Are you looking to get into cryptocurrency trading but unsure of which exchange to use? Look no further than this in-depth comparison of Gemini and Coinbase, two of the biggest players in the game. We'll be examining their unique features, fees, pros and cons to help you make an informed decision and get started on your crypto journey.
Gemini and Coinbase are two of the most well-known and highly-regarded cryptocurrency exchanges in the world. Both exchanges offer a wide selection of cryptocurrencies, a user-friendly interface and robust security measures.
Gemini was founded in 2014 by the Winklevoss twins and is based in New York. The exchange is regulated by the New York State Department of Financial Services and has a strong reputation for security and compliance. Gemini offers trading for over 100 cryptocurrencies, including Bitcoin, Ethereum, Solana, Polkadot and many others.
Coinbase was founded in 2012 and is also based in the United States where it's regulated by the Financial Crimes Enforcement Network (FinCEN). Being a public company mean that Coinbase is the most scrutinised exchange in the world. Coinbase offers trading for over 200 cryptocurrencies.
Gemini vs Coinbase: Signup & KYC
When it comes to signup & KYC, Gemini and Coinbase don't differ too much even though both exchanges have their own unique signup process and KYC requirements.
Gemini requires users to provide their full name, password and country of residence during the signup process. Once signed up, users must complete the KYC verification process which involves uploading an ID. This can take a few days to process but once completed, users can deposit funds and begin trading.
Coinbase's signup process takes only 1 minute to complete but requires verification of email, phone and personal information. The verification process involves submitting required documents which can be completed in a few minutes to a few hours. Like Gemini, Coinbase requires KYC verification to trade on their platform.
Gemini or Coinbase: Products & Services
When it comes to products and services, Gemini and Coinbase offer some similar but there are some key differences that set them apart. Let's take a closer look at what each platform has to offer.
Gemini offers spot trading, wallet and custody services, Gemini dollar, and over-the-counter (OTC) trading. The platform has a very basic but slick user experience that is suitable for beginners. The average 24-hour spot trading volume on Gemini is relatively low at $15 million per day.
Coinbase offers a slightly larger range of features such as buying and selling crypto, lending and borrowing, web 3 wallet, Coinbase card, NFTs, and recurring buys. The platform also has a great user experience even though recurring connectivity issues are a pain in the ass. Coinbase has a high spot trading volume at roughly $1billion per day.
Neither Gemini nor Coinbase offer any type of leveraged derivatives trading as they are both based in the United States where regulatory requirements are much stricter.
When it comes to trading fees, there are some notable differences between Gemini and Coinbase. Coinbase charges a higher spot maker fee of 0.40% compared to Gemini's 0.20%. This means that users on Coinbase will pay more to place limit orders on the platform.
Additionally, Coinbase charges a higher spot taker fee of 0.60% compared to Gemini's 0.40%, which means that users will pay more to execute market orders. Overall, it's clear that Gemini has lower spot fees than Coinbase, making it a more cost-effective option for traders looking to place limit and market orders.
When comparing the fiat deposit methods offered by Gemini and Coinbase, there are some notable differences between the two exchanges.
Gemini supports 8 fiat currencies including USD, EUR, and GBP, and allows for deposits via bank transfer (ACH/Wire), debit card transfers, and PayPal. Bank transfers are free of charge, while debit card transfers incur a fee of 3.49% and PayPal incurs a 2.5% deposit fee.
On the other hand, Coinbase supports 3 fiat currencies (USD, EUR, and GBP) and allows for deposits via ACH, wire (USD), SEPA (EUR), and Swift (GBP). ACH and SWIFT deposits are free of charge while wire deposits incur a $10 USD fee and SEPA deposits incur a 0.15 EUR fee.
When it comes to fiat withdrawals, both Gemini and Coinbase offer a range of options to their users. Gemini allows users to withdraw fiat currency via bank transfer (ACH/Wire Transfer) for USD, EUR, and GBP. The best part is that fiat withdrawals via bank transfer are completely free of charge.
On the other hand, Coinbase offers fiat withdrawals via ACH, Wire, SEPA, and Swift. While ACH withdrawals are free, wire withdrawals come with a $25 USD fee, SEPA withdrawals come with a 0.15 EUR fee, and Swift withdrawals come with a 1 GBP fee.
In terms of fees for cryptocurrency withdrawals, the two exchanges differ slightly. Gemini charges a small fee of 0.0001 BTC for Bitcoin withdrawals and 0.005 SOL for Solana withdrawals. Overall, both Gemini and Coinbase offer reliable and secure options for fiat and cryptocurrency withdrawals.
Regardless of which exchange you choose, you can rest easy knowing that your funds will get to you quickly and without issue.
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Jack is a crypto writer and reviewer who has been active in the space since he caught the crypto bug in 2017. With a passion for trying out new shiny things, Jack is always eager to try the latest cryptocurrency exchanges, wallets or DeFi applications.