During the account set-up stage, Coinbase requires new users to provide personal information that appears on their coinabj government-issued ID, such as their full name, date of birth, and address. I personally have been using Coinbase since 2018, and I can attest to the high level of security this platform offers. While it can maybe be a tad annoying when you have to verify your identity on the regular with 2FA, I know it’s in my best interest and I have no issue doing it.

Scammers use a variety of tricks to steal data and manipulate users into giving it up willingly. And once they have your personal information, they may be able to access your Coinbase account. That’s why it’s so important to protect your personal information while you browse online by using a browser built for privacy and security, like AVG Secure Browser.

Is Coinbase legitimate and trustworthy?

Coinbase is generally a safe investment and is a secure platform for buying, trading, and storing cryptocurrencies like Bitcoin and Ethereum. It’s one of the most trusted ways to exchange cash, and it employs strong security measures to protect users, including AES-256 encryption, 2FA, and cold (offline) asset storage. Coinbase has strong security measures in place to protect crypto funds in users' wallets. Funds stored on offline hardware are much more secure against cyber threats, such as hacking.

Coinbase is the first SEC-registered crypto exchange

In order to be listed on the stock exchange as a public company, Coinbase has to regularly disclose its financial and business records to the public. Whenever you send sensitive personal data online, use a browser built for security and privacy. With integrated antivirus and VPN capabilities along with built-in anti-tracking and ad-blocking, AVG Secure Browser will keep your private information private. Protect your personal information today — whether you’re trading on Coinbase or logging into your other online accounts — with AVG Secure Browser.

Coinbase core products

Coinbase’s cold wallet storage secures users' data, mobile applications, wallet addresses, and private keys with industry-standard AES-256 encryption. You can choose between three 2FA options, including phone, hardware keys, and TOTP authentication like Google or Duo. The company was based in the Bahamas and left billions of dollars of its customers’ assets in regulatory limbo when it collapsed. Identity verification is an important step in the account set-up process to keep the account secure (i.e., prevent unauthorized changes to account information) for as long as it is active, and to help prevent fraudulent activity. For this reason, Coinbase periodically requests users to verify their identities to ensure that accounts are not compromised, but rest assured, this is completely safe to do.

Customers in the U.S. can now use the company’s branded debit card in Google and Apple wallet applications for payments. Card-carrying members can add the Coinbase Card to digital wallets via Google Pay, the Apple Wallet, or the Coinbase apps. For this reason, all users receive the same advice never to outsource their assets’ security and remain vigilant with their investments from Coinbase. Coinbase’s policy with data management means that all personally identifiable information (PII) and other sensitive account information the digital brokerage keeps offline. For instance, Coinbase was able to halt $280,000 in Bitcoin transactions when hackers overtook several high-profile Twitter accounts and solicited funds from unsuspecting followers. Due to the security strength of the digital asset broker, attackers have opted to get around the system by attempting to steal cryptocurrency through elaborate phishing attempts using social media and other methods.

Therefore, Coinbase is safe and secure to engage with digital assets for both retail and institutional investors. The attack demonstrates that although funds can be kept in cold storage, your personally identifiable information, which could potentially put your assets at risk, can still be obtained outside the realms of an exchange. Nowadays, various exchanges are available in the cryptocurrency market, which can differ in fee structure, security, and ease of use. However, Coinbase stands out as one of the most high-profile, trusted platforms on the market when accounting for all of these factors. Coinbase’s wallet security is highly secure — even Coinbase can’t access your wallet. Coinbase wallets are non-custodial, which means only the user has the password to open them.

1. Whenever you send sensitive personal data online, use a browser built for security and privacy.
2. Coinbase claimed the malicious actors used a flaw in its SMS Account Recovery procedure PDF to exploit the vulnerability.
3. Opening a Coinbase account is similar to opening an account with a bank or starting a new relationship with an investment firm.
4. To keep your assets safe in Coinbase, store them in your Coinbase wallet or in the Coinbase Vault, and use a secure password to keep them safe.
5. Furthermore, the platform now has more than five Fortune 500 firms as clients.

Dealing with volatility is one of the realities of trading in cryptocurrency. Because cryptocurrency is not technically legal tender and is not backed by any governments, it is not protected under the Federal Deposit Insurance Corporation (FDIC) or the Securities Investor Protection Corporation (SIPC) umbrellas. Opening an account with Coinbase requires that you link a payment method to it to enable buying, selling, adding funds