Crypto.com vs. Coinbase: Pros, Cons and Comparison

guvendemir / Getty Images/iStockphoto

As online cryptocurrency exchanges, Crypto.com and Coinbase both allow registered users to buy, sell and trade various cryptocurrencies, while offering digital wallets to ensure user safety. However, some individual investors may find it difficult to decide which platform is best for their unique circumstances. Comparing and contrasting the pros and cons of Crypto.com vs Coinbase helps make that decision easier.

What is Coinbase?

Coinbase is an online cryptocurrency exchange platform serving more than 89 million users in more than 100 countries. Registering and maintaining an account on Coinbase is free, but there are fees associated with buying, selling and investing in cryptocurrency. While the platform does not disclose its fees in advance, users are notified of all fees before finalizing transactions.

CRYPTO OFFER: Buy bitcoin and crypto instantly! Sign up for Gemini Crypto Exchange and start investing today with just $100.

What is Crypto.com?

Crypto.com is another online exchange platform with over 10 million users in 90 countries – all buying, selling and investing in cryptocurrency. However, Crypto.com claims that it is the only platform that offers crypto “at a real cost” to its registered users. In addition, Crypto.com offers a wide range of rewards to loyal users, including credit cards with no annual fees.

How do Crypto.com and Coinbase compare on features?

Both Coinbase and Crypto.com offer their users the same basic services: the ability to buy, sell and trade cryptocurrencies, along with digital wallets for storing crypto and NFTs.

Crypto.com offers customers the chance to buy over 250 different forms of cryptocurrency using over 20 different fiat currencies, while Coinbase has a somewhat more limited variety with around 100 different cryptocurrencies available.

However, Coinbase will still allow customers to explore a range of digital assets, from well-known cryptocurrencies such as Bitcoin and Ethereum to lesser-known assets such as shiba inu and MINU.

Good to know

Crypto.com and Coinbase each have their own native tokens: Cronos and USD Coin respectively.

How do Crypto.com and Coinbase compare on rewards?

While both platforms offer rewards, Crypto.com offers cashback rewards while Coinbase offers incentives for new customers who want to learn more about cryptocurrencies.

Crypto.com offers customers the chance to earn up to 14.50% in cash rewards for a maximum of $400 per year in exchange for allocating certain cryptocurrencies in their wallets. Depending on the cryptocurrency, users get a higher or lower percentage of money back.

Crypto.com users can earn up to 8% cash back rewards through their credit cards, and there is a range of credit cards tailored to different customer needs. In addition, depending on the card, users may be eligible for strike benefits or discounts from companies such as Netflix, Spotify, Amazon and Expedia.

Coinbase gives $5 in bitcoin to qualified new users after their first transaction. Furthermore, Coinbase offers a Visa credit card that allows users to earn up to 4% back in crypto rewards.

How do Crypto.com and Coinbase compare on customer advice?

Crypto.com and Coinbase are significantly different from this. For example, Coinbase offers tutorials, educational incentives, and investment information, while Crypto.com does not. This can give Coinbase the advantage of attracting new cryptocurrency investors who need help getting started.

Coinbase provides its registered users with “trading signals”, which are current figures on the trading volume of various cryptocurrencies.

Coinbase’s trading signals include:

Top holder activity: This is a figure that looks at the recent trading activity of the Coinbase customers who hold a significant amount of a particular asset. The signal is updated every two hours so that users can see how people with large shares in a particular cryptocurrency behave.
Typical waiting time and popularity of different cryptocurrencies: This is the median length of time measured in days in which Coinbase customers can hold a particular digital asset before selling or passing it on to another crypto user.
Price correlation: Every 24 hours, this signal compares how different cryptocurrency prices change with each other respectively.

Finally, Coinbase provides investment insights, basic guides, and trading tips for new customers who are still learning how crypto works.

How do Crypto.com and Coinbase compare fees?

Coinbase offers users two different wallets for free: the USD Wallet and the Hosted Cryptocurrency Wallet. Transferring crypto between Coinbase wallets is also free. However, Coinbase charges for all transactions that involve moving cryptocurrency from its platform. The amount to be paid by the user varies and will only be disclosed at the time of the transaction.

While Coinbase customers pay fees when buying, selling or converting cryptocurrencies, the fee structure can be difficult to understand. Coinbase does not disclose the structure in advance. Instead, the site charges when customers place their orders. Fees are determined by several factors, including payment method, amount of cryptocurrency purchased, and market conditions. Coinbase will inform users of the fees before transactions are completed.

Crypto.com charges its registered users a fee when they trade cryptocurrency. Users are subject to “maker” and “taker” fees – which are incurred when users place or complete an order for cryptocurrency – ranging from 0.04% to 0.40%.

How do Crypto.com and Coinbase compare in terms of security?

Crypto.com and Coinbase both share similar security methods:

Screen all deposits to meet their security standards. Keep users’ cryptocurrency offline in cold storage so that potential thieves cannot access it. Require users to apply multi-factor authentication to their accounts.

However, Coinbase and Crypto.com each go a step further:

Coinbase has additional security tools, such as the Coinbase Vault and Address Book, at no additional user cost. Crypto.com’s security software is peer-reviewed.

Last Take: Crypto.com or Coinbase?

Which cryptocurrency exchange is best depends on what users are looking for in a platform.

Crypto.com may be more appealing to more experienced crypto investors, with its impressive variety of cryptocurrencies available, upfront fee structure, and cash rewards program.

Coinbase offers the new crypto investor more with its range of educational materials and regularly updated trading signals. However, the fee structure is more difficult to understand and fees are often not disclosed until the completion of a transaction.

Amber Barkley contributed to the reporting for this article.

Editor’s Note: This content is not provided by Crypto.com or Coinbase. All opinions, analyses, reviews, ratings or recommendations in this article are those of the author only and have not been reviewed, approved or otherwise endorsed by Crypto.com or Coinbase.

About the author

Mary Green is a freelance writer with a background in journalism. She received her BA from Columbia University and then an MA from University College London. She specializes in writing about complex issues such as business, technology, marketing and relationships.

Related Posts

Leave a Reply

Your email address will not be published.