Consider These Digital Currency Exchange Alternatives for Coinbase
Over the past few months, Coinbase has become almost synonymous with Bitcoin and other major cryptocurrencies . The popular digital currency exchange hits the headlines every time it adds a new type of coin (almost always causes an immediate jump in its value) or crashes when trading is at its peak.
But beyond Coinbase, there is a long list of alternative sites and services where you can buy, sell, and store your cryptocurrency. If you’re looking for a specific coin that Coinbase doesn’t support, or you just want a safer experience, here are a few other options worth checking out.
What is digital currency exchange?
Think of Coinbase and others like it as a combination of an exchange and a bank. You can use these exchanges to trade cryptocurrencies and store what you have in a digital wallet (although there are better ways to keep your money safe offline). Most also offer price tickers that you can use to track the rise and fall of various cryptocurrencies over time.
Of course, none of this is free, and almost all exchanges include some sort of commission. For example, Coinbase charges a base rate of 4% for all transactions in the US, although the exact amount varies depending on whether you use a bank account, credit / debit card, or Coinbase digital wallet full of US dollars.
Each exchange also supports a specific list of cryptocurrencies. For Coinbase, the list is limited to Bitcoin, Bitcoin Cash, Ether, and Litecoin. Other factors to consider with each exchange are security, reliability, and usability (where it works and how easy it is to use).
Kraken
Founded in 2011, Kraken maintains a longer list of digital currencies that Coinbase supports, including Bitcoin, Ether, Monero, Augur REP tokens, ICONOMI, Zcash, Litecoin, Dogecoin, Ripple, and Stellar / Lumens . It also supports several traditional currencies such as the US dollar, Canadian dollar, British pound, Japanese yen, and euro.
Kraken offers some advanced trading features , although this might be overwhelming for those new to cryptocurrency. There is also an app for iOS , but it is rather limited and there is no official version for Android. There is also a withdrawal fee , although it is quite minimal.
Bitstamp
Bitstamp, based in Slovenia, is one of the leading exchanges in terms of the number of transactions processed. It supports Bitcoin, Ether, Litecoin, Ripple and Bitcoin Cash, as well as USD and EUR.
Bitstamp is trusted and regulated , however it can be difficult to get used to if you’re a beginner. The exchange also offers full-featured iOS and Android apps where you can deposit, withdraw and receive real-time price data. The company also charges a transfer fee on a sliding scale based on how much money you transfer.
Binance
Binance is a new exchange that supports a wide range of cryptocurrencies. He is also well known for his Initial Coin Offerings (ICOs), which is a somewhat controversial way to get our hands on new cryptocurrencies early on. As a result, the company maintains a long list of smaller cryptocurrencies, as well as all major ones.
The China exchange also offers reasonable fees and two-factor authentication for added security. It’s also available for iOS and Android , although you can’t get the iPhone version directly from the App Store; you will have to download it via Safari .
LocalBitcoins
If you’re looking for something a little different, LocalBitcoins allows you to connect with people in your area who are looking to buy or sell the original cryptocurrency. Once you’ve set up your transfer, you can complete it using PayPal, Square, or Direct Money Transfer.
The service is free to use, but LocalBitcoins charges a 1% commission for any trades advertised on the site. Sellers can also add their own additional fees if they wish.
LocalBitcoins is easy to use, but can be risky as you interact directly with sellers and buyers without an intermediary exchange. To provide some peace of mind, the site gives each user a publicly displayed rating based on their reputation.
There is no iOS or Android app and LocalBitcoins only supports bitcoins. However, similar sites have emerged for other popular cryptocurrencies such as Ether and Litecoin .