Coinbase for Beginners: A complete guide to buying and selling cryptocurrencies on the popular exchanges If you are about to start trading cryptocurrencies, you probably have come across Coinbase.
Here's everything you need to know about trading
cryptocurrencies on the Coinbase.
What is
Coinbase?
Coinbase is a trading platform that allows users to buy, sell and store over 30 different digital currencies. While Coinbase is aimed at beginners, our premium service,Coinbase Pro, is aimed at enthusiastic and experienced traders who trade in bulk and need more trading options. Investing in apps like Robin Hood .
has been booming lately. Cryptocurrencies are no exception, and Coinbase enjoys its benefits. The company's estimated revenue reached $ 1.31 billion in the third quarter of 2021. Coinbase is currently available in over 100 countries. The
platform is very simple. Like many trading apps, users can view their balance and a watchlist that can track the prices of different types of cryptocurrencies. Traders can also see which cryptocurrencies are the biggest move. The company will also launch the Coinbase Card, a Visa debit card that users can use to earn rewards by using the assets in their portfolio.
In September, Coinbase announced a new direct deposit option that allows users to deposit their salaries directly into Coinbase and automatically deposit their salaries as Bitcoin or another cryptocurrency. Is
Coinbase free? Coinbase charges a fee for transactions on the platform (unlike apps like Robinhood that promote "free transactions").
Fees for transactions on Coinbase and Coinbase Pro are different, and Coinbase fees can be higher and more complex. Coinbase charges a so-called spread of about 0.50% when buying and selling cryptocurrencies, as well as a flat rate or a Coinbase fee determined by factors such as location and payment method used.
This flat rate depends on the transaction amount and is specified on the Coinbase pricing page. Here is an example: If a customer wants to buy $ 100 worth of Bitcoin using a US bank account or digital wallet, the flat rate is $ 2.99 and the variable rate is $ 1.49, so the customer charges $ 2.99 for the transaction. I will pay. .. However, if the customer wants to pay with a debit card, the variable fee can be up to $ 3.99 and you will have to pay it (in addition to the spread).
For large transactions, Coinbase Pro has a simpler step-by-step pricing system with rates ranging from 0% to 0.50% per transaction and the low cost of large dollar transactions. .. For example, a transaction e for less than $ 10,000 is 0.50, and a transaction e between $ 10,000 and $ 50,000 is 0.35.
Coinbase does
not charge users to keep their assets in a digital wallet or transfer cryptocurrencies from one wallet in
the Coinbase network to another. B. From Coinbase to Coinbase Pro. However,
Coinbase pricing can definitely be profitable, especially if you're not using
Coinbase Pro.
How to open a Coinbase account
Opening a Coinbase account is very easy. You will need a government-issued photo ID and information such as your phone number and the last four digits of your social security number. Also, be prepared to answer questions about what the platform will be used for. When choosing a password, use proper cyber hygiene, such as unique passwords and multi-factor authentication that you won't find anywhere else, to prevent hackers from breaking into your account.
You need to add a payment method to your Coinbase account before you can start trading. In the United States, you can use a bank account, debit card, wire transfer, or PayPal account (currently, you can't sell digital currencies with your PayPal account, but you can withdraw it). Once you have set up your
digital wallet, you are ready to take action. Coinbase does not offer trading in all cryptocurrencies, but exchanges regularly add new coins.
Is it a good time to invest in cryptocurrencies? Cryptocurrencies hit the headline after reaching some recent record prices.
In November, Bitcoin hit a record high of over $ 68,000, more than double the price in July. Meanwhile, Ethereum (the second largest cryptocurrency in the market value after Bitcoin) also hit a new high at around $ 4,800 in November. Altcoin, a cryptocurrency other than Bitcoin, is also attracting attention.
Dogecoin rose 8,000% in the first few months of 2021 and is now around $ 0.27 (compared to $ 0.01 at the beginning of the year). Another meme coin, the Shiba Inu coin, has surged recently, rising 700% in October alone.
Of course, all of this should stop you as an investor. Your goal should always be to buy low and sell high. And while no one knows where cryptocurrency prices are heading next, recent record prices have made it much harder for investors shopping today to make future profits. increase. How to buy and sell cryptocurrencies using Coinbase
It's time to choose your cryptocurrency.
Bitcoin, Ethereum, Litecoin and Bitcoin Cash (four cryptocurrencies that PayPal customers can buy and sell) are one of the safest, and Associate Professor Hannah Haraburda of NYU Stern School of Business told Money earlier. .. Since they are one of the most popular and expensive cryptocurrencies, more computing power will be put into maintaining the blockchain, the technology behind cryptocurrencies, and attacks will be more expensive for hackers. .. It's been around for years, so when it's there .