- Withdrawal fees: 1.00% for withdrawals over £200
- Customer support: Phone, mail
- EUR and GBP wallets: Yes
- SWIFT payments: /
- Deposit limit: £250,000
Last Updated: January 26, 2022
- Withdrawal fees: 1.00% for withdrawals over £200
- Customer support: Phone, mail
- EUR and GBP wallets: Yes
- SWIFT payments: /
- Deposit limit: £250,000
Trading on PC
- Over 100 available coins
- Learning materials
- Coinbase Card
- EUR and GBP wallets
- Security issues
- No live chat
The first step to trading crypto is deciding what platform to use. Although the trading industry offers dozens of apps for day traders, it’s essential to examine your options before depositing your assets to a trading platform of your choice. So, for example, you should opt for a service provider allowed to operate in your country or search for an app that features useful tools and low fees.
In this Coinbase review, I’ll show you the pros and cons of trading crypto on this platform. Hopefully, you’ll get a better understanding of how Coinbase works and whether you can rely on its services in the future.
- What is Coinbase?
- Who is Coinbase Best for?
- How Does Coinbase Work?
- What Cryptocurrencies Does Coinbase Support?
- How to Trade at Coinbase?
- How Much Does it Cost to Trade at Coinbase?
- Deposits, Withdrawals, and Payments
- Mobile App
- Customer Support
- User Reviews
- Wrap Up
What is Coinbase?
In 2012, Brian Armstrong decided to build a platform that allows users to buy and sell Bitcoin. Almost a decade later, Coinbase is now one of the leading global crypto exchanges with over 73 million active users and a place where everyone can sell, store, buy, and transfer crypto.
Coinbase is a decentralised American company with over one thousand employees. Its main goal is to provide services that can empower people on their road to financial well-being. Coinbase’s main goal was to build a crypto economy and an economic system that benefits anyone who decides to join. As a result, millions of clients worldwide can trade on a secure platform and profit from it.
This global crypto exchange also advocates for economic liberty. Coinbase wants you to take control over your assets and investment decisions, which is why it offers educational materials to support your growth and help you elevate your trading skills.
Moreover, Coinbase complies with all laws and regulations in jurisdictions in which this company operates. But, when it comes to the international community, Coinbase is still trying to make trading accessible to everyone. As some countries require licences for digital currency businesses, Coinbase will obtain all licences needed to comply with the local laws.
Regulated by the UK Financial Conduct Authority (FCA), Coinbase is an authorised financial institution allowed to operate in the UK. Additionally, Britons now have access to both GBP and EUR wallets, which is good news for those who want to store their assets in more than one international currency.
Who is Coinbase Best for?
Coinbase is available in over 100 countries. However, not all clients can use the same Coinbase services. For example, clients from the UK can buy, sell, and convert crypto, while Coinbase users from a handful of countries, such as India or Argentina, can only convert crypto on this platform.
Although some clients can’t reap the benefits of using Coinbase as their trading platform, Coinbase works hard to make its services accessible to as many people as possible. But, as stated earlier, Coinbase is available in the UK, meaning you can freely use its services without worrying about facing legal issues or hefty fines for unauthorised trading.
Coinbase is more than a trading platform. It’s a community of traders that encourages you to learn to trade, read trading charts, and improve your skills. So, if you want to begin your trading journey, remember that Coinbase is best for:
- Collecting or trading crypto assets
- Learning about crypto and its benefits
- Achieving financial freedom
- Dealing assets on a secure platform
- Those who want to become more intuitive and better traders
- People with no experience in trading
- Traders who want to boost returns on their portfolios
- People who want to change career paths or make money on the side
How Does Coinbase Work?
Once you access the Coinbase platform, you will be able to choose between a range of services and features. So, here are some of Coinbase’s most prominent services you might want to use when you create an account.
Buy and Sell Crypto
Coinbase has prepared some attractive plans for crypto traders. Namely, the Self-managed package allows you to manage your wallet and private keys manually. Still, if you want to minimise the trading risks, you can sign up for the Coinbase Managed package and get your wallet managed with automation technologies.
