Coinbase review and bonus
Coinbase is one of the oldest, most trusted, and popular cryptocurrency exchanges in the industry. Coinbase was founded in 2012 and by 2013 it had propelled it’s self to the largest cryptocurrency exchanges in the world. Today Coinbase boasts an impressive 15 Million customers who exchange an average of $20,000,000,000 worth of digital assets a month. It goes without saying that Coinbase is an industry leader in the world of digital assets and it’s name has become synonymous with the words “crypto exchange”. But what exactly makes Coinbase such a popular destination for users to buy, sell, and swap different cryptocurrencies? Read our official review below.
Is my crypto safe with Coinbase?
One of the most important parts of operating any crypto exhange is guaranteeing the safety of your users money. Coinbase accomplishes this in a pretty unique way. Coinbase stores up to 98% of customers’ crypto assets offline in cold storge wallets. These wallets are protected from hackers and allow Coinbase to guarantee liquidity in times of need. The remaining 2% of assets coinbase holds securely online is entirely insured against theft. It is for this reason that Coinbase has been able to receive investment backing from high profile bankers including USAA bank, BBVA, The Bank Of Tokyo, Lightspeed Venture Partners, and even the New York Stock Exchange, among others.
As far as user specific security is concerned, all Coinbase wallets are encrypted using the latest security protocol AES-256. Coinbase also offers all users an option to enable 2 factor authentication to further increase security. Aside from these security methods Coinbase also notifies users via email whenever they sign into their account.
What Kind Of Fees can I expect to pay?
Coinbase charges it’s users two fees for buying and selling digital assets. The first fee is a spread of anywhere from 0.50% to 0.75% depending on demand and market fluctuations. The second fee is billed as either a flat fee or a variable percentage fee. Users can expect to pay the higher of these two fees. The variable fee is calculated based on region, product feature, and the payment type used to make the transaction. The flat fees break down as follows
Transactions above $200 are charged a variable percentage fee anywhere from 1.49% to 3.99% depending on your location and payment method. You can read the full Coinbase fees and disclosure policy here.
As you can see larger purchases are favored on Coinbase as they are charged a lower percentage of fees.
Coinbase Verification levels
Because Coinbase is regulated within the United States users have to adhere to strict KYC (Know Your Customer) requirements for buying and selling cryptocurrency. Coinbase currently has 3 different levels of account verification that offer users different limits for buying and selling cryptocurrencies.
This is the first level of verification required by Coinbase to be able to buy and sell crypto. This level of verification can be achieved by simply verifying your phone number. Because this is the least verified level of account it comes with the heaviest restrictions. Level 1 account users are able to purchase up to $100 a day of any cryptocurrency with either their bank account or credit/debit cards. This account also has a hard cap of $9,500 worth of crypto that can be purchased. Level 1 users are also not eligible to receive crypto from external wallets.
As it’s name implies this is the second verification level available for Coinbase users. Level 2 users are required to verify their personal information. This includes your full name, address, and social (or Tax ID Number). In exchange for providing this information users are able to enjoy a higher level of flexibility with their accounts. Level 2 users are eligible to purchase up to an impressive $25,000 worth of cryptocurrency a day. They can also wire funds into and out of Coinbase. Finally level 2 users are not subject to any account capping meaning they can invest an unlimited amount of money into their Coinbase accounts. Users are also able to store USD in their wallets. This allows for easier access to funds when buy and selling regularly.
This is the final verification level for Coinbase accounts. As such it gives users the most flexibility and includes some pretty cool perks. To become a fully verified level 3 member users must fulfill all prior verification requirements and then submit their government ID (Like a Driver’s licence) to Coinbase. Once their information is confirmed their account will be upgraded to level 3 and the user will be considered fully verified. Having a fully verified account on Coinbase entitles users to the same buying and selling restrictions as a level 2 account, but includes the ability to send and receive currency to and from external wallets (although users will have to wait up to a week after making a purchase for funds to “settle” before sending to an external wallet)
Coinbase Signup bonus
Coinbase is offering new users $10 in Bitcoin free when they sign up and make their first deposit of at least $100. This free bonus can be redeemed regardless of your account verification level. To get started simply click here.
Coinbase also offers users the ability to earn up to $155 worth of crypto completely free through their Coinbase earn program. This is arguably the most generous free bonus offered by any exchange. Once you sign up for your account using the link above you can start earning your free crypto here.