The key difference between Coinbase and Binance is that Coinbsae only allows its customers to support around 50 cryptocurrencies, whereas Binance enables its users to trade over 500 cryptocurrencies.
In this ever-changing world, investing in cryptocurrency is on everyone’s mind. Investors must use exchanges to invest in cryptocurrency. Coinbase and Binance are the two most popular exchanges. They both give access to buy, sell, and trade cryptocurrencies, but the variety of cryptocurrencies offered differs greatly.
CONTENTS
1. Overview and Key Difference
2. What is Coinbase
3. What is Binance
4. Coinbase vs Binance in Tabular Form
5. Summary – Coinbase vs Binance
What is Coinbase?
Coinbase is one of the largest crypto exchanges in the world. It provides users with the functionality to buy, sell, and trade a variety of cryptocurrencies. Despite the fact that there are thousands of distinct cryptocurrencies available on the market, Coinbase only offers roughly 50 different varieties to purchase. The interface on the Coinbase website and app is very simple to use and effectively streamlines the arduous process of purchasing and selling cryptocurrencies. Coinbase also offers a platform where users can watch educational videos on various crypto projects.
The fees for Coinbase are usually around 0.5% of the trade; however, this number could vary based on a number of other factors such as payment method. Coinbase, unlike other crypto exchanges, comes with its own built-in digital wallet, where the user can store their crypto. This wallet is password protected and also has the ability to use a biometric login, ensuring the safety of a user’s cryptocurrencies. In addition, Coinbase is one of the only exchanges to store their users’ crypto assets in a cold wallet, meaning their crypto is not stored online, therefore protecting it from online hackers and thieves.
What is Binance?
Binance is also one of the largest crypto exchanges in the world. Just like Coinbase, it also offers its users the functionality to buy, sell and exchange crypto. In addition, it also provides a wide variety of other benefits to its users. Binance offers support to over 500 different types of cryptocurrencies, making it nearly ten times larger than Coinbase. Fees on Binance are relatively low at around 0.1%, although this number can vary depending on other factors. Unlike Coinbase, which is targeted mainly for beginner use, Binance has features that make it excellent for both beginner and advanced traders. Although Binance doesn’t have its own wallet, it is partnered with Trust Wallet, a leading company in the digital wallet space, which uses pins, biometrics, and encrypted keys to ensure the safety of the user’s assets.
In addition, Binance also holds numerous giveaways throughout the year to encourage customer participation. Finally, Binance also has a feature called Binance Academy, which is an online platform where users can learn about crypto and trading to improve their understanding of the cryptocurrency space.
What is the Difference Between Coinbase and Binance?
Both Coinbase and Binance are types of crypto exchanges where users can buy, sell and exchange crypto. However, they both have varying features. Coinbsae only allows its customers to support around 50 cryptocurrencies, whereas Binance enables its users to trade over 500 cryptocurrencies. Thus, this is the key difference between Coinbase and Binance.
Binance fees are generally lower (around 0.1%) than Coinbase fees, which are often about 0.5%. Furthermore, Coinbase has its own built-in wallet that holds users’ assets in cold storage, while Binance has partnered with a third-party called Trust Wallet to provide its users with storage for their cryptocurrencies.
The below infographic presents the differences between Coinbase and Binance in tabular form for side by side comparison.
Summary – Coinbase vs Binance
Both Binance and Coinbase are crypto exchanges that allow customers to buy, sell and trade a variety of cryptocurrencies. Coinbase is safer, easy to use, and has a fully functional platform to use in the US. In contrast, Binance is cheaper, offers hundreds of more types of cryptocurrencies, and has advanced features for more adept traders. So, this is the summary of the difference between Coinbase and Binance.
Image Courtesy:
1. “Binance Logo” By Bxalber – Own work (CC BY-SA 4.0) via Commons Wikimedia
2. “Coinbase – Logo” By Coinbase (Public Domain) via Commons Wikimedia