Looking forward to investing in cryptocurrencies but don’t know how to do it? Well, the first thing you’ll need is to open an account in cryptocurrency exchange and then purchase some cryptos from there. If you are not aware of it already, Coinbase is considered as the best crypto exchange for beginners as it provides an intuitive platform that is easy to use and understand. Moreover, the services provided by this platform are also impressive with little or no issue anywhere. We rate Coinbase as the best overall exchange because of its reliable services, affordable fees, easy to use platform, wide range of supported cryptocurrencies and what not. So, if you are interested in purchasing cryptos and don’t have much experience with it, this is for you.
In this article, we are going to help you with how to trade cryptocurrency on Coinbase exchange. Let us get started with the procedure right away and help you out with trading on one of the most famous exchanges.
Start With Signing Up On The Coinbase Platform
To start with, first, you need to visit the Coinbase portal and register yourself for an account.
- Click on the sign-up button on your screen and enter your basic information such as your name, email address, and at last the password for your new Coinbase account.
- Now verify that you are a human being by selecting the box next to “I’m not a robot field”.
- Select Create Account option.
Now that you’ve signed up on the platform successfully, the next step is to go through KYC verification. Coinbase is a well-reputed exchange that also lets you buy crypto using your fiat currency. This is the reason KYC is mandatory on Coinbase to provide you with secure fiat to the crypto trading experience. In order to comply with Coinbase’s KYC regulations, first of all, you must be above 18+ and have all the necessary documents required.
The next step after you complete your KYC verification is to connect your bank or credit/debit card to your account. When you get the prompt to do so, you can link your payment method to your Coinbase account. Don’t worry you are not going to pay right away, this is just a formality and if you don’t feel like entering your card details just now, you can also skip it.
After that, it’s time to link your mobile number to your account for security purposes. This will also help you recover your account in future when you either can’t remember its password or anything else.
Enable 2 Factor Authentication
So, you are all signed up with your new Coinbase account and also verified yourself. If not, first go and provide your identity verification to be able to make your first purchase from the platform. It is also necessary that you enable two-step verification for your account before trading on it or doing any other thing. Two-factor authentication gives your account another layer of security and keeps it safe from hackers or thieves. Once you complete all the above-said procedures, i.e. sign up, complete basic verification, ID verification and turn on 2FA, you are ready to buy and trade cryptocurrency on Coinbase.
Trade Cryptocurrency On Coinbase
Start with depositing funds into your account. You can deposit as many funds as you want because there is no minimum or maximum limit. However, make sure you are aware of deposit fees. After initiating the deposit in your account, you might have to wait for a day or four until you get the money deposited. It depends on your bank account actually, how much time they take to deposit your funds.
As soon as you get the deposit, you can buy and trade on Coinbase. Head to Buy/Sell section, select your desired crypto and start placing your order. You can choose from the wide range of cryptos available on the platform. And if the crypto you want to buy is not available for direct purchase, you can buy and trade Bitcoin on Coinbase or any other crypto like Ethereum with your fiat deposit and then exchange it with the crypto you want.
Placing an order on Coinbase is as simple as using net banking. Once purchased, you can use these cryptos for trading and selling for a profit on the same platform or even anywhere else if you want. What matters is that you take advantage of trading cryptocurrency. In case, you are willing to HODL the coins or invest in it for quite long, you can transfer it to your private wallet. Note that, you should not store your coins in your exchange account as there are risks of security breaches and hacking.
In order to sell cryptocurrency on Coinbase, the procedure is similar to buying. You can select what fiat currency you want in exchange for your crypto or you could also exchange it for other crypto coins.
Things You Should Keep In Mind
Whether you have already made a purchase from Coinbase or going to trade cryptocurrency on Coinbase, there are a few things you should remember. First of all, there are only a few fiat currencies supported for buying cryptos and selling. And it is not necessary that the fiat supported for depositing would be supported for selling your cryptocurrencies. By that we mean if you bought Bitcoin using USD, it is not necessary that you can sell the Bitcoins back for USD. so make sure you check all the details about supported fiat and cryptos also. However, it is not much of an issue because you might be able to sell your cryptocurrency for your desired fiat on other platforms and you can also use P2P trading platforms like LocalBitcoins.
To check how much cryptos you own and the balance you have in your Coinbase account, head to the Dashboard section. There you’ll also find the details about your current activities and purchases.
As we said above Coinbase is best for new users, although, the fees that it charges are quite high if compared to other platforms in competition. If you want to trade on a cryptocurrency platform with low fees, you can consider exchanges like Binance.