If you are already a crypto holder, a potential crypto holder or just a crypto believer, certainly you are more then just aware of these two massive crypto exchange firms in the crypto space: Coinbase and Binance. Notably, the worldwide cryptocurrency market is worth over 250 billion US Dollars (USD) at present, and quite a large part of the market is covered by these two crypto exchanges, indicating their significance in the crypto space.
The evaluation of Coinbase and Binance would especially assist the newbies who want to start their baby steps into the crypto market. Both the exchanges hold excellence and popularity in the crypto community, but using many aspects we can choose the best one according to our needs.
We are considering here many factors to compare such as size, currency services, fees, security etc. But, before that, we can have an overview of both the exchanges. Starting with Coinbase, it is the largest cryptocurrency firm of USA, headquartered in San-Fransisco. It was established in 2012. Coinbase’s platform operates on fiat to crypto transactions, while, Coinbase Pro is focused on crypto to crypto exchange. The huge firm had earned 1 billion dollars of revenue in 2017. Coinbase offers trading options in four crypto assets: Bitcoin, Ethereum, Bitcoin Cash and Litecoin.
Talking about Binance, it is notably the largest cryptocurrency exchange firm in the world with respect to daily trading volume. As compared to Coinbase, Binance is a recently founded exchange firm, as it was established in 2017. Binance provides typical crypto-for-crypto based service. The platform gives a vast variety of cryptocurrencies to trade offering over 300 different cryptocurrencies. Binance does not enable purchasing crypto for fiat on its platform.
Coinbase serves a large user base of more than 20 million customers across 32 different countries. On the exchange platform, cryptocurrencies worth of 150 billion US Dollars has been traded. Meanwhile, Binance holds a 24-hour trading volume of $1,433,127,756.
Although, comparing the size of these exchanges is not straight and simple. As Coinbase is not on CoinMarketcap, one can find Coinbase’s average daily volume from its own website.
There are basically three types of fees which a trader has to pay which are withdrawal fee, deposit fee and trading fee. Here, Coinbase is famous for its heavy prices for its services. Coinbase’s fee ranges between 1.49% to 3.99% per trade. Some times the fees exceed this range also. The fee structure of Coinbase is comparatively complex.
On the other hand, Binance offers its service at very low rates of fees. Interestingly, for all trades, it charges you only 0.1% fee on the exchange platform. Moreover, Binance doesn’t charge anything for deposits or withdrawals.
This seems like a victory for Binance, but there is a reason behind the difference in fees. Processing Trades only in cryptos are way cheaper than processing trades in fiat.
Here is the toughest comparison. Binance and Coinbase both are safe and secure as compared to rest of the crypto exchanges. Both exchanges are careful and alert regarding safety purposes. However, Coinbase is more transparent about its customers’ funds as they are more open to declare what the exchange is doing with the funds.
Clearly, it is Coinbase !!
Coinbase provides the most user-friendly products in crypto space. Because it is easier and simpler to use the platform it is recommended for newcomers in the crypto market. The Coinbase platform features a clean layout while giving a simple and well-designed look.
Binance is, of course, better than other exchanges when it comes to user-friendliness except for Coinbase. Binance gives you two options for user settings: basic and advanced. Binance exchange platform is more about the confident crypto traders and gives a complete trading experience.