What is Coinbase?
Coinbase is the largest US cryptocurrency exchange platform and is a popular option for newcomers to the cryptocurrency market. Coupling an easy-to-use interface with a high level of liquidity, users can readily and simply buy and sell cryptocurrency for fiat currency.
Created in 2012 Coinbase has become one of the most popular means for users to begin trading cryptocurrency assets. Originally Coinbase only offered Bitcoin transactions but now boasts a trading platform with a host of altcoins. At the time of writing, Coinbase supported 25 different cryptocurrencies, some of the more popular being ETH, XRP, Litecoin, and Bitcoin Cash.
Coinbase is a browser-based exchange. This means that the trading taking place can happen on a host of different devices, including android and IOS. Here users can receive private keys that can allow them to store their cryptocurrency within a ‘Wallet.’ Coinbase Wallet is considered to be a very safe and easy-to-use crypto wallet that functions as a Decentlied Application or Dapp.
Coinbase while considered by many within the cryptocurrency community to be an excellent place for newcomers to enter the market has some critiques. When compared to other cryptocurrency exchange platforms and brokerages, Coinbase has a highly complex and expensive fee system. This system can be off-putting to a new user or sometimes overlooked, leading to a loss of revenue. Coinbase offers a premium version of its service, called Coinbase Pro, that is much cheaper and also offers more complex trading options. Such as the placement of market limits, stop orders, and margin trading.
The most trusted cryptocurrency platform
For many, Coinbase and its more advanced form, Coinbase Pro is considered to be one of the most trusted platforms to trade cryptocurrency. Coinbase offers a host of security features ranging from simple two-step verification processes to more advanced biometric verification processes. Coinbase is also insured in case the Coinbase system itself becomes compromised.
While considered by many to be safe, it is worth mentioning that like all cryptocurrency exchanges or wallets, Coinbase is only as safe as the users allow it to be. Only by practicing and maintaining a high degree of security hygiene, such as complex passwords, multistep verification, and trusted cold storage can a user be sure of their crypto assets’ safety.