What are the differences between Crypto.com and Coinbase? You will need to use a platform to buy, sell, and trade your crypto coins in the market and there are several different types of crypto exchanges out there for you to choose from.
However, you will need to know the differences between them to make the right choice. Coinbase and Crypto.com are two such options that you can choose for your crypto needs and if you do not know the differences between them this article will help you in that aspect.
Apparently, you may feel that Coinbase is the best option for you if you restrict your activities to just buying and selling your crypto assets being a beginner.
This platform is highly suitable for those who have little to no experience with crypto dealings since it will make things as easy as possible when you make your first purchase of your crypto coins and set up recurring buys.
In comparison, the more experienced crypto traders looking for more sophisticated services would prefer Crypto.com. Check out Differences Between Crypto.com and Binance.
However, when you know the other differences between them and review both on the basis of different parameters such as currency support, features, security, fees, and more, you may tend to think otherwise.
This knowledge will surely help you to decide which would be the best choice for your crypto needs.
8 Differences Between Crypto.com and Coinbase
Both Coinbase and Crypto.com are two of the most trusted and widely used cryptocurrency exchanges that you will find out there.
Both these platforms are quite popular and provide a digital wallet known for the top-notch security offered to ensure that their users have a complete peace of mind.
Both the platforms offer their respective and unique native coin and allow the users to buy, sell, or trade crypto coins.
However, the similarities seem to end just there and when both of these crypto platforms are evaluated on the basis of other specific aspects the differences are evident.
Right from the fees to the special features, coin support to the accessibility levels there are lots of factors that differentiate them. Here they are.
1. The Basics
Typically, Coinbase is one of the most popular cryptocurrency exchanges based in the United States. It is also one of the biggest exchanges in the world that supports buying and selling crypto coins primarily. The native coin of Coinbase is called the USD coin and represented by USDC.
This is a US dollar-pegged stable coin. This means that for every USDC there is one US Dollar tied with it. Usually, this particular crypto exchange charges a flat rate for making transactions over it but sometimes it may also charge a variable fee that is typically based on the location of the users as well as the type of payment.
One significant aspect of this crypto platform is that it is very easy to use, even for the novice, and offers a lot of educational materials and opportunities to earn crypto.
In comparison, Crypto.com is however much smaller and newer than Coinbase and can only be used as a mobile app since it does not have any web-based interface. The app offers a diverse range of features such as crypto trading and lending.
It also offers a native token to the users with specific benefits such as cash back rewards on a Crypto.com credit card and lower fees. This coin is represented as CRO which offers more benefits to the users to receive when they stake more.
This particular crypto platform is also much cheaper in comparison to Coinbase which is primarily due to the maker-taker pricing structure.
This particular pricing structure rewards the users with higher trading volumes and more generous returns. It also offers a lot more ways to earn crypto as well as interest on deposits.
2. Pros and Cons
If you want to make your choice on the basis of the advantages and disadvantages of the two crypto exchanges, here they are. As for Cryprto.com, you can expect to gain higher interest on a few specific types of crypto deposits.
The platform also comes with a lot of different features which enables you to use it as a crypto exchange, a mobile app, for crypto lending and more. Most importantly, the native coin of this platform CRO will reduce the transaction fees significantly for the users.
As for the downsides of Crypto.com, it includes a shorter and a less proven track record being a comparatively newer exchange than Coinbase.
It does not provide any educational opportunities and materials like Coinbase and the fact that it offers a higher staking reward adds to the ambiguity regarding the business model.
On the other hand, the advantages of Coinbase include offering an interface that is easy to use for the beginners in this space. Apart from that, it also has a longer and more proven track record than Crypto.com and also is known for its stronger security.
The best part is that you can also use it as a web app. However, unfortunately, this particular crypto exchange is also known for charging the highest fees in some cases within the industry. And, another downside of this platform is that it comes with limited features and a much smaller selection of crypto coins.
3. Ease of Use
As said earlier, Coinbase is easy to use because it is specifically designed for the beginners in the crypto industry. The design of the interface is as simple as it can be which helps in buying and selling of crypto coins on this platform which is the main activities supported by the platform.
You can expect to get additional security if you hold your crypto assets in a cold storage. It is a multi-signature wallet that needs authentication from two emails for withdrawals of crypto coins which is allowed only after holding the coins for 48 hours.
This specific feature may be a bit confusing for those users who are less tech-savvy but all of its other features are quite user-friendly.
