Both eToro and Coinbase are popular platforms for buying, selling, and trading cryptocurrencies. However, each one caters to a different type of trader. In this article, we’ll break down the key differences between these two platforms, including fees, trading features, and user experience, to help you determine which is best for you in 2024.
| Feature | eToro | Coinbase |
|---|---|---|
| Number of Cryptos | 80 | 250+ |
| Trading Fees | 1% fee on buy and sell orders | Variable fees, 0.6% maker/0.8% taker (Advanced) |
| Copy Trading | Yes, available for crypto | No |
| Withdrawal Fees | $5 flat fee | Network fees only |
| Mobile App | Available on iOS and Android | Available on iOS and Android |
| Regulation | FCA, CySEC, FinCEN | FCA, SEC, FinCEN |
eToro vs Coinbase: Cryptocurrencies Available
eToro
eToro offers around 80 cryptocurrencies for trading, including major coins like Bitcoin, Ethereum, and Ripple. The platform is known for its easy-to-use interface and also offers additional asset classes such as stocks and ETFs, making it a versatile option for investors who want to diversify their portfolios beyond crypto.
Coinbase
Coinbase supports over 250 cryptocurrencies, making it the better choice for those who want access to a broader range of crypto assets. Coinbase offers a simple interface for beginners but also provides an advanced platform, Coinbase Advanced, for more experienced traders seeking lower fees.
Verdict: If you are looking for a broader selection of cryptocurrencies, Coinbase is the better option. However, if you’re also interested in stocks and ETFs alongside crypto, eToro offers greater versatility.
Fees: eToro vs Coinbase
eToro Fees
eToro keeps its fee structure simple by charging a flat 1% fee on all crypto trades (both buying and selling). This fee is included in the price when you place an order, so you can clearly see how much you’re paying upfront.
Other eToro fees include:
- Withdrawal Fee: $5 for all withdrawals
- Inactivity Fee: $10/month after 12 months of no activity
Coinbase Fees
Coinbase’s fee structure is a bit more complex:
- Coinbase Simple Trades: Fees are variable and can range from 3.84% for small transactions to lower percentages for larger trades.
- Coinbase Advanced: Advanced users pay 0.6% maker fees and 0.8% taker fees, making it a more cost-effective option for frequent traders.
Other Coinbase fees:
- Network Fees: Applied when transferring crypto to an external wallet, but there are no fixed withdrawal fees.
Verdict: For beginners and occasional traders, eToro’s straightforward fee structure is easier to understand and generally cheaper than Coinbase’s Simple Trades. However, for advanced users making frequent trades, Coinbase Advanced offers lower trading fees.
When buying Bitcoin, it's important to consider the fees and user experience offered by different platforms. If you're leaning towards eToro, check out our step-by-step guide on How to Buy Bitcoin on eToro to get started quickly and securely.
Unique Features: eToro vs Coinbase
eToro: Copy Trading
One of eToro’s standout features is Copy Trading. This allows users to automatically copy the trades of successful investors on the platform. This is particularly useful for beginners who may not feel confident making their own trading decisions.
- Smart Portfolios: eToro also offers Smart Portfolios, which are curated baskets of assets, including cryptocurrencies, that provide diversification across a range of assets.
Coinbase: Advanced Trading and Staking
Coinbase shines in its staking options, allowing users to earn rewards by staking certain cryptocurrencies like Ethereum, Cardano, and Solana. Additionally, Coinbase offers Coinbase Advanced, which gives users access to lower fees, advanced charting tools, and limit orders for more control over trades.
- Coinbase Earn: This program allows users to earn small amounts of crypto by completing educational modules about various coins and blockchain technology.
Verdict: If you’re interested in passive earning through staking or need advanced trading tools, Coinbase is the better option. For beginners or those looking to copy successful traders, eToro’s Copy Trading feature stands out.
Security: How Safe Are eToro and Coinbase?
eToro
eToro is regulated by reputable authorities like the FCA (UK) and CySEC (Europe). It employs robust security measures, including two-factor authentication (2FA) and cold storage for most assets. Additionally, eToro provides insurance against insolvency and theft, ensuring user funds are protected.
Coinbase
Coinbase is one of the most secure platforms in the crypto space. It holds a large percentage of user funds in cold storage and uses 2FA for account protection. Coinbase also offers FDIC insurance on USD deposits, providing an additional layer of security for US users. The platform is regulated by the SEC and FinCEN.
Verdict: Both platforms are highly secure, but Coinbase offers more transparency regarding cold storage and provides FDIC insurance on USD balances, making it a slightly more secure option for US-based users.
User Experience: Which Platform Is More Beginner-Friendly?
eToro User Experience
eToro is known for its easy-to-navigate interface and is designed with beginners in mind. The platform offers educational resources and social trading features that make it simple to start investing in cryptocurrencies. eToro’s mobile app mirrors the desktop experience, making it easy to trade on the go.
Coinbase User Experience
Coinbase is also user-friendly, with a simple buy/sell interface that makes it easy for new traders to get started. However, if you want to access lower fees through Coinbase Advanced, there’s a bit of a learning curve. The advanced platform offers more trading tools and options, but it’s not as intuitive as the main Coinbase app.
Verdict: eToro is more beginner-friendly due to its simplified fee structure and social trading features. Coinbase offers a similar experience for beginners, but its advanced trading platform requires a bit more learning.
eToro vs Coinbase: Mobile Apps Comparison
Both eToro and Coinbase have highly rated mobile apps available on iOS and Android, allowing users to trade cryptocurrencies from anywhere.
- eToro Mobile App: The app replicates the desktop experience with easy navigation and access to Copy Trading, Smart Portfolios, and real-time market data. It’s ideal for traders who want a seamless experience across devices.
- Coinbase Mobile App: The Coinbase mobile app is equally user-friendly but divides the experience between Coinbase Simple and Coinbase Advanced. Simple trades are straightforward, while advanced traders may find the additional steps a bit tedious.
Verdict: Both apps are excellent for mobile trading, but eToro’s app offers a smoother and more integrated experience for users across all levels.
Conclusion: Which is Best for You?
Choosing between eToro and Coinbase depends on your trading style and preferences.
- Choose eToro if: You’re a beginner, want an easy-to-understand fee structure, and are interested in social trading features like Copy Trading or investing in Smart Portfolios. eToro’s competitive fees make it a great option for occasional traders who value simplicity.
- Choose Coinbase if: You’re looking for a broader selection of cryptocurrencies, lower fees on large trades via Coinbase Advanced, or features like staking. Advanced traders who prefer detailed charting and trading tools will benefit more from Coinbase.
Both platforms are safe, secure, and provide excellent trading experiences, but your choice should ultimately come down to your specific needs—whether that’s a simple, beginner-friendly interface or advanced trading features.
