Choosing a cryptocurrency broker or exchange can often be a headache. There are so many choices and they all have individual rates, payment methods and available coins. Instead of taking as aspirin, just finish this article instead. I’m going to break down Coinbase vs Gemini for your crypto needs!
Coinbase vs Gemini
Coinbase is perfect if you’re looking to get your hands on some cryptocurrencies quickly. They are what we could call a broker because they help you buy or sell your coins at a set price. You can hold onto them through your account or transfer them off into an external wallet. Beginners to crypto will have the best results starting off with a website like Coinbase.
Since the company is based out of the US, they follow strict laws and regulations to assure your coins and account is safe. They have served over 8 million customers, exchanging over $20 billion in digital currencies since their launch in 2012. The co-founder of Reddit Alex Ohanian along with the Bank of Tokyo and Blockchain Capital even have used them.
Gemini on the other hand is what we call an exchange because you have to deposit fiat currency to begin trading. Note that I said trading and not just buying or selling. Those familiar with trading securities like stocks or Forex will feel at home here. Exchanges are for the more advanced investors that understand charts, developing strategies and similar investing skills. If you’re interested in trading coins for other coins like you would on the foreign exchange market for example, Gemini is for you.
The company was founded by the infamous Winklevoss twins and if you haven’t heard of them, you need to go watch The Social Network. While they have only been around for about half the time that Coinbase has, they have developed a great reputation and platform. They follow strict industry practices and segregate customer funds.
The verdict of Coinbase vs Gemini is the following:
- Coinbase is better suitable for beginners and is much easier to get started with.
- If you have previous investing experience, an exchange such as Gemini will be your best bet.
- You can’t buy Litecoin on Gemini but you can on Coinbase if that’s what you’re interested in.
- The only available payment and withdrawal methods for Gemini is bank transfer where Coinbase has PayPal and credit/debit card.
- Their customer service is of equal quality and only available through email.