If you’re looking for a good way to buy cryptocurrencies, you may have heard of Coinbase. It’s one of the most popular options out there, and it’s easy to see why.
Coinbase offers a perfect on-ramp for new crypto users with a relatively easy sign-up process and a UI that’s extremely straightforward.
There are some downsides to Coinbase, however, such as limited trading pairs and fees that verge on the higher side of things. In addition Coinbase is fully regulated so it’s not available in some jurisdictions. Fortunately there are plenty of alternatives.
In this article, we’ll discuss some of the best Coinbase alternatives for buying cryptocurrency. We’ll cover a range of different options, so you can find the right one for you.
So if Coinbase isn’t your cup of tea, keep reading!
What Makes a Good Crypto Trading Platform?
Substituting Coinbase for another trading platform is often tricky when you don’t know precisely what you are looking for in a crypto exchange. Though there are many upcoming and existing platforms, not all can fit your needs. So before you settle for one, here are a few things you should keep in mind.
Security: Crypto’s rapid growth has made it a target for many hackers. So, before you settle on a trading platform, ensure it has the proper security measures in place. These can be things like the platform having its cold wallet, a fund-recovery plan, two-factor authentication for users, among others.
Trading Cost: You will notice different platforms have different fees when trading. Find a platform that gives you value for the money you pay to trade.
Payment Methods: Some platforms only accept bank payments; others only take cash payments in person. Whichever platform you settle for, ensure it comes with payment methods that you can access.
Supported Tokens and Currencies: Not all crypto exchanges trade the currencies you want to buy. Do your due diligence on a platform to identify which fiat it accepts for trade and which crypto coins you can buy once you deposit your money.
Kraken
- Exceptionally secure exchange with proof of reserves
- Supports many different funding options
- Accepts users from across the globe including USA and Canada
- Very high trading volume
Why Kraken?
Crypto trading rarely gets as hassle-free as it does on Kraken. This platform is among the most well-established and cost-effective crypto exchanges available. There’s a lot to learn about Kraken, like how to buy, sell, loan, or stake your coins for impressive rewards.
Kraken also has a margin trading feature, which allows you to borrow money from a broker and use it to make a trade, with 5x leverage. This is higher than the 3x leverage that Coinbase offers on margin trading.
Kraken’s Security
Security features are essential for any crypto exchange, and Kraken has this figured out. With security keys, two-factor authentication, and a guide that shows you how to set up Pretty Good Privacy (PGP) encryption, Kraken will give you zero security concerns.
Supported Tokens and Currencies
Kraken supports around 100 cryptos, which is very impressive. The most popular of these include Ethereum (ETH), Bitcoin Cash (BCH), Litecoin (LTC), Chainlink (LINK), and Cardano (ADA). Kraken also supports seven fiat currencies, including USD, CAD, EUR, JPY, AUD, CHF, and GBP.
Kraken’s Fees
On Kraken, your fee is dependent on how much trading you do within a 30-day rolling period. Transactions of $0 up to $50,000 cost 0.16% makers fee or 0.26% takers fee. On the other hand, transactions hitting 10,000,000 cost 0% makers fee or 0.10% takers fee. This means the more you transact, the less you pay.
Payment Options on Kraken
To deposit cash on Kraken, you can only use bank transfers. If you have cash or want to use your credit card, you must make the deposits in person.
eToro
- Great for crypto beginners
- Solid crypto/general trading platform
- Reliable company with solid trust in the community
- Fully supports credit cards for deposits and withdrawals
Why eToro?
For crypto trading beginners, eToro is better than Coinbase. This platform, which doubles up as a multi-asset brokerage company, helps you not just invest in crypto but also dive into stocks, Contract For Difference (CDF), and Exchange Traded Funds (ETF) assets. What’s even better about eToro, is that you can run trades with as little trading knowledge as possible.
Using a copy trading feature, you can copy and execute the trades made by seasoned investors on the platform. To achieve this, you will need to invest not less than $500 per trade, but it will most likely be worth your while.
eToro’s Security
eToro has up-to-date security features, including protection against Distributed Denial of Service attacks. Besides this, the platform stores its assets in both hot and cold wallets, so you can be sure hackers won’t have an easy time getting your funds.
Supported Tokens and Currencies
On eToro, you will get 27 cryptocurrencies. It is a small number compared to Coinbase’s over 130 currencies, but it has a wide range of supported fiat currencies, including USD, AUD, EUR, THB, GBP, VND, RMB, MYR, NOK, IDR, SEK, PLN, PHP, CZK, and DKK.
eToro’s Fees
When it comes to fees, eToro has a rather complex fee structure. First, you pay conversion fees to change another fiat to USD. You then pay 0.75% to 5.0% depending on the currency you are trading in. However, this variable spread cost is only charged when buying and not when selling. eToro will also charge you a $10 inactivity fee if your account doesn’t trade for 12 months.
