Coinbase vs Binance: Crypto, Fees, KYC Exchanges Difference

Today, if you want to buy any new product of any kind, there are endless options that can be accessed from online stores. The same is now true for cryptocurrencies. With so many decentralized exchanges available, it can be hard to decide which platform to use for the most benefit. The two main platforms, Coinbase and Binance, may be great options for you, but is one superior to the other?
Today, we're going to talk in detail about Coinbase vs Binance to see which one comes out on top, so you know what to use for all your cryptocurrency needs.


Binance

Coinbase

Type of exchange

Сentralized

Сentralized

Year founded

2017

 2012

Registration country

Cayman Islands

United States

Trust Score (Coingecko)

10

10

Cryptocurrencies / trading pairs

1458

524

Trading types

Spot, Futures, Margin trading, P2P

Spot, Futures, P2P

Fees

0.1%

(0.075%  option for BNB holder)

0% - 0.3%

2FA

Yes

Yes

Mobile application

IOS, Android

IOS, Android

Daily trading volume on Spot market

$13 265 105 972

$1 822 726 133

Advantages and disadvantages of Coinbase

Pros:

  • Low commissions
  • User-friendly interface
  • Highly secure and regulated
  • Good reputation and high reliability
  • Support for fiat and buying with fiat money
  • Coinbase is a public company (IPO was held in 2021)

Cons:

  • KYC is required
  • No own token

Coinbase Review Summary 

90% Overall

We have analyzed key features of Coinbase based on 3 important criteria for choosing crypto exchange:

  • Trustworthy
  • Usability
  • Fees
    Based on researches and our own tests, we have made an independent rating.
90%
Trustworthy
89%
Usability
91%
Fees

Advantages and disadvantages of Binance

Pros:

  • Good reputation and high reliability
  • Bot for grid trading
  • Higher leverage (up to 100x)
  • Own BNB token
  • Mining pool and cloud mining
  • Own blockchain ecosystem

Cons:

  • KYC is required

Binance Review Summary 

92% Overall

We have analyzed key features of Binance based on 3 important criteria for choosing crypto exchange:

  • Trustworthy
  • Usability
  • Fees
    Based on researches and our own tests, we have made an independent rating.
92%
Trustworthy
95%
Usability
90%
Fees

About Coinbase exchange

Coinbase is a cryptocurrency exchange that was founded in June 2012. Its head office is located in San Francisco, California. The platform offers its users an electronic wallet and a platform for conducting transactions with various cryptocurrencies.

The second largest cryptocurrency exchange in the world (as of September 2022) provides its customers with two service options: buying and trading virtual assets. In addition, users can have a cryptocurrency wallet on the platform. As of April 2022, the platform had about 89 million users from more than 100 countries.

About Binance Exchange

Binance is a place where you can sell and buy cryptocurrency, but in reality the functionality of the site is much more diverse. Today, the site is a self-sufficient ecosystem, with a portfolio of instruments suitable for both novice players and large traders.

Comparative analysis of Coinbase and Binance exchanges

Available features

Both crypto-exchanges focus on cryptocurrency trading. 

Coinbase offers: 

  • Loans secured in bitcoins and annual interest rate up to 8%
  • Own learning platform
  • Rewards, bonuses
  • Demo-account
  • NFT-market

Binance offers:

  • Mining pool
  • IEO Launchpad
  • NFT market
  • Binance Academy

Available countries

Coinbase and Binance exchanges are available in more than 100 countries. These exchanges do not provide trading services in sanctioned countries. 

Payment methods

You can fund your Coinbase and Binance account with a bank card, PayPal or cryptocurrency.

Card Support

All types of bank cards from supported countries are available on Coinbase and Binance.

Available Cryptos and Tokens

Coinbase currently supports 533 trading pairs and 219 coins. 

Binance supports 357 trading pairs and 1466 coins.

Regulation

Coinbase is regulated in the United States and also seeks licenses in other states where this is possible. Coinbase is currently licensed to conduct money transfers in most U.S. jurisdictions.

Most of Coinbase's remittance licenses cover U.S. dollar wallets and transfers. In some states, money transfer licenses also cover cryptocurrency wallets and transfers within the platform. Other states do not require a digital money transfer license.

Coinbase is also registered as a money services business with FinCEN.

The most popular crypto exchange has changed jurisdictions several times during its existence, and there have been many rumors about it (Caymans, Malta, Singapore, Seychelles). The platform is actively recruiting regulatory staff and working towards licensing in major states.

At the moment, the legally independent Binance US platform for the US is fully legal. A list of licenses and regulators for each state is here.