Coinbase allows you to sell your crypto for cash or USD coins. Its user interface is intuitive, allowing you to bill invoices or trade assets easily. More importantly, you will get access to transaction reporting tools that will help you keep track of your trades and new opportunities.
Unfortunately, many people often have to sell their digital currencies to cover unexpected costs. But, with Coinbase on your side, you’ll never have to worry about your financial health. Interestingly enough, Coinbase allows you to borrow up to 40% of your Bitcoin’s value and use your Bitcoin assets as collateral for the loan.
As selling your digital assets can result in a taxable loss, borrowing money is always a better and more reliable solution. Moreover, the money you borrow from Coinbase will be deposited into your bank account or PayPal shortly after you submit a request. Coinbase also states that you can pay off your debt when you’re ready and financially stable, allowing you to improve your financial health without losing your digital assets and savings.
Every trader should learn to analyse the global market and trace the flow of funds. Luckily, Coinbase provides several tools you can use to monitor risks and your transactions, analyse blockchain data, and stay ahead of fraudulent activity.
Learn and Earn Crypto
Coinbase enables new clients to earn crypto while learning about virtual assets. This company provides engaging and informative content on its platform, allowing anyone to improve their skills and start trading in a safe environment. When you start learning about specific crypto assets, you will be able to watch videos and complete quizzes or assignments that test your knowledge and skills.
Whenever you answer the questions correctly, Coinbase will reward you with cryptocurrency. Although you won’t earn much, these assignments can help you start your trading journey from scratch. With that in mind, Coinbase is an excellent platform for beginners who need to test the waters before fully committing to trading.
What Cryptocurrencies Does Coinbase Support?
Coinbase supports trading of more than 100 crypto assets and digital tokens, including Bitcoin, Ethereum, Dai, and Dogecoin. What’s more, Coinbase puts new coins on the list regularly, meaning you’ll often get new opportunities to grow your virtual assets. Here are some other prominent cryptocurrencies you can trade at Coinbase:
- USD Coin
How to Trade at Coinbase?
Before I show you how to trade at Coinbase, it’s essential to learn how to get started and create your first trading account. Here’s what you’ll need to do:
- Open https://www.coinbase.com from a browser or download the Coinbase app on your phone.
- Click on the Get Started button.
- Fill out the registration form (you will have to provide your full name, email address, password, and country/state).
- Then, click on the SIGN UP button and verify your email.
- Once you sign in, you will have to verify your phone number as well.
- Complete the ID verification.
- Finally, link a payment method of your choice, and you’ll be ready to trade at Coinbase.
When you’re ready to place your first trade, follow the steps below:
- First, sign in to your Coinbase account.
- Then, click on the Buy/Sell menu.
- If you want to buy crypto, be sure to select the Buy field button, or, if you’re going to cash out your assets, select Sell.
- Those buying crypto will have to specify the amount of money they want to spend on acquiring new digital assets.
- Clients selling their crypto should also specify which cryptocurrency (and what fraction of their assets) they want to sell.
- If you’re buying crypto, click Preview Buy > Buy.
- When selling, select Preview Sell > Sell Now to complete this action.
How Much Does it Cost to Trade at Coinbase?
Coinbase provides USD Wallet and Hosted Crypto Wallet services free of charge. To put it another way, you can store your USD and cryptocurrency at Coinbase without paying monthly or annual fees. Moreover, Coinbase won’t charge you any wallet fees if you transfer your assets from one Coinbase wallet to another.
Additionally, Coinbase will charge fees when buying, converting, or selling crypto. This company calculates individual fees when clients place orders, and they may vary based on the size of your order, payment method, or the current market liquidity. Still, it’s worth noting that Coinbase will inform you about the fees applied to your transaction before you hit the Sell/Buy/Withdraw button.
This company offers a Coinbase Card that allows you to spend funds available on your Coinbase wallets. Although only available in a handful of countries, the good news is that Britons are eligible to order and use the Coinbase Card.
To get the card, you will have to pay the £4.95 insurance fee. With this card, you won’t have to pay any Coinbase fees for withdrawals under £200. However, there are Coinbase withdrawal fees, or 1.00% of the value of your ATM withdrawal, for each transaction over £200.
