You want to start buying, selling or trading cryptocurrencies and want to know the difference between Coinbase and Coinbase Pro. Let`s analyze these two cryptocurrency exchanges.
We will start with a quick overview of how these cryptocurrency exchanges were created and after compare these exchanges by functionality.
At the beginnig of these article the focus will be on what Coinbase is and how it all started!
Coinbase is a stock broker launched in 2012 in San Francisco, California USA. The platform provides a simple coin exchange mechanism and supports popular payment methods such as bank cards, transfers and even PayPal.
The web resource was developed by partners Brian Armstrong, Fred Ersam and Ben Reeves. More than $ 1 billion was required to realize the idea of creating an “open financial system for the whole world”, for which well-known investors such as Andreessen Horowitz, Ribbit Capital and Union Square Ventures were attracted.
When a cryptocurrency is reported to be added to Coinbase, it usually goes up in value because the platform makes it easier to buy it using fiat money. It offers more liquidity for the coin and opens it up to a much larger audience.
When you buy cryptocurrency on Coinbase, you are buying directly from the platform. This is in contrast to most other exchanges where you usually trade directly with other users.
So, now you have some understanding about Coinbase, and we eill continue with Coinbase Pro
Did you know that the GDAX exchange was recently renamed “Coinbase Pro”?
Coinbase Pro is a complete exchange for buying and selling digital currency. It is filled with functions that will be appreciated by advanced traders: charts and trading parameters, order book, history of trading operations.
Unlike Coinbase, the Coinbase pro exchange is suitable for more experienced traders as the platform offers many more features. When people decide to use Coinbase pro for trading, they buy or sell directly to other users. In this sense, the goal of Coinbase pro is to create a connection between buyers and sellers.
Coinbase pro also allows its users to deposit funds using real money, and if you already have an account with Coinbase, you can easily transfer your funds to Coinbase pro. At the end of 2017, the Coinbase pro exchange set new records, processing more than $ 650 million in transactions in just 24 hours!
While there are some similarities between the two platforms, we will look at the obvious differences next!
Coinbase vs Coinbase Pro comparison
Signing up for Coinbase is as easy as possible. Requires your name, email address and password ..
A confirmation link will be sent to the specified email address. This link will confirm the user’s email address. After checking the e-mail, other data is requested, necessary for the account to work. These include a phone number (for 2FA), an address, a method of identification (which can be either a passport, driver’s license, or government-issued ID), and a payment channel (such as a debit card or credit card).
After registration is complete, the user can buy and sell any of the available cryptocurrencies.
Signing up for Coinbase Pro isn’t that much of a difference. A person can only have one Coinbase account. This means that users who already have a Coinbase account must sign in with the same email address (for Coinbase) when registering with Coinbase Pro ..
For those without a Coinbase account, they will go through a similar account setup process for Coinbase. However, Coinbase Pro will require new users to agree to Coinbase Pro’s terms and conditions. Additional information may also be required.
The available cryptocurrencies on Coinbase are Bitcoin, Ethereum, Litecoin, Bitcoin Cash, Ethereum Classic, and the recently added 0x.
Supported fiat currencies also include the US dollar, pounds sterling and euros. Coinbase expressed support for ERC-20 tokens on its platform earlier in 2018. Not so long ago, they announced 5 cryptocurrencies they are considering adding to their platform (which included 2 ERC-20 tokens).
Coinbase Pro features 6 cryptocurrencies available on Coinbase. This includes a new addition, 0x, which was one of the cryptocurrencies previously announced for consideration on the platform.
API is short for Application Programming Interface. An API is essentially a way for programmers to interact with an application.
Both Coinbase and Coinbase Pro allow you to use the API on their platform. However, the capabilities of the Coinbase Pro API are better than those of the underlying Coinbase, as Coinbase Pro API users can build more efficient trading bots.
Coinbase displays cryptocurrency prices openly. Users can only buy and sell cryptocurrencies at the price displayed on the dashboard at a particular point in time. There is no flexibility or trading options for users.
There are more trading features for users on Coinbase Pro. Wallet balances of users with Coinbase accounts are integrated into Coinbase Pro for trading purposes. The trading options available on Coinbase Pro include market, limit, and stop orders.
The core Coinbase platform is for retail users and novice traders or people who just want to buy and walk around. No trading experience required.
The Coinbase Pro platform is designed for professional traders looking for advanced trading features. Due to the availability of these trading functions, their user interface is a little more complex.
Coinbase’s basic platform for buying and selling cryptocurrencies is intended for beginners or people not interested in actively trading cryptocurrencies. Coinbase Pro was designed to meet the needs of professional traders looking for advanced trading features.
The most significant difference is the fees charged by each platform. Since the fees charged by Coinbase are high, many Coinbase users use Coinbase Pro to make fees significantly less or even 0%.
Coinbase is suitable for beginners and casual cryptocurrency traders, while Coinbase Pro is more suitable for professional and casual cryptocurrency traders.