So, who wins in a like-for-like comparison between Binance and Coinbase? Some will say Binance. Others Coinbase.
But from our research, Coinbase appears to outshine Binance in a few aspects, most notably the regulation history and client satisfaction. But at the same time, Binance looks like the real deal with its 600+ supported currencies and low platform fees.
Binance and Coinbase are among the best crypto exchanges in the UK, with distinct features that always appeal to many investors.
Coinbase is a secure, US-based online platform for trading digital currencies. It has simplified the online investment process with a range of tools for beginner investors.
On the other hand, Binance is an excellent option for more experienced investors, founded in 2017 with one of the largest collections of cryptocurrencies.
Despite being one of the most popular investment platforms, Binance isn’t the most user-friendly cryptocurrency exchange, when compared to Coinbase, its biggest competitor.
This guide compares Binance vs Coinbase, outlining the crucial details you may need to know to help you choose the right platform.
We will discuss the major platform features, fees, supported currencies, security features, and ease of use, among the rest.
Table of Contents
Binance vs Coinbase – A Quick Summary
|Major platform features||Low trading fees, advanced charting tools, hundreds of currencies||Intuitive, beginner-friendly platform offering basic transactions, a digital wallet, and withdrawals to PayPal|
|Fees||4.5% debit card purchases, 0.10% spot-trading fees||Undisclosed|
|Supported currencies||700+ for global traders100+ for US investors (Binance.US)||179|
|Security features||2FA verification, FDIC-insured United States dollars (USD) balances for Binance.US, device management, address whitelisting, cold storage||2FA verification, insurance for hot storage if Coinbase is breached, biometric fingerprint logins, cold storage, FDIC-insured USD balances, AES-256 encryption for digital wallets|
|Types of supported transactions||Limit order, market order, stop-limit order, trailing stop order, post-only order, peer-to-peer trading, margin trading, one-cancels-the-other order, and more||Buy, sell, send, receive, and exchange|
|Maximum trading amount||Limits vary by cryptocurrency||Limits vary by the payment method and location|
Binance – When Should You Choose It?
Generally, Binance is more inclined towards advanced crypto traders willing to maximize its many robust features and trading tools. The platform has unique solutions for every trader, simplifying the process of buying, selling, receiving, and storing digital currencies.
- 600+ cryptocurrencies to trade
- Low fees compared to its competitors
- Wide selection of transaction types for different traders
- The parent company has a history of hacking (2019)
- The robust features can be overwhelming to many traders, including advanced investors
- No built-in wallet
Read our Binance review.
Coinbase – When Should You Choose It?
Coinbase is widely recognised as a beginner-friendly investment platform for the effortless buying and selling of digital currencies. It has low account minimums with in-built wallets that many traders find useful.
- A user-friendly platform
- Popular and trusted by the UK investors
- Users can buy cryptocurrency in many ways
- Limited tools and features for advanced traders
- Limited transaction types compared to most platforms
Read our Coinbase review.
Binance vs Coinbase – Head-to-Head
While both platforms are highly rated, there are obvious differences between Binance and Coinbase. You should look into such differences to choose a platform that’s tailored to match your needs.
Binance offers the following;
- Advanced charting for expert traders
- Public application programming interface (API) keys if you want to include other software tools
- 7 order types
- Availability of the third-party digital wallet called the Trust Wallet
On the other hand, Coinbase has the following;
- A secure, built-in wallet
- The option to withdraw funds via popular e-wallets like PayPal
- A newsletter with trending crypto news
- Coinbase Pro comes with advanced charting tools
- Cryptocurrency rewards for watching videos
You will likely find both platforms useful if you want to trade major currencies. However, Binance is more popular because of its numerous altcoins, including Dogecoin. Besides, the platform offers 350+ coins, so it should be easier to find your desired asset.
On the other hand, Coinbase has an impressive list of 179 tradable coins available to investors. Also, it provides fiat currencies, including GBP, USD, AUD, and EUR, among the rest.
While both exchanges will likely have your favourite cryptocurrencies, it’s worth recalling that the number of currencies varies on each platform. For instance, you are likely to find VeThor token (VTHO), Qtum (QTUM), Vechain (VET), and Harmony (ONE) on Binance, but not on Coinbase.
Generally, you can find the following currencies on both platforms;
- Bitcoin (BTC)
- Litecoin (LTC)
- Ethereum (ETH)
- Cardano (ADA)
- Compound (COMP)
- Cosmos (ATOM)
- Storj (STORJ)
- Dash (DASH)
While both platforms take the client’s fund security seriously, there’s no doubt Coinbase is more reliable, with a long-standing reputation as a secure online platform.
