Coinbase vs. Coinbase Pro: How do they compare?

Coinbase vs. Coinbase Pro: Ease of Use

Coinbase is designed with beginners in mind, offering a simple interface for buying and selling cryptocurrency. They also have a user-friendly mobile app on both iOS and Android for access on-the-go.

Coinbase makes it easy to get started with a simple signup form and verification process. Once you have signed up, you can connect a bank account or credit card to immediately begin purchasing crypto.

While Coinbase is an extremely intuitive platform to use, Coinbase Pro might seem intimidating to beginner investors when they first log in, as it’s designed with professional traders in mind. It presents users with a live price feed, multiple order options, and up-to-the-minute price charting, which might feel overwhelming if you’ve never traded cryptocurrency.

To sign up for Coinbase Pro, you are required to have an active Coinbase account. If you don’t have one, signing up directly to Coinbase Pro will walk you through setting up a standard Coinbase account first. Both Coinbase and Coinbase Pro will use your same login setting to access either platform.

Coinbase Pro offers a mobile app on both the iOS and Android platforms.

Coinbase Pro does not allow you to use a credit card for crypto purchases.


Coinbase vs. Coinbase Pro: Security

Since your account login information for both Coinbase and Coinbase Pro are connected, they both offer the same security features.

Here are some of the security options available on both platforms:

Built-In Wallets

Both Coinbase and Coinbase Pro offer their own digital wallets for storing your cryptocurrency. They are protected with a secure enclave and biometric access controls. They also have an encrypted 12-word recovery phrase protecting your assets (similar to other digital wallets).

Two-Factor Authentication

An industry best-practice, Coinbase and Coinbase Pro offer two-factor authentication via SMS or the Google Authenticator app. This is available for login purposes as well as on a per-trade basis.

Cold Storage and Crypto Vaults

Coinbase and Coinbase Pro are two of the only exchanges that store 98% of crypto assets offline in secure cold storage (not on the internet) and away from the prying eyes of online hackers.

Both also employ an additional layer of protection through cryptocurrency vaults to prevent fraudulent withdrawals. Vaults are time-locked and can be set up with multiple user approvals so that any withdrawal request will be canceled if all approvals are not completed within a 24-hour period.

FDIC Insurance (up to $250,000)

Coinbase is one of the only exchanges to offer FDIC insurance on USD (U.S. dollar) deposits. Like a traditional bank, Coinsbase offers FDIC insurance on deposits up to $250,000 USD (U.S. dollar) funds. This coverage does NOT, however, extend to your cryptocurrency funds.

Whitelisting Crypto Addresses

Another layer of protection is the ability to restrict access to addresses that can withdraw your cryptocurrency. These addresses are saved in your address book, blocking any other addresses from accessing your funds. This feature is only available on Coinbase Pro.


Coinbase vs. Coinbase Pro: Features

Both Coinbase and Coinbase Pro allow users to buy and sell cryptocurrency with ease, but they both go about it in different ways. Here are a few of the unique features on each platform:

Coinbase Unique Features

Free education and free crypto. Coinbase has user education built into their platform and mobile app, helping beginners learn about cryptocurrency. These are bite-sized videos that teach users about a certain cryptocurrency project and will even reward them with a small bonus amount of the currency.

News feed. Coinbase keeps users up-to-date on current events with a news feed built into the platform. These are curated articles from around the web on updates and breaking news within the crypto space.

Price Alerts. Coinbase allows you to create a watchlist of cryptocurrencies that will give you price alerts when there are big swings in price. These can be set up to be pushed to your mobile phone, or simply appear within the app.

Coinbase Pro Unique Features

Multiple trade options. Coinbase Pro offers more control over your cryptocurrency trading, giving users access to multiple trade options. Stop orders allow users to set a sell price to limit their losses. Limit orders allow users to set a buy point if they think a cryptocurrency will drop in value, letting them purchase at a lower price.

Advanced charting. Coinbase Pro allows users to create advanced charting views, such as minute-by-minute trading and viewing the moving averages for each cryptocurrency. The standard view shows the candlestick chart of the high and low prices within a specific time frame, similar to advanced stock charting programs, as well as open and close prices. You can also add multiple overlays to view the 12-day and 26-day exponential moving averages (EMA) to give you more insights into how a cryptocurrency is performing.

