Binance vs Coinbase : Which to Choose?
Cryptocurrencies, unlike the money we use every day to carry out many activities, are virtual currencies, which means that they are not controlled by governments and financial institutions.
Therefore, it is possible to invest in cryptocurrencies as in any other currency, even if the characteristics of the same are different. In fact, cryptocurrencies, unlike the current currency in a particular country, are not linked to economic performance; furthermore, interest rates and monetary policies do not have an impact on the current value of cryptocurrencies.
Buying and selling cryptocurrencies is possible using an exchange. Specifically, it is necessary to open an exchange account, hedge the value of the asset to open a position and deposit the cryptocurrencies in a digital wallet until you decide to sell them. The two main exchanges are Coinbase, from the US, and Binance, from China.
Binance vs Coinbase : Security and Functions
Choosing whether to use Binance or Coinbase is not easy, as the two tools have some differences, which, in fact, distinguish them. Considering that the exchange has to manage sums of money, it is certainly essential to have an overview of the reliability of the platform.
Coinbase, is equipped with a "safe", which is an offline custody system that makes funds inaccessible in the event of data theft: in fact, in the event of an attack by criminals, the funds would not be available immediately.
As for the functionalities, however, the two exchanges are interesting in the same way, depending on the needs of each investor. Coinbase is mainly designed for those who are not very familiar with cryptocurrencies. In fact, it is presented in a simplified way, and also allows you to activate a recurring purchase system and participate in the "Earn" program to earn some cryptocurrencies.
However, there is also the pro version, designed for more experienced users. Binance, on the other hand, combines the possibilities of operating on a traditional exchange with the possibility of managing the markets and trading P2P cryptocurrencies. In addition, it offers instruments such as derivatives, futures, and allows you to have a credit card.
Read More : Different Types of Ethereum Tokens
Which Cryptocurrencies are Supported?
Another aspect to consider when choosing an exchange are the cryptocurrencies supported by the platform. In fact, it is essential to find assets capable of responding to one's concrete needs. Coinbase makes available to investors about 60 assets, among the most popular, precisely because it is a platform aimed mainly at inexperienced users.
Instead, Binance offers more than 360 different assets, therefore, it offers a greater choice between different assets. This means, in practice, that most investors can find interesting offers, also based on current trends. However, newly born tokens do not have a quick listing: only those that generate a certain volume are made immediately accessible from the platform.
Which Exchange to Choose?
Taking into account all the factors mentioned above, you can make your choice easier. However, we must not forget to also check the management conditions (the so-called fees) that the two different exchanges offer to users.
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