There are so many different cryptocurrency exchanges available these days. If you’re deciding between FTX vs Coinbase, it’s wise to familiarize yourself with both platforms before committing to either one! That said, if you are unsure about FTX vs Coinbase Pro, I’ve got you covered. In this comparison, I’ll go through the most crucial characteristics of each and how they relate to one another.
FTX vs Coinbase: Comparison Criteria
Before FTX vs Coinbase comparison, we need to figure out the comparison’s criteria. To be sure, everyone will have their criteria for comparing two or more exchanges, which is understandable. After all, most specifics will depend on the reason you want to use a trading platform in the first place. Some qualities are critical to consider, whether in this FTX vs Coinbase comparison or any other. Let’s go through each one fast, so we’re both on the same page.
- Supported Assets
- Ease of Use
- Customer Support
Let me emphasize this Coinbase VS FTX comparison article. There are several extra capabilities available with either of these exchanges. However, these ones should always be at the forefront of your study. With that said, may we proceed to the actual comparison?
FTX vs Coinbase: The Comparison
To keep things structured and neat, we’ll begin this FTX VS Coinbase comparison at the top and work our way down the list of features. As you may have guessed, security is at the top of that list.
Let me state right now that we are dealing with two industry titans. Both exchanges in our FTX VS Coinbase comparison are market leaders, at least to some extent. Naturally, this means that both systems have all of the industry-standard security measures you expect. FTX primarily focuses on protecting user funds using techniques like two-factor authentication, safelists, asset locks during suspect logins and transfers, etc. Coinbase, on the other hand, employs a more conventional method; for example, around 98 percent of all assets in Coinbase’s ownership are held in cold wallets, offline.
Reading through several users’ Coinbase vs FTX evaluations, you will immediately understand that FTX concentrates on derivatives trading. With that in mind, it stands to reason that the platform’s security is a little different than typical – with crypto derivatives, the emphasis should be on user account protection. The idea remains the same: whether you select FTX, Coinbase, or Coinbase Pro, you can rest confident that security will be a crucial focus for the platforms above. It’s also worth noting that, although Coinbase is an industry veteran, FTX is one of the newer names in the game.
As previously mentioned in the FTX vs Coinbase comparison, fees are one of the most crucial variables to consider when picking which exchanges to utilize. The two exchanges we’ll be looking at today are no exception. The costs with FTX are astonishing. Market producers will be taxed 0.02 percent of each transaction, while market takers will charge 0.07 percent. As our trade volume increases, these figures will fall. Things are a little less perfect when it comes to Coinbase.
Your costs with Coinbase will vary from 0.5 percent to about 4 percent for every transaction. The exact statistics will vary greatly depending on several different circumstances. This is also because Coinbase utilizes some of the most sophisticated pricing mechanisms in its operations. When we compare FTX fees to Coinbase fees, the picture is rather apparent – FTX is the clear winner by a large margin! Even at the low end, the exchange’s costs are far lower than Coinbase’s.
Furthermore, if you’re an aggressive day trader and plan to trade crypto in large amounts, you’ll be able to reduce those costs even further. As a result, FTX takes the lead here.
As previously said in our FTX vs Coinbase comparison, the amount and diversity of supported assets might be critical, especially if you’re an active day trader with a diverse portfolio and value ease. With time, bitcoin exchanges have begun to emphasize this aspect as well! Even platforms that previously only supported a few assets have started to broaden their reach and incorporate more crypto-asset possibilities into their platforms. Coinbase, too, used to be this sort of exchange. In particular, the platform would link a select number of supported cryptocurrencies, mainly consisting of the major coins and tokens. This was a security assurance, as Coinbase avoided less-established crypto assets.
However, over time, the exchange in question began to accommodate more currencies and tokens, and there are now over 100 different assets accessible for trading. That is a good amount, and it is growing over time. However, in this FTX vs Coinbase comparison, FTX again takes the edge. The site now supports approximately 300 different crypto assets.
However, take in mind that FTX is somewhat unique in this aspect. As previously stated in the article, FTX concentrates on derivatives, which means that you would trade crypto-derived contracts instead of trading cryptocurrencies. At the same time, this still necessitates FTX supporting specific coins and tokens, so the issue becomes a little more convoluted. Whatever the situation, the thing remains clear: FTX leads the pack in terms of the number of assets it supports and allows its customers to trade.
Ease of Use
In this FTX vs Coinbase comparison, how should the ease of use of a crypto exchange be measured?
Well, it’s a little easier than you may think – the focus must be on the route a new user would take from registering on the site to financing their account and executing their first transactions. We should view all of this through the eyes of someone who has never used a cryptocurrency-related service before. While most of the industry’s top-rated cryptocurrency exchanges strive to make their services as accessible to newcomers as possible, not all of them are as effective as others. According to several user FTX vs Coinbase comparisons published online, this also applies to the old exchange platform.
While FTX isn’t too difficult to get into, its rigorous approach to KYC verification means you’ll have to overcome some significant bureaucratic hurdles before you can begin trading on the platform – limitations that may be a little more advanced than with many other exchanges. Furthermore, because FTX provides so many complex features to its customers, it will not be the most accessible learning platform! Whether it’s derivatives or the FX, or traditional stock trading markets, all of these aspects may create a reasonably scary atmosphere for newcomers to the field.
In most circumstances, competent customer service appears to be an essential aspect of a well-established crypto exchange. However, it isn’t – plenty of high-ranking exchangers out there still don’t provide their consumers with live customer service alternatives. Sadly, FTX is one of these exchangers. While you can contact support via email, you will not be able to speak with an agent live using the website’s built-in messenger. Coinbase, on the other hand, offers live chat support. You’d start conversing with a virtual assistant, but if it couldn’t assist you with your problem, you’d finally be able to connect with a natural person.
It’s an essential aspect to think about as well! Assume you’ve had a problem with your trading account or wallet and are now unable to withdraw your cash – this may be highly annoying and time-sensitive! In this circumstance, you should call a support person as soon as possible. If customer service – or the ability to interact with a support agent live via a built-in chat function on the website – is crucial to you, Coinbase is the only feasible option among the two exchanges we’re evaluating here. While FTX provides customer care, it is often restricted compared to Coinbase.
FTX vs Coinbase: The Final Verdict
To conclude our FTX vs Coinbase comparison, let me emphasize a point I’ve mentioned several times in this article: while both crypto exchange platforms have the basics sorted out, all that’s left is for you to determine which platform you’re more comfortable utilizing. In general, remember that you don’t even have to choose a single swap! You might begin your cryptocurrency adventure with Coinbase and then add FTX to your exchange list as a viable choice for some of the more complex services available once you’re more comfortable and have worked out the ropes.
Furthermore, the unique aspect of this comparison is that FTX also concentrates on crypto derivatives trading. This is a crucial consideration! Perhaps you don’t want to own real cryptocurrency and don’t want to invest in a separate crypto wallet to store your assets? If that’s the case, and you’re more of a day trader than a passive, long-term investor, FTX may be the better alternative. While it has a dedicated Spot market, and you CAN purchase genuine crypto assets, derivatives-focused traders will find all they need to complete their transactions.
Whatever you decide, bear in mind that you can also compare Coinbase vs FTX using our fact-based comparison. You’ll be able to locate it here once it’s live.