Coinbase Review For Australians 2022 – Do They Have Any Hidden Fees?
Coinbase is a leading US-based crypto exchange that has become a standard in the crypto world. Nearly every crypto enthusiast must have heard of Coinbase.
But does its extraordinary reputation hold for Australian users? Read our Coinbase review Australia to have a better overview of the platform.
Coinbase Review Australia – All You Need To Know In 2022
The hype surrounding the crypto world doesn’t seem to subside anytime soon. Incidentally, thousands of new cryptocurrencies have entered the market and almost as many places to buy them.
But there is one exchange that stands apart – Coinbase. And since its listing on NASDAQ, its popularity has grown manifolds.
Read along with our Coinbase review Australia and discover our take about Coinbase, costs involved, positive and negative points of this platform, and whether it’s beginners friendly or suits only hardened crypto investors.
What Is Coinbase?
Conibase began offering its services when the whole crypto world was still in a nascent stage.
This widely popular exchange was founded in 2012 by Brian Armstrong and Fred. Given the perfect timing of entering the still-nascent market, success quickly came to Coinbase exchange, and soon it became a reference for dealing in cryptocurrencies.
Coinbase is a crypto exchange, which means the platform enables its users to buy cryptocurrencies, sell them, trade them or transfer them to other users.
Additionally, Coinbase enjoys enormous popularity, boasts a 43 million-strong customer base and a presence in more than a hundred countries, including Australia.
Besides its huge popularity and extensive experience in the crypto space, it also strongly emphasizes users’ security.
On top of that, it offers a wide variety of cryptocurrencies to trade. Given its massive customer base, it also offers high liquidity and more opportunities to take a profitable position.
Initially, Coinbase was only a broker, but the company has blossomed into something much bigger, offering a pro version, custody solution, and now even has a venture capital arm.
Key Points on Coinbase Australia
◾ First thing first: Coinbase is a crypto broker, which means that it allows its users to buy, sell and exchange cryptocurrencies. This is the primary function of the service offered by this American broker.
◾ Although based in the US, Coinbase exchange enjoys a global user base and has its presence in more than 100 countries worldwide.
◾ Coinbase currently offers two interfaces to deal in cryptocurrencies. First is Coinbase native interface, which is more suited to beginners, and the other is Coinbase Pro, which is designed keeping in mind the more experienced traders.
◾ Moreover, Coinbase crypto exchange is a NASDAQ-listed public company, which further adds to its credibility and therefore attracts users in considerable numbers to the platform.
Coinbase Supported Coins
Coinbase offers a solid number of trading and investing options. Right now, the exchange currently lists over 100 cryptocurrencies, but there is no fixed number.
It’s because the exchange continuously adds new coins and assets whenever there is a new one in the market, or there is a demand from its users.
Coinbase Australia Useful Features
Coinbase crypto exchange offers a whole host of features to facilitate its users and allow them to indulge in crypto trading seamlessly.
Coinbase Pro and Coinbase Prime may be the more popular attractions of Coinbase; however, there are other features too that suit even small-time traders and allow them to expand their profit margins.
Coinbase earn is an intuitive feature that allows novices to increase their knowledge about cryptocurrencies and, in return, earn crypto coins.
Users have to watch educational videos, and at the end, they have to complete a short quiz. Upon successful completion, they are awarded crypto coins.
Coinbase allows crypto staking too. Users have the option to stake a part of their assets in the staking pool and earn extra rewards.
It enables users to make passive income based on their staked amount and therefore increase their profits.
Coinbase Australia Fees
Coinbase exchange is notorious for its exorbitant amount of exchange fees. Therefore we broke down Coinbase Australia fees into its components to correctly assess whether the claims of high fees are valid or not.
Below we summarize different fees associated with the Coinbase exchange.
Deposit fees vary depending upon the methods used. ACH transfer is free, while credit/debit card transfers will incur a fee of 2.49%.
Additionally, there is a flat fee of $0.99 to $2.99 based on the trade amount. Similarly, credit/debit card depositing will need a 3.99% fee.
Withdrawal fees depend upon the mode of transaction. However, there is a flat 1% conversion fee from crypto to fiat for withdrawal.
In addition, there is a variable network fee that users have to pay each time they make a withdrawal.
For buying and selling cryptocurrencies on Coinbase, users have to pay around 1.49 percent for each trade.
Moreover, there is a variable spread fee too, and Coinbase cryptocurrency exchange generally charges around 0.5 percent as a spread fee.
Additionally, direct purchase with a debit card costs 3.99 percent.
