What is Coinbase?
Coinbase is a cryptocurrency exchange broker launched in 2012 in San Francisco, California. It aims to make cryptocurrency trading easy for traders at all levels of experience. The platform is regulated under the FinCEN as a Money Service Business complying with the US’s anti-money laundering and terrorist financing regulations. Coinbase is also authorized by the FCA (Financial Conduct Authority) to operate in the UK as a Money Service Business.
What cryptos can we buy and sell from Coinbase?
Coinbase supports 17 different cryptocurrencies: BTC, ETH, EOS, BAT, DAI, LINK, etc. The more advanced version of Coinbase, Coinbase Pro supports some additional cryptocurrencies like ALGO, CVC, LOOM, GNT, ZIL, MANA, etc., tradeable against other crypto-assets like BTC and ETH.
How to Buy and Sell Cryptocurrency at Coinbase?
Buying and selling cryptocurrencies at Coinbase is relatively easy. Traders should follow the following steps if they are interested in trading cryptocurrencies on the Coinbase platform.
1) Account Creation
Account creation is the first step to access the gateway to trade (buy or sell) small and micro-cap digital tokens. For this, the traders need to visit the official webpage of Coinbase and click on the “Get Started” button where they need to fill in some personal details like full name and email address, and phone number. At this step, the trader will also need to set his preferred account whether he wants to operate an “individual account” or a “business account.”
2) Select the Preferred Payment Method
After the user has already registered on the Coinbase platform, now it is time to select the preferred payment method. Click on the “add account” tab to add the payment methods: debit or a credit card, PayPal, bank transfers, etc.
3) KYC compliances
As Coinbase is registered by FinCEN (USA) and FCA(UK), the KYC compliances are mandatory. The users need to go through a thorough KYC check by uploading details like government-issued ID Cards to verify their identities on the platform.
4) Start Trading
Once the trader has set up his account on the Coinbase platform and has met all the KYC compliances, he can right away select the operation he wants to perform, buy or sell. To buy or sell cryptocurrencies, the trader needs to choose the required cryptocurrencies. The trader must then enter the total USD (or any local equivalent currency) amount he wants to pay via the verified payment method to buy cryptocurrencies.
How long does it take to complete a sale or withdrawal?
Buying or selling cryptocurrencies on the Coinbase platform occurs almost instantly but withdrawing the amount to the private wallet or bank account may take a few days. It may take around 1-5 days; for UK customers, it may take 1-2 days, etc.
Coinbase Fees
Coinbase is one the most valuable crypto exchange brokers in the world, charging very high fees.
Coinbase: The Simplest Approach to buying & selling Cryptocurrency
- Buying and Selling Fees
Coinbase imposes a spread of 0.50% for cryptocurrency trades. Also, there is a Coinbase fee that can be categorized as –
- The Flat fee
- The variable percentage fee determined by payment type, product features, and region of the traders.
The flat fees are as follows:
- If the transaction amount is $10.99 or less, the trading fee is $0.99
- If the transaction amount is in the range between $11 and 26.49, the trading fee is $1.49
- If the transaction amount is between $26.50 to $51.99, the trading fee is $1.99
- If the transaction amount is between $52 to $78.05, the trading fee is $2.99
The variable fees are as follows:
- Transactions up to $200 made within the Coinbase system via bank transfers or USD wallet are free, but above $200, the variable cost of 1.49% applies.
- If a transaction of $78.06, Coinbase charges a variable fee of 3.99%.
- Trading Fees
In the case of crypto-to-crypto exchanges, e.g., from BTC to ETH or from USDC to BTC, Coinbase prices a maximum margin of 2%.
Conclusion
Responsible purchasing and selling cryptocurrencies are the prime features of the ever-expanding Coinbase exchange. This is the principal reason for attracting multiple users in the past years. Furthermore, although the amount of cryptocurrencies backed by Coinbase is still moderately small, the exchange functions as an easy gateway to buy small virtual tokens on other exchanges. Hence, it is a safe platform to buy or sell cryptocurrencies with fiat or other cryptocurrencies directly.
You can read more about Coinbase by clicking the following url:- https://www.cryptonewsz.com/cryptocurrency-exchange/coinbase-review/