Payment Options on eToro
Payment options on eToro come in plenty. You can work with bank deposits, credit and debit cards, and even e-payment systems like Skrill and Paypal. However, each payment option comes with its limitations, so be sure to go over each thoroughly before you settle for one.
Robinhood
- A great one-stop shop for anyone looking to invest in cryptocurrency or stocks
- Easy onboarding procedure requires very little from user
- Fully regulated financial institution in the United States
- Support for BTC, ETH, LTC, BCH, DOGE, ETC, and BSV
Why Robinhood?
Another excellent option for newbie traders is Robinhood. This crypto, stock, and ETF trading platform comes with an easy-to-navigate user interface and features that are easy to operate.
One impressive Robinhood feature, for instance, is the $5 subscription. This subscription gives you access to market data, research, morning star reports and allows you to trade on margins.
Robinhood’s Security
This popular training platform has considered all significant security checks, from a cold wallet to the Federal Deposit Insurance Corporation (FDIC) insurance.
Supported Tokens and Currencies
Robinhood only supports seven cryptocurrencies, including Bitcoin (BTC), Bitcoin SV (BSV), Bitcoin Cash(BCH), Litecoin(LTC), DogeCoin (DOGE), Ethereum(ETH), and Ethereum Classic. It also accepts only USD as fiat.
Robinhood’s Fees
Commission-free-trading is the main word in Robinhood’s fees category. You do not pay anything to buy or sell coins on Robinhood, but there’s a catch. Robinhood collects a percentage of money for every trade you execute. Unfortunately, the site doesn’t clarify what percentage it takes or how they arrive at it.
Payment Options on Robinhood
Robinhood accepts bank deposits. You can also use the Robinhood Debit card to make payments on the platform and externally.
Binance
- Easy sign-up process
- Lowest transaction fees of any major exchange
- 175+ different digital assets available
- Free deposits
Why Binance?
Binance stirs hot topics where crypto is concerned. Not only is it a crypto exchange, but it also serves as a leading blockchain thanks to its BNB token. However, focusing on the trading part, Binance has a key feature that can help you trade better. This feature is called Binance Earn, and it helps you pool, lend or stake your cryptocurrencies for compounded interests.
Binance’s Security
As one of the leading blockchains in the crypto space, Binance has all the security protocols that crypto trading demands. On top of that, it has an address whitelisting option. This option allows you to select the addresses you wish to end money to. Any address that isn’t in your whitelist cannot receive funds from your account, which means hackers can’t touch your funds.
Supported Tokens and Currencies
Binance limits you to 60 coins for US-based traders, while international traders can access about 500 cryptocurrencies. Some of the coins on Binance that you won’t find on Coinbase include DOGE, Harmony (ONE), Qtum (QTUM), Vechain (VET), and Vethor Token (VTHO). You can also access 18 different fiat currencies on the platform.
Payment Options on Binance
Binance boasts of 62 payment methods. Some of these are very recent add-ons like Yandex money, Paypal, and many more.
Gemini
- A trusted, and secure cryptocurrency exchange
- Gemini is a New York trust company regulated by the New York State Department of Financial Services (NYSDFS).
- Gemini Derivatives offers customers a trusted venue to trade derivatives.
- The world’s first SOC 1 Type 2 and SOC 2 Type 2 certified crypto exchange and custodian
- Multiple product offerings: The Gemini Credit Card®, Gemini Staking*, Gemini ActiveTrader, Gemini Derivatives**
Why Gemini?
If you are an organization looking to invest in crypto, Gemini is one of the best places to start. Gemini has an interesting business-oriented feature called Gemini Pay. Through this feature, Gemini has partnered with over 30000 retailers making it possible to purchase items using a Gemini Account.
Gemini’s Security
Gemini meets the threshold for a secure crypto trading platform. Besides having all essential security features, Gemini has tailored security features for institutional traders. These features include role permissions, defined user access, and even device recognition.
Supported Tokens and Currencies
Gemini supports 63 crypto and seven fiat currencies. The fiat currencies it supports are USD CAD, AUD, GBP, EUR, HKD, and SGD.
Gemini Fees
To trade on Gemini, you need to pay any amount within $0.99 and $2.99 for each trade under $200. Any trade above $200 comes with a 1.49% fee. You can, however, reduce this by using the Gemini Active Trade Plan. While it’s not a guarantee that you will save a whole lot, this plan can relatively reduce your costs.
Payment Options on Gemini
Gemini only accepts deposits when they come as bank transfers, debit cards, or money wire transfers. Wire transfers can be pretty cost-effective on Gemini because they don’t come with transaction charges.
Conclusion: Find a Coinbase Alternative That Works
Coinbase is perfect for new traders, and its security and user-friendliness are top-notch. At the same time, it may be more costly, offer fewer trading pairs, and even have less advanced features compared to other platforms.
In the end, what you want is a platform that meets your individual trading needs, and hopefully, this guide points you in the right direction.