Cryptocurrency Conversions Fee
There is a conversion fee on all the cryptocurrency conversions carried on the Coinbase platform.
Incidentally, users have to pay a flat 2% charge for converting cryptocurrencies.
Coinbase Australia Pros And Cons
As we all know no exchange can satisfy users’ requirements completely,coinbase exchange also has some negative sides.
Here in this Coinbase review Australia we will point out both positive and negative aspects of the Coinbase Crypto exchange
- In our assessment of Coinbase, the thing we like the most is its straightforward interface. New will essentially get the most benefits here.
- Nearly ninety-nine percent of coins are stored in cold storage, significantly mitigating the risk of theft.
- The sheer trading volume, extensive coin support, and massive community of active users are another plus for Coinbase.
- Coinbase offers services like Coinbase Pro and Coinbase Prime.
- Whenever there is a massive surge in market prices or the market is too volatile, the platform significantly slows down.
- The spread is almost 0.5 percent tied to variable exchange fees. For beginners with smaller trades, maintaining profits with high fees is rather a difficult task.
Funding Your Coinbase Australia Account
To deposit funds in your Coinbase Australia account, follow the steps;
- Move to the Coinbase website and log in to your Coinbase account.
- Go to the add payment page and choose “Add Payment Method.”
- Fill in your debit card details and proceed with the verification process.
- Once your card is verified, you can now trade on Coinbase Australia directly through your debit card.
Coinbase Australia Buying Limits
Coinbase buying limits vary according to the region. For Australia, there is no fixed buying limit; however, new users may be able to purchase $500 worth of cryptos.
The buying limit also varies with the payment methods. Additionally, you can see your limit in the settings section under the Account Limit segment.
Coinbase Pro Features
While Coinbase exchange offers an incredibly crisp and easy-to-navigate platform for crypto trading, Coinbase offers a far more extensive and more detailed charting and trading information, more suitable for experienced investors.
Coinbase allows users to buy cryptocurrencies using market orders. As a result, users have to incur higher trading fees compared to other platforms.
To tackle the issue, Coinbase crypto exchange created a free option where users can make the transition when they are a little more proficient and comfortable with the platform.
Coinbase Pro allows users to place, market limit, and stop orders at a significantly lower fee.
Additionally, Coinbase Pro also allows margin trading and offers more sophisticated charting capabilities.
Traders on Coinbase Pro have access to short-term charts like 1-minute candlestick or line charts.
Moreover, they can also use overlays like exponential moving averages. Incidentally, two overlays indicators are available: EMA (12) and EMA(26). Additionally, users have more cryptocurrencies pairs to trade in Coinbase pro.
Currently, Coinbase Pro offers 100+ trading pairs worldwide and 40+ crypto-crypto trading pairs across 42 regions, including Australia.
Besides its interactive crypto exchange, Coinbase also offers a secure wallet to store all your cryptocurrencies.
One particular attraction is the platform’s ergonomics and the possibility of transferring cryptos from one wallet to another, free of charge.
Moreover, the Coinbase wallet is a software wallet, which means it operates on a system connected to the network.
Furthermore, Coinbase Wallet operates independently of the Coinbase platform. This means even if you don’t have a Coinbase account, you can still use it to store your digital assets and manage your private keys.
Additionally, the Coinbase wallet is a web wallet, which means the keys are stored online, and the transaction happens directly on the web.
Although this can compromise security, it also enhances ease of use for new users.
Coinbase Mobile App
For those who love to trade cryptocurrencies on the go via their smartphone, the Coinbase crypto trading platform offers an interactive app to fully cater to its users’ trading needs.
Moreover, the app is available for both Android and iOS devices. Coinbase app effortlessly transfers all the interactive features of the Coinbase platform to its app and facilitates users’ journey through the crypto world.
You can easily buy and sell supported cryptocurrencies and access the wallet from a smartphone.
The application also allows keeping track of all your trades from a single dashboard.
Moreover, it also facilitates the quick and effortless transfer of digital currencies to other accounts and, similarly, to receive cryptos from other accounts.
Coinbase User Experience
As per Coinbase Review Australia, the easy-to-use interface on the website as well as on the app enhances the user experience.
This is particularly true for the mobile app, which has a clean UI and facilitates beginners to easily find their way on the platform.
During our interface test, we find the dashboard simple and free from clutter. Besides that, both the Android and iOS apps for Coinbase exchange boast primarily positive reviews.
In terms of functionality, the site is relatively simple to understand. But unfortunately, this simplicity is limited to the native Coinbase version only.
Once you move the Coinbase pro version, you will find that the interface is far from simple.
