The purpose of this Coinbase vs Gate.io article is to provide you with a side-by-side comparison of two of the most renowned exchanges in the business and assist you in making a well-informed decision.
If you’re looking for an exchange that gives you access to a wide variety of cryptocurrencies and charges affordable fees for trading, you may find that Coinbase and Gate.io are able to satisfy your trading requirements. Plus, traders on both exchanges have access to a diverse selection of cryptocurrency assets and trading pair combinations.
Read on.
About the Exchanges
Coinbase
No cryptocurrency investor, newbie or otherwise, could have missed hearing about the Coinbase exchange. The two men who founded Coinbase, Brian Armstrong and Fred Ehrsam, are now among the world’s wealthiest people, thanks to the meteoric rise of their cryptocurrency business. Armstrong and Ehrsam created Coinbase in an effort to digitize the financial sector so that more people could participate in the cryptocurrency market.
Nowadays, San Francisco-based startup Coinbase Ltd, established in 2012, ranks among the earliest and most liquid cryptocurrency trading platforms to publicize digital money to the general public. Coinbase is also the most user-friendly crypto site and a location where anyone can effortlessly buy some crypto.
Gate.io
Headquartered in the Cayman Islands, Gate.io is a crypto exchange with years of experience. Established in 2013, this Chinese exchange caters to traders by providing a wide variety of cryptocurrencies, trading tools, and low transaction costs.
This crypto project has integrated state-of-the-art technical innovations to establish a fast and reliable crypto trading platform. With this exchange, you will have access to a wide range of financial solutions and financial instruments, allowing you to manage your digital assets better and engage in cryptocurrency trading.
Gate.io’s UI may seem complicated at first glance if you’re just getting started with crypto trading. The dashboard’s panels provide access to various trading tools, training resources, and Trading View market indicators, all geared toward traders with more expertise.
Do not lose hope, though. Although the user interface may initially seem complicated, getting about on the Gate.io’s webpage is rather easy once you get the hang of it.
Pros and Cons
Coinbase Pros
- High liquidity;
- User friendly platform;
- Suitable for both beginners and professional traders;
- Vast trading options and payment methods.
Coinbase Cons
- Suffered several hacking incidents;
- High credit card fees.
Gate.io Pros
- Ability to make instant transactions;
- Option of generating passive income;
- Free deposits;
- Low trading costs;
- Helpful live chat staff;
- Provides an NFT market;
- A mobile app compatible with both Android and Apple’s iOS;
- A broad selection of cryptocurrencies.
Gate.io Cons
- An unregulated crypto market;
- Doesn’t accept deposits in fiat currencies;
- A user interface that can be a little tricky for newcomers;
- There has been a pattern of security holes on this particular platform.
Coinbase vs Gate.io: The Crypto Exchange Comparison
Opening an Account
First things first: create and verify your Coinbase account so you can start trading. To register a trading account on Coinbase, you’ll need to be at least 18 years old and possess a valid, government-issued photo ID.
For the Coinbase verification procedure to be compliant with the KYC (Know Your Customer) user authentication process and the AML (Anti-Money Laundering) protocol, you will be required to supply your identification document, complete name, address of residence, and a few more personal facts (such as the source of your income and the employer you work for).
On the other hand, Gate.io’s initial signup procedure is simple. Simply open the Gate.io website in your web browser and look for the “Sign Up” button in the upper right corner. You can sign up with either your email address or phone number on the “Create Account” page. Next, set up a strong login password. Then, confirm that you have read and agree to the User Agreement.
When you’re set, choose “Sign Up” to have a confirmation number sent to your phone or email. Enter the 6-digit code and then click the “Confirm” button to finish the signup process. When complete, you’ll be taken straight to the sign-in screen of Gate.io.
You will, however, be required to go through the KYC procedure and supply some additional personal details if you plan on trading or withdrawing a bigger sum of money using this platform.
Main Features
The Coinbase exchange developed not one but two separate trading platforms: the original Coinbase exchange, which was designed to be user-friendly even for inexperienced traders, and Coinbase Pro, which caters to more seasoned investors. Both Coinbase marketplaces allow users to trade, purchase, and sell cryptocurrencies.
Wallet-as-a-Service (WaaS) is the newest addition to the rich offer of this exchange. The WaaS represents a scalable collection of application programming interfaces (APIs) for wallet infrastructure. These APIs make it possible for businesses to build and distribute user-customizable on-chain wallets to their customers.