Coinbase first launched its operations in the UK in 2015, allowing the country’s investors to trade their desired currencies in GBP, USD, and EUR.
On the other hand, Binance began its operations in China in 2017 and later in Japan. While it still provides crypto trading to UK investors, the exchange was at one time banned from conducting its operations in the UK. This was because of the increasing concerns over the safety of investors.
So, it’s good to see that both investment platforms have improved their security offerings in recent years, beginning with the two-factor authentication via the Google Authenticator app and short message service (SMS).
Also, you will have to verify your identity and upload a clear photograph to complete the signup process on either platform.
Other security features you will likely find on Binance include device restriction, device management, and address whitelisting.
Similarly, Coinbase has a ton of exciting security features, starting with the fingerprint biometric login when accessing the digital wallet.
Even better, up to 98% of the crypto funds are safely stored in safe deposit boxes and vaults. The insurance policy might be the icing on the cake, even if it only applies to breaches where Coinbase is directly involved.
Binance is loved because of its low platform fees. On the other hand, Coinbase doesn’t provide any clear information about its fees. On their website, they state that fees “are calculated at the time you place your order and may be determined by a combination of factors, including the selected payment method, the size of the order, and market conditions such as volatility and liquidity”.
Binance has standard fees for makers and takers, with lower rates that suit different traders. You can reduce the costs even further if you opt for Binance (BNB) tokens, with up to a 25% discount.
|Bank Account||Free in the UK||Undisclosed|
|Automated clearinghouse (ACH) transfer||Free||Undisclosed|
|Other fees||0.50% instant buy and sell fee||Undisclosed|
Ease of Use
Binance and Coinbase offer different experiences depending on the trader’s preferences and investment goals. In other words, both platforms target different types of investors.
Coinbase is loved for its simplicity as a user-friendly platform for securely trading digital currencies. Navigating the platform is easy for any trader, no matter their experience level.
On the other hand, Binance targets different types of clients with different tools and features. Sometimes, this only works against them as navigating the platform can be confusing to anyone, even the most experienced traders.
If you need convenience and simplicity, you will want to stick to Coinbase. But if you need multiple options, Binance fits the bill.
Binance is well known for the Binance Academy, offering plenty of tutorials and articles geared toward different traders. These are more or less the same as online courses created to improve your trading skills. Both platforms have mobile apps and blog services. However, Coinbase also rewards its clients for watching cryptocurrency videos.
In conclusion, Coinbase appears to edge Binance when it comes to the overall user experience. Furthermore, it offers exclusive customer service, with live chat, ticket submission, and phone support available on the platform. Binance has a live chat feature, Twitter support, and ticket submission without any mention of phone support.
So, that’s it. A side-by-side comparison of the two most reliable cryptocurrency exchanges.
Our guide has covered the most important details, from the platform fees to security features, supported cryptocurrencies, and transaction types, among the rest.
And this should make it easier for you to choose a platform that matches your investment goals.
Frequently Asked Questions
What are Binance and Coinbase?
Coinbase is an American online platform that supports the buying, selling, receiving, and storing digital currencies. Similarly, Binance is a popular cryptocurrency exchange that allows users to trade digital currencies. Binance has robust features such as stop-limit orders, market orders, and limit orders geared towards advanced traders.
How do Binance and Coinbase work?
Binance and Coinbase are cryptocurrency exchanges that allow users to trade digital currencies. Everything begins with the signup process, with users required to upload a clear personal photo for ID verification.
Both platforms require investors to create a trading account and deposit funds before investing. Check out the accepted payment methods such as bank transfers, credit/debit card payments, and e-wallets like PayPal before depositing funds.
Investing in either platform is straightforward, and you only need to follow the simple steps on the screen. After buying the asset, you can store it on the exchange, sell, or withdraw it.
Is it safe to hold cryptocurrency on either platform?
While Binance and Coinbase have built a solid reputation in the online investment industry, your funds will be safer in a hardware wallet. This should be your priority to avoid any losses from successful hacking attempts. Besides, creating cold storage for your funds is advisable just in case the platform is hacked.
Who should use Binance or Coinbase?
Coinbase is an excellent platform for beginner investors who prioritize convenience, simplicity, and security. Its ease of use is almost unmatched, with a solid customer service team to guide you when called upon.
Conversely, Binance has lots of exciting features for advanced investors. It can be a steep learning curve for new investors, but that doesn’t mean you shouldn’t pick it as a preferred cryptocurrency exchange. UK investors will probably benefit from the wide range of currencies (600+) and the low platform fees.