Are you looking to add cryptocurrency to your portfolio of investments?
Coinbase is a leading trading website for users to buy and sell cryptocurrency.
It’s unlikely you’ll have the option to invest in crypto through your 401k or IRA, so you’ll need to use a paid service like Coinbase to purchase and trade Bitcoin and other cryptocurrencies.
But lucky for you, numerous Coinbase alternative cryptocurrency exchanges allow you to trade new coins quickly and affordably.
To find the best crypto trading platform for you, check out our list of Coinbase alternatives and get started trading cryptocurrency today!
Coinbase: What Is It & Why Look For Alternatives?
Table of Contents
Coinbase Key Features
Coinbase is a well-known cryptocurrency company, founded in 2012 and based in San Francisco.
Coinbase has its own digital wallet that allows investors to make purchases of several popular cryptocurrencies such as Bitcoin (BTC), Litecoin (LTC), Etherium (ETH), and many more.
The platform makes this process easy and stress-free, so it can be great for beginner and master traders alike.
Coinbase has an encrypted app so you don’t have to worry about security breaches or hacks.
You’ll also get access to exchange tools to keep up with updates on cryptocurrencies.
Coinbase Pro has a regulated trading structure based on a maker-to-taker status.
Fees start at about 0.50% and decrease for large-volume traders. Many traders prefer Coinbase’s in-depth platform and user experience along with the low fees.
Coinbase even integrates with Mint.com so you can utilize their budgeting tools to keep track of the cryptocurrency you trade on Coinbase.
On Coinbaise, you can buy Bitcoin using various payment methods, including instantly with your debit card or by transferring funds directly to your account through ACH transfer.
Pros & Cons
Coinbase Pros
- Accepts credit cards or direct withdrawals from bank accounts
- Accepts over 350 payment methods
- Serves more than 30 countries, including the U.S., Canada, Europe, and Australia
- Simple platform good for beginners
- Secure website
- Strong reputation
- Excellent customer service
Coinbase Cons
- Average charge of 3% per transaction
- As the crypto market fluctuates, Coinbase fees will change as well
- Expensive credit card and bank transfer fees – most transaction fees reach about $10 to $15 per transaction
- Coinbase Pro is available in 32 countries (2021) so some exchanges may not accept your country’s currency
- If you want to purchase ETH or LTC through credit card, debit card, or ACH transfer from your bank account, you’ll need to complete an identity verification process and wait up to 5 days for approval
10 Coinbase Alternatives To Check Out
1. Kraken
Key Features
Kraken is a popular crypto exchange that has been in operation since 2011 and offers over 40 trading pairs, such as USD/EUR, GBP/EUR, ETH/XBT, ETH/USD, XRP/EUR, etc.
The Kraken website is intuitive to use and the trading fee is 0% for makers (a rebate paid out after a trade) and 0.26% for takers (who place orders that are executed against resting orders in the order book).
Leveraged trading is targeted towards advanced users, which is a big draw for experienced traders.
You can trade 5x or more margin on 18 cryptocurrencies. On top of that, it is a futures trading platform with maximum leverage of 50x on five cryptocurrencies.
Kraken is one of the cryptocurrency exchanges that does not offer a personal wallet, but you can transfer your money to and from another account.
Pros of Kraken
- Minimalistic exchange perfect for professional traders
- Highest liquidity in EUR market
- Low fees ranging from 0% to 0.26%
Cons of Kraken
- You need to register and create an account to purchase crypto
- Margin trading is not available
- It does not have trading bots
2. Binance
Key Features
Binance isn’t just a money exchange platform for Bitcoin but also a general crypto exchange.
They offer dependable 24/7 customer support and an active community. They have lots of communities around their features so you can see what other people are doing.
Binance is #1 in verification and trading volume, with over 160 different cryptocurrencies and over 500 trading pairs. They recently began offering leverage trading options for competition with BitMEX and IDEX.
Binance charges fees on every transaction made through its exchange, similar to Coinbase Pro. The trading fee structure starts at 0.1% and can go up to 0.5% depending on if you’re a maker or taker.
They list only high-quality and low-risk coins, so Binance is relatively safer compared to other Coinbase alternatives.
