Coinbase is by far the largest and most successful provider for the direct purchase and sale of crypto currencies. Already very early the American offerer recognized that the entrance must be as simple as possible.
Pros: Coinbase through the security of the platform, which is credibly communicated to customers.
Cons: Relatively high fees, to many outages for such a big company.
Information on the use of Coinbase
Coinbase offers so-called "Hosted Wallets" for all offered crypto currencies. Beginners do not have to struggle with the partly complicated mechanisms for the safekeeping of crypto currencies. By entrusting them they nevertheless give up a piece of financial sovereignty, the analogy to the normal bank is obvious. This kind of safekeeping contradicts the core idea of crypto-currencies. As with all tested providers, the crypto-currencies you buy can of course be transferred to your own wallet.
For the purchase of crypto-currencies you have to load your Euro-"Wallet" at Coinbase after verification, i.e. you have to deposit money. This works by bank transfer and takes 2 days. Faster is possible with credit card. But the high credit card fees make this method of payment much more expensive. If the Euro-Wallet is filled with capital, the Euros can be exchanged for the offered crypto-currencies within seconds.
Coinbase in the test: User friendliness
User friendliness of the website Coinbase is the clear pioneer in usability. On no other platform the entry into Bitcoin & Co. was as easy as on Coinbase.com. Even if the market has caught up in the meantime, the intuitive user interface with website and app remains top of the line.
Number of crypto currencies Coinbase attaches great importance to security and confirmation with the common regulations (see below). The provider therefore has a relatively strict list of criteria that a crypto currency must fulfil before it is considered for the trading platform. As a result, only a handful of crypto currencies are currently available for purchase. Although Coinbase has announced to add more crypto currencies in the near future. But so far the selection is serh narrow compared to the competition.
Payment methods Coinbase is a provider with a global target group. But payment methods are often influenced by local preferences. So you will look in vain for the usual IMMEDIATE bank transfer in Germany. Giropay or PayPal are also not an option. For those who do not want to accept the high credit card fees, the only option is the good old SEPA transfer. Users must bring along the two-day waiting period. In this respect, there were clearly deductions in our test.
Registration and Verification Coinbase needs a number of personal details to be able to use the platform fully. The aim of the query is to comply with the legal requirements, for example on money laundering. In addition to the identification data, however, it is also asked where the money used comes from. Questions about the professional situation are also asked. Nobody seems to check this. Nevertheless, this is an invasion of privacy that other providers do not require in this form.
Registration and verification The verification also takes place at Coinbase by means of a photo of the identity card via webcam or mobile phone camera. However, the whole process takes a little longer than with Bitpanda, for example. The final activation of the account takes additional time.
Other functions: Here Coinbase can score points. Very helpful is for example the function to buy or sell a certain amount by standing order in regular, freely definable intervals. Also the comprehensive reporting possibilities have been positively noticed in our test. In addition, there is the possibility to buy several crypto currencies at once with the "Coinbase bundle". This comes very close to a "crypto index fund".
Last but not least the 'Vault' should be mentioned. It offers an increased security of the crypto currencies managed at Coinbase. Payouts from it can be cancelled at any time within 48 hours. Transactions can also be configured in such a way that the approval of several people is required before the transaction is sent. According to Coinbase 98 percent of the deposits are secured in geographically distributed "Cold Storage" locations. This means that they are not connected to the Internet. As the additional functions described go far beyond the performance of other providers, we award a bonus point here in addition to the maximum score.