As a result of this innovative blockchain solution, businesses can build in wallet support directly into their apps, eliminating the need for customers to download a third-party app to use their chosen payment method.
When it comes to more advanced financial products, Coinbase Pro has you covered. With a Coinbase Pro account, you can monitor the market, review past trades, check on the status of open orders, and much more.
Similarly, there are several innovative trading solutions and analytical strategies available on Gate.io. One of the most sought-after financial options on the site is Copy Trading.
With just one click, you can copy a successful trader’s crypto trading strategy with this cutting-edge trading tool that automates market orders.
Furthermore, Gate.io offers exchange-traded funds (ETFs) and margin trading, which provide cryptocurrency investors with a simple way to trade their preferred currencies on a daily basis with leverage.
In regards to perpetual contracts, Gate.io offers up to 100x leverage for trading purposes. Although they resemble standard futures in many ways, Gate.io’s Perpetual Futures never expire and are never settled. Traders’ main concern should be price movement, making this a simple instrument.
In case you’re interested in buying and selling non-fungible tokens (NFTs), Gate.io also has an NFT market where fans of digital art tokens can participate, as does Coinbase.
Supported Cryptocurrencies
Coinbase’s asset registry currently lists around 150 cryptocurrencies, stablecoins, and tokens that you can buy, sell, and trade on the platform, depending on your location.
The list includes Bitcoin (BTC), Ethereum (ETH), Dollar Coin (USDC), and Dogecoin (DOGE), along with some less prominent cryptocurrencies that allow novice traders to enter the market with smaller initial investments.
Back to Gate.io. This marketplace is well-known for listing over a thousand cryptocurrencies, including the industry’s most prominent options. Although most of the coins on Gate.io’s list have high trading volumes, the platform handles a few altcoins with smaller market caps.
Payment Methods
Direct deposits, instant cash outs to bank accounts, debit cards, wire transfers, PayPal, Google Pay, Apple Pay, and 3D secure credit cards are just some of the many payment methods that Coinbase accepts. You can also make cryptocurrency deposits. Take note that there could be regional differences in the availability of some payment options and banking services.
In addition, you can get your money quickly and without hefty costs by using the Instant Cashout tool. Whether you live in the United States, the United Kingdom, or any other member state of the European Union, you can withdraw funds using a Visa Fast Funds-enabled card.
To this end, instantaneous withdrawals from U.S. dollar wallets to any U.S. bank account equipped with real-time payments are possible for those located in the United States.
When it comes to Gate.io, you can buy and sell cryptocurrencies instantaneously through this platform. You only need one click to purchase the cryptocurrency of your choice through Gate.io, regardless of whether you pay with your credit card or the Apple Pay service.
Moreover, you can buy cryptos using a wide variety of fiat currencies. Gate.io accepts a wide variety of fiat currencies, including the US Dollar (USD), British Pound Sterling (GBP), Euro (EUR), and Japanese Yen (JPY), among others.
There are also several options for purchasing cryptocurrency on Gate.io. You can buy cryptos through this platform using traditional payment methods, such as credit/debit cards, bank transfers, or the Google Pay and Apple Pay apps.
In the bargain, you can use the Gate.io P2P platform for a crypto-to-crypto exchange and swap one cryptocurrency for another. Even though you can use Gate.io to buy cryptocurrency using a credit card, it is important to know that Gate.io does not allow deposits using fiat currency.
Trading Fees and Limits
Coinbase employs transaction fees that are calculated as a proportion of the entire trade amount rather than a fixed rate. Based on these parameters, the fees on this marketplace can cost you anywhere between 0.99 USD to 2.99 USD. When exchanging cryptocurrency with Coinbase, you should also account for a spread fee in addition to the aforementioned fixed brokerage fees.
You might additionally be subject to a fee when making a deposit or withdrawing funds through Coinbase. Putting money into your Coinbase account with a credit/debit card is the costliest method to do it, as it will cost you 3.99% of the trade-in fees.
When it comes to setting fees, the vast majority of exchanges follow a maker fee/taker fee model. However, Gate.io bases its fees on your VIP status instead. When it comes to trading, the more you employ Gate.io, the lower the costs you’ll have to pay overall.
The fees can range anywhere from -0.01% to 0.2%, and they are computed depending on your 30-day trading volume, your GateToken (GT) balance, and the total amount of your holdings represented in USD. The higher your 30-day trading volume is on the Gate.io platform, the lower your trading expenses will be.