Additionally, it’s worth noting that Coinbase charges fees for international card withdrawals. So for every transaction over £200, you will have to pay 2% of the amount you want to withdraw.
If you ever need to replace your Coinbase Card, you will have to pay a fixed price of £4.95 for each new card you order. In addition, with the Coinbase card come crypto liquidation fees that go up to 2.49% per transaction/purchase.
Deposits, Withdrawals, and Payments
Britons who trade at Coinbase have access to GBP and EUR wallets, but they have to use different payment methods to fund them. However, the Coinbase app doesn’t support the GBP payment method, meaning you can only add funds via the Coinbase website.
If you want to deposit money with a UK bank account, you will first have to link your account to Coinbase. Here’s what you need to do:
- Sign in to your Coinbase account and open the Trading View.
- Next, select Deposit under the Wallet Balance.
- Once you find the Currency Type field, choose GBP.
- Then, you will have to select the Bank Account tab under the Deposit GBP menu.
- Finally, click on From, then click on the Add Account link.
- Complete the bank account verification process.
To initiate your first GBP deposit, you should follow the steps below:
- Open the Trading View and select Deposit under the Wallet Balance.
- Then, select GBP under the Currency Type field.
- Find the Deposit GBP menu.
- Then, click on the Bank Account button.
- You will have to use the information displayed on the screen to initiate a deposit.
- Verify your mobile phone and UK ID.
- Next, check whether the name on your bank account matches the name on your Coinbase account.
- Finally, provide the Reference Code you’ll get when you try to initiate a deposit.
Important note: Coinbase has a deposit limit of £250,000. If you try to send deposits over £250,000, Coinbase will reject your request.
If you want to withdraw funds from your Coinbase account, you can do that by selecting the Portfolios tab and clicking on the Withdraw button under the GBP Wallet section. Next, simply choose the UK bank account you want to transfer your funds into, specify the amount, and confirm your Coinbase withdrawal.
Keep in mind that Coinbase doesn’t accept payments via the SWIFT network. So if you try to use this channel to transfer funds, Coinbase will turn down your request.
Coinbase provides a mobile app for trading on the go. Android users can download the app from Google Play Store, while those with an iPhone can find it on the App Store. The app comes with various features and tools that allow you to trade whenever and wherever you want.
Namely, you can use the Coinbase app to browse through different markets, place orders and view charts or trade history. In addition, the Pro mobile app features a Portfolio page where clients can find their portfolio overview, check available balance and view their Coinbase Wallets.
On top of that, those who install the Coinbase Pro app will get access to the Orders page. That is a valuable addition, as it allows you to review all filled and open orders in one place.
If you want to manage your account and customise the user interface, you will have to open the Profile page. You can manage all linked accounts and account settings information under this section.
However, one of the drawbacks is that the Coinbase Pro app doesn’t feature all tools that can be found on the Coinbase official website. Namely, if you want to create a new Coinbase Pro account, you will need to do it on the Coinbase platform. Additionally, users can’t manage their address books or place a Stop Limit order on the app.
Although these are minor issues, it’s advisable to think twice before downloading the Coinbase mobile app. If you want to download your trading reports and use Coinbase tools to zoom in/out on charts, keep in mind that only the Coinbase website features these valuable tools.
Interestingly enough, Coinbase stores around 98% of customers’ funds offline. That is an essential security measure, as it minimises the chances of theft. More importantly, Coinbase distributes Bitcoin in safes and vaults geographically. This method ensures the protection of most assets if someone manages to get their hands on one of Coinbase’s security boxes.
Another great reason you should consider trading on Coinbase is that it doesn’t keep sensitive data on its servers. Instead, all information regarding your account or finances is disconnected entirely from the internet, making it impossible for cyber thieves to access your account and balance details.
Data at Coinbase is AES-256 encrypted. After the encryption, Coinbase copies sensitive information to FIPS-140 USB drives and paper backups. Then, sensitive data is geographically distributed in safe deposit boxes worldwide.
