Is Coinbase the Largest US crypto exchange? This question is mostly asked by crypto users who are looking to better understand the trading platform and its financial services.

Regarding stock trading and cryptocurrency in the United States, Coinbase is one of the most popular cryptocurrency exchanges used by consumers and institutional investors.

If you are wondering how big Coinbase is, then this article is for you. We will look at the history of Coinbase, and how it compares to other rivals like Binance US, Crypto.com, and Kraken in the United States.

Furthermore, you will gain more information on why it is one of the best crypto exchanges in 2024. Knowing this will help you discover its unique features and how it has dominated the US market for years.

Understanding Coinbase Crypto Exchange

Coinbase is one of the best crypto exchanges in the world and is very famous in the crypto industry. It was founded in 2012 and has grown to become a user-friendly crypto trading platform.

Over the years, the cryptocurrency trading platform has boasted more than $100 billion in quarterly trading volume and has millions of users across 100+ countries. This makes it one of the top crypto exchanges in the US.

The simplicity, extensive educational materials, and regulatory compliance are the factors that contribute to its steady growth among many crypto exchanges.

History of Coinbase Exchange

The Coinbase platform has millions of consumers in the United States and it has significantly grown since it started in 2012. Here is a summary of its rich history:

Founding and Early Years (2012–2015)

{"content":"Founded: Brian Armstrong who was a former Airbnb engineer started Coinbase in June 2012 with Fred Ehrsam, a former Goldman Sachs trader.  ","meta":[],"items":[]}
{"content":"Purpose: The goal of the platform is to make the transaction of crypto like Bitcoin and Ethereum to be easy, which was complex and difficult at that time.  ","meta":[],"items":[]}
{"content":"Initial Support: When the platform started, it was only for Bitcoin transactions and it prioritizes a user-friendly dashboard for non-technical crypto users.  ","meta":[],"items":[]}
{"content":"Funding: The company gathered $600,000 in its seed round from Y Combinator for credibility and early financial backing.  ","meta":[],"items":[]}

Expansion and Growth (2015–2017)

{"content":"Coinbase expanded its crypto offerings to include several cryptocurrencies like Litecoin and Ethereum. ","meta":[],"items":[]}
{"content":"The company developed Coinbase Pro which was initially called GDAX to provide advanced trading crypto tools for complex traders.   ","meta":[],"items":[]}
{"content":"Coinbase was the first crypto exchange to get the New York BitLicense in 2016, thereby cementing its reputation as a credible and trusted platform.  ","meta":[],"items":[]}

IPO and Major Milestones (2018–2021)

{"content":"By 2020, Coinbase had gathered more than 35 million users that were verified and supported hundreds of cryptocurrency trading.  ","meta":[],"items":[]}
{"content":"IPO Launch: Coinbase became the first big crypto company to go public via a direct listing on NASDAQ on April 14, 2021. Its market valuation exceeded $85 billion and it was listed under the ticker symbol COIN.  ","meta":[],"items":[]}
{"content":"The listing of the company created a milestone for the crypto industry by bringing more mainstream recognition to digital assets. ","meta":[],"items":[]}

Recent Developments (2022–Present)

{"content":"The company has continued to innovate by starting several products such as staking services, Coinbase Wallet, and educational material for beginners who are new to crypto. ","meta":[],"items":[]}
{"content":"The platform has steady competition from top cryptocurrency exchanges like Binance and several regulatory challenges in the US and abroad.  ","meta":[],"items":[]}
{"content":"Despite market volatility, Coinbase is still an industry leader in the crypto space, with millions of consumers and billions in trading volume.  ","meta":[],"items":[]}

Significance to Consumers in the United States

Coinbase has played a major part in making cryptocurrencies popular and widely accepted for consumers to buy and sell in USD and other currencies. The platform offers a gateway that is accessible and secure for millions of users in the United States.

Its strong concentration on user education and regulatory compliance has made it a cornerstone in the crypto world.

For more details, you can visit the Coinbase official website and learn more about its history and milestone

Read also

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Market Trade Competition: How Does Coinbase Compare?

Kraken

Kraken is another popular exchange in the US that provides several trading tools, support for different altcoins, and staking services for users. It is highly favored by expert traders who want high security and lower fees in trading.