On the other hand, Crypto.com is also good for the beginners in the crypto industry but only if it is limited to the basics. The advanced features offered by this platform make it a good one for the more experienced traders and may not attract the first-time users.
Typically, the interface of this specific crypto exchange needs to be more simplified so that it is useful for the newer users when they buy or sell their crypto coins over this exchange.
As for the security of the two platforms, the standard wallet of Coinbase is usually a hot wallet. You can use this to send and receive crypto coins easily.
However, if you are not very keen on holding your crypto assets in the hot wallet for a long time you may choose to hold the same in the ‘vaults’ of Coinbase.
This is the common term used for the multi-signature cold storage or wallets of Coinbase. These are more secure and safer and Coinbase claims to hold more than 95% of the total funds in them to ensure added security for the funds of the customers.
On the other hand, Crypto.com claims that it stores the entire funds of the customers in a cold storage. This is not an easy feat to achieve but the platform accomplishes it through its partnership with Ledger Vault.
This is a security company that is widely known and popular for their crypto hardware wallets. This particular integration and top-notch hardware security provides a custody solution of the institutional grade to the customers.
However, if you are worried how the platform handles and processes the withdrawal requirements of its customers, the answer to this lies in the hot wallets where the platform holds the corporate funds.
These funds are used for processing the withdrawal requests of the customers. However, these hot wallets are also quite secure since these are controlled by special hardware modules and need multiple signatures for authenticating a transaction.
In terms of the features, Coinbase seems to have only the basic features. If you look at the history and track record of this particular crypto platform, you will see that it is primarily known for allowing the users to buy and sell Bitcoin as well as other types of crypto coins simply.
However, over the time, this platform has also added a few newer and better features which include and is not limited to price alerts, crypto lending, automated staking for a few specific types of Proof of Stake coins, wallets to earn interest from DAI and USDC stable coins, and educational materials that help users to learn about crypto.
The features of this platform make it easy to get started, stake coins, set up recurring purchases, and earn interest on stable coins to move on. There is also a crypto-backed debit card launched in partnership with Visa.
Crypto.com, on the other hand, eclipses Coinbase because it not only offers all those features that are offered by the Coinbase crypto exchange to its users but also a few more.
This platform has five different types of debit cards on offer for the customers to use and offers cash back rewards at the rate which varies with 1% to 5%. You can also make ATM withdrawal by using these cards with a limit ranging between $200 and $1,000 per day.
In addition to that, this platform also allows its users to make lucrative earning from crypto with its ‘Earn’ accounts. The interest rate offered by it is up to 8.5% APY on specific crypto coins and as high as 14% on stable coins such as USDC.
Typically, if you compare the earnings of USDC held in the Coinbase wallet it can be up to 0.2% APY. Apart from all these, Crypto.com being an automated crypto trading platform makes it quite unique in nature.
The customers can access this feature of this platform for free and at the same time get to know some specific crypto trading strategies provided by it. Users are also allowed to use some additional niche features on Crypto.com that are more advanced.
These features include buying and selling of Non-Fungible Tokens or NFTs and other different types of services of things such as a DeFi wallet that allows users to swap, farm DeFi tokens without losing the ownership of the private keys by the users and unique ‘pay for business’ feature that allows the merchants and retailers accept crypto coins as a mode of payment.
6. Coin Support
When it comes to coin support, Coinbase exchange seems to have extended its support to more different types of cryptocurrencies in the recent few years. Though it continues its effort to support a larger number of crypto coins, it is not as large as Crypto.com, at least as of now.
Crypto.com, in particular, offers support for more than ninety different types of crypto coins apart from Bitcoin and along with it, the platform also supports more than twenty different fiat currencies.
However, withdrawals of fiat currencies are not supported by this platform as of now. Add to that, this crypto platform also supports 223 further tokens through the DeFi wallet.
In comparison, Coinbase offers support to just sixty-six different types of cryptocurrencies. If you consider those coins that are supported by Coinbase Pro and include them it will come to seventy four types of coins.
A few of the major currencies supported by Coinbase platform but not by Crypto.com include BSV, CGLD, GNT, LOOM, CVC, DNT, REP, NU, OXT, and ZEC.
As for the fee structure, that of Coinbase is quite variable. However, for purchase and sales of crypto coins the platform usually charges a fee of about 1.49%.
This is quite high in comparison to that of Crypto.com. Typically, this platform will charge its fees up to 0.50% spread for each trade and 3.99% for purchases on credit card apart from the 1.49% fees charged for bank account or Coinbase Wallet purchases.
