Coinbase is the largest cryptocurrency exchange in the U.S.; it went public on Nasdaq via an $86 billion direct-listing, the biggest in history. It is regulated by the New York DFS with a virtual currency license, serves 44 U.S. states, and has an N.Y. state banking charter.

It was founded in 2012, about four years after Bitcoin was launched. It is headquartered in San Francisco, California, with offices around the world.

Offering

Coinbase offers the largest number of coins and markets among U.S. crypto exchanges and is launching an NFT marketplace and derivatives service.

For US customers, Coinbase offers trading in more than 170 cryptocurrencies and more than 500 crypto-to-crypto trading pairs.

Loans

Coinbase will allow members to borrower up to $100,000 in cash, using their Bitcoin assets as collateral. These loans do not require a credit check and come with an interest of 8% APR.

Wallet
Like other crypto exchanges, Coinbase offers a digital wallet where you can store your digital assets yourself.

The Coinbase Wallet apps are decentralized and are available on both the Apple App Store and the Google Play store. They adhere to the highest security measures including Secure Enclave and biometric authentication technology.

Crypto Rewards Card

Using the Coinbase Card, members can spend any assets they hold in their Coinbase portfolio in physical or online transactions. This means you can use your cryptocurrency to buy groceries, clothing, or other items.

You can also earn up to 4% in crypto rewards for your card transactions. You can get the maximum rate of 4% if you choose to earn your rewards in Stellar Lumens (XLM). Or you can get 1% back if you choose to earn your Rewards in Bitcoin (BTC).

The Coinbase Card can be used at any retailers that accept Visa debit cards. There is no annual fee attached to the card.

Withdrawal

They are one of the few crypto exchanges to allow users to withdraw crypto immediately after they purchase it using fiat currency, rather than waiting several days for the payment transaction to clear.

Fees

The minimum amount needed to buy cryptocurrency on Coinbase is $2.

Coinbases spread fees typically run around 0.5%.

Via its website https://commerce.coinbase.com, Coinbase offers merchants services enabling merchants to receive payments for their products and services in crypto.

News

In November 2022 Coinbase CEO and Co-Founder Brian Armstrong Has tweeted that the company holds more than 2 million BTC

It has long been known that Coinbase accepts fraudulent traders and has a KYC problem. The New York regulator DFS has also recognized this. U.S. crypto exchange Coinbase has accepted a multi-million dollar fine for allegedly being too lax in its anti-money laundering precautions. The company settled the case for $100 million, the New York-based financial regulator DFS announced. The agency imposed a $50 million fine and required Coinbase to invest another $50 million in improving its control mechanisms.

Conclusion

We put the company on our “Orange Compliance” list because the company admitted at the beginning of 2022 that it would draw on customer funds in the event of financial distress.