Coinbase has established itself as a leading platform for buying, selling, and storing cryptocurrencies. With its user-friendly interface and a wide range of cryptocurrencies to choose from, it has become a go-to choice for both beginners and seasoned traders.
Despite offering wonderful exchange services to crypto investors, not everyone is interested in using Coinbase. Some may be bothered by the exchange’s high fees, while others may come from jurisdictions that can’t access all of Coinbase’s features.
More than enough Coinbase alternatives have emerged over the years, granting investors access to more competitive fees, unique features, and a diverse list of cryptocurrencies. In this article, we will explore some of the most popular Coinbase alternatives.
Why Look For Coinbase Alternatives?
Coinbase has been a dominant player in the cryptocurrency market, especially in the U.S. Investors view the exchange as being highly reputable, secure, and easy to use. However, there are a few reasons why investors might be interested in migrating to other platforms.
Some investors may find Coinbase's fees too high, as it charges some of the highest trading fees in the crypto industry. Moreover, while Coinbase offers a substantial number of cryptocurrencies, it doesn't cover the entire spectrum of cryptocurrencies available in the market. This means that traders looking to diversify their portfolio with lesser-known or emerging cryptocurrencies might need to look elsewhere.
It’s also worth noting that each trading platform comes with its unique set of features and tools, which may not be available on Coinbase. Some platforms might offer advanced charting tools, others might provide more staking options, and some might have a broader range of payment methods.
There’s also the problem of regulatory uncertainty. America’s leading financial regulator, the SEC, has recently sued Coinbase over selling unregistered securities. The event prompted investors to move their activities elsewhere, fearing that Coinbase doesn’t have a bright future ahead.
Even if you’re satisfied with Coinbase’s services, it’s still a good idea to spread your cryptocurrencies to multiple exchanges to safeguard against any harmful events. Plus, you might discover an even better platform that’s better suited for your needs.
5 Popular Alternatives to Coinbase in 2023
In the following sections, we will delve into some of the best alternatives to Coinbase, discussing their features, advantages, and why they might be a great choice for your crypto investing needs.
1. Shrimpy Advisory
Shrimpy Advisory, a robo-advisor specializing in cryptocurrency, provides a streamlined and automated solution for individuals at various stages of their crypto investment journey.
By answering a set of questions, users can establish their risk appetite and investment timeline, enabling Shrimpy Advisory to suggest a personalized portfolio of cryptocurrencies that matches their goals.
A standout feature of Shrimpy Advisory is its focus on user accessibility. The absence of account minimums allows users to invest at a level they're comfortable with, and their deposits are then distributed in accordance with their overall portfolio strategy.
You can manage your account through an all-inclusive dashboard. This interface enables users to monitor their portfolio's performance, adjust their strategy, and review their trading and transaction history. The dashboard also functions as a notification hub, keeping users informed about any alterations to their accounts or investment strategy.
One of the key ways Shrimpy Advisory demystifies cryptocurrency investing is through its autopilot feature. This tool proactively manages the user's portfolio, adjusting the composition of their investment basket on a quarterly basis in response to market fluctuations.
The most interesting part about Shrimpy Advisory is that it helps investors diversify their exposure to various crypto sectors through uniquely themed baskets. Based on the user's individual risk profile, the platform suggests the ideal combination of assets to align with a user’s long-term investment aspirations.
Simplified and automated approach to cryptocurrency investing, suitable for individuals with varying levels of experience.
Offers personalized portfolio recommendations based on users' risk tolerance and investment timeline.
User-centric approach with no account minimums, allowing users to invest according to their comfort levels.
Autopilot feature that proactively manages the user's portfolio in response to market conditions.
Provides exposure to different crypto sectors through uniquely themed baskets.
The platform is exclusively crypto-focused, which might not be suitable for those looking to diversify with other types of assets.
The autopilot feature, while convenient, might not be ideal for those who prefer to have more direct control over their investments.
When it comes to finding a robust alternative to Coinbase, eToro often tops the list. The platform has carved a niche for itself with its extensive array of assets, distinctive social trading features, and user-friendly interface.
One of eToro's standout features is its pioneering social trading platform. This feature allows users to interact with others, share trading insights, and even automatically copy the trades of successful investors. This social aspect of trading not only fosters a sense of community but also provides a valuable learning resource for both novice and experienced traders.
In terms of asset diversity, eToro offers a wide range of cryptocurrencies for trading. While the number of cryptocurrencies may not be as extensive as Coinbase, eToro compensates with its offering of other asset classes, such as stocks, commodities, and forex. This makes eToro an excellent platform for those seeking to invest in both crypto and TradFi.
However, you might be put off by the fact that eToro features even worse fees for crypto investors. Customers have to pay a fixed 1% fee each time they buy or sell crypto. For example, Coinbase charges 0.6% for all taker fees.
Comprehensive trading platform with a wide range of assets, including cryptocurrencies, stocks, commodities, and forex.
Includes an innovative social trading feature allowing users to interact, share insights, and replicate successful trades.
User-friendly interface suitable for both beginners and experienced traders.
Supports a limited number of cryptocurrencies compared to Coinbase.
Some users might find the platform's focus on social trading distracting from traditional trading activities.
eToro is noticeably more centralized than Coinbase and offers no interaction with the DeFi sector
Uphold stands out as a versatile platform that offers a broad range of cryptocurrencies, supporting over 200 cryptocurrencies. Like Coinbase, Uphold also offers access to an easy-to-use staking service.
