Is Coinbase Safe For Trading?

Since its inception a decade ago, Coinbase has built up a solid reputation as one of the most secure platforms for buying and selling cryptocurrencies. It carries out rigorous security audits and employs industry-standard measures such as storing user funds in offline vaults and enabling two-factor authentication. Users can also add a layer of security by using biometric authentication on their mobile app, like fingerprint or face recognition.URL :theinvestorscentre.co.uk

Additionally, the Coinbase website and app offer educational resources to help users understand cryptocurrencies and crypto trading. They also reward users with small amounts of cryptocurrency for watching educational videos and taking online quizzes. This helps traders diversify their portfolio and learn more about cryptocurrencies, and also encourages them to practice good security hygiene.

Is Coinbase Safe for Trading? An Expert Review

However, it’s important to note that Coinbase is not impervious to cyber attacks. It has been reported that some users have had their account balances drained overnight. This could have been the result of a SIM swap attack, where a hacker gains access to your device and changes your phone number, thereby allowing them to drain your wallet.

Another concern is the high fees that Coinbase charges compared to other exchanges. The platform uses a maker-taker fee model, which can be complicated for beginners. And because Coinbase holds the private keys to your cryptocurrencies by default, you lose some control over them. This may be a drawback for some traders. On the other hand, investors are increasingly looking for a trusted platform to invest in crypto. And as a publicly-traded company, Coinbase offers some added credibility and transparency.

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