In addition, making a crypto deposit to Gate.io is free. However, the fee for withdrawing cryptocurrency from Gate.io varied depending on the total number of transactions that have occurred on the blockchain associated with the respective cryptocurrency.
How Safe Are Coinbase and Gate.io?
A number of safety measures are in place at Coinbase to prevent any loss of your cryptocurrency. The majority of users’ balances (98% as of this writing) are kept in a cold storage facility inside the exchange. It’s important to note that up to $250,000 of each client’s assets managed by Coinbase are insured by the FDIC.
Most importantly, the exchange’s domains that store sensitive information are not linked to the Internet. Redundant partitioning and the AES-256 encryption algorithm are used to secure the wallet and private key data sources.
Gate.io places a high priority on the protection of its users’ financial holdings and other valuables. The developers of Gate.io have implemented all of the standard safety measures to protect user accounts and funds. These include the two-factor authentication protocol (2FA), which can be triggered through SMS or email; the Know Your Customer (KYC) verification for Gate.io accounts; hot and cold wallets for increased asset security; and so on.
Regrettably, in spite of all of the efforts that were taken to protect the platform, there have been several security challenges that have occurred at Gate.io.
Customer Support
Coinbase’s extensive knowledge library includes tutorials and guides to help you better understand cryptocurrency, a blog with pieces about the basics of cryptocurrency and market updates, and how-to guides for new users with frequently asked questions already resolved.
If you need to get in touch with customer service, you can submit a ticket via email or contact them via chatbot. One way or another, the most practical way to get in touch with the Coinbase support team appears to be through their automated phone line.
If you have any questions for the Gate.io support team, you can always reach them using the live chat feature on their website. Submitting a ticket through email is an additional available method. If you go this route, though, the response time will be noticeably stretched.
Also, the executives at Gate.io maintain a help center and a regularly updated blog so that you can find solutions to many of the questions that are asked most frequently. This allows you to stay abreast of any and all adjustments that are made to the platform.
Mobile Trading
To facilitate transactions on the go, Coinbase has created a mobile app that works with the most recent versions of both Android and iOS. Please note that the app’s premium features require the most recent Android updates.
In order to facilitate a more comfortable trading procedure and enhance the overall quality of the user experience, the developers at Gate.io have also developed a mobile app that’s straightforward and convenient to use.
The Gate.io mobile app provides beginner-friendly trading tools and advanced features for seasoned investors. You can use these features, along with real-time charting and ticker notifications, to fully understand how the market moves. Virtually all of the trading options offered through the web-based exchange platform are also accessible through the Gate.io mobile app.
How Do Coinbase and Gate.io Compare to Other Crypto Exchanges
Since its inception in 2013, when it was one of the first cryptocurrency exchanges available, Kraken has provided its customers with a secure and dependable trading environment.
This American brokerage is very similar to Coinbase and Gate.io in that it takes a diverse range of digital currencies, enables traders to choose from an array of investment and funding alternatives, and is appropriate for traders with varying degrees of competence. Additionally, Kraken is a protected crypto hub that integrates the most advantageous properties of these two trading sites.
Kraken is known for its high level of security and versatile trading options. It offers margin trading with a maximum leverage of 5x, takes deposits in fiat currency, claims some of the lowest trading fees available on the market, provides dependable storage for user funds, and a variety of staking options.
To continue, the user experience of Kraken is virtually identical to that of Coinbase in terms of how simple and straightforward it is. On the other hand, because there have been no security breaches of the platform as of yet, the security measures of the exchange are superior to those of both Coinbase and Gate.io.
Conclusion
The bottom line? Coinbase is committed to providing a simple and secure platform for cryptocurrency trading. The exchange’s sudden surge in popularity can be attributed in large part to its improved security standards and ease of use.
When compared to Coinbase, trading on Gate.io is a somewhat more complex feat. Users of this platform, in particular, have access to a myriad of cutting-edge quantitative investment strategies and trading products.
Coinbase and Gate.io can meet your trading demands if you are searching for an exchange that provides access to a diverse range of cryptocurrencies and reasonable trading fees. Moreover, both markets give traders access to a wide variety of cryptocurrencies and trading pairs.
In spite of the fact that Coinbase and Gate.io have suffered security breaches in the past, it seems like both of these markets have bolstered their cyber security measures in the last few years.