Coinbase Review 2018: Is Coinbase Reliable and Safe?
Coinbase is one of the best platforms for those who are new to cryptocurrency as it serves as one of the user-friendliest digital asset exchanges in the market. Although Coinbase has received a lot of complaints from its users in 2017, they heard you and have improved their customer support tremendously. Is Coinbase still reliable and safe to store your bitcoin? Read this Coinbase review 2018 to find out more.
Coinbase Review 2018: Is Coinbase Reliable and Safe?
Coinbase, available to users in over 30 countries at the time of writing, is the world’s largest Bitcoin broker. Customers can buy bitcoin with a connected bank account, SEPA transfer, Interac Online, and many more payment methods.
Coinbase offers its brokerage services in the United States, United Kingdom, Canada, Singapore. Coinbase also supports the following European countries such as Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Finland, France, Greece, Hungary, Ireland, Italy, Latvia, Liechtenstein, Malta, Monaco, Netherlands, Norway, Poland, Portugal, Romania, San Marino, Slovakia, Slovenia, Spain, Sweden, Switzerland.
Coinbase’s simple interface aims to make it easy for first-time buyers to purchase bitcoins. The most popular payment methods for Coinbase customers are buying bitcoin with a credit card or debit card, and also using a bank transfer.
#1 Improved Mobile Experience
Coinbase is a reasonably trustworthy company in the Bitcoin space. with Coinbase Bitcoin Wallet app, you can buy, sell, and spend Bitcoins as well as manage your account. Think of it like a PayPal but for Bitcoins. You can also send and request Bitcoins from other people and remotely disable phone access if it’s lost or stolen. The interface is also quite good with some Material Design goodness and ranks as among the best-designed apps on the market.
Now, you can even monitor the daily performance of each asset on your homepage. And you can drill into each asset to view performance over varying time periods. You’re able to see balances for each asset together, and dive in from within ‘Accounts’ to take action.
#2 Coinbase Launches “View Balance” Integration with Yahoo Finance
Coinbase users can now view their digital asset balances on Yahoo Finance’s iOS and Android applications.You can link your Coinbase account to your Yahoo account by downloading the Yahoo Finance mobile app and using the “Link broker accounts” option in the main menu.
#3 Instant Bitcoin, Ethereum and Litecoin Purchases on Coinbase
Most of the Bitcoin exchanges accept many payment options, with the exception of credit/debit cards. One reason for this is because of the irreversible nature of Bitcoin. CoinBase is one of the most popular website to purchase Bitcoin, Litecoin & ETH. They also support purchasing Bitcoins using Visa debit/credit card & the process is instant.
Other than that, you can instantly purchase digital currency using a US bank account and you can now buy up to $25,000* and receive access to their digital currency immediately.
#4 Bitcoin, Ethereum, and Litecoin Vaults
Vault would be like your savings account. There are additional verification steps like you could require multiple parties or business partners to sign off on a transaction.
With the Vault, there’s a 48-hour delay for withdrawals during which Coinbase will try and contact the account holder through a number of channels. On top of that, you can require multiple approvals, like requiring three of five people to sign off on a transaction.
Therefore, these vaults are the safer place to store your place on Coinbase.
A vault doesn’t store actual coin units. Technically, what’s being stored are private, cryptographic keys. These keys form a pair with particular, public-facing, keys and provide access to the balance of coins stored on the bitcoin network.
It is a safe
#5 Improved Customer Support
Since the beginning of 2017, there was a significant increase in the number of complaints from its users. Coinbase has now more than 10 million registered users and it has struggled with customer service issues as it has posted rapid growth.
Now, Coinbase offers phone support during business hours, though the support agents can only handle issues related to:-
- Trust and safety issues including the ability for customers to lock down their account in cases where they suspect their account may have been compromised
- ID verification issues
- Limit increases
Customers can contact Coinbase customer support via this phone number: +1 (888) 908–7930
Customers that need specific account help will still have to reach out by email or consult Ada, the Coinbase support bot.
#6 Insured Wallet & Exchange
All digital currency that Coinbase holds online is fully insured. Coinbase is insured against theft and hacking in an amount that exceeds the average value of bitcoin we hold in online storage at any given time.
This means that if Coinbase were to suffer a breach of its online storage, the insurance policy would pay out to cover any customer funds lost as a result. This includes losses due to breaches in physical or cyber security, accidental loss, and employee theft.
It is noted that the insurance doesn’t cover bitcoin lost or stolen as a result of an individual user’s negligence to main secure control over their login credentials.
Coinbase’s online wallets are being insured through Aon, one of the world’s largest insurance brokers, to further protect its users’ bitcoin funds.
#7 90% of Bitcoin Stored Offline
Offline storage provides an important security measure against theft or loss of bitcoins. Coinbase stores approximately 90% of funds offline or cold storage. As deposits continue to grow it may be possible to store 95% or even 99% of funds offline.
This is brilliant measure as any computer that is connected to the internet with money on it (or bitcoins) is a target for hackers. Coinbase has gone extra miles in designing their infrastructure by eliminating single points of failure.
Data is split with redundancy, AES-256 encrypted, and copied to FIPS-140 USB drives and paper backups. Drives and paper backups are distributed geographically in safe deposit boxes and vaults around the world.” In short, in order for your personal information to be compromised, those physical locations would have to be robbed by experienced hackers, which is unlikely.
Coinbase early on made a decision to store the vast majority (98%+) of customer bitcoin entirely offline, in safe deposit boxes.
What Coinbase actually store on the USB drives is a number of pre-generated bitcoin addresses along with their private keys.
Keys are generated offline in a secure environment and split using Shamir’s secret sharing. Each private key is divided into parts, and some subset of the pieces are required to restore the secret. This way some pieces can be lost and the secret is still recoverable (redundancy). It also requires a quorum of key-holders to come together to restore a key (consensus).
Is Coinbase Safe to Link Bank Account?
One of the concerns that most people have is if it is safe to link your bank account to Coinbase.
Account numbers and routing numbers are stored using bank-level AES-256 encryption on Coinbase’s servers. In addition, all traffic goes over SSL to prevent third parties from eavesdropping on your connection. Employee access is heavily restricted and they require background checks on all employees.
For those who reside in the US, you can verify your account in just a few minutes by entering your bank credentials. These banking credentials are never sent to Coinbase but are shared with an integrated, trusted third-party, Plaid Technologies, Inc., to facilitate instant account verification.