What’s more, Coinbase implements 2-step verification on all accounts. However, this is a new feature, as Coinbase had to improve security measures due to data breaches in the past. So, after you provide your username and password, you’ll also have to enter a code you’ll receive on your mobile phone each time you want to log into your account.
With that in mind, Coinbase is a secure platform that values your privacy and therefore works on improving security measures to keep your funds and personal information safe.
Coinbase vs Kraken
One of the main differences between Coinbase and Kraken is that Kraken takes your security more seriously than Coinbase. Although Coinbase knows how to keep your deposits safe, it needs to improve its customer service and ensure that support agents never discuss personal information with clients.
On the other hand, Coinbase supports more cryptocurrencies, allowing you to make better investment decisions. Still, I have to choose Kraken over Coinbase, as it has lower fees, a better support system, and higher security standards.
Coinbase vs Crypto
Coinbase and Crypto are some of the best trading platforms in the UK. But, when it comes to prices, it’s noteworthy that Crypto is a drastically cheaper Coinbase alternative. You can sell, store and buy crypto on these platforms, but Crypto offers more ways to earn money, as it supports trading of over 150 cryptocurrencies.
Furthermore, both companies offer Android and iOS apps for their users. However, Coinbase app developers focused more on delivering educational content than enabling useful features that allow trading on the go. Although both platforms offer exceptional and versatile services, my conclusion is that Crypto is a better option for experienced investors.
Binance vs Coinbase
Binance and Coinbase are both dependable trading platforms. Still, while Coinbase focuses on supporting beginners, Binance offers more opportunities for advanced investors. However, the Coinbase app and website are more intuitive and user-friendly, meaning they’re a better option for those who aren’t tech-savvy. Another Coinbase advantage is that it offers transactions via PayPal, making it easier for many users to fund their accounts.
On the other hand, Coinbase offers fewer transaction types than Binance, so it all boils down to personal preferences. If you need a beginner-friendly app that will help you enhance your skills, Coinbase is a better option. But, if you’re a trading expert, Binance will provide everything you need to boost your portfolios.
You can contact Coinbase agents via phone (available 24/7) or mail, but you won’t get the necessary support on the platform via live chat. For a prominent company such as Coinbase, a live chat feature is of utmost importance, mainly because the company had issues with security matters in the past.
Namely, thousands of customers have filed complaints against Coinbase because their accounts have been drained of funds. Unluckily, these unfortunate events happened after the customer support agents asked for client account confirmation and updates via phone or mail.
The Coinbase security protocols will keep your deposits safe, but there’s no doubt this company needs to reevaluate its approach to customer service and care.
Generally, many people praise Coinbase for keeping their funds safe and working toward solutions when encountered with problems. On top of that, Coinbase reviews show that most clients rarely had any issues with the platform, as they claim it’s intuitive and easy to use.
However, as stated earlier, some Coinbase clients had issues with customer support. Although it says on the Coinbase website that clients shouldn’t share their account information with anyone on the phone, this company needs to be more selective when hiring new employees. That way, clients won’t be at risk of losing their money due to poor customer service.
Hopefully, this Coinbase review has helped you recognise the pros and cons of trading on this platform. Although Coinbase had some security issues in the past, the company is trying to implement new strategies and secure your money to prevent the recurrence of unfortunate events.
In addition, Coinbase offers a range of convenient options for new traders and seasoned pros. Namely, if you need some extra cash, Coinbase will lend you money, but it will also give you access to new trading opportunities and help you achieve financial freedom shortly. As there’s always room for improvement, Coinbase could be an excellent trading platform if it manages to prevent further security issues in the future.
Yes, the Coinbase trading platform is safe. Still, it’s worth mentioning that Coinbase had to deal with security breaches in the past. However, the company is trying to improve its security standards and ensure similar events never occur again.
One of the possible drawbacks is that Coinbase doesn’t provide all the necessary resources for advanced traders. Of course, high-volume traders can trade on this app, but many other alternatives offer better charting options and other valuable features.
If you have a Coinbase Card, withdrawals under £200 are free. However, if you need to take more money from your account, Coinbase will charge you a fee of 1.00% of the value you want to withdraw.