Best Coinbase Alternatives 2022 • Benzinga Crypto

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Want to jump straight to the answer? The best Coinbase alternatives are Gemini and eToro.

For many cryptocurrency investors, Coinbase is the 1st stepping stone into a larger world that is the crypto-verse. Coinbase offers a great user experience, especially for beginners. However, fees on Coinbase can get expensive, and often this leads investors to look toward the best Coinbase alternatives. Looking to make the switch from Coinbase? Here’s the list of the top alternatives to Coinbase today.

Best Coinbase Alternatives:

Why (Or Why Not) Use Coinbase?

Still learning how to trade cryptocurrency? Coinbase is a great place to begin. Coinbase is the most often-recommended website for users getting started with cryptocurrency trading because it’s one of the easiest and most reliable cryptocurrency exchanges in the world.

Coinbase allows you to link your bank account, transfer money directly and buy and sell cryptocurrencies. This makes it an ideal choice for traders still learning about cryptocurrencies and who want to track their portfolios over time. Coinbase also has some of the highest fees that you’ll see when you buy Bitcoin. 

Coinbase charges a flat fee of $0.99 if the transaction value is less than $10, $1.49 if the transaction value is more than $10 and less than $25 and $2.99 if the transaction is more than $50 and less than $200. Beyond that, you’ll pay a fee worth 1.49% of the total transaction value. This makes Coinbase a less appealing option if you want to buy a large amount of cryptocurrency.

Beginning investors may like Coinbase’s intuitive, easy-to-understand buying options. Coinbase is popular is because you can buy and sell Bitcoin and other cryptocurrencies without understanding much about the coins themselves. You can even buy Bitcoin with your credit card (though this option carries an additional fee). Coinbase might suit your needs if you’re a casual cryptocurrency investor who wants to hold a popular coin for the novelty. 

Despite its ease of use, Coinbase is far from the perfect place to buy Bitcoin. More involved enthusiasts may quickly become frustrated with Coinbase’s extensive anti-fraud features. You have to wait a full 3 days before you can move your currency to an exterior cryptocurrency wallet.

You must also wait multiple days for your funds to clear when you sell funds and transfer the money to your bank account. This feature makes Coinbase unsuitable for day traders or anyone who places a high emphasis on security and anonymity.

Coinbase’s cryptocurrency options are also disappointing. You’ll be limited to a few of the most popular coins, like Bitcoin and Ethereum. Though Coinbase makes an effort to expand into other coins, the most popular cryptocurrency exchange is still one of the most disappointing in terms of variety and diversity.

Is Coinbase a good place for cryptocurrency trading? The answer to that depends on your needs. If you’re a casual investor who just wants to own cryptocurrency for the novelty, you’ll love Coinbase’s focus on simplicity. More experienced investors will probably want to consider one of the Coinbase alternatives featured below. 

What to Look for in a Cryptocurrency Platform

Don’t think Coinbase is right for you? No worries! There are plenty of safe, secure Coinbase alternatives. Here are a few features you should look for when you consider which of these Coinbase alternatives is best for you. 

Altcoin Support

Almost every cryptocurrency investment platform offers major coins like Bitcoin and Ethereum, but as you begin to explore smaller cryptocurrencies, not every exchange will support these assets. Before you sign up for an alternative digital currency exchange, look for a list of coin offerings. Nothing is more frustrating than making an account with a cryptocurrency brokerage and then not being able to buy the altcoin you’re looking to purchase!

The best exchanges go beyond the most popular coins (like Bitcoin, Ethereum and Cardano) and branch out into different coins with smaller market caps. It helps to have a good idea of which coins you want to trade beforehand so you can make sure that your exchange carries your currency of choice.

A Platform You Understand

A cryptocurrency exchange won’t do you much good if you can’t figure out how to use it. Before you sign up with an exchange, look for an explanation of any tools and features it includes. You can also check out YouTube reviews and tutorials to get a general idea of how you can use the exchange. Only trust exchanges that clearly demonstrate how to buy currencies, how to transfer them to an exterior wallet and where you can find your wallet key. 

