What is Coinbase.com?
Coinbase established itself as a bitcoin exchange in 2012. The platform is convenient to access and use, adapts to industry advances and positions itself as a platform to buy and sell bitcoins.The exchange was founded by Brian Armstrong and Fred Ehrsam in 2012. Their focus is on the US market, but the company currently operates in 31 countries and offers Bitcoin storage in 190 countries across the world.
In 2014, the company created a Global Digital Asset Exchange (GDAX) – a platform for trading a wide variety of digital assets and a direct exchange of Bitcoin and Ether for fiat currency. GDAX is primarily meant for professionals with high volumes.
Does Coinbase Support Your Country?
Coinbase offers its brokerage services in the United States, United Kingdom, Canada, Singapore.
Coinbase also supports the following European countries:
Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Finland, France, Greece, Hungary, Ireland, Italy, Latvia, Liechtenstein, Malta, Monaco, Netherlands, Norway, Poland, Portugal, Romania, San Marino, Slovakia, Slovenia, Spain, Sweden, Switzerland.
What are the benefits and services of Coinbase.com?
Coinbase offers the following additional services and benefits:
- Instant purchase of up to $1000 worth of BTC per week for verified credit card holders.
- A wide variety of fiat deposit and withdrawal options.
- Instant transfers between Coinbase users.
- A well-documented API for developers.
- Well-designed and intuitive user experience.
- Insured Bitcoin deposits.
- A debit card from Shift Payments linked to your Coinbase balance.
- Online and mobile wallet services, with multi-signature security option to prevent unauthorised movement of funds.
How about the fees?
Coinbase doesn’t have separate deposit and withdrawal fees, and the exchange charges percentage fees instead of fixed amounts. Bank transfers in the US carry a fee of 1.49 percent, and the funds are available in 5 to 7 days. US customers can add a credit card as a backup payment method, which will enable Coinbase instant BTC buy for up to $1,000 per week.
Credit or Debit Card payments in US, Europe, Canada and the UK cost 3.99 percent of the sum transferred, and the money is available right away.
European SEPA transfer fee is 1.49 percent, and the money is available within three days of the transfer. Xfers transfers in Singapore carry a fee of 1.49 percent as well, but the money is available immediately.Cryptocurrency deposits and withdrawals are free of charge.When it comes to trading, Coinbase charges 1 percent flat fee per every purchase made.
What are Coinbase buying and selling limits?
Once your Coinbase account is set up (tutorial later down in this post), you are able to buy a small amount of Bitcoins until you raise your limit. For example, US residents who have a credit card on file in their Coinbase account (as backup) will be able to purchase up to $1000 worth of Bitcoins a week.
In order to raise your limits on buying Bitcoins you will need to supply the following:
- Identity verification
- Credit card verification
- Debit card verification
If you are a fully verified US resident you can reach the highest limit which is currently $50K worth of Bitcoin a day. Limits may also be sent depending on the payment method you choose to buy the Bitcoins with. For example, ACH transfer has higher limits than buying Bitcoins with a credit card on Coinbase.
What are Coinbase accepted payment methods?
Coinbase’s main payment method is the wire transfer. Depending on your country you will be able to either link your bank account directly to Coinbase or send money to a specific Coinbase bank account in order to fund your account.
Latest Coinbase has introduced also the ability to buy Bitcoins via credit and debit cards. Using this method will cost you an extra % for processing fees but it’s faster than using wire transfer. If you’re looking to sell your Bitcoins on Coinbase you can also use Paypal as the receiving source of funds. However, the use of Paypal is limited to sellers only. At the moment it’s not possible to buy Bitcoins with Paypal on Coinbase.
What is the Coinbase controversy?
Their has been a lot of controversy over Coinbase inside the Bitcoin community. If you’re new to Coinbase this is perhaps the one thing you need to take into account before making your decision to buy Bitcoins through Coinbase. The main point of controversy are:
- Coinbase tracks how users spend their Bitcoins – Coinbase can and will track how you use your Bitcoins. They may also close or freeze your account if you deal with adult services, gambling, selling stuff on the darknet and other shady business.
- Affiliate reward abuse – Coinbase offers a referral program however doesn’t always pay its partners according to what is stated.
- Taking a stand in Bitcoin debates – There are many “internal debates” inside the Bitcoin community that Coinbase voiced its opinion on. Usually it’s expected from a service to remain neutral in these debates and follow the natural market movements.
Is it Safe to Link My Bank Account to Coinbase?
Coinbase is a regulated company and holds licenses in all districts in which it operates.
It is backed by major US investors and is not a scam.
So, it’s safe to link your bank account but that does not mean you should ever store bitcoins with Coinbase.
Conclusion – Is Coinbase a good broker/exchange?
As you can see after reading this pretty long review, Coinbase has its pros and cons. It’s main pros are the fact that it’s simple and easy to use. The main cons are the fact that you are not in complete control over your Bitcoins and your transactions are being tracked.
My personal opinion is this – use Coinbase to buy your Bitcoins, the service is solid. However, once you buy your Bitcoins get them the hell out of there to a wallet that you completely control like GreenAddress, MyCelium or any other wallet.
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