customer support via email and live chat on the website. Phone support is available to verified users, and the knowledge base contains detailed answers to the most common questions. Response times may vary depending on the complexity of the question and the current support load.
Coinbase ensures the safety of funds by storing 98% of crypto assets in cold vaults that are not accessible online. The platform uses two-factor authentication, data encryption, and regular security audits. In addition, Coinbase insures user funds against hacking and offers an account lockout feature in the event of suspicious activity.
You can deposit funds into your Coinbase account via wire transfer, credit/debit card, or PayPal (depending on your region). Bank wire, PayPal and cryptocurrency transfers to external wallets are available for withdrawals. The speed and availability of these methods may vary depending on the user’s country and the currency selected.