On the other hand, Crypto.com charges a fee of 0.2% only for trading crypto coins which can be even lower for those users who trade frequently on this platform.
And, for crypto deposits and trading crypto for crypto, the platform does not charge any fee for them from the customers.
Breaking down the price structure of this platform it comes to 0.04% to 0.4% as maker fees and 0.1% to 0.4% as taker fees. In addition to that, it also charges 2.99% for purchases made by using a credit card.
Coinbase is easy to access and can be used by people residing in the UK and 36 other different European countries, Australia, Canada, Singapore, and the United States.
However, the US residents of Hawaii are not able to use this platform and those people living in New York typically do not have access to 12 specific coins.
As for Crypto.com, people living in more than 80 countries all over the world are allowed access to it. It includes the United States, Canada, Australia, Singapore, and the UK. However, the residents of New York cannot use this platform at all but those living in Hawaii can.
Which is Better – Crypto.com or Coinbase?
Ideally, your investment goals as well as your present level of experience regarding crypto trading will determine which among Crypto.com and Coinbase a better option for you is.
It is difficult to overlook one over the other due to the features and functionalities of both.
However, Crypto.com is preferred a bit more by the crypto veterans and more experienced due to its large selection of crypto coins and tokens, wider accessibility in a global scale, comparatively lower fees, and a wide array of useful and interesting features, all of which are available on a single platform.
It also comes with more advantageous regulations for crypto trading and investing.
When you want to make your choice, make sure that you do so according to the time you have and want to devote to learning because the Crypto.com platform is relatively more complicated to use for a beginner.
But then you will also have the right to use the MCO Visa card apart from the other beneficial features of this platform. .
Here are a few important facts that you should know about these two particular crypto platforms which will make it easier for you to decide which is better among the Coinbase and Crypto.com for your specific needs and conditions.
Typically, the Coinbase platform is quite safe to use and this platform is committed to provide an open financial system to the users all over the globe.
This platform is today one of the most popular brands in the world and widely used exchanges by people who want to convert digital currencies into and out of the local fiat currency.
Apart from making buying and selling of crypto coins easy for the beginners, the Coinbase platform also simplifies the process to send and receive digital currencies to and from merchants, friends, and online wallets.
The security aspect along with proper backups will make the process of handling crypto worry free for the users of this particular crypto platform.
With its features, Coinbase happens to be the one-stop shop that offers merchant tools, a wallet, and an exchange to the users that ensures ease in use due to its strategically designed and streamlined interface.
It also offers convenient apps built on its API and the ability for the users to connect their banking account to the platform.
Therefore, you can buy Bitcoin even by using a credit card but just be prepared to pay the additional fees for it.
Along with the new and inexperienced crypto traders, Coinbase is also a good place for the casual crypto investors who want a platform that is quite user-friendly and easy to use.
The learning curve is minimal and starters in crypto space typically love the great simplicity of this platform.
However, this may not be an ideal place to buy Bitcoin because several users get discouraged by the extensive anti-fraud features of the platform, especially the starters.
The 3-day wait time for getting the currency transferred to a wallet outside the website is also quite an annoying factor.
Add to that, users also need to wait seemingly endlessly for multiple days to get their funds cleared when they sell their crypto coins and want to transfer the money earned thereby to their bank accounts.
With all these inherent delays this platform is not meant for or suitable to those day traders who need to make decisions in split seconds to make profit from the volatile and erratic crypto market.
This means that the platform does not offer them the agility required to make quick adjustments in their day trading strategies based on the price and market volatility.
The cryptocurrency options are also quite limited on Coinbase which is also quite disappointing to most of the traders and crypto investors, though it offers access to some of the most popular crypto coins such as ETH and BTC.
Still, this platform is not a good choice for those looking for more varied options to pursue new coins because the diversity in options of Coinbase seems to be downright disappointing for the advanced traders.
To sum up, Coinbase is that particular crypto exchange that is good to gain more experience on crypto trading and investing. The educational material will help a lot in this matter.
Moreover, this is one of the most reliable crypto to navigate in the world and know more about funding wallets, digital currencies, and making direct transactions while buying and selling crypto coins.
It is a more secure platform in terms of anti-fraud policies and will also allow you to track your crypto portfolio over time, of course against a fee for it.
In terms of fees, Coinbase seems to come with some of the highest fees in the industry especially when it comes to purchasing Bitcoin.
