Coinbase Review 2023: Is Coinbase Safe?

This Coinbase review 2023 will show you that the crypto exchange offers remarkably positive experiences across various aspects. Traders can anticipate access to over 80 cryptocurrencies for direct trading. This platform caters comprehensively to trading beginners as well.

While there isn’t a Coinbase demo account, the presence of a dedicated training academy compensates effectively.

In this review of Coinbase, traders can equip themselves with the essential knowledge required to embark on trading journeys optimally.

Moreover, those committed to further education are rewarded with complimentary tokens. The safeguarding of digital assets in a personal wallet, accessible without incurring additional Coinbase expenses, further enhances the appeal.

A closer look at these detailed and practical impressions underscores the enduring appeal of Coinbase.

What is Coinbase?

Coinbase is a US crypto exchange that was founded in 2012 and is one of the largest exchanges in the world in terms of trading volume, according to CoinMarketCap. Because Coinbase was there almost from the beginning, the exchange has a pioneering position in the crypto sector.

Coinbase enables its customers to trade over 80 cryptocurrencies and offers many other functions such as staking, lending or Coinbase Learn & Earn, its own crypto education course.

Who is Coinbase suitable for?

Coinbase is particularly suitable for beginners who want to invest in cryptocurrencies such as Bitcoin (BTC), Dogecoin (DOGE), or Ethereum (ETH). Trading via Coinbase is very intuitive, as the exchange places great value on a clear user interface.

For advanced users, the crypto exchange has released the Coinbase Pro product. If you have registered with Coinbase, you are free to log in to Coinbase Pro with the same data. Coinbase Pro allows you to trade even more cryptocurrencies at a maximum fee of 0.50 percent of your investment amount (per trade).

However, the Coinbase Pro user interface is a bit more complex than the entry-level version. In the Pro version, the design of a classic Exchange has been implemented.

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Coinbase ease of use

One of the main reasons for Coinbase’s great success is its modern user interface. The website made a good impression in the Coinbase vs Coinbase Pro review. Everything seems to have been adapted to the new trend of using mobile devices.

The white background displays precise information without frills ensuring clarity.

Coinbase is easy to understand even for beginners and you can quickly get an overview of the functions and tradable cryptocurrencies.

At first glance, it quickly becomes clear what this is about: the experience of trading Bitcoin and Co. Nothing distracts from the user-friendly navigation.

In the “For You” section, Coinbase has also summarized numerous important topics relating to cryptocurrencies, which is why crypto beginners can also find their way around the trading platform.

The fact that Coinbase also allows users to trade real cryptocurrencies is a big plus. Other trading platforms that are aimed specifically at the European market only offer trading in crypto CFDs. These are speculative financial transactions. For the layman who wants to buy cryptocurrencies for the first time, this is often difficult to understand and not necessarily recommended.

You can store your cryptocurrencies directly via the Coinbase wallet without any further action. Coinbase offers you an alternative option by transferring your coins to your own wallet. For smaller amounts, the Coinbase wallet is ideal, especially for laypeople.

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Coinbase deposits and withdrawals methods

This crypto exchange allows its customers to deposit funds in a variety of ways. Coinbase even supports PayPal in the United States and some parts of the world. If you live in Nigeria or South Africa, for example, you can buy cryptocurrencies with naira and rand.

During our Coinbase review, we found different payment methods people in Europe can use to pay for cryptocurrencies. Each method has its own advantages and limitations:

1. SEPA Transfer: This is good for depositing or withdrawing large amounts of money. It takes 1 to 3 business days to complete.
2. 3D Secure Card: It’s useful for buying cryptocurrencies instantly, but you can’t sell them or use it for regular money transactions.
3. Instant Card Payouts: This lets you quickly get money from Coinbase, but it’s not for buying or selling cryptocurrencies.
4. PayPal: You can use PayPal to add money quickly and buy cryptocurrencies instantly. It’s also possible to take your money back.
5. Apple Pay: Like PayPal, you can buy cryptocurrencies quickly, but you can’t sell or use it for regular money transactions. It might not work everywhere in Europe.
6. Google Pay: Similar to Apple Pay, it’s for fast cryptocurrency purchases.

