Coinbase is one of the more popular crypto exchanges that allow users to buy, sell, and trade various cryptocurrencies such as Bitcoin, Ethereum, and Cardano. Setting up a Coinbase account is a somewhat simple process and can be done in a few easy steps.
What is Coinbase
Coinbase is a cryptocurrency exchange that allows users to buy, sell, and trade various coins, similar to a traditional exchange. You can also store various cryptocurrencies such as Bitcoin, Ethereum, and Cardano making it a wallet as well. (However, I do not recommend this unless trading, check this link for more information). Coinbase is designed for both experienced and new users and offers a user-friendly interface and a variety of payment methods. The platform is regulated and compliant with all the necessary laws and regulations. It also offers institutional services for organizations and businesses to manage their crypto assets in a secure and compliant way.
9 Steps to set up a Coinbase Account
- Go to the Coinbase website using this link and Sign Up
- Enter your email address and create a password. You’ll also need to verify that you’re not a robot by completing a quick captcha.
- Once you’ve entered your information, click the “Create Account” button. A verification email will be sent to the email address you provided. Follow the instructions in the email to verify your email address.
- After verifying your email, you’ll be prompted to enter your name, address, and phone number. This information is required for compliance with know-your-customer (KYC) regulations.
- Next, you’ll be asked to upload a form of identification, such as a passport or driver’s license. This is also required for compliance with KYC regulations.
- Once your identification has been verified, you’ll be prompted to add a payment method. You can do this by linking a bank account or adding a credit or debit card.
- Once your payment method has been added, you’ll be able to buy and sell cryptocurrencies on the platform. Before you make your first transaction, you will be asked to complete the account setup by adding 2FA (two-factor authentication) security like SMS
- Finally, for security, it is always good to set up a withdrawal address whitelist. So that any amount you intend to withdraw can only be withdrawn to these whitelisted addresses.
- And that’s it! Your Coinbase account is now set up and ready to use. Be sure to keep your account information and login credentials safe, and enable two-factor authentication for added security.
Coinbase Fee’s
Unfortunately, Coinbase is not completely free there is a small fee you have to pay depending on the size of the transaction and how you funded your account.
Transaction amount Fee
$10 or less $0.99
More than $10 and up to $25 $1.49
More than $25 and up to $50 $1.99
More than $50 and up to $200 $2.99
Trades above $200 have a percentage-based fee rather than a flat fee you’ll pay a spread markup of 0.5 per cent of your total trade value. transactions above $200 are charged as follows, depending on how you pay for the crypto:
Payment method Fee
U.S. bank account 1.49 per cent
Coinbase USD wallet 1.49 per cent
Debit card 3.99 per cent
Instant card withdrawal Up to 1.5 percent of any transaction; minimum fee of $0.55
How to buy and sell cryptocurrencies on Coinbase
Buying and selling cryptocurrencies on Coinbase could not get any easier. Simply follow the steps below.
- Click the Buy/Sell button in the upper right-hand corner.
- Specify whether this is a one-time purchase or a recurring purchase.
- Enter the amount you want to purchase.
- Select the cryptocurrency to buy.
- Select your payment method.
Selling on Coinbase is even easier. All you have to do is enter how much you want to sell
Pros Vs Cons
Pros
- Easy to use: The main Coinbase website and mobile app have a user-friendly interface and are very easy to use. Coinbase allows you to buy, sell, and exchange cryptocurrencies quickly.
- Earn cryptocurrency: Earn crypto by using the Coinbase crypto learn programme or earn interest on holding specific coins. Doing this allows Coinbase to stake them, or use them as collateral.
- Supports loads of coins: Coinbase supports over 200 currencies, this is the current figure and is growing constantly.
Cons
- High transaction fees: Transaction fees are sometimes expensive on the main Coinbase platform.
- Altcoins: Coinbase supports a lot of coins, however new hot altcoins a rarely released on Coinbase upfront.
- Slow to add new coins: Coinbase has a high reputation for quality projects beings added to its platform. However, these projects normally take a lot more time to become available compared to regular exchanges.
Final Thoughts
For anyone looking to purchase, sell, store, and exchange cryptocurrencies, Coinbase offers a leading platform. It works especially well for crypto newcomers who want a straightforward buying and selling experience without having to worry about the intricacies of external wallets and decentralised exchanges.
The greatest drawbacks of Coinbase are its lack of new coins and its pricing approach. However, in general, Coinbase is an excellent option for anyone wishing to get involved with cryptocurrencies. Although it may not be the only exchange you use, it will most probably be your first and the easiest.