Coinbase offers three different accounts for their services: individual, institutional, and business. The individual account is free for up to $10k or 100 transactions per month, whichever comes first. This means that if your use does not exceed 100 transactions per month or $10k in a given year then you’ll pay nothing for using the service.
However, if you exceed these limits then you’ll be charged a 1% fee on every transaction made thereafter. If your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card an annual fee of $25.
Now let’s take a look at what can be expected from
What is Coinbase?
Coinbase is a digital cryptocurrency exchange that allows its users to buy and sell digital currencies like Bitcoin. It also provides wallet services for these cryptocurrencies.
Coinbase is one of the most popular cryptocurrency exchanges in the United States. The company was founded in 2012 and has raised over $200 million in funding from investors, including Andreessen Horowitz, Union Square Ventures, and DFJ Growth.
Coinbase has attracted a lot of attention and many new users. Knowing what it offers will help you decide if this service is right for you.
The different account types
There are three different accounts for Coinbase’s services: individual, institutional, and business. The individual account is free for up to $10k or 100 transactions per month, whichever comes first.
This means that if your use does not exceed 100 transactions per month or $10k in a given year then you’ll pay nothing for using the service.
However, if you exceed these limits then you’ll be charged a 1% fee on every transaction made thereafter. If your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card an annual fee of $25.
Now let’s take a look at what can be expected from the different account types.
Individual
The individual account is intended for those who only trade occasionally and do not need access to advanced trading tools. It’s free until your monthly trading volume exceeds $10k or 100 transactions, whichever comes first. When this happens, you’ll be charged 1% on every transaction thereafter (excluding trades).
If you exceed this limit more than once in any 12-month period, such as by making one penny on a single trade, then they will charge you an annual fee of $25.
Institutional Account
The institutional account is designed for large traders with high volumes who need access to advanced trading tools and services like margin trading and stop orders. You’ll be charged 2% on the fees associated with any trades (excluding rebates). The institutional account
Individual account
The individual account is free for up to $10,000 or 100 transactions per month, whichever comes first.
Many people think that the individual account is free and don’t need to pay anything. But if you exceed these limits then you’ll be charged a 1% fee on every transaction made thereafter.
If your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card an annual fee of $25.
If you’re someone who only makes a few trades per month and doesn’t anticipate exceeding the limit, then this account will cost you nothing. However, if you’re someone who regularly transacts a lot with their cryptocurrency and has high limits for it, then it’s best to choose the business or institutional account instead.
In this way, you can avoid paying for overages as well as an annual fee.
Institutional account
If you think that individual account sounds limiting, then you might want to consider the institutional account. In addition to everything included in the individual account, this level also includes unlimited trades for anything less than $1 million. You’ll also receive a higher level of support and have access to institutional prices for all your trades.
Institutional accounts are priced at $30,000 per month or $300,000 per year. If you’re using the service more than once per day, then they will charge a commission of 1.5%. Additionally, if your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card an annual fee of $7500.
Business account
If you’re a business, then the cost of using Coinbase is a bit higher. The business account starts off at $10 per month and it costs an additional $0.15 for every transaction. In addition, there is also a 1% fee on all transactions made in excess of 100 per month or $10k in any given year. These charges are debited from your linked bank account each time you make a transaction.
Free transactions for individual accounts
The individual account is free for up to $10k or 100 transactions per month, whichever comes first. This means that if your use does not exceed 100 transactions per month or $10k in a given year then you’ll pay nothing for using the service.
However, if you exceed these limits then you’ll be charged a 1% fee on every transaction made thereafter. If your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card an annual fee of $25.
If you’re looking to buy and sell cryptocurrency without incurring fees, then the individual account may be what you’re looking for. However, it’s important to note that there are limitations as well.
You’ll have to make sure that your transactions don’t exceed $10k or 100 transactions per month so that you don’t incur additional fees.
Now let’s take a look at what can be expected from institutional and business accounts.
Fees for institutional accounts
The institutional account can be used by institutions, such as hedge funds, mutual funds, and brokerages. The institutional account has different limits than the individual account. For example, the institutional account can have up to $150k in transactions or 15 transactions per month whichever comes first.
This means that if you make under 15 transactions a month or less than $150k in a year then you’ll pay nothing for using Coinbase’s services. However, if you exceed these limits then you’ll be charged a 1% fee on every transaction made thereafter.
If your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card an annual fee of $25.
Coinbase offers three different accounts for their services: individual, institutional, and business.
Transaction fees for institutional accounts
The institutional account is a little different. In order to use this service, you’ll need to pay an annual fee of $100. However, it’s worth noting that the institutional account has no transaction fees. If your transactions do not exceed $10k then there will be no additional costs for using their service.
Annual fee for institutional accounts
In order to use individual accounts, you have to send a photo of your government ID and a utility bill. It’s not required for institutional or business accounts, but for those accounts the annual fee is $100k of transactions per month.
If you exceed 100 transactions per month then the fee will be 1% on every transaction made thereafter. For example, if your use exceeds these limits more than once in any 12-month period – even one penny – then they will charge your card $100k + 1% of all subsequent transactions.
Why should you use Coinbase?
Coinbase is a popular cryptocurrency exchange. It’s the most popular in the United States, and it has attracted many new customers because of its low fees. But what are those fees? How much does Coinbase charge?
Coinbase charges three different kinds of accounts: individual, institutional, and business. The individual account doesn’t charge any transaction fee at all as long as you stay under $10k or 100 transactions per month or whatever comes first. If you go over these limits then they’ll charge 1% every time you make a transaction.
If you go over these limits more than once in any 12-month period then they will charge your card an annual account fee of $25. The institutional account charges a flat rate for all transactions that ranges from 0.1% to 0.5%, depending on which region the individual is located in, with the exception of EU users who are charged 1%.
The best part about this account is that there are no limitations on how many transactions can be made and it has unlimited deposits for Bitcoin, Ethereum, Litecoin, and Bitcoin Cash. Finally, there’s the business account which provides unlimited transactions with no deposit limit for Bitcoin and Ethereum – but with a trade rate of 0%.
It’s best to have an institutional account if you plan to spend a lot of money per year on cryptocurrencies or if you plan to do more than 100 transactions per month or transfer more than $10k per year because it offers no limitations on how many transactions can be.
How to use Coinbase
Coinbase is a digital wallet that can be used to buy, sell and store cryptocurrencies like Bitcoin, Ethereum, and Litecoin. It also offers a cryptocurrency exchange where you can trade in your coins for other coins or fiat currencies.
While Coinbase is free for individual use up to $10k or 100 transactions per month – whichever comes first – the institutional account starts at $100/month and the business account starts at $1,000/month. The fee structure is as follows:
- The institutional account has a flat monthly fee of $100/month plus an additional 1% on every transaction made thereafter
- The business account has a flat monthly fee of $1,000/month plus an additional 1% on every transaction made thereafter
Conclusion
The Coinbase wallet can be accessed by downloading the Coinbase app, visiting the site online, or by linking your bank account.
Coinbase is a great option for many people but it’s important to know the difference between individual and institutional accounts and what each entails.
For individual accounts, there are no monthly fees, transaction fees, or deposit fees. What you see is what you get. For institutional accounts, the transaction fees are more expensive and the annual fee is $100 per year.
It’s important to know these differences when deciding on which account type is right for you.