Coinbase wallet is one of the top cryptocurrency wallets with millions of users. Amid the growing cryptocurrency market, cryptocurrency wallets have become very important as a device for storing accounts that allow access to stored crypto assets.
Coinbase wallet was developed by the exchange Coinbase, so it is not surprising that this wallet is very popular due to the growth of Coinbase exchange users, the spread is widening and the influence of the Decentralized cryptocurrency exchange is growing.
- 1 Coinbase wallet explained
- 2 How does Coinbase wallet secure crypto?
- 3 Supported environment
- 4 Coinbase wallet mobile app
- 5 Coinbase wallet browser extension
- 6 Key feature
- 7 Coin supported
- 8 Pricing and fees Coinbase wallet
- 9 Coinbase wallet customer review
- 10 Coinbase wallet pros and cons
- 11 Final thought
Coinbase wallet explained
Before getting to know more about this wallet, let’s study the types of cryptocurrency wallet categories. In crypto wallets, we recognize three wallet models, namely, hosted wallet, non-custodial wallet, and hardware wallet.
- Hosted wallets are crypto wallets where intermediaries can check and store crypto. When users use the application of exchange, their crypto assets are hosted by the hosted wallet. This is similar to you saving money in a bank, where the bank can see your funds. This is the easiest wallet to use and if you lose your password it allows the user to request a password reset from the wallet provider.
- A non-custodial wallet does not rely on a third party, where the third party only provides software. While the control of the wallet is in the hands of the user. This is also known as a self-custodial wallet, so users have to secure their private key and seed phrase to be able to access the wallet. Loss of private key or seed phrase third-party software providers cannot help users. Seed phrase managed private key, it is recommended to write it down on paper or cloud storage with strong keywords.
- Hardware wallets are offline wallets in the form of devices like flash drives, which require funds to buy the device. This is indeed safer from hacking, but also more complex because the user also has to install the software. The most well-known hardware wallet is Trezor and Ledger.
Of the three cryptocurrency wallet models, the Coinbase wallet includes a self-custody wallet or a non-custodial wallet. Users have full control with the advantage of being able to access features in the cryptocurrency market such as yield farming, staking, lending, borrowing, and many more.
How does Coinbase wallet secure crypto?
This wallet gives complete control over the user’s wallet. This wallet offers security features in three ways.
- The private and public keys are placed on the device and not on the server.
- The second uses biometric authentication.
- And the third is a cloud backup that allows restoring lost keys.
Coinbase is also known to store crypto in a custodial bank in an aggregate account that separates crypto assets from company assets. So the company does not use crypto assets for operating costs.
Coinbase seeks to ensure users’ funds against theft, and security breaches but does not include unauthorized access due to user error.
From a developer perspective, the Coinbase wallet SDK supports desktop web environments, mobile browsers, and in-wallet Dapp browsers.
The web desktop automatically connects to a wallet extension that displays a QR code that allows users to pair with mobile apps.
The Coinbase Wallet SDK has a dynamic deep link where it will redirect the user to the Dapp in the Dapp mobile wallet browser.
Dapp browser in Wallet
Coinbase Wallet SDK can automatically recognize and connect to web3 providers in the Wallet mobile Dapp browser. The process without the need for additional approval first.
Coinbase wallet mobile app
This wallet supports mobile applications on android and iOS operating systems which users can download on the google play store for Android smartphone users and App Store for Apple phone users.
The Coinbase wallet apps on the App Store get a rating of 4.7 user reviews with the minimum operating system requirements of iOS 12.0 or later.
Meanwhile, the Coinbase wallet apps on the Google Play Store received a 3.5 rating with 10 million downloads. Android 6.0 or higher operating system minimum requirements.
Coinbase wallet browser extension
The Coinbase wallet extension supports the Google Chrome browser, which has been installed by over 1 million users with a rating of 2.4 out of 194 users rated it.
The Coinbase wallet extension allows users to interact with the Dapp browser application, trade tokens on Decentralized exchange, purchase NFT, and more.
Although user reviews sometimes imply complaints when using the Coinbase extension wallet, it seems that the Customer Support App always responds. For users facing problems forward to contact through https://help.coinbase.com/en/contact-us
The Coinbase wallet feature by the development team strives for security by ensuring this hot wallet has no hacking incidents. Manage the private key and public key on the device and not on the server.
Another interesting feature is that it is user-friendly and can connect to a bank account. Coinbase wallet is like a passport for overseas travel, in that it can allow users to surf the decentralized web.
Send and receive crypto
All cryptocurrency wallets generally have a send and receive funds feature. With the Coinbase wallet, users can connect to the Coinbase exchange and use the cryptocurrency send and receive feature.
It is also possible to import wallets created from other wallets such as Metamask Myetherwallet, etc.