API keys. Coinbase Pro gives access to their API keys, allowing third-party apps to integrate with your Coinbase account.


Coinbase vs. Coinbase Pro: Currencies

Coinbase and Coinbase Pro both offer access to buy, sell, and trade over 40 cryptocurrencies. While there are over 4,000 cryptocurrencies in existence, Coinbase carries some of the most widely traded ones on the market.

Both Coinbase platforms allow you to purchase cryptocurrency in dollar amounts, allowing you to buy fractions of coins. Coinbase has a $2 minimum order amount, and Coinbase Pro has no minimum dollar requirement, though the order cannot be smaller than 0.001 BTC, 0.01 BCH, 0.01 ETH, or 0.1 LTC.

Both platforms offer the same currencies, except Coinbase Pro offers GMT, LOOM, MATIC, SUSHI, and SKALE, while Coinbase doesn’t. Coinbase offers BSV, while Coinbase Pro does not.

Here are the current coins offered on each platform (as of March 2021):

Asset Coinbase Coinbase Pro
AAVE
ALGO
ATOM
BAL
BAND
BAT
BCH
BNT
BSV ✖️
BTC
Celo
(CGLD)
COMP
CVC
DAI
DASH
DNT
EOS
ETC
ETH
FIL
GRT
GNT ✖️
KNC
LINK
LOOM ✖️
LRC
LTC
MANA
MATIC ✖️
MKR
NMR
NU
OMG
OXT
REN
REP
SUSHI ✖️
SKL ✖️
SNX
USDC
UMA
UNI
WBTC
XLM
XRP
XTZ
YFI
ZEC
ZRX

Coinbase vs. Coinbase Pro: Fees

The difference in fees between Coinbase and Coinbase Pro can be significant depending on what trades you are making. While Coinbase is a great way to help beginners get started, understanding how they charge fees for buying and selling crypto may help you save a lot of money.

Coinbase charges a flat fee of approximately 0.50% per transaction. This can vary due to market fluctuations, but on average will stay around 0.50%.

Additionally, Coinbase charges extra fees based on the account used in the transaction.

Here is a breakdown of how Coinbase charges fees based on account type:

Account Fees
U.S. Bank Account 1.49%
Coinbase USD Wallet 1.49%
Credit/Debit Card Buy 3.99%
Instant Card Withdrawal Up to 1.5% of any transaction and a minimum fee of $0.55
USD Deposit Method Free
ACH Transfer Free
Wire Transfer $10 ($25 outgoing)

As you can see, purchasing cryptocurrency on Coinbase could cost about 4% in fees per transaction, which can get very expensive. If you purchase and sell a cryptocurrency on the same day using a credit card, this can cost up to 9% of the total price, which is quite expensive

Coinbase is best for buy-and-hold investors who want to purchase a currency and hold it for the long term.

On the other hand, Coinbase Pro offers much lower fees, specifically geared toward active traders. They use a maker-taker fee structure, giving users discounts for the number of trades performed on the platform.

When users place an order at the market price that gets filled immediately, they are considered a “taker” and are charged the taker fee. When users place an order that is not immediately matched, it is placed in the order book (until a match is found), and they are considered a “maker” and are charged a maker fee when the trade executes.

Here is a breakdown of the Coinbase Pro fee structure:

Pricing Tier Taker Fee Maker Fee
Less than $10,000 0.50% 0.50%
$10,000-$50,000 0.35% 0.35%
$50,000-$100,000 0.25% 0.15%
$100,000-$1 million 0.20% 0.10%
$1 million-$10 million 0.18% 0.08%
$10 million-$50 million 0.15% 0.05%
$50 million-$100 million 0.10% 0.00%
$100million-$300 million 0.07% 0.00%
$300 million-$500 million 0.05% 0.00%
Greater than $500 million 0.04% 0.00%

Coinbase Pro only allows bank account, wire transfer, or Wallet transactions; it does not accept credit card or debit card purchases.

Coinbase Pro will lower your costs significantly, with an average of 0.50% fee per transaction (or less). If you are an active trader, Coinbase Pro offers some of the lowest fee trades on the market.

