eToro Vs Coinbase: Who Wins?
eToro vs Coinbase
eToro vs Coinbase! How many times have you been faced with the decision of which crypto trading platform to use? You might be trying to decide between eToro and Coinbase. If so, this blog post is for you! We will compare these two platforms on a few important aspects that include: security, fees, customer support, and mobile app.
Disclaimer: We want to emphasize that this is not financial advice. Cryptocurrencies operate in a volatile market, where values can drastically fluctuate in a blink of an eye. It is imperative to conduct thorough research and seek guidance from a qualified financial advisor before investing.
History
eToro was founded in 2006, Coinbase was founded in 2012.
eToro's main office is located in Tel Aviv while Coinbase has headquarters just outside of San Francisco. eToro was launched primarily as a stock trading platform and introduced Crypto trading to the platform in 2017, eToro launched its platform for the US market in 2019 whereas Coinbase was founded as a Bitcoin wallet company but now offers trading with many different cryptocurrencies on both their mobile app and desktop website.
eToro has been around for a longer time, but Coinbase has been offering crypto trading for longer, if you are looking for the platform with the most experience in dealing in crypto, then Coinbase definitely wins.
Winner: Coinbase
Security
Both exchanges offer Federal Deposit Insurance Corporation (FDIC) insurance on cash balances up to $250,000 for U.S.-based customers. eToro, Coinbase, and other exchanges are licensed by the Financial Conduct Authority (FCA). eToro is compliant with the Australian Securities and Investments Commission and Cyprus Securities and Exchange Commission regulations.
Two-factor (2F), authentication is provided by Coinbase via the Google Authenticator app and short message service (SMS). Alternatively, eToro offers optional 2F authentication via SMS. While Coinbase has 98% of its coins stored in air-gapped cold storage, eToro is split. It keeps coins in hot storage in its wallets, while "coins listed on the platform" are kept in cold storage.
Multi-signature security is provided by Coinbase and eToro wallets. Coinbase allows fingerprint biometric access. eToro offers distributed denial of service (DDoS), protection, and standardization protocols.
Winner: Coinbase
Fees
You'll pay fewer fees overall on the eToro platform. If you use a credit card to purchase $100 worth of Bitcoin on eToro you will pay a spread of 0.75% instead of a spread of 0.50% plus 3.99% at Coinbase.
Depending on the amount of money you have invested, you can also get additional benefits and discounts on eToro such as fee-free withdrawal of funds.
Winner: eToro
Usability
If you are looking for an easy-to-use app/platform, then eToro is the better choice, it is much better for beginners as the whole process is extremely simple.
Although Coinbase has a better-looking and clean app, eToro is much easier to use.
Winner: eToro
Trading Pairs
In this department, Coinbase wins by far, it has many more cryptocurrencies available for trading than eToro.
Winner: Coinbase
Users
At the time of writing, eToro has over 20 million users while Coinbase has more than 35 million users.
Winner: Coinbase
Customer Support
From our experience, eToro's customer support has always been more helpful and prompt when answering queries, Coinbase, on the other hand, has faced a lot of criticism due to its slow and inactive customer support.
Winner: eToro
eToro vs Coinbase: Verdict
After our eToro vs Coinbase comparison, we came to a conclusion that doesn't reflect the results if you simply want to add the verdict from each individual point we compared.
When looking at the sum of each section, Coinbase wins 4-3, but when taking into account how important each factor is, we believe this is, technically, a tie.
Why? Because each will be better for different needs, if you are looking for the easiest platform to use, that also gives you extra features such as stock trading, then eToro is the better choice.
If you are looking for more advanced crypto trading with stronger security features and a larger number of cryptocurrencies available for trading, then Coinbase is the winner,
What do you think? Which one do you like better? Let us know in the comment section below!
Winner: Tie
