Cryptocurrency exchange platforms continue to spring up at such an alarming rate that it is difficult to keep track of them. Lack of regulation, as well as the ease with which exchange platforms can be created, complicated the market for prospective buyers. However, Coinbase and Crypto.com are reputable cryptocurrency exchange platforms that are known worldwide. What made them popular among crypto beginners and enthusiasts differs, but each has a number of additional features and benefits.
Coinbase and Crypto.com are two centralized cryptocurrency exchanges with their own native coins: USDC and CRO, respectively. Coinbase and Crypto.com both facilitate crypto trading, buying, and selling securely. Additionally, you can earn money by opening accounts with both exchanges. But, they are different, and the platform you choose will decide how much you pay in fees and could impact how much you earn.
What is a Crypto Exchange?
A crypto exchange is a digital marketplace for cryptocurrency. You can buy and sell cryptocurrency on crypto exchanges. On a crypto exchange, you can use fiat money, like the US Dollar or Euro to buy cryptocurrency, sell your crypto assets, and trade crypto for other crypto. A crypto exchange serves as an in-between for both buyers and sellers of virtual assets.
Some cryptocurrency exchanges like Binance allow peer-to-peer trading where buyers and sellers make direct peer-to-peer transactions. On other platforms, traders cannot interact directly but can send and receive cryptocurrency using the public key given to them when creating an account.
What to Look For When Buying Crypto From an Exchange?
Different crypto exchange platforms are designed with varying categories of users in mind. Some platforms are easy for beginners to use, while others have complex features for advanced crypto enthusiasts. If you plan to open an account with a crypto exchange, there are certain features to consider.
You can be charged a flat rate or flexible fee for the same transaction, depending on the exchange. A crypto exchange that charges high fees can be a pain if you regularly trade your assets. Some platforms offer relatively low fees and are suitable for those with frequent transactions. Compare the market maker’s fees on the platforms of your choice to narrow down your selection.
How does the crypto exchange store digital assets in its custody? Does it provide features like 2FA, address allowlisting, cold storage, password back-up, and insurance? Most cryptocurrency exchanges are custodial. That is, they store users’ private keys. So, if there is no adequate provision against theft and scam, you might lose your fund. Cryptocurrency exchanges are largely unregulated. Create your account with a popular exchange with an excellent reputation.
Before you sign-up with a crypto exchange, ensure it is present in your country of residence. Some crypto exchanges are region-based and you may not be able to access your assets afterward. Even for international exchange, user policy may differ in your state, and you may not be able to enjoy specific features.
Crypto exchange offers varied withdrawal options. You can choose to convert your crypto into fiat from an exchange, but you will pay some fees. You can change your crypto to another crypto or withdraw using a crypto ATM. Peer-to-peer exchanges allow you to sell your crypto to another person and get paid.
A crypto trading platform with high trading volume is better than one with low volume. If you plan to get the best price for your crypto asset, a crypto exchange with more trade volume will suit you better choice. You can easily carry out your transaction if there is more liquidity on an exchange.
If you are new to cryptocurrency, choosing to buy your asset on a platform like Coinbase Pro will put you off. The user interface of the crypto exchange is designed for experts with more complex features and charts. Choose a crypto exchange with simple and easy UI if you are a crypto newbie, a mobile wallet if you want to access your assets regularly, and cold storage if you have a huge amount of fund you want to lock safely away.
There are international crypto exchanges that let you buy, sell or trade limited cryptocurrency. Needless to say, you need to check if an exchange offers the type of coin or token you want if you are interested in altcoins or new tokens. For instance, while Crypto.com supports over 150 coins, Coinbase offers about 100 cryptocurrencies.
Interest and bonuses
You can earn sign-up and referral bonuses and other rewards from a cryptocurrency exchange. Some crypto exchanges also allow you to save and stake with interest attached. However, the amount of benefit you get depends on the platform. If you want to maximize your rewards, choose a platform that gives high interest and rewards with limited terms and conditions.
What is the Sign-up Bonus on Crypto.com?
The sign-up bonus on Crypto.com is $50 worth of CRO. CRO is the utility coin native to Crypto.com. To qualify for the sign-up bonus, you must;
- Join through a referral link or referral ID.
