Create your own cryptocurrency portfolio with Coinbase and get financially rewarded for doing so. Here are the details.
An original article by Lorimer Wilson, Managing Editor of munKNEE.com – Your KEY To Making Money!
(Disclosure: Wilson is not invested in Coinbase and owns no shares of its stock. The information below is just information on new offerings in the investment landscape. Do your own due diligence.)
Coinbase Global Direct Inc. (COIN) is a secure online platform for buying, selling, transferring, and storing digital currency.
- Storage is secured offline
- the vast majority of the digital assets are stored in secure offline storage. Learn how Coinbase keeps your funds safe and secure
- Storage is protected by insurance
- cryptocurrency stored on their servers is covered by an insurance policy. Learn how your crypto is covered by our insurance policy
- Industry best practices are deployed to supports a variety of the most popular digital currencies. Learn how they implement industry best practices for account security
- You can invest in cryptocurrency slowly over time by scheduling buys daily, weekly, or monthly
- You can link all transactions directly to your bank account
- You can use a variety of payment methods of your choosing (Go here for specific payment methods for U.S. customers, here for Canadian customers, here for U.K. customers, here for Australian customers and here for European customers.)
Coinbase offers its USD Wallet and Hosted Cryptocurrency Wallet Service free of charge, i.e. Coinbase will store your USD and cryptocurrency at no cost to you.
Coinbase incurs and pays network transaction fees, such as miner’s fees, for transactions on cryptocurrency networks (i.e., transfers of cryptocurrency off the Coinbase platform) and charges a fee for that based on their estimate of the network transaction fees that they anticipate paying for each transaction.
Coinbase establishes the exchange rate for cryptocurrency transactions by adding a margin to the market exchange rate and may also charge a separate fee that is either a flat fee or a percentage of the transaction as described below.
In some cases, Coinbase may charge an additional fee on transfers to and from your bank account but before doing so they will notify you of all Coinbase fees (not including the margin) and any other service fees that apply to each transaction immediately before you conﬁrm each transaction.
Coinbase charges a spread of about one-half of one percent (0.50%) for cryptocurrency purchases and cryptocurrency sales although the actual spread may be higher, or lower, due to market fluctuations in the price of cryptocurrency between the time they quote a price and the time when the order executes.
Coinbase also charges a fee (in addition to the spread), which is the greater of (a) a flat fee or (b) a variable percentage fee determined by region, product feature, and payment type. (see details here)
If you borrow USD from Coinbase or an affiliate of Coinbase, and they sell your BTC collateral they will charge you a flat fee of 2% of the total transaction.
Spending USDCoin with Coinbase Card has no fee, however Coinbase charges a flat 2.49% transaction fee on all purchases including ATM withdrawals made with other cryptocurrency.
Coinbase charges a spread margin of up to two percent (2.00%) for cryptocurrency conversions. The actual spread margin charged varies due to market fluctuations in the price of cryptocurrency between the time they quote a price and the time when the order executes.
Variable Fees by Location and Payment Method
See details here
Staking Service Commission
You may be given the option to “stake” your assets (staking is the process of actively participating in transaction validation (similar to mining) on a proof-of-stake (PoS) blockchain. On these blockchains, anyone with a minimum-required balance of a specific cryptocurrency can validate transactions and earn Staking rewards on Coinbase in a third party proof-of-stake network via staking services provided by Coinbase. Please see their staking information page for more information regarding staking and Appendix 6 of the Coinbase User Agreement for applicable terms and conditions. If you stake your assets with Coinbase, your reward will be determined by the protocols of the applicable network. Coinbase will distribute this reward to you after receipt by Coinbase, minus a 25% commission.
Coinbase’s initial reference price at launch on April 14th was $250 and while it surged to $342 shortly thereafter it has settled down into the $220 to $250/share range where it currently lingers.
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