Coinbase Cryptocurrency Exchange Review
When considering ways to buy, sell, and manage all of your digital currency, you want to be sure that you choose a company that can be trusted. Coinbase is the biggest bitcoin exchange company in the entire world. In short, you can count on your funds being protected. Get a better understanding of what you can expect from the San Francisco based business.
Understanding the Process
For anyone that is new to the concept of virtual currency, Coinbase is one of the easiest platforms to use. Customers that are interested in investing in the products available usually will make a purchase with a debit or credit card. The time it takes for the bitcoins to transfer into your virtual wallet is going to vary depending on the location and the type of payment used.
The company is backed by large US investors with over $100 million in funding, so there is no risk, and you can be confident that your money isn’t going anywhere. Just be aware that while the business can be trusted, they do have the right to shut down your account or block you from access at any time, for any reason they see fit.
Coinbase Wallet Types
There are three different types of virtual wallets to choose from:
- Coinbase Bitcoin Wallet – In the Coinbase wallet, your bitcoins are controlled by the company. You are responsible for making sure your password and login information is kept safe, and you have to trust that they will keep your currency secure.
- Coinbase Vault – This is where users with a significant amount of bitcoins usually put their money. It is harder to make a withdrawal because two preapproved authorized individuals have to approve it. Then, it takes 48 hours for the funds to be released. The purpose is added security so that unauthorized withdrawals are much less likely to occur.
- Multisig Vault – The mulitsig vault is set up with three authorized “key holders.” For money to be moved from the vault, two of the three keys have to approve it. One key holder is the owner, another is Coinbase, and the third is shared.
Your personal information including name, address, phone, number, and email are all requirements to signing up. Coinbase will connect you with your IP address to confirm your identity. All the KYC laws must be followed by Coinbase, because of their multiple buy and sell features. Every time a payment request is made, there is a new address that gets used. That is a security feature that is active to keep users from connecting two or more bitcoin addresses.
Reports have been made that the company may be tracking the way their users spend their bitcoin. You must put full trust in the business if you are considering using it for your virtual currency needs.
With the plethora of security features that Coinbase has implemented to keep their users protected from fraud or scams, it is safe to say that it is the right place for even beginners to go to buy, sell, and manage their digital currency portfolio.