On the other hand, when it comes to Crypto.com, it will meet all the needs of the more advanced and experienced crypto traders and investors.
Just like Coinbase, this particular crypto platform also allows users to invest and stake funds. In addition to that, it also allows them to buy, sell, and earn interest on the crypto holdings. However, the problem, if it really is, is that you can access this platform using its app only and not on your desktop.
If that is not an inconvenience to you, this platform will allow you easy access to a large variety of financial services.
These include an exchange, credit, and earnings. It also allows the users to use an MCO Visa card, as said earlier.
By using this trendy card you will be able to convert your crypto coins into fiat currency for buying products and services in any merchant that accepts Visa payments.
This means that you can use this card at just about 54 million different businesses, brands, and merchants all over the world.
In other words, you can use this MCO Visa card of Crypto.com to buy anything from clothes to a cup of coffee in Bitcoin. Nothing can be better than that!
The primary objective of this platform is to uphold the widespread adoption and use of digital currencies.
It offers a lot of features that enhances its functionality and helps the users to achieve these ends.
In addition to allowing you to buy and send crypto across the platform, it also allows you to keep a track of your crypto assets.
If that was not all, the Crypto Credit feature of this platform will also allow you to avail instant loans as well which will enable you to use the credit to spend on the MCO Visa card.
Most importantly, this card does not come with any monthly fees for maintenance.
There is also a Crypto Earn feature included in the app through which you can earn interest on your crypto deposits up to 8%.
The fees charged by this platform are quite low and it also offers adequate liquidity along with the best execution of the prices when the users want to trade with some of the most popular crypto coins such as Bitcoin.
The exchange power of the platform is further enhanced by the native Crypto.com Coin or CRO and MCO tokens.
However, this dual token system of this platform, some users feel, results in some unnecessary complications.
As for the CRO token, it is available in 22 exchanges all over the globe as of now and it allows making currency settlements across different assets.
In addition to that, this token also allows settling the transaction fees of new blocks and rewards the nodes with some tokens when they validate and process a transaction.
Other useful features of this CRO token are that you can transact directly in it by paying minimal fees.
However, if you buy crypto coins using the CRO tokens via the exchange you can even avail a discount of 50% on it.
Add to that, with the CRO tokens, you can also gain the right to use the Syndicate which is a dedicated place where you will find some of the most rewarding crypto projects.
As for the MCO tokens, you can use them to trade on over 30 crypto exchanges all over the world.
The beginners in the crypto space can use this MCO token to order for the metal Visa card by staking.
And, when you make a transaction by using the MCO Visa card, you will be entitled to receive cash back of 5% on all your spending.
In addition to that, when you stake more MCO tokens you can upgrade the MCO Visa card and be eligible to enjoy a higher tier of it.
Apart from that, you will also get the right to access more perks and features in doing so.
You can also earn some handsome rewards when you stake the MCO tokens which vary from 6% for 500 and 8% for the 5,000 and 50,000 tiers.
Therefore, with all these features, benefits, and functionalities, Crypto.com is an excellent crypto trading platform to use in everyday life.
However, it does not have the same reputation as Coinbase in terms of anti-fraud measures and it also comes with a much steeper learning curve.
Therefore, you will need to spend a significant amount of time to get acquainted with the interface of the platform which is not as intuitive and easy to use as the interface of Coinbase.
To be very frank and honest, when it comes to the security aspects of both Crypto.com and Coinbase, it is quite hard to select the one that is better since both these platforms follow the best practices in the industry to ensure that the security level is of the highest standards.
However, in terms of securing the funds of the users it can be said that Crypto.com in particular goes an extra mile.
However, that does not mean that Coinbase has had security issues in the past in spite of the fact that they have been around in this industry for a longer period than Crypto.com.
Therefore, considering all of the above facts, it is quite hard to conclude which among Crypto.com and Coinbase is a better platform to buy, sell and trade crypto.
The entire thing depends on your preferences and what exactly you are looking for in a crypto exchange.
If you are brand new to the crypto world, it is likely that you will find Coinbase to be easy to use and meet your basic crypto transaction needs.
The web-based interface is the chosen one by default for many. However, apart from these two caveats, you will find that there is a lot more on offer for most of the other users if you consider Crypto.com.
When you evaluate Crypto.com and Coinbase to find which is better, it may be quite hard if you do not consider the differences between them. This article, hopefully, has helped you in that matter.
I have special interest in crypto and intend to help common people to gain knowledge about the digital asset as well as its potential. Follow Me at Linkedin.