Which Should You Choose? – Forbes Advisor

Regarding the purchase of cryptocurrencies, Binance.USWhen Coinbase These are two of the most famous names for US users. However, just because both have brand awareness does not automatically mean that you need to use one for your crypto investment.

Learn everything you need to know about Binance.US and Coinbase, and which one to decide. Cryptographic exchange Better for you.

Binance.US and Coinbase: Top Similarities

Before breaking Binance.US and Coinbase, there are some important things to keep in mind.

Binance out of service For US-based customers, US residents should instead use Binance.US, a spin-off platform that complies with US financial regulations. The two crypto exchanges are very similar, but Binance.US features and coin offerings are slightly limited.

Similarly, Coinbase isn’t as simple as it looks.

The name “Coinbase” is often used as a catch-all for all Coinbase (company) products. Coinbase (platform) is a crypto app for beginners, and Coinbase Pro is a full-fledged crypto exchange. Coinbase Pro is a bit unintuitive, but this distinction is important because it offers far better features and significantly lower rates. Coinbase Pro does not accept credit or debit card purchases.

So that it doesn’t get in the way, here’s how Binance.US and Coinbase look alike.

Tradeable coins

If you’re looking to stick to the major ciphers, think about it Bitcoin When Ethereum— You may be equally happy with either Binance.US or Coinbase.

Both exchanges offer at least 100 cryptocurrencies, so whether it is or not, you will probably find a lot of the lesser-known, so-called altcoins you want. Dogecoin Or another memorable cipher.

If you very Want to get off the beaten road with respect to coins, you may need to opt for the following exchanges KucoinThere are hundreds of ciphers.

However, investing in any form of cryptography is dangerous. Still, new and unpopular coins can fluctuate significantly in price, become illiquid, difficult to buy and sell quickly, and be vulnerable to fraud.

Trading tools

From a trading function perspective, Coinbase Pro and Binance.US are relatively similar platforms. Both enable various order types such as market and limit and have advanced charting capabilities.

Currently neither crypto exchange allows users access Margin accountA higher risk trading strategy, including borrowing money to fund a transaction. Margins can amplify profits and significantly increase losses.

Margin trading is currently not available on almost every crypto exchange in the United States

Staking

With Coinbase and Binance, users can get interested by betting cryptocurrencies and verifying their transactions on the blockchain. Interest rates vary by cryptocurrency.

KYC requirements

To access the wide range of resources available on Binance.US and Coinbase, you need to prove yourself through the Know Your Customer (KYC) process. This means providing government-issued proof that you are who you say you are, just as you would when opening a bank account.

Doing so reduces the risk of using crypto exchanges for fraudulent money laundering purposes. Some crypto investors dislike the KYC requirement because they believe it goes against the decentralized spirit of crypto and crypto exchange.

Binance and Coinbase: Key Differences

In general, Binance.US and Coinbase Pro are similar platforms, but they aren’t the same, and some of their key differences may be that one is better than the other.

Geographic availability

Where you live in the United States may determine the cryptographic exchange you use. Binance.US is not available in Hawaii, New York, Texas, or Vermont. Coinbase is not available in Hawaii.In that case, Aloha residents may be restricted to platforms such as: Gemini..

price

Fees can be exchanged or broken for frequent traders, but even beginners will benefit from more money going to crypto at the cost of crypto exchange. Binance.US surpasses almost every exchange, KuCoin The fee (if equal) is as low as 0.1%.

Coinbase uses a complex (and expensive) pricing structure that can consume the majority of beginner crypto purchases. Therefore, it is best to move to a more advanced trading platform as soon as you feel comfortable. Coinbase offers rates of 0.6% or 0.4%, depending on the taker or manufacturer (for the $ 0 to $ 10,000 price range).

The latter creates new orders that are filled on the exchange (creates liquidity) and the former fills existing orders (deprives them of liquidity). It’s important to remember the manufacturer and taker prices, but in the end the distinction isn’t that important, as you generally can’t choose between the manufacturer and the taker.

ease of use

Binance.US seeks to serve a wide range of customers by providing a variety of user experiences.

Coinbase, on the other hand, is well known for its user-friendly dashboards that make it easy to trade currencies without any experience. Account setup is quick and Coinbase makes it easy for traders to comply with KYC regulations.

Upon signing in, the platform allows users to connect their bank accounts through Plaid Technologies, and the search bar allows users to search and trade over 150 different ciphers. Users can also set up recurring purchases to streamline their investment.

Degree of interest

The final area where there is a significant difference between Binance.US and Coinbase is the level of crypto rewards. Of the two, only Coinbase can earn rewards.

In this case, you will pay a small reward in exchange for watching videos and learning about cryptocurrencies through Coinbase’s learning platform.

Coinbase also pays up to 5.75% annual interest (APY) on the cryptocurrencies you are betting on. Binance.US, on the other hand, pays a much higher annual yield. For example, Binance.US users can earn up to 4.5% APY. Solana Up to 6.4% for tokens (SOL) and Binance Coin (BNB).

Who Should Choose Binance.US?

Binance.US is ideal for experienced crypto traders who are not afraid of the platform’s robust features.

That said, Binance.US offers an experience tailored to different types of traders. More experienced investors have access to the OTC Trading Portal, which offers faster pricing options.

Advantages of Binance.US

• Prices are cheaper than major competitors.
• Supports over 100 cryptocurrencies.
• We offer several versions tailored to different crypto skills and levels of comfort.

Binance.US Disadvantages

• Not available in four states in the United States, including New York.
• The parent company, Binance, was the subject of a major hack in 2019.

Who should choose Coinbase?

Coinbase is considered one of the most beginner-friendly platforms for buying and selling cryptocurrencies.

Coinbase provides an intuitive trading dashboard with very low minimum account requirements. In addition, users can take advantage of the platform’s integrated wallet to properly store ciphers on the platform.

Advantages of Coinbase

• Users can trade in over 150 cryptocurrencies.
• Users can buy or sell currencies worth only $ 2.
• User dashboard for beginners.
• Excellent user reviews and security ratings.

Disadvantages of Coinbase

• Pricing is layered and layered and can be difficult to understand.
• A more affordable pricing structure available through subscription-based Coinbase Pro.