What is Coinbase? How to use Coinbase Guide

What is Coinbase? How to use Coinbase Guide

Posted on: 30 April 2023

What is Coinbase and How Does it Work?

Cryptocurrencies have become increasingly popular in recent years, with Bitcoin and Ethereum being two of the most well-known digital currencies. Coinbase is a cryptocurrency exchange and brokerage platform that allows users to buy, sell, and store various cryptocurrencies, including Bitcoin, Ethereum, Litecoin, and many others.

Coinbase was founded in 2012 by Brian Armstrong and Fred Ehrsam and is based in San Francisco, California. It has grown to become one of the largest and most trusted cryptocurrency exchanges in the world, with over 56 million registered users in over 100 countries as of 2021.

How Does Coinbase Work?

Coinbase works as a bridge between traditional financial systems and the world of cryptocurrencies. It allows users to easily buy and sell cryptocurrencies using fiat currencies (like USD, EUR, and GBP) or other cryptocurrencies.

To use Coinbase, users first need to create an account on the platform. This involves providing basic personal information such as name, email address, and a government-issued ID. Once the account is created and verified, users can link their bank accounts or credit cards to the platform to start buying and selling cryptocurrencies.

Coinbase offers several ways to buy and sell cryptocurrencies:

  1. Instant Buying: This feature allows users to buy cryptocurrencies instantly using their linked debit card or bank account. This is the fastest and most convenient way to buy cryptocurrencies on Coinbase.

  2. Coinbase Pro: This is Coinbase's advanced trading platform that offers more features for experienced traders. It includes features like limit orders, stop orders, and margin trading, as well as lower fees compared to the standard Coinbase platform.

  3. Coinbase Wallet: Coinbase also offers a mobile wallet app that allows users to store their cryptocurrencies securely on their mobile devices. The Coinbase wallet also supports decentralized applications (dApps) that run on the Ethereum blockchain.

Security Measures on Coinbase

Coinbase is known for its strong security measures that protect user funds. The platform uses two-factor authentication (2FA) and biometric verification to ensure that only authorized users can access their accounts. Coinbase also uses cold storage to store the majority of users' funds offline, away from potential hackers.

Coinbase also insures all funds held on the platform, which means that in the event of a security breach, users will be compensated for their losses.


Coinbase is a popular and user-friendly platform that allows users to buy, sell, and store cryptocurrencies easily and securely. Its strong security measures and insurance policies make it a trusted platform among cryptocurrency users worldwide. With its wide range of features, including instant buying, advanced trading, and mobile wallet integration, Coinbase has become the go-to platform for anyone looking to enter the world of cryptocurrencies.

To learn more about the top crypto exchanges, go to www.cryptovsummit.com