3 cheaper crypto exchange options for Coinbase

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For those who have just started investing in the crypto world, Coinbase is a logical first step. The world’s first listed crypto exchange is both extremely accessible and easy to use. It also offers all the most well-known cryptocurrencies you are likely to hear about, such as Bitcoin, Ethereum, Cardano and Solana.

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But the deeper you get into crypto, the more often you can start trading, which can quickly become costly when you use Coinbase. To help combat this, here are some cheaper alternatives to the Coinbase crypto exchange.

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Robin Hood

Robinhood has had its share of controversies, but it remains one of the best places to trade cryptocurrency cheaply. This groundbreaking app-based trading platform charges $ 0 to buy or sell a wide range of cryptocurrencies, and its pricing structure is simple: there are no commissions on crypto exchanges, even if you have to pay the difference. With Coinbase, pricing is not only more expensive, it is more complicated.

To start with, you pay a $ 3.99 fee if you use a debit card to buy or sell crypto on Coinbase, but you only pay $ 2.99 with an associated bank account. You also pay a spread where transaction costs can become more difficult.

Coinbase divides transactions into “taker” and “maker” transactions. If you buy or sell crypto at market price, you are a “taker” and your transaction generates commission between 0.05% and 0.60%. If you place a limited order that is not executed immediately, you are a “maker” and pay between 0% and 0.40% when your trade is executed.

The bottom line is that while Robinhood has its limitations, including not offering as many cryptocurrencies as Coinbase, it is a cheaper option.

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Webbull

Webull and Coinbase are very different experiences. One of Coinbase’s strengths is that it appeals to newcomers to crypto- and first-time investors in general. The interface is easy on the eyes and easy to understand, and visitors can instantly see what is happening in the overall crypto market and with specific currencies.

Webull, on the other hand, is for advanced traders who only need high-level specific information. Webull is also optimized for a mobile device, for active traders on the go. Perhaps most importantly, Webull does not charge a commission for crypto traders.

Although no one wants to pay commissions on any of their trades, whether you prefer Coinbase or Webull in general will depend on what kind of investor you are. Active resellers will generally choose Webull, both for its non-existent commissions and its advanced interface. Those who are just starting out or looking for an easier to use web interface can give Coinbase a thumbs up even though they have to pay commission.

Binance.FR

Binance.US is not a completely free crypto trading platform, but it is much cheaper than Coinbase. The maximum commission on Binance.US is 0.5%, but that is only if you set a limit price on your purchases and sales. For general spot trades using market orders, your fee is no more than 0.1% or $ 1 for every $ 1,000 you trade. This is similar to Coinbase’s “Maker / Taker” structure, but ends up being much cheaper for market orders.

With increased trading volume, your fees may drop from there. Each day, Binance.US determines your trading volume over the past 30 days, as well as your current BNB balance. Your trading fee level will be determined approximately one hour later. If you pay your fees with Binance coin, symbol BNB, your trading fees are reduced by 25%.

The essentials

There is no doubt that there are crypto exchanges and trading platforms that are cheaper than Coinbase. However, that does not necessarily make them better. Some may have larger spreads to compensate for their lack of commission, while others may not offer the many different cryptocurrencies available on Coinbase. Still others may have user interfaces that are better suited for advanced merchants.

If you want to know which exchange best suits your needs, find out how each platform works. The one you are most comfortable with may be the best solution for you, even if it costs a little more.

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About the author

After obtaining a BA in English with a major in Business from UCLA, John Csiszar worked in the financial sector as a registered representative for 18 years. Along the way, Csiszar earned the titles Certified Financial Planner and Registered Investment Advisor, in addition to being licensed as a life insurance agent while working for a major distribution house on Wall Street and for his own investment advisory firm. During his tenure as a consultant, Csiszar managed over $ 100 million in client assets while delivering personal investment plans to hundreds of clients.

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