Coinbase vs. Coinbase Pro Fee Comparison Table

Transaction Coinbase Fee Coinbase Pro Fee
Buy/Sell with Bank Account 1.99% 0%-0.50%
Buy/Sell with Coinbase Wallet 1.99% 0%-0.50%
Buy/Sell with Credit/Debit Card 4.49% N/A
Instant Card Withdrawal Up to 1.5% N/A
Wire Transfer $10 ($25 outgoing) $10 ($25 outgoing)
Exchange Crypto 2.00% 0%-0.50%
ACH Free Free

Final Verdict

When comparing Coinbase vs. Coinbase Pro, there are a lot of similarities. Both have access to similar currencies, both are regulated exchanges with insurance, and both offer extremely safe storage of your digital assets.

If you are new to the cryptocurrency space, Coinbase is a great starting point. With its simple user interface, simple charting, and user education built right in, you can become a crypto expert in no time.

If you are looking to actively trade crypto and want access to advanced charting, spot trading, and extremely low fees, Coinbase Pro is designed for you.

No matter which platform you choose, understand that investing in cryptocurrencies is highly speculative, so never invest more than you are willing to lose.


FAQs

What Are Coinbase and Coinbase Pro?

Both Coinbase and Coinbase Pro are cryptocurrency exchange platforms designed for buying, selling, and trading these currencies. They are designed to help users use their fiat money (such as U.S. dollars) to purchase cryptocurrency.

Both platforms are owned by Coinbase Global, Inc., and are the largest regulated cryptocurrency exchanges in the United States. They both offer protection for your deposited U.S. dollars, as well as your purchased cryptocurrency.

If you are looking to start investing in crypto, or if you already own some crypto and want to actively trade them, both Coinbase and Coinbase Pro can help you achieve those goals.

How Do Coinbase and Coinbase Pro Work?

Coinbase is an exchange, meaning it functions as an online brokerage for buying, selling, and trading cryptocurrencies. Users create an account and add funds via a standard financial account or credit card to purchase cryptocurrency. Those funds are used to purchase cryptocurrency, and Coinbase will store that currency until you sell, trade, or move it to your digital wallet.

For example: If you want to buy some Bitcoin, Coinbase would broker the transaction. You would create a Coinbase account, connect your bank account, and submit an order to purchase Bitcoin. You are exchanging U.S. dollars for Bitcoin, and Coinbase is storing that Bitcoin for you until you decide to do something with it.

Coinbase Pro functions the same way, allowing users to deposit fiat funds and exchange them into cryptocurrencies. The main difference is that Coinbase Pro does not allow purchases via debit or credit cards.

Should I Use the Coinbase Wallet?

The Coinbase Wallet is a secure digital wallet that allows you to hold your cryptocurrency in one place. It has multiple layers of protection, including biometric access controls and a 12-word recovery phrase.

Coinbase Wallet is a popular choice for exchanging crypto and can be used on many decentralized applications.

Who Should Use Coinbase vs. Coinbase Pro?

Coinbase is ideal for beginner investors who are just getting started with cryptocurrency. With its easy onboard and intuitive interface, Coinbase makes it simple to buy your first digital currency. Add in their user education section and crypto bonuses, Coinbase is a fantastic place for crypto newbies.

Coinbase Pro is a solid platform for active crypto traders who do a high volume of transactions. With their advanced charting, multiple trade options, and low fees, it’s a great choice for managing your crypto portfolio. Add to that Coinbase Pro’s security features and FDIC insurance on USD deposits, this is a great platform for advanced crypto trading.


How We Evaluated Coinbase vs. Coinbase Pro

When reviewing Coinbase vs. Coinbase Pro we compared each platform based on ease of use, fee structure, security, unique features, and support currencies. We also took into account the types of trades available on each platform and their relative cost to the wider cryptocurrency exchange market.

While both platforms are owned by Coinbase Global, Inc., they offer very different functionality for users. In general, we feel that Coinbase is best suited for first-time crypto investors due to its simple interface and user education component. Advanced crypto traders should look at Coinbase Pro for its low-fee trading and more advanced charting and trading options.