Operation in Your Country

The legality of Bitcoin and other cryptocurrencies is a hotly contested topic, even after 10 years of operating. Bitcoin and other cryptocurrency transactions are decentralized by nature, which makes them very difficult for governments to tax. Some exchanges help you keep track of when you buy and sell crypto, making it easier for you to compile documents come tax season.

Certain exchanges and coins are banned in different parts of the world. For example, XRP is not currently allowed on U.S based exchanges. The legality of cryptocurrency exchanges is also debated at the state level and not every exchange is able to operate in every state. While most states allow similar crypto services, New York has special legislation that doesn’t allow certain exchanges, like FTX, to operate in its jurisdiction. 

The Best Alternatives to Coinbase

Ready to start trading? Begin by checking out one of our favorite Coinbase alternatives and open an account.

Best For

  • Beginner cryptocurrency investors

1. Best Crypto IRA: iTrustCapital

iTrustCapital offers both digital assets and VaultChain Precious Metals inside your IRA, which gives you the ability to buy or sell tax-free 24/7. Buying digital assets or precious metals can be difficult by itself and it can be much harder inside your IRA. You’re able to place trades through iTrust’s interface and execute through precious metals leader Kitco.

Cryptocurrency assets are stored with Curv, a multi-authorization cryptocurrency wallet management solution enabling financial institutions to safe-keep your funds with unparalleled security.

Trades can be locked in 24/7 and will settle within 1 business day.

3. Best Exchange for DeFi: Crypto.com

Crypto.com is a cryptocurrency platform that allows you to store, transfer and exchange more than 100 cryptocurrencies. It also offers its Crypto.com Visa Card, so you can spend your crypto anywhere Visa is accepted and earn up to 8% back.

If your main problem with Coinbase is its fees, Crypto.com may be the best alternative as it has lower fees at every level of trade size.

Crypto.com can get you verified in less than 5 minutes, and it’s free to open an account. The platform offers 24/7 customer support.

Beyond the Visa card, Crypto.com products include its app, Crypto Pay, Crypto Earn, Crypto Credit and the Crypto.com Exchange and DeFi Wallet. Crypto.com wants to accelerate the world’s transition to cryptocurrency, and its wide range of products can help you start your own process.

4. Best for High Spending Limits: Coinmama

Coinmama is another large-scale cryptocurrency trading platform and hosts over 2.8 million users around the world. Coinmama operates in 188 countries and makes it one of the most appealing platforms for foreign investors. You can use almost any currency to buy coins on Coinmama, though prices are shown only in USD or EUR.

Coinmama features high spending limits and low fees, which makes it an equally appealing choice for both beginners and advanced traders. You can even use a credit card to buy Bitcoin or Ethereum on Coinmama’s platform.

Coinmama falls a bit short in the offerings department. Currently, you can only buy Bitcoin, Aave, Bitcoin Cash. Chainlink, Compound, Dogecoin, Ethereum, Ethereum Classic, Litecoin, OMG Network, Polygon, Uniswap, Yearn Finance and Ripple, which is fewer than on most other exchanges. However, most crypto investors don’t invest in smaller altcoins so it still may be all you need.

The company is also making an effort to expand into more coins and it’s possible that more coin options will be added in the near future. Coinmama should be one of your first stops if you’re an international investor looking for a place to buy the most popular coins. 

5. Best 1-Stop-Shop: Gemini

Gemini is a cryptocurrency exchange and custodian that offers investors access to over 50 coins and tokens. Founded in the U.S., Gemini is expanding globally, in particular into Europe and Asia. Offerings include both major cryptocurrency projects like Bitcoin and Ethereum, and smaller altcoins like Orchid, Maple and 0x.

Gemini is among the only brokers with multiple platform options based on skill level. New investors will love the streamlined interface of Gemini’s mobile and web apps, while advanced investors might appreciate all the tools that come with ActiveTrader. 

