Coinbase is a leading digital asset exchange platform founded in San Francisco, USA in 2012. Its focus is to provide easy and secure access to the world of cryptocurrencies for individuals and organizations. Today, the platform has more than 120 million registered users, transacting more than $300 billion worth of cryptocurrencies every quarter.

One of the key features of Coinbase is the variety of platform versions it offers, including Coinbase Pro, which provides advanced analysis and trading tools, as well as Coinbase One, which offers commission-free trading for a monthly subscription fee.

With an attractive interface and global focus, Coinbase not only provides users with the ability to buy, sell and store a variety of cryptocurrencies such as Bitcoin, Ethereum and Litecoin, but also provides educational resources, secure wallets and advanced trading options.

The main pillar of trust in the platform is strict compliance with regulatory requirements and a focus on security. This makes Coinbase the preferred choice for those who value reliability and accessibility in the cryptocurrency space. The company is actively involved in the integration of cryptocurrencies into mainstream financial systems, demonstrating the intersection of innovation, accessibility and security. In its activities, Coinbase focuses on adapting services to the requirements of the American market.

CoinBase Features

Coinbase provides tools for ordinary investors and traders, as well as for institutional investors.

For private users, Coinbase provides a variety of tools and services:

1. Coinbase:

The main website and mobile application for buying, storing and exchanging cryptocurrencies. Users can easily manage their digital assets through an intuitive interface.

2. Coinbase Pro:

A separate trading platform with advanced functionality for experienced traders. Provides a wide range of tools for analysis and trading.

3. Coinbase Wallet:

Cryptocurrency wallet in the form of a mobile application and browser extension. Allows you to safely store, receive and send more than 500 cryptocurrencies, as well as NFT tokens.

4. Coinbase Earn:

Training courses available on the Coinbase platform. After successfully completing the courses, users receive a small reward in cryptocurrency.

For institutional investors, Coinbase offers specialized platforms:

1. Coinbase Prime - Platform for institutional trading.

2. Coinbase Custody - Service for secure storage of cryptocurrencies.

3. Analytics and Ventures - Analytics services and Ventures platform for investing in startups.

4. Asset Hub - A platform for placing your own coins and assets.

Additional Coinbase services and features include:

1. Coinbase Vault - Distributed offline storage for securely storing large amounts of cryptocurrency.

2. Coinbase Cloud - Service for developers.

3. USD-C (stablecoin) - A domestic stablecoin pegged to the US dollar.

4. Cryptocurrency Visa and Coinbase Commerce Card - Visa card with cashback and payment service for entrepreneurs.

Coinbase also supports several blockchains, including Ethereum, Polygon, Bitcoin, Dogecoin, Litecoin, Stellar Lumens, and the Ripple network. Coinbase Wallet supports Layer-2 solutions for Ethereum such as xDai, Polygon, BNB Smart Chain, Avalanche and more.

How is the platform regulated?

Coinbase has financial legitimacy in the UK, highlighting its commitment to regulatory compliance. In the United Kingdom, the exchange is regulated by the Financial Conduct Authority (FCA) under registration number 900635. However, it is important to note that it is not registered with the US Securities and Exchange Commission (SEC), which means it is not regulated in the US.

Although not registered with the SEC, Coinbase actively implements multi-layered security measures, including two-factor authentication and other protections. This provides an additional layer of protection for users trading and storing cryptocurrencies on the platform.

An important element of security is insurance of cash balances in US dollars. All balances up to $250,000 are insured by the Federal Deposit Insurance Corporation (FDIC). This provides protection for users in case of financial troubles.

However, it is worth considering that in 2021, Coinbase faced a cyber attack that resulted in the funds of 6,000 clients being compromised. It is important to note that the exchange actively responded to the incident, compensating the stolen funds to all its clients. This episode highlights the need to continuously improve security measures in the dynamic cryptocurrency environment.

Registration on the exchange

You can trade, invest and withdraw funds in the application or directly on the exchange website. To carry out any operations, the user must have an account.

Registration process:

• Create an account.

• Confirmation of email address and mobile phone number.

• Adding personal information.

• Account linking.

Only users who have reached the age of majority can register on the site. To do this, you will need a government-issued ID, phone number, email address and internet access. Read more about how to register on the Coinbase exchange.

Verification process

To confirm your identity and fully manage your cryptocurrency assets, you must go through a verification procedure. This step frees the account from restrictions, giving the user full access to the functionality of the Coinbase platform.

The verification process is carried out in your personal account by going to the settings section and selecting “Profile”. Here the user will have to fill out required fields with personal information, including date of birth, residential address and postal code.

After entering all the necessary information, the user goes to the “Limits” section. This displays current information about whether cryptocurrency transactions are allowed for the account, and what restrictions are set at the current level.

To increase the limits, the user must go to the next level by providing additional data and uploading a scanned copy or photograph of a government-issued identification document. In this case, the copy must be of high quality, scanned on all sides and with clear text, and the name indicated on the document must match the user's name. This stage ensures not only security, but also compliance with all identity verification standards.