Trade token in DEX
This wallet supports token trading via Decentralized exchanges such as Uniswap and 1inch.exchange, where this feature is available on app wallets and wallet extension browsers.
This feature allows users to swap tokens with other tokens through a liquidity pool. The tokens available for trading via DEX are those hosted on three blockchains, the BNB chain Polygon network, and the Ethereum blockchain.
For this conversion process, Coinbase takes a 1% fee for all conversions which are included in the miner fee.
Using the Coinbase wallet allows users to purchase NFT via Dapps. Dapps is short for Decentralized Apps which are conceptually the same as games on your computer or smartphone.
However, Dapps are powered by decentralized protocols like Ethereum. Users can collect NFT via Conbase wallet extension by connecting your wallet to Dapps, eg Crypto Kitties, Axie Infinity, etc.
You can explore the NFT marketplace to find what you want, but every time a user goes to another NFT marketplace. It needs to connect the Coinbase wallet with marketplace apps.
Coinbase wallet supports more than 450 Dapps of which each Dapp supports a chain compatible EVM from various networks including;
- BNB chain.
- Fantom Opera.
Support layer 2
Coinbase wallet is an EVM-compatible L1/L2 network, it allows users to use L2 or layer 2 networks for enhanced speed and lower fees.
L2 or layer 2 is a network that sits above layer 1 which is designed to increase speed and reduce transaction costs on the blockchain.
On Layer 1 networks, when transaction traffic is high, gas costs are also getting higher with decreasing speed. So by using layer 2, it allows lower transaction traffic enabling better speeds and exponentially lower gas costs.
Coinbase wallet supports hundreds of thousands of coins in the crypto market, all coins including ERC-20 tokens can be accepted by Coinbase wallet.
The wallet also supports all EVM compatible coins such as Avalanche C-Chain and Polygon, USDC and DAI stablecoins, and all supported coins in the network.
Users can also link Coinbase accounts with the wallets and send assets to wallets. However, not all coins in the wallet can be traded on the Coinbase exchange and vice versa.
The mobile wallet supports BTC, BCH, LTC, XRP, XLM, and DOGE, with addresses that are different from the primary address.
Pricing and fees Coinbase wallet
Creating a Coinbase wallet is typically free, users can download wallet apps on both the Google Play Store and App Store or any browser extension that supports Chrome or Brave browser is free.
However, when using a wallet for transactions, there is a transaction fee on the network namely gas. The amount of which may vary. Coinbase fees are basically only charged on exchange platforms that use variable fees between 1.49% – 3.99%.
In a transaction-intensive blockchain network, high traffic allows the speed of transaction performance to decrease. To speed up transactions, users who pay for higher gas will validate transactions faster.
That’s why Coinbase wallet allows users to use layer 2 for example Arbitrum, Optimism, and Polygon. In layer 2 as a bridge, transaction fees are lower at the same speed.
Coinbase wallet customer review
On the Coinbase wallet apps on the Google play store. More than 5 million users download this wallet, with an overall rating of 3.9 out of a total of 44,814 user reviews.
While the rating wallet on the iOS operating system in the App Store gets a 4.5 rating from overall reviews of more than 107.3k ratings.
On the Coinbase wallet Chrome extension, this software has more than 1 million downloads available on the Chrome Web Store. A total of 194 gave reviews with a rating value of 2.4.
Coinbase wallet review Trustpilot
We didn’t find any Coinbase wallet reviews on Trustpilot, but there are reviews for the Coinbase exchange. If you look at the number of reviews reaching 7,037 reviews. This wallet gets a rating score of 1.6, this number is below the ideal average score in the middle of 2.5. As many as 78% gave bad votes and only 9% excellent.
Coinbase wallet review G2
The Coinbase wallet review rating on G2 got a score of 4.4 out of all 54 reviews. From the average published reviews, get satisfaction in using wallet apps.
Coinbase wallet pros and cons
- A Coinbase wallet is a self-custodial wallet, the provider only provides software, and full control is in the hands of the user.
- This wallet supports hundreds of EVM compatible assets.
- Built by the Coinbase team which is a popular and largest crypto exchange company in 2021.
- Supports transactions with Layer 2 which allows for lower costs.
- Can interact with Dapp and collect NFT from the marketplace.
- The risk of hacking may still exist.
- The apps may be facing a bug in the application.
- Some users complain of slow apps and costing too much.
Coinbase wallet is still one of the top crypto wallets of 2022 to some reviews about cryptocurrency wallets.
This wallet is not only suitable for the experienced but also suitable for beginners, as it is user-friendly and easy to navigate. Supports 2 FA and multi-signature authentication enabling a great layer of security.
Note: this article is for informational purposes only, and is not investment advice or solicitation. Crypto and forex CFD are risky assets. Each investor is responsible for their investment.
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