In addition to a host of platform choices, Gemini users have access to insured hot wallets to store tokens without worrying about digital asset theft. Gemini also has a great educational wiki called Cryptopedia for intro users.

Best For

  • Intermediate Traders and Investors

6. Best for Active Traders: Webull

Webull caters to intermediate and experienced self-directed investors and active traders. Its commission-free structure is for short-term and active traders who would save a considerable amount on commissions compared to other online brokers. It is also one of the best brokers that also offers cryptocurrency trading.

The Webull platform’s intuitive features and design could be considered advanced for novice traders, but the platform can still be learned.

Webull offers a series of trading courses and a trading simulator or demo trading account with real-time data and advanced charting capabilities for U.S.-listed stocks. These features can suit beginning traders who want to learn more about the market and develop a trading plan.

Read also: BEST BUSINESS CRYPTO ACCOUNTS

Best For

  • Buying & selling Dogecoin

7. Best for Simplicity: Robinhood

Robinhood is the broker for traders who want a simple, easy-to-understand layout without all the bells and whistles other brokers offer. Though its trading options and account types are limited in the crypto-sphere, even an absolute beginner can quickly master Robinhood’s intuitive and streamlined platform.

Robinhood’s biggest strength is an easy-to-use, convenient mobile platform. You can quickly access your tax documents and account statements through the app and you can create an account and begin funding it in as little as 10 minutes. Placing a trade is also equally simple. Brief explanations of every buy and sell order beside each option help you learn — it’s a great feature for beginners. It’s also perfect for stock-focused traders who want to start dabbling in cryptocurrency trading.

Though Robinhood does require a $2,000 minimum balance to access its Robinhood Gold features, there’s a $0 minimum required balance for standard accounts. Combined with the broker’s new fractional share feature, Robinhood is a great option for new traders who only have a small amount of money to invest.

8. Best for Copy Trading: eToro

eToro is a cryptocurrency broker that offers access to more than 30 of the world’s most popular cryptocurrencies and a few unique education and useability tools. Traders can begin buying and selling both major cryptocurrencies (like Bitcoin and Ethereum) as well as smaller names (like Tron Coin and Stellar Lumens) in as little as 10 minutes.

eToro’s unique CopyTrader feature allows new investors to “copy” the buy and sell orders of professional investors, while the company’s new eToro Club feature provides investors with a range of additional education tools and resources. Though eToro doesn’t offer the widest possible range of cryptocurrencies, it remains an easy and usable platform for beginners and experienced users. 

8. High Variety and BSC Tokens: Binance.US

Binance Smart Chain, the Ethereum competitor launched by the largest exchange in the world, Binance, is getting more and more popular. This is bcoming a problem for Coinbase because it doesn’t offer the native token of BSC, Binance Coin which is needed to pay transaction fees on the network.

Binance.US is technically a separate company from the massive international Binance exchange but it offers many of the same cryptocurrencies. It supports more cryptos than almost any other exchange available to U.S. users and that’s why its perfect for anyone looking to invest in many smaller altcoins.

Binance.US is available to most U.S. citizens but is unfortunately currently unavailable to residents of Hawaii, Idaho, New York, Texas, and Vermont.

Choosing The Right Exchange for You

With so many options on the market, you can find the optimal cryptocurrency exchange to use based on your needs. For inexpensive trading fees, eToro, Crypto.com and Gemini are great options. If you’re looking for extra features to grow as a trader, Webull and Gemini are solid choices. All the cryptocurrency platforms on this list are regarded as extremely secure, but they secure their platforms in different ways. For best in class security, we recommend Robinhood and Voyager.

This is especially true if you branch out from Bitcoin into smaller, lesser-known coins. Monitor your portfolio, use your trading fundamentals, invest conservatively and hold your coins in a secure exchange or exterior wallet to use the volatility of the market to make some massive gains. 

Want to learn more about trading cryptocurrency? Check out Benzinga’s guides to the best cryptocurrency brokers, the best crypto exchanges and the best bitcoin wallets.

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