- Verify your account to an advanced level.
- Stake more than 5000 CRO.
Pros of Crypto.com
Crypto.com is a crypto exchange with more than 150 selections of cryptocurrencies. The platform has millions of users who can trade, sell, buy, save, and stake cryptocurrencies. Crypto.com offers a native token and tiered MCO visa cards. The Honk Kong based exchange provides non-custodial online wallets to ensure that users’ funds are safe and secure. Other benefits of using Crypto.com are:
- The platform allows users to earn weekly interest on savings paid to the account directly.
- If you stake the platform native coin, you can enjoy the enormous benefits attached to it, including a sign-up bonus, higher interest on savings, low APR on lending, cashback on payment, and token rewards.
- Convert crypto to fiat with the on-ramp feature
- Crypto.com has tiered Visa cards with additional benefits for the highest tier- Obsidian Black Visa Card.
- High level of security and privacy
- Crypto.com has relatively low fees on deposit, withdrawal, and trading. You can buy any cryptocurrency through wire transfer for free.
Cons of Crypto.com
- Almost everything in the platform is tied to its native token, CRO.
- Only High Net Worth individuals can get the best rewards and interests.
- The user interface is advanced and confusing for beginners.
- Fewer educational materials compared to Coinbase.
|Extensive cryptocurrency selections||Confusing User Interface|
|High security and Privacy||You can only earn a lot of rewards if you stake CRO|
|Easy crypto to fiat conversion||Fewer educational materials|
|Tiered Visa cards with attached benefits|
What is the Sign-up Bonus for Coinbase?
You can earn $10 in BTC when you sign-up on Coinbase with Coinbase Referral Program. Similar to Crypto.com, you must join using a referral link to qualify. Also, you must trade at least $100 worth of cryptocurrency to get the reward within 180 days of opening the account. If you are not referred to Coinbase, you can also get a reward. You can get $5 worth of BTC as a new user incentive when you verify your account with a passport photograph or buy your first cryptocurrency.
Pros of Coinbase
Coinbase stands out for its educational materials for crypto users. You can learn about different aspects of cryptocurrency through Coinbase and earn rewards. Coinbase has about 100 digital currencies listed. From a first-time crypto newbie to a whale moving a large sum from one wallet to another, Coinbase caters to the need of all crypto traders. Beginner traders may choose Coinbase for its simple user interface. Advanced traders can enjoy the complex features on Coinbase Pro while Coinbase Prime is designed for institutional investors and High Net Worth individuals who may want to make hefty transactions.
- You can learn and earn crypto on ‘Coinbase Earn’ by watching educational videos on cryptocurrency.
- Institutional investors can benefit from the plethora of features available on Coinbase Pro and Coinbase Prime. For instance, Coinbase offers Coinbase Custody for crypto cold storage, lower fees, charting tools, and commerce services.
- Coinbase has one of the easiest user interfaces compared to other exchanges.
- The platform offers a stablecoin- USDC- that can earn users 0.15% after holding for a certain period.
- Coinbase has launched its Visa card that lets users buy with their cryptocurrency anywhere Visa card is accepted.
- Funds are kept safe and secure and are insured.
Cons of Coinbase
- High fees, unless you are using Coinbase Pro
- Limited customer support
- Fewer coins compared to Crypto.com
|Learn and earn with Coinbase Earn||High fees|
|Easy and simple user interface||Fewer coins|
|Safe and secure exchange||Unimpressive customer support|
|Earn rewards for holding USDC|
Crypto.com vs. Coinbase- What is The Best Crypto Exchange?
While Coinbase charges higher fees, its users’ interface accommodates different levels of crypto traders. Crypto.com gives a lot of opportunities to earn but has minimal educational materials. Also, you can only trade a few numbers of coins on the crypto.com desktop even though the platform has over 150 cryptocurrencies listed.
|Rewards||Interest on savings
$50 CRO at sign-up
$10 BTC on sign-up
|Currencies||Over 150||Over 100|
So, if you want to earn high rewards and pay low fees, Crypto.com is your bet. However, Coinbase makes trading cryptocurrency easy for beginners, while giving advanced users the tools they need as well.