Remember, Coinbase doesn’t accept checks or regular bills as payment, and you can only have one private Coinbase account. This information helps you choose the right payment method for your needs.

Coinbase trading fees

Compared to other crypto exchanges like Kraken or Binance, Coinbase and Coinbase Pro charge significantly higher fees for trading cryptocurrencies. First of all, the spread of 0.5 percent is included in the price at Coinbase.

Additionally, Coinbase charges a flat fee of 1.49 percent of the investment amount. You may even incur additional costs. Unfortunately, Coinbase does not break down the fees particularly transparently.

According to Coinbase’s support pages, “Fees are calculated based on various factors (e.g. payment method, order size, market conditions) at the time you place your order.”

Coinbase Pro is cheaper. Here the maximum fee is 0.50 percent. A distinction is made between so-called taker and maker fees. With a maker order you provide liquidity and therefore pay lower fees. How high the fees are ultimately depends on your trading volume. In addition, Coinbase lists these fees much better.

Coinbase Pro fees

Is Coinbase safe?

Is Coinbase safe or does the exchange have fraudulent intentions? In the review, it is noticeable that there are no doubts about the security.  Another reason Coinbase is so successful is security. Coinbase is now a publicly traded company.

In the US, the federal authority FinCEN is responsible for regulating Coinbase’s financial services. In Europe, the Federal Financial Supervisory Authority (BaFin) granted Coinbase a license for the custody and trading of digital currencies in the summer of 2021.

Until a few years ago, the Coinbase reviews on this topic were even more controversial. After all, many exchanges were a legal gray area. These concerns no longer exist at Coinbase. There is also deposit protection guarantee with fiat currencies. Traders have protection up to €20,000. The cryptocurrencies are also safely stored in the wallet.

All of these create trust and sets Coinbase apart from numerous other trading platforms, even if some of them charge lower fees.

According to cer.live, Coinbase is also one of the safest trading platforms on the market. Among other things, cer.live checks the robustness of the website against hacker attacks.

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The customer support does make a solid impression from our Coinbase review. Support is available by phone and via live chat. Anyone who has inquiries and is not logged in must write their message using an online form.

However, while other exchanges offer 24/7 support, this is not currently possible with this exchange. Instead, users are asked to take the initiative themselves. As our Coinbase review also shows, there is an extensively designed FAQ area in which most topics are dealt with.

The search field in the FAQ area helps when searching for answers quickly. Simply enter the desired keyword and all relevant topics will be clearly listed.

Coinbase staking review

Coinbase also allows its users to earn crypto interest by staking their own coins by simply holding the cryptocurrency. Staking means that you use your coins to validate transactions in a blockchain. So you help the blockchain or cryptocurrency to work.

As a user, you do not need to show any technical know-how for this. Because you only give the crypto exchange your consent that your coins may be used for staking. The exchange then takes care of everything, you receive part of the remuneration. The exchange retains 10 to 25 percent of the staking fee.

Interesting cryptocurrencies here are, for example, Ethereum or Cardano. You currently get the highest interest rates with Algorand Staking.

Coinbase review 2023: Conclusion

To conclude this Coinbase review 2023, we can state that the crypto exchange is ideal for gaining initial experience in trading cryptocurrencies.

However, the fees are ultimately very high compared to the competition. For buying and selling, you already pay a fee of at least 2.98 percent of your invested amount, without taking the spread into account.

On the other hand, Coinbase is safe. The fact that Coinbase is licensed by the FinCEN, BaFin, ASIC, and the ECB,  inspires trust. This is especially important when we entrust our money to a trading platform. Especially with regard to security, the higher fees are ultimately understandable.

So if you are looking for a crypto exchange that allows you to trade many digital assets with little know-how, you will find a good place to go in Coinbase.

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