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Binance vs Coinbase: The biggest differences
Binance and Coinbase both offer a variety of cryptocurrencies, with features like staking, peer-to-peer crypto transactions, payment services, institutional services, educational resources, and much more.
But the two platforms also have many differences. Though it has a US version (Binance.US), Binance is best for experienced, non-US traders who want access to a variety of trading tools, order types, and account features. Coinbase, however, is likely more suitable for beginners in search of an easier user interface.
Binance and Coinbase’s account features and fees also vary. Keep reading to see how the investment platforms compare.
Binance pros and cons
Founded in 2017, Binance is a crypto exchange offering hundreds of cryptocurrencies for traders around the world. It offers a vast selection of services, including regular crypto trading, margin trading, and futures and options trading, Binance Academy (a compilation of educational resources for beginners), NFT services, and much more.
With Binance Earn, you can earn regular interest rewards from staking a variety of coins (staking is a process that allows you to earn interest payments from holding certain assets for a set period of time). Another feature, Binance Loan, lets you use crypto as collateral to take out crypto loans.
In addition, the Binance Visa Card gives you the choice to spend crypto on items around the world, and Binance Pay lets you transfer or spend more than 40 different cryptocurrencies at no additional cost.
When it comes to trading, you’ll have a variety of options and platforms. These include its over-the-counter (OTC) trading portal, the Classic Binance trading interface, the advanced trading platform, margin trading, and peer-to-peer transactions.
You won’t be able to use the regular Binance platform if you’re a US resident. Binance has a separate platform, Binance.US, for US traders. The US platform has a more limited selection of cryptocurrencies (50+ to be exact), and it doesn’t allow for margin or futures trading. However, it still provides a wide range of features for individuals and institutions. See our complete review of Binance.US here.
On the institutional side, Binance provides over-the-counter (OTC) trading and various other services for clients like high frequency trading firms, hedge funds, market makers, and investment banks.
In addition to trading (institutions can take advantage of futures and options products, margin trading, and API connectivity), Binance also offers institutions a large suit of staking and savings options through the Binance Earn portal. Read more on Binance’s institutional services here.
When it comes to platform navigability and customer support, Binance is difficult to beat. You can access its platform through a number of devices, including iOS, Android, Android APK, MacOS, Windows, Linux, and API. Plus, Binance offers 24/7 customer service.
Read Personal Finance Insider’s complete review of Binance.US here »Coinbase pros and cons
Coinbase is one of the largest crypto exchanges in the world. Founded in 2012 by Brian Armstrong and Fred Ehrsam, the investment platform offers more than 80 assets, with crypto services both for individuals and institutions. These include crypto trading and staking, digital crypto storage, crypto rewards for educational courses, and more.
If you’re a retail trader looking to get into crypto, you can either choose the standard Coinbase investing account, or the Coinbase Pro account. While both the standard and Pro accounts give you access to features like staking, Coinbase Earn (an educational program that pays you in crypto for learning about different cryptocurrencies), crypto loans, and digital storage, Coinbase Pro has a more advanced offering of trading tools.
These include trading APIs, charting tools, and order books (including $250,000 FDIC insurance).
As for accepted payment methods, US customers can fund their accounts through ACH transfers, wire transfers, debit card transactions, PayPal transfers, and Apple Pay transfers. But Coinbase is pricier than both the Binance and Binance.US platforms.
Coinbase also provides a long list of options for institutions or businesses with crypto needs. These include its Coinbase Prime trading platform, institutional-grade offline storage services, commerce platform, Asset Hub, and more.
Read Personal Finance Insider’s complete review of Coinbase here »Binance versus Coinbase: Which is right for you?
Binance and Coinbase both offer a large selection of cryptocurrencies like bitcoin, ethereum, and dogecoin, but the platforms differ when it comes to fees, order types, account features, and accepted payment methods.
While Coinbase offers support for traders in more than 100 countries, Binance is a less expensive choice for non-US traders (but also note that you’d pay less for the US version of Binance than you would for Coinbase). However, Coinbase makes up for its higher fees with an easier user interface.
Overall, Binance is an ideal option for non-US traders in search things like low fees, copious payment methods and order types, and advanced trading tools. Binance.US could also be a good choice for US traders who want lower fees, but Coinbase’s combination of educational resources, ease of use, and account features makes it hard to beat for beginners.
Rickie Houston is a wealth-building reporter for Business Insider, tasked with covering brokerage products, investment apps, online advisor services, cryptocurrency exchanges, and other wealth-building financial products. He is also a Certified Educator in Personal Finance (CEPF).
Previously, Rickie worked as a personal finance writer at SmartAsset, focusing on retirement, investing, taxes, and banking topics. He’s contributed to stories published in the Boston Globe, and his work has also been featured in Yahoo News.
He graduated from Boston University, where he contributed as a staff writer and sports editor for Boston University News Service.