Mobile app

The exchange has made sure that users have access to digital assets from different devices. For this purpose, a mobile application was developed for equipment with Android and iOS operating systems.

The app is called Coinbase: Buy Bitcoin & Ether and is available on the App Store and Google Play.

Its functionality includes:

• storage and transfer of digital assets;

• cryptocurrency trading;

• withdrawal of funds;

• the ability to monitor exchange rates;

• notifications about important events in the world of cryptoeconomics;

• the ability to use the same tools as in the profile on the site.

You can install a mobile application on almost any smartphone simply by downloading it from the App Store or Google Play, after which a shortcut for quick access to the application will appear on the main screen of the smartphone. When you first start, you will need to create a new account by clicking “Get Started” or log into an existing profile. Commissions on the Coinbase exchange are the same as in the application, so the trader simply gets another tool to access the exchange’s capabilities.

Commission on the exchange

Creating an account and storing digital assets on the exchange wallet is absolutely free. In addition, there is no fee for transferring funds from one wallet to another within the digital system. This means that the user can move their coins freely and effectively manage the distribution of assets between their accounts.

However, for financial transactions related to the exchange of cryptocurrencies and fiat money, the exchange charges a commission. The amount of this fee may vary and depends on several factors, including the payment method chosen, transaction amount, market volatility, liquidity and other factors.

The exchange does not publicly disclose the exact mechanism for calculating commissions. The commission amount is calculated individually for each transaction and is provided in the preview window of transaction details. This provides transparency and allows traders to estimate transaction costs in advance.

The platform charges a fixed fee for some transactions.

Operation	Commission amount
Loan secured by Bitcoin	2%
CoinBase Card Transactions	2,49%
Spread margin	0%

Spread margin is a fee that allows you to fix the rates of cryptocurrencies in relation to each other at the time of execution of the purchase and sale transaction. When using the Advanced Trade tool, this commission is not charged.

When making a withdrawal to a card from Coinbase, you need to remember that the commission can be withheld not only by the cryptocurrency platform itself, but also by the recipient’s bank.

Spot trading on CoinBase

One of the main advantages of spot trading on the exchange is that the user's risk is limited to his own funds. In addition, this type of trading has the following advantages:

1. Low entry threshold:

The user can top up his account with any amount and start trading without facing high financial barriers.

2. Ease of transaction:

The transaction process is simple and transparent. There is no need to check the availability of a specific transaction amount, since the user only has the funds available in his account.

3. Large number of available deals:

There are no volume or time frame restrictions in spot trading, giving users a wide range of trading options.

However, it is worth noting that spot trades may have lower profit potential. Compared to some other forms of trading, such as futures or options, spot trading may provide more limited opportunities for high profits. It is important for users to carefully evaluate their financial goals and select strategies that meet their investment expectations.

Margin trading on CoinBase

In leveraged trades on the Coinbase exchange, traders have the opportunity to buy cryptocurrency using borrowed funds. When using leverage, a trader can, in the long term, receive a number of significant advantages:

1. Making transactions for large amounts:

The ability to conduct transactions for significant amounts, even with limited equity capital.

2. Increased potential benefits:

With margin trading, a trader can quickly increase his initial capital, which is an attractive aspect for investors seeking to maximize profits.

3. Easy access to leverage backed by cryptocurrency:

Obtaining leverage on the Coinbase exchange remains a relatively simple process, especially when using cryptocurrency as collateral.

It is important to note that as of 2020, Coinbase has limited the margin trading option for its users. Currently, the only available option is a BTC secured loan provided by Coinbase itself or its affiliates. When using this type of loan, users are required to pay an additional fee of 2% of the transaction amount.

CoinBase Map

The Coinbase Card is a Visa debit card that is free and free to use. You can order this card through the client’s personal account after confirming personal information and completing the account verification process.

When using the Coinbase Card to make payments through Apple Pay or Google Pay, users receive additional benefits such as 1% cashback when paying with Bitcoin and 4% when paying with other cryptocurrencies. The card currency is US dollars, so when used for payment in other currencies, automatic conversion occurs. The Coinbase Card is issued by MetaBank® and is designed not only for making payments, but also for withdrawing USD cash from eligible ATMs.

Technical support

In case of questions related to cryptocurrencies and the functionality of the exchange, users can contact the 24-hour technical customer support service. To do this, just send a message by clicking on the “Message Us” button in your personal account. The dialog box that opens allows you to select a question category, such as registration, verification, storing cryptocurrency on Coinbase, and others. In addition, there is a field for entering a message. After sending the message, an expert will join the chat to provide the necessary assistance.

The exchange also has a separate hotline for clients. By calling the specified contact number, users can receive advice from specialists over the phone. If the issue requires additional time to resolve, a separate application is submitted, which is sent to the relevant division of the company for more detailed consideration.

Conclusion

Coinbase is a feature-rich platform that makes trading cryptocurrencies a breeze with just a few clicks. Currently, Coinbase is one of the few platforms where users can instantly pay with cryptocurrency, exchanging it for fiat money. This is what makes the platform particularly attractive, which explains the constant increase in the number of active users.