Interface

The interface of the exchanges is quite convenient and clear. Any user can immediately understand all the functions. Do not worry, if you do not understand something, you can always see the training and tips.

Verification (KYC)

Both exchanges require verification, which includes: Indication of citizenship/residential address, providing proof of identity, providing passport and/or face validation selfies in "live" mode, providing contact information.


On Coinbase, users from unsupported countries cannot pass KYC.

Account deposit

Exchanges offer the following options for funding the account:

  • Crediting a fiat account with a card or payment system
  • Purchase from a card
  • Direct transfer of cryptocurrency to the exchange address

Comparison of Trading Fees

Coinbase:

  • Trading commissions at Coinbase depend on the volume of trade, but also on the type of assets (trading in stabelcoins is much cheaper).
  • Spot market - 0.04%/0.06% (maker/stacker)
  • Spot market (some pairs with stabelcoins) - 0 %/0.01 % (maker/staker)

Binance:

  • Spot: 0.1% / 0.1% (maker/staker)
  • By default, the following option is set (can be disabled): if the balance has the required number of BNB tokens, they are automatically withdrawn and reduce the commission on a transaction by 25%
  • Also, the level of commissions depends on the user's level, which in turn is determined by his trading volume over the past 30 days and the amount of BNB in his account
  • All VIP statuses obtained in a regular account are retained for futures trading and continue to provide benefits

Owners of BNB token, respectively, can reduce these fees with them. In addition, fees are reduced for large traders with large monthly trading volumes.

Account security

On Coinbase the level of protection is as follows: Password, Confirmation by SMS, 2FA, Hardware keys. It is possible to configure at what amount of money is sent the exchange will ask for two-factor authentication.

Binance offers users Two Factor Authentication (2FA), hardware key, email and phone confirmations, whitelisting for withdrawals, anti-phishing code, monitoring of devices used and account activity.

Passive earn on exchanges

Coinbase has Ethereum 2.0, Tezos, Cosmos, Solana, Algorand, Cardano cryptocurrency stacking feature with yields up to 6% p.a. (varies).

Binance exchange is a place where you can invest in many different ways. For example, with dual (bicurrency) investments, standard cryptocurrency deposits, Liquid Swap liquidity supply, subscription to new tokens via Launchpad, Proof-of-Stake cryptocurrency stacking.

Which to choose - Coinbase or Binance

If you are a citizen of the United States, Coinbase might well be the best choice. Binance is not available there, although there is Binance US, but in terms of functionality it is not as rich as the main site, so it makes sense to choose a more regulated project without claims from the authorities.

In all other cases, it is definitely recommended to choose Binance with its huge number of available functions and currencies, high security, responsive tech support and user-friendly interface.

Disclaimer:

NFTs trading entails a high level of risk and is not suited for all investors. You should carefully evaluate your investment objectives, degree of experience, and risk appetite before deciding to trade cryptocurrencies. You should not invest money that you cannot afford to lose because there is a chance that you will lose some or all of your initial investment.

You should be aware of all the dangers connected with cryptocurrency trading and seek counsel from a financial expert who is not affiliated with any cryptocurrency exchange. This website's opinions, news, research, analysis, pricing, and other information are offered as general market commentary and do not represent investment advice.

FAQs

Is Bianance a good exchange?

Yes, Binance is an excellent exchange, which is suitable for both experienced traders and beginners.

Is Coinbase free to use?

Coinbase allows you to store your cash and supported cryptocurrency at no cost.

Is my money safe with Coinbase?

Yes, of course. Coinbase is a fully legal exchange which has passed many audits.

Is Binance the best crypto exchange?

At the moment, Binance ranks first in all ratings of cryptocurrency exchanges.

Conclusion

We have listed the main aspects that matter to users choosing an exchange, but there are other smaller nuances that usually do not play a decisive role. These include the user-friendliness of the interface, the availability of starter bonuses, training materials, contests and promotions for active traders. So, when choosing between Coinbase vs Binance for trading and investing operations, you should consider all the points that are important to you. Both platforms are noteworthy, both have millions of loyal users who have appreciated their benefits.

Disclaimer:

You should be aware of all the dangers connected with cryptocurrency trading and seek counsel from a financial expert who is not affiliated with any cryptocurrency exchange. This website's opinions, news, research, analysis, pricing, and other information are offered as general market commentary and do not represent investment advice.

Other Exchanges comparison

Jack Evans


I became a crypto asset owner in 2014, when the industry was in its infancy. Before that, I was working in the classic US and European stock markets. Since then, I have gained extensive experience in both cryptocurrency investing and day trading. I am happy to share with readers my experience with crypto exchanges, DeFi and NFT instruments.

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