Uphold's extensive asset diversity is one of its most appealing features. In addition to a wide selection of cryptocurrencies, Uphold also allows users to trade traditional fiat currencies and precious metals. This multi-asset approach provides traders with an opportunity to diversify their portfolios in a way that few other platforms can match.
But much like eToro, Uphold also deals with a rather bad situation with their crypto trading fees. Depending on the cryptocurrency you trade, you might have to pay up to 1.5% in fees every time you trade crypto. If fees are important to you, you are better off sticking with Coinbase.
Offers a diverse range of assets for trading, including cryptocurrencies, traditional fiat currencies, and precious metals.
Unique features allows users to buy, hold, and sell real gold and silver directly from their Uphold account.
Allows you to stake your crypto.
The platform's user interface may not be as intuitive as some other platforms, particularly for beginners.
While it supports a wide range of assets, the number of cryptocurrencies available is less compared to some other platforms.
Some users have reported slower customer service response times.
Extremely high crypto trading fees
Interested in a platform that caters to more advanced trading needs? Then Kraken might be the perfect choice for you. Often regarded as the best institutional alternative to Coinbase, Kraken offers a suite of advanced features such as customizable order types, margin trading, and over-the-counter (OTC) trading for large block trades.
Kraken's advanced trading features set it apart from many other platforms. It offers a range of order types, including market, limit, stop loss, and take profit orders, giving traders the flexibility to execute their trading strategies effectively. For those looking to leverage their trades, Kraken also offers margin trading with up to 5x leverage.
Another standout feature of Kraken is its OTC trading service. This service is designed for high-net-worth individuals and institutions looking to execute large block trades with minimal slippage. Kraken's OTC desk offers private and personalized service to these clients, ensuring their trades are executed smoothly and efficiently.
In addition to its advanced features, Kraken also offers a wide range of cryptocurrencies for trading, making it a good choice for traders looking for diversity in their crypto portfolio.
Considering its advanced trading features, wide range of cryptocurrencies, and specialized services for institutional investors, Kraken presents a compelling alternative to Coinbase for advanced and professional traders. But for beginners, Kraken might be “too much.”
Offers advanced trading features such as customizable order types and margin trading.
Provides over-the-counter (OTC) trading for large block trades, catering to high-net-worth individuals and institutions.
Supports a wide range of cryptocurrencies for trading.
Known for its strong security measures and regulatory compliance.
The platform's advanced features may be overwhelming for beginners.
Does not offer as many fiat currency options as some other platforms.
While it offers a mobile app, some users find its functionality to be more limited compared to the desktop platform.
If you're looking for a platform that bridges the gap between the digital and real world, Crypto.com might be the perfect Coinbase alternative for you. Known for its wide range of benefits, including staking rewards, cashback incentives, and the ability to spend digital assets using a real-world debit card, Crypto.com is redefining how investors interact with cryptocurrencies.
One of the standout features of Crypto.com is its crypto debit card. This card allows users to spend their digital assets at millions of merchants worldwide, just like a traditional debit card. This feature brings a level of convenience and usability to cryptocurrencies that few other platforms can match.
In addition to its crypto debit card, Crypto.com also offers a range of other benefits. Users can earn staking rewards on a variety of cryptocurrencies, providing an additional income stream for holding their digital assets. The platform also offers cashback incentives on spending, further enhancing its value proposition.
Crypto.com also supports a wide range of cryptocurrencies for trading, making it a good choice for traders looking to diversify their crypto portfolio.
Crypto.com users also pay relatively low trading fees. In fact, the platform charges 0.075% for maker and taker fees, making it one of the most attractive options on this list.
Offers a crypto debit card that allows users to spend their digital assets at millions of merchants worldwide.
Providesstaking rewards and cashback incentives.
Supports a wide range of cryptocurrencies for trading.
Known for its strong security measures and user-friendly interface.
The process to qualify for a crypto debit card can be complex and requires staking the platform's native CRO tokens.
Some users have reported slower customer service response times.
While it offers a mobile app, some features are not available on the desktop platform.
Conclusion: Which Coinbase Alternative Should You Choose?
Although Coinbase has been a reliable cornerstone in the crypto industry, the rise of alternatives like eToro, Uphold, Kraken, and Crypto.com has demonstrated that there might be better ways to engage with the crypto market.
Exploring Coinbase alternatives is important as it will help you align with a platform of your choice that meets your individual trading needs and strategies. It's not just about finding a platform that offers a wide range of services, but about finding one that complements your trading style, supports your financial goals, and provides a user experience that you find intuitive and efficient.
The best Coinbase alternative is the one that empowers you to trade confidently and effectively in the dynamic world of cryptocurrency. By taking the time to understand the unique strengths of each platform, you can make an informed decision that enhances your trading journey and helps you navigate the exciting opportunities that the crypto market has to offer.
Shrimpy is providing an endorsement of Shrimpy Advisory. Shrimpy and Shrimpy Advisory are affiliated companies. A conflict of interest exists because Shrimpy Advisory will be compensated if a client utilizes Shrimpy Advisory’s services.
Investments in cryptocurrencies are: Not FDIC or SIPC Insured • Not Bank Guaranteed • May Lose Value. Cryptocurrencies are only suitable for investors who are willing to bear the risk of loss and experience sharp drawdowns.
About The Author:
Marko is a crypto enthusiast who has been involved in the blockchain industry since 2018. When not charting, tweeting on CT, or researching Solana NFTs, he likes to read about psychology, InfoSec, and geopolitics.
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