Binance vs Coinbase | Crypto Exchange Comparison
Both Binance and Coinbase are two mainstream cryptocurrency exchanges, which are known to the crypto enthusiasts for their exemplary trading services and reputation. The two platforms have been around for a good number of years, with some of the best management teams in the crypto space. In this Binance vs Coinbase review, we will compare side by side the main features of each platform to help users make an informed decision.
Binance is a cryptocurrency exchange that runs crypto-to-crypto trades. This means that the platform doesn’t accept fiat money, such as EUR, USD, or GBP. The exchange was officially launched in 2017, with China as its original location. However, the company relocated to Japan when China imposed stringent laws on cryptocurrency. Currently, Binance has its headquarters in Malta and a subsidiary branch in the US.
The brain behind Binance is Changpeng Zao, popularly known as CZ. So far, Binance has had a prosperous journey since its launch. Currently, the exchange can manage more than two billion dollars in daily volume. This makes it the largest platform for altcoin trading.
Coinbase officially joined the crypto community in 2012. The San Francisco, California-based cryptocurrency exchange is a brainchild of two men, Brian Armstrong and Fred Ehrsam. In the crypto space, many users view Coinbase as one of the largest crypto-broker exchanges worldwide.
The platform has more than 40 million verified users, with seven thousand institutions and 115,000 ecosystem partners attached to it. According to their official website, Coinbase is present in more than 100 countries across the globe, where it allows users to invest, save, earn, and use digital currencies easily and securely.
Importantly, Coinbase holds a BitLicense, which makes it one of the few cryptocurrency exchanges that can legally work in New York. It has collaborated with the world’s top brands like Dell, Time Inc., and Expedia, among others, to process Bitcoin payments.
Coinbase serves as a crypto broker, allowing users to trade digital currencies at set prices based on the prevailing market trends. This means that users do not have to wait for orders to match, because transactions are simple and fast. Since its launch, more than $50 billion worth of crypto has been traded on the platform.
Binance vs Coinbase: Available Currencies
To identify the winner of our Binance vs Coinbase battle, we will start with the cryptocurrencies available on both platforms.
Coinbase allows customers to use different cryptocurrencies, including Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, USD Coin, Litecoin, Ripple, Basic Attention Token, EOS, Augur, Dai, Chainlink, Kyber Network, ZCash, and Cosmos.
Contrary to other traditional exchanges, Coinbase supports various fiat currencies in exchange for digital currencies. Accepted fiat currencies are EUR, GBP, and USD. Besides, Coinbase allows multiple payment methods to enable customers to send fiat money to the platform and buy crypto. Payment methods accepted on Coinbase include PayPal, bank transfer, debit/credit cards, and SEPA for European customers.
Binance supports more than a hundred different cryptocurrencies. Some altcoins available on the platform are Ethereum, Litecoin, and Zcoin, among others. With a wide range of cryptos, Binance offers high liquidity and a rich list of crypto pairs. It has more multiple trading options compared to Coinbase.
Binance vs Coinbase: Available Countries
Coinbase is currently available in more than 100 countries across the world, including North America and South America, Africa, Australia, and Europe. Some countries can only convert fiat to crypto, while other countries can convert, buy, and sell. The capabilities vary from one country to another. Payment methods also vary from one country to another.
Binance, in contrast, supports users from more than nearly 200 countries and regions. Some of the countries include Argentina, Brazil, Colombia, Kenya, Malaysia, Mexico, Austria, Belgium, Lithuania, Luxembourg, and many more.
Binance vs Coinbase: Interface and User Experience
When it comes to user experience, Coinbase is recommended for novice traders and investors. This is because of its easy-to-learn interface. It allows even beginners to learn the ropes of using digital exchanges much faster. Besides, Coinbase users can easily cross over to GDAX and trade more currencies than those available on Coinbase.
Binance user interface is perfect for both beginners and seasoned users. The platform gives customers two options when buying. There is a basic and an advanced option. Beginners can start by using the standard option and move on to the advanced section once they become trading professionals.