Pros of Binance
- Low trading fees
- No deposit or withdrawal limits
- Safer because lists only high-quality/low-risk coins
Cons of Binance
- You can’t buy crypto directly with a fiat currency like USD
- You need to buy bitcoin (BTC) first and then trade it for your target cryptocurrency
- Not as beginner-friendly as Coinbase, so there may be a learning curve
3. eToro
Key Features
eToro is a cryptocurrency broker providing access to over 15 of the world’s most popular cryptocurrencies.
It is possible to start buying and selling a wide range of cryptocurrencies, such as Ethereum and Bitcoin, as well as smaller names, including Tron Bitcoin and Stellar currencies.
The unique CopyTrader feature of eToro permits new investors to copy the orders others have placed on eToro.
Using CopyTrader, you can copy high-performing traders automatically. It is also possible to browse other people’s accounts and ask them questions.
The company provides education and useability tools to help investors learn the best ways to use its tools and resources in the market.
You even get a free virtual portfolio to use for practice before you commit serious money. eToro is also free and has a wallet.
You can buy and sell commission-free, and there are no margins with leading exchanges no matter how much you invest.
Pros of eToro
- Low fees and no commissions
- CopyTrader makes decisions easy for beginners
- Older platform, founded in 2007
- No deposit or withdrawal limits
Cons of eToro
- Can’t buy crypto directly with fiat currencies
- Supports only BTC and ETH but allows you to trade 15 different currencies
- No advanced features like margin funding or stop-loss orders
4. Webull
Key Features
Webull attracts beginners and experienced independent investors in addition to active traders. The Webull platform has intuitive features and offers a free mobile app.
Read our WeBull review to learn more about this investment platform.
Its comprehensive trading platform has stock trading courses and a live trading system or demo account for stock trading in the United States.
These features offer the potential for a beginner to learn more about the market.
It even provides a trading simulation so you can learn more before putting your money on the line.
The firm provides no-commission trading for investors and active traders, whereas other brokers charge commission fees.
You can also get a free stock for signing up for Webull. Find out where else you can get free stocks here.
Pros of Webull
- Minimal fees and no commissions
- Free trading app
- Real-time market updates
- Intuitive interface
- No deposit or withdrawal limits
Cons of Webull
- Can’t invest directly using fiat currencies, need BTC or ETH first
- No advanced features, such as margin trading or month-end rebalancing
5. Liquid
Key Features
Liquid is a token exchange service based in Japan and it’s reported to have a daily value of more than $250 million in trading volume every single day.
It’s also currently unavailable to United States residents.
The trading system features competitive fee levels, some trading options, and regulatory compliance. Liquid doesn’t charge fees for making withdrawals from the platform.
Liquid focuses on the security of your account. It offers two-factor authentication and a secure password system to provide additional protection while you trade.
There is also an automatic kill switch that shuts down your entire account when there are signs of unauthorized access. Users can use a personal identification number (PIN) or fingerprint to log into their accounts for added protection.
Pros of Liquid
- Competitive fee levels
- Advanced trading tools, including margin lending, short selling, and stop-loss orders
- Multiple security features
Cons of Liquid
- Not available in the United States
- No real-time live trading system
- Can’t withdraw Bitcoin Cash (BCH), Ethereum Classic (ETC), or Ripple (XRP)
6. Robinhood
Key Features
Robinhood Crypto is a platform to buy and sell Bitcoin, Dogecoin, Ethereum, and Litecoin. With their simple platform, even a complete beginner can quickly master Robinhood’s intuitive system.
Read our comprehensive Robinhood review to learn more about how you can invest with this platform.
Robinhood provides no-commission trading and zero fees on many transactions.
You also get immediate access to your funds when you sell because they don’t require transfers between accounts which could take up to three days for other brokers.
If you want to trade crypto on margin, you will need a Robinhood Gold account. Robinhood requires a $2,000 minimum balance to gain a Gold account and there’s a $0 balance requirement.
You can also purchase fractional shares, a good investment option for new traders with limited money.