Binance.US

Binance.US is the American branch of Binance and it offers competitive fees and an extensive selection of cryptocurrencies for users. Nevertheless, the regulatory dealings in the US have limited its market penetration when compared to Coinbase.

Gemini

Gemini is famous for its regulatory compliance and strong security. It is very attractive to retail and institutional investors. Despite its strong backing, the trading platform is no match for Coinbase's liquidity and user base size.

Key Metrics of Comparison in the Crypto Market

For cryptocurrency exchanges based in the United States, here are some key metrics used for comparison in the crypto market:

1. Market Share

{"content":"Coinbase: Holds a sizable share in the United States, leading in trading volume and user base because of its regulatory compliance and user-friendly platform. ","meta":[],"items":[]}
{"content":"Kraken: A strong competitor that is widely used by expert traders. However, its market share is smaller when evaluated with Coinbase.  ","meta":[],"items":[]}
{"content":"Binance.US: Provides competitive fees and an extensive selection of crypto assets because of regulatory scrutiny by the Securities and Exchange Commission in the US.  ","meta":[],"items":[]}

2. User Experience

{"content":"Coinbase: Famous for its smooth user experience and intuitive interface, thus making it a perfect exchange for beginners. ","meta":[],"items":[]}
{"content":"Kraken: Provides complex trading tools like crypto derivatives, futures, and margin trading for expert users in the industry.  ","meta":[],"items":[]}
{"content":"Gemini: Focuses on institutional-grade financial services while keeping an interface that can be accessible by retail investors.   ","meta":[],"items":[]}

3. Supported Cryptocurrencies

{"content":"Coinbase: Supports an extensive range of digital assets including popular ones like ERC-20 tokens, NFTs, and virtual currency. ","meta":[],"items":[]}
{"content":"Binance.US: Offers a bigger selection of tokens but is limited because of regional restrictions.  ","meta":[],"items":[]}
{"content":"Kraken: Balances between famous tokens and niche coins to make it appealing to diverse users in the U.S ","meta":[],"items":[]}

4. Trading Fees

{"content":"Coinbase: Generally comes with higher fees on its standard platform while the Pro version provides lower fees for users.  ","meta":[],"items":[]}
{"content":"Kraken: Competitive fees for expert traders and high-volume trades on the platform. ","meta":[],"items":[]}
{"content":"Binance.US: Has one of the lowest fees in the industry which makes it appealing to cost-sensitive users.  ","meta":[],"items":[]}

5. Security

{"content":"Coinbase: For security, Coinbase uses insurance, strict KYC\/AML measures, and cold storage to protect market data.  ","meta":[],"items":[]}
{"content":"Kraken: Strong concentration on security with options like bug bounty programs, 2FA, and cold storage.  ","meta":[],"items":[]}
{"content":"Gemini: Famous for its security certifications and a strong emphasis on user safety. ","meta":[],"items":[]}

Regulatory Compliance

{"content":"Coinbase and Gemini: Exceptional for their strong devotion to regulatory compliance with the US to increase trust and services for institutional investors.  ","meta":[],"items":[]}
{"content":"Kraken: Compliant but concentrates more on the global market for the 24-hour trading volume.  ","meta":[],"items":[]}

By evaluating these metrics, you can better grasp how Coinbase compares to its competitors in the US crypto exchange industry.

Why Coinbase Cryptocurrency Exchange Appeals to Users

{"content":"Ease of Use: Coinbase provides an intuitive interface and educational knowledge for beginners who are new to crypto.  ","meta":[],"items":[]}
{"content":"Regulatory Compliance: As a regulated exchange, it offers users a sense of security and crypto prices. ","meta":[],"items":[]}
{"content":"Features: From wallet integrations to staking, Coinbase offers a wide range of services   ","meta":[],"items":[]}

For more information, you can watch this Recommended YouTube Resource to understand better top crypto exchanges like Coinbase

Conclusion

Although Coinbase is a major force in the US market, its competitors such as Binance US and Kraken are known to be alternatives for users. Several areas like regulatory compliance, trading fees, and user experience contribute to the success of the trading platform.

If you are an expert trader or just starting in crypto, knowing the story behind one of the biggest exchanges in the world will help decide if the platform is perfect for your financial goals or not.

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Is Coinbase the Largest US Crypto Exchange?