While the two platforms support crypto/fiat exchange services, they operate differently. On Coinbase, users can trade Bitcoin directly from the company for fiat currency, such as the USD. Binance, on the contrary, offers more altcoins, which makes it the best cryptocurrency exchange for crypto-to-crypto trading.
If you want to easily perform crypto conversions, then Coinbase provides the best alternative.
Binance vs Coinbase: Mobile Apps
Another important factor in our Binance vs Coinbase comparison is the availability of these platforms for mobile phone users.
Binance offers a mobile app for both Android and iOS users. These apps allow customers to trade fast and secure from their mobile devices. A unified trading platform, Binance permits users to trade futures, margin, or spot using mobile apps.
Similarly, Coinbase offers apps for both Android and iOS customers. Coinbase apps are reliable, allowing users to trade with ease from their smartphones or tablets.
Binance vs Coinbase: Deposits and Withdrawals
With a good user interface, Binance allows users to easily withdraw funds from the platform. Here’s how it happens:
- On the upper part of the page, hover the mouse over “Funds” and click on “Withdrawals;”
- Binance cannot let you proceed until you enable two-factor authentication on your account;
- Click “Select Withdrawal Coin” and enter the currency code like BTC or ETH;
- Enter the wallet address where you send the coins;
- Click “Submit.”
Similarly, Coinbase users can withdraw their funds by signing in to their Coinbase account and clicking the “Withdraw” button. A window pops up and asks how much the user would like to withdraw. The user enters the amount and the wallet address where the funds should be sent. The process is just that simple.
Binance withdrawals can take less than 30 minutes to reach the destination wallet. Withdrawals on Coinbase vary from one region to another. Generally, withdrawals to bank accounts take 1-5 business days.
Binance vs Coinbase: Fees
In most cryptocurrency exchanges, the fees charged depend on the user’s country, currency involved, payment method, and trading volume. Coinbase charges fees as follows:
- $10 and below: $0.99 fee;
- $10 – $25: $1.49 fee;
- $25 – $50: $1.99 fee;
- $50 – $200: $2.99 fee.
For credit or debit card purchases, Coinbase charges 3.99%.
Binance charges 0.1% on spot trading, 0.5% on instant buy/sell. It’s important to do fees comparison before using a crypto exchange.
Binance vs Coinbase: Security
In terms of security, Coinbase applies industry-standard security measures, which include strong passwords and two-factor authentication. The 2FA applies even to phones or mobile apps, such as Google authenticator. The platform also notifies users whenever a new IP address tries to access their account.
Binance, in contrast, is less transparent about its security measures. However, personal accounts are protected by 2FA and email verifications. In 2018, Binance experienced a hacking attempt that was nipped in the bud before it became disastrous.
In 2019, a hacker gained access to the platform and users’ API keys. Binance lost $40 million worth of crypto assets during this incident. However, the exchange reimbursed all the users who suffered the loss through their Secure Asset Fund for Users (SAFU) security fund.
Binance vs Coinbase: Customer Support
Regarding customer service, Coinbase has been praised as having the best customer service among other mainstream crypto exchanges. Users can reach the customer support team through email and phone. Response time often takes between 24 and 48 hours.
Binance equally runs a similar email support system. Customers can reach the team through online support tickets available on the website and receive responses via email. Even so, some customers have complained of slow responses from the platform. Binance also offers learning resources through its Binance Academy or Binance Research branches.
Binance vs Coinbase: Public Opinion
In terms of reputation, Coinbase is seen as one of the most secure and reliable exchanges in the crypto industry. According to Google searches, Coinbase usually appears in first or second search results. Besides, the platform is very safe, given that all funds are stored offline.
Binance, at the same time, enjoys positive reviews, and with improved security measures, such as 2FA, it’s considered safe to use.
Binance vs Coinbase: Verdict
To sum up, Binance and Coinbase are both solid platforms for upcoming and seasoned crypto traders. Coinbase is an excellent choice for beginners who are looking for quick access to mainstream crypto assets, such as Bitcoin or Ethereum. Binance, in turn, provides a wide range of altcoins with low trading fees.
It works best for those who are already equipped with some knowledge of crypto. In the end, there’s no winner in our Binance vs Coinbase battle because it all depends on the user’s preferences.