Pros of Robinhood
- No-commission trades
- Great mobile app
- Can set price alerts
- Immediate access to funds
Cons of Robinhood
- Limited cryptocurrencies available
- Can’t fund with a bank account or fiat money, need crypto already to trade
- No advanced trading features such as margin trading or stop-loss orders
7. BitMEX
Key Features
BitMEX stands for Bit Mercantile Exchange. It provides leveraged deals with Bitcoin as its collateral. BitMEX is one of the first platforms that offered margin trading for Bitcoin.
The platform offers more than 9 cryptocurrencies to be traded with. You can only trade on margin, you can’t buy coins directly.
Market makers receive rebates if they add liquidity to a market. Fees run from 0.075% for perpetual contracts to 0.25% for futures. BitMEX also offers a wallet.
Key features of BitMEX include a strong focus on security and a website built with traders in mind.
BitMEX is considered one of the best brokers for professional day traders. It offers great features like margin trading, swaps, and BitMEX Testnet.
The platform also supports high leverage ratios. If you’re looking to trade crypto derivatives and are confident about your skills as a trader, this could be one of the best Coinbase alternatives for you.
Pros of BitMEX
- Great for professional day traders
- You can trade on margin
Cons of BitMEX
- Margin trading only, which can be risky
- Limited number of coins available
8. Voyager
Key Features
Voyager is another great cryptocurrency broker that gives you access to Bitcoin and Ethereum at zero trading costs.
It’s a new platform but it already has the potential to become very popular among traders thanks to its outstanding features.
The company offers phone customer support 24/7 and has an easy-to-use app available on both iOS and Android platforms.
Voyager offers free mobile trading of 60+ different digital assets, which is more than Coinbase offers. And, you can earn up to 12% APR interest on stored currencies.
It is only available to residents of the United States with exception of the New York State. The company currently has plans to expand to Canada and other global markets soon.
Voyager Pros
- Commission-free
- Margin trading allowed
- Can earn interest on stored currencies
Voyager Cons
- Only available in the US
- Not available to New York State residents
- Does not offer advanced features such as stop-loss orders
9. Gemini
Key Features
Gemini is a New York-based platform that provides the very best security services in the crypto market.
Through its Crypto Custodial Services, your digital asset can then be housed in one of the most secure storage vaults in the industry.
Gemini offers multiple cryptocurrencies and coins, and you have a chance to earn up to 7.4% interest on your stored coins. With their wallet, you can pay with digital money in 30,000 or more big stores.
New investors will enjoy the simplified interface of the mobile apps while advanced investors may appreciate all the tools that come in ActiveTrader.
Users also have access to secure hot wallets to store tokens so they don’t have to fear hacks or breaches.
ActiveTrader provides various functions such as Market or cancel, Instant or cancel, and Fill-or-Tail to run your orders.
Fees for depositing through wire transfers are free, but there is a 3.49% fee for debit cards. There are also maker/taker fees on ActiveTrader ranging from 0.25% to 0.35%.
Gemini offers other features like Cryptopedia, which is an educational platform with extra cryptocurrency information.
Gemini clearing is like P2P trading as it helps users buy or sell one another’s cryptocurrencies. Any clearing trades remain in Gemini, and Gemini only acts in these transactions as a third party.
Pros of Gemini
- Very secure
- ActiveTrader has advanced features
- Supports USD and BTC for trading
- P2P cryptocurrency trading
Cons of Gemini
- Advanced features may be confusing for beginners
- Trader fees
10. Bitstamp
Key Features
Bitstamp is a great Coinbase alternative because it’s easy to use for beginners, has an extremely low fee of 0.25% per trade (trading volume less than $20,000 a day), and offers fast funding via credit cards or even cash!
Bitstamp also has a clean interface, which allows new cryptocurrency users to get used to the experience very quickly.
If you’re having trouble deciding which is the best Coinbase alternative for you, Bitstamp may be your answer.
To buy cryptocurrency using this exchange platform, simply click deposit, choose your currency and wallet from the drop-down menus, and head to checkout! Very simple.
They store 98% of assets offline for security purposes.
Payment via Ripple is available, the largest real-time peer-to-peer settlement network in the world that uses an incredibly secure cryptographically secure platform with advanced blockchain technology.
This means that transfers of assets between wallets are processed instantly and securely.