Although it incorporates more tools, charts, and other trading-related information, the platform only suits experienced traders well versed in trading jargon.
Coinbase Pro is hard to tread water for beginners and takes some time to understand how things work.
If there is a sudden price movement, the platform becomes too slow, preventing the sale and purchase of cryptocurrencies.
This significantly downgrades user experience and needs immediate fixing on the Coinbase part.
Coinbase Australia Regulation And Licensing
Coinbase is a regulated platform; therefore strictly follows all the rules and regulations in the regions it operates.
Additionally, Coinbase is officially licensed as a “Money Services Business” by the US Treasury Department FinCEN.
It means that Coinbase has a money transmission license and therefore incorporates US Dollar Wallets and transactions.
Moreover, Coinbase also complies with The Bank Secrecy Act and The USA Patriot Act and therefore requires user’s KYC and is also legally bound to appoint a compliance officer to enforce all the compliances required by the law.
Coinbase Contact And Customer Service
Coinbase maintains a help center that constitutes a support executive team that assists users with their complaints and queries.
There is live 24/7 messaging support; however, you have to go through a virtual assistant before reaching an actual customer executive.
In our Coinbase Australia review, we quickly found our way through Coinbase customer support.
But there is a time lag between posting a query and getting the answer. We think that Coinbase has to make the process more speedy.
Additionally, the platform also offers helpful resources and FAQs that cover most of the topics and facilitate users to find their way easily.
It indeed is helpful and undoubtedly addresses some of the most common issues that may arise while using Coinbase.
How To Use Coinbase In Australia
Coinbase has a simple interface and involves easy-to-follow steps to begin your journey on the platform.
In this section, we have summarized how you can register an account on Coinbase and kickstart your crypto journey.
Step 1: Open A Coinbase Account
You can register a Coinbase account on both its website and through its app. Download the app on your mobile or head to the official website for account registration.
Proceed with the signup option and fill in the details, like your email, phone number, and your personal information.
Once you have entered the required information, the interface will register an account with your credentials.
Step2: Verify Identity
Identity verification is just before you can begin trading on Coinbase. To verify your identity, launch the Coinbase app on your phone and go to Profile & Settings.
You will find the documents verification option; tap on it. The interface will prompt you to upload verification documents.
For those residing in Australia, they can submit, Passport, Government-issued photo ID, or National Identity Card for ID verification.
Once your documents are uploaded, the ID verification process will be complete.
Step 3: Deposit Funds / Instant Buy
For Australian customers, Coinbase allows Instant buy without the need of funding your account.
Australian residents can purchase cryptocurrencies on Coinbase directly with their debit cards.
There is no need to pre-fund the account, and the transaction will proceed immediately.
Step 4: Storage
Coinbase has its own wallet to save users’ crypto assets. You can download the Coinbase wallet app on your mobile and efficiently manage the crypto assets you purchase on the Coinbase platform.
Additionally, you can also transfer your digital assets from Coinbase to any third-party wallet for safe storage.
Coinbase Review Australia – Final Thoughts
As per our Coinbase Review Australia, Coinbase definitely enjoys huge popularity. It undoubtedly provides a safe and convincing platform for trading cryptocurrencies.
There is a good guarantee of security for this platform that we appreciate. The number of services offered is also impressive.
Coinbase Pro and Coinbase Prime are exciting features that may look attractive to experienced users with larger wallets and crypto holdings.
However, higher fees are an issue, and users can find cheaper alternatives in the market. Additionally, Coinbase struggles to manage traffic surges and price volatility
Frequently Asked Questions
Coinbase is a reputable cryptocurrency broker with a robust security infrastructure. Moreover, Coinbase serves the global audience and lends its platform to users worldwide. Besides, it follows strict standards for identity verification and validation; therefore, it’s a safe platform to trade cryptocurrencies in Australia.
There are two steps involved: you have to convert the crypto balance to fiat money and then withdraw the fiat money to your bank account. Login to your Coinbase account and move to the buy/sell section. Here you can exchange crypto for fiat like AUD. Next, move to the portfolio section, then to assets, and select the amount you have just converted to fiat. Choose the withdrawal option and proceed with the transaction.
No. At present, Coinbase does not allow selling Bitcoin in Australia. If you own Bitcoin, you have to transfer it to other local exchanges that support Bitcoins selling and withdrawals to an Australian bank account.
Yes, Coinsbase pro is available in Australia. Therefore, Australian users can easily make the transition from the Coinbase platform to Coinbase Pro.
Capital gains come under taxation in Australia, and if you receive cryptocurrencies, then it’s considered capital gain hence taxable.