Coinbase vs Binance

Comparing Coinbase vs Binance involves juxtaposing two crypto exchange platforms aiming at different types of investors and markets. While one platform is more appropriate for crypto newbies, the other one caters to well-seasoned investors. One has the lowest fees among competitor platforms, while the other has a confusing and un-transparent fee structure.

But which is which, and which one is best for you? Read our in-depth comparison to find out. In the following paragraphs, you’ll learn how they compare in account requirements, fees, and available crypto assets.

Side-by-Side Comparison

To begin, let’s compare their most basic features side-by-side.

Coinbase vs Binance: Account Requirements

When opening a Coinbase account, users need to provide basic information like first and last name, date of birth, and address. Naturally, you cannot become a Coinbase user if you are less than 18 years old.

You will need to provide proof of everything mentioned before. You can submit a government-issued ID as Proof of Identity. A utility bill can serve as a Proof of Address.

Apart from this, new users need to answer a short questionnaire, which includes questions like where their funds are coming from, where they are currently employed, or reasons for using the platform. Finally, they also need to provide the last four digits of their SSN.

How does the Binance vs Coinbase KYC differ?

While Coinbase users need to go through the KYC process to use the platform, that is not the case with Binance. On Binance, you will be able to access some basic features without verification. Yet, you will need to go through KYC verification to gain full access. What document you will need to submit depends on the verification level you are applying for: basic, intermediate, or advanced.

Number of Cryptocurrencies

The Coinbase crypto selection includes more than 100 digital coins. The list is updated regularly with new additions. As expected, Bitcoin and Ethereum are on the Coinbase list. However, Coinbase also has a long list of available altcoins.

The native Binance platform enables trading in more than 500 crypto assets. However, the collection of available coins is more modest on Binance.US (the separate platform for US users). Only around 65 coins are available for Binance US users.

Usability

When it comes to ease of use, it is fair to distinguish between the two different Coinbase platforms and the profile of prospective users. Whether you should use Coinbase or Coinbase Pro depends on your previous crypto trading experience. As the name implies, Coinbase Pro is dedicated to the more experienced traders. The native Coinbase platform, on the other hand, will accommodate anyone about to dive into the crypto trading waters.

Even though newbies will find their way around the Binance’s features, they might be overwhelmed by all the different options. That’s why everyone considering Binance should at least try to get familiarized with the crypto trading lingo before signing up.

Fees

What sets Binance apart from other crypto exchanges is the low fees. While the Binance deposit fees are non-existent, trading fees can get even 25% lower for anyone who holds BNB (the native Binance coin). When trading, users are charged a flat 0.1% spot trading fee, while crypto exchanging incurs a fee of 0.5%. Additional fees may be applied as well. It depends on the account verification tier or place of residence.

Since having two separate platforms, Coinbase uses two different fee models. However, the only downside is that it “fails” to mention them on the official website. Coinbase Pro uses the maker-taker model and charges between 0% and 0.50% per transaction. The native Coinbase pricing is confusing and not transparent. While it involves a spread of 0.5%, you will not know what else you need to pay until accessing the transaction page.

Mobile Apps

Both Coinbase and Binance have mobile apps to support on-the-go trading for Android and iOS users. There is also a separate Binance.US app and Coinbase Pro app. The apps enable users to make crypto trades, as well as gain access to some smart trading tools.

Coinbase and Binance mobile apps maintain a high rating on both Google Play and App Store.

Customer Support

Who do you think outperforms in this category, Coinbase or Binance?

Users have three options to get in touch with the Coinbase Support center. Apart from the traditional ticketing system, they can reach out through the Live Chat feature. Furthermore, phone support is available for users who need urgent assistance from an agent.

When it comes to the available communication channels, Binance has an advantage. Apart from channels available on Coinbase, Binance is responsive on social media too. This applies to their official Facebook page or Twitter handle.

Binance vs Coinbase: Security

Coinbase has strict security measures. Employees go through thorough background checks, as well as training. Furthermore, the exchange employs state-of-the-art encryption to secure its platform and all user data. In addition to that, users are encouraged to secure their accounts with 2FA. Finally, their drives are in separate geo-locations. Speaking of crypto assets, Coinbase keeps 98% of them in offline wallets.

The Binance safety measures are virtually the same as the ones of the competitive platform. Similarly, Binance uses encryption techniques to ensure there is no data breach. Real-time monitoring of accounts for any suspicious activity is also employed. The 2FA verification is available for anyone looking to add another security layer to their account. In addition to this, users can whitelist only certain IP addresses or wallets. Finally, Binance follows the industry’s practice of keeping users’ assets in offline wallets.

Who Is Coinbase Best For?

Coinbase might be a perfect choice for anyone looking for an easy-to-use platform with simple features. However, the Coinbase pricing is one downside to the exchange.

Everyone who might be new to the crypto trading world will feel at ease, and not just because of how easy it is to navigate the platform. Coinbase has an extensive knowledge base and learning materials to help you get familiar with all the crypto basics. Those who feel like they need something a little more advanced should check out Coinbase Pro.

Coinbase Pros and Cons

+Beginner-friendly platform
+A decent number of crypto coins
+State-of-the-art security practices

-Non-transparent fee structure
-Higher fees compared to Binance

Who Is Binance Best For?

Binance is best for anyone who has made a few crypto trades before and is already familiar with the lingo. Even though the Binance crypto fees are among the lowest, the available features and analytical tools might confuse or overwhelm novice traders. Furthermore, considering the number of available crypto coins is considerably higher on the native platform, it is safe to say that Binance is probably more appropriate for traders residing outside the US.

Binance Pros and Cons

+Lower fees compared to other exchanges
+A wide selection of crypto coins on the native Binance platform
+You don’t have to go through KYC to use basic features

-Low number of digital currencies available on Binance.US
-Not as beginner-friendly as Coinbase

Binance vs Coinbase: Which Is Better?

A few things need to be looked at when deciding between Coinbase vs Binance. Some of them are whether your priority is having access to more crypto coins or paying lower trading fees. Whether you are a US resident plays an important role too.

If you are a US resident and fall in the first category, you will be better off on Coinbase. However, Binance US would be a natural choice if fees are a cause of concern. The native Binance platform is in the lead for international users, having a wider selection of coins and lower fees than Coinbase.

Hopefully, this comparison has helped you decide whether you’ll be on Binance or Coinbase. If not, check out our eToro vs Coinbase and eToro vs Binance comparisons for more options.