Their goal here is to provide users with a simple, secure way of buying, selling, storing, and using crypto-assets for trading or holding value.
Pros of Bitstamp
- Secure and instant crypto-asset transfers
- Low fees (0.25% on all transactions)
- Credit card deposits accepted (fees may apply)
- Can purchase crypto using fiat money (USD)
Cons of Bitstamp
- No mobile app
- Not the best option for day trading
Coinbase Alternatives: What To Consider
There are several factors to think about when choosing a company to trade cryptocurrencies with. Especially important are fees and the security provided by exchange services.
Make sure the exchange has a good reputation and the cryptocurrency you want to trade.
Take a look at the commissions charged by the exchange. Low fees equal more money in your pocket.
Be sure to know the best Coinbase alternatives before jumping on to Coinbase. Doing your research first lets you pinpoint the correct trade platform to satisfy your needs.
Currencies & Countries
You’ll want to check what currencies the exchange platform you choose offers.
Most exchanges will offer popular coins like Bitcoin and Ethereum. And some exchanges go beyond the most common coins and break into various currencies with less capital.
No exchange carries every possible type of coin.
Don’t be afraid to research the coin offerings before you enter a particular exchange. This way you know you can purchase your currency of choice.
Not all exchanges will be allowed to operate in your country.
This is because the transaction of bitcoin and other cryptocurrencies is largely decentralized, making them extremely difficult to manage and tax.
In certain places around the world, coins are banned from circulation.
The legality of coin exchanges is also debated on the state level and not every exchange can operate in every state. Look for a cryptocurrency exchange offering services where you live.
Ease of Access
Buying or trading currency in an exchange doesn’t do much good for you if you can’t access it and turn it into cash.
Only trust cryptocurrency exchanges that clearly describe how to buy currencies, transfer to an exterior wallet, and what keys to the wallet.
The platform for trading cryptocurrencies should be intuitive and user-friendly. Often exchanges have an app to be even more accessible wherever you are.
Technical traders should search for exchange with solid charting tools and functions. Technical traders may also need more advanced features such as margin trading and stop-loss orders.
Beginners may desire an easy-to-understand exchange interface.
Security
Unfortunately, Bitcoin hacks have happened.
Using an un-secure exchange can lead to disastrous consequences. Check if the exchange you want to use has been hacked before, and what they’re doing to prevent new attacks.
Before deciding on what Coinbase alternative to choose, look into how the exchange works to prevent or stop hacks and fraud. Some exchanges will store assets offline for security purposes.
Others use heavy encryption and two-factor authentication to reduce unauthorized access to users’ accounts.
Decide what types of protection you are looking for with your cryptocurrency exchange, and then find a company that offers this level of security.
Fees
Trading fees can take your profit as a trader and turn a good trade into a marginal or losing trade.
Keep in mind to account for all possible fees, including deposit fees, withdrawal fees, exchange fees, and transaction fees. Any good exchange will have a transparent fee structure.
Spending the least on fees might not be your highest priority though.
Oftentimes higher fees come with more robust offerings, a more user-friendly interface, better customer service, and advanced stock options that fee-free platforms may not offer.
Keep an eye on how your cryptocurrencies are performing with Personal Capital‘s Crypto Tracker.
Our Thoughts
Before investing in crypto, keep in mind that crypto is more volatile than stocks. This is one of the features that makes crypto a high-risk, high-reward investment.
We recommend these investing books to learn how to get started investing.
It is up to you to identify which cryptocurrency exchange platform aligns best with your priorities.
You might choose to go with Coinbase, but it is also possible that one of the Coinbase alternatives above is a better fit for your needs.
Perhaps you need a wider choice of crypto trading pairs or you prefer using a fully decentralized cryptocurrency exchange.
If you are most concerned about security, you will want to choose an exchange that is highly focused on this.
Or if you want to make the most money, maybe you’ll focus on choosing an exchange with low trading fees.
All of these points should be taken into consideration when choosing which cryptocurrency exchange you want to use.
Spend some time thinking about your priorities and goals with cryptocurrency trading, and you’ll find it easy to pick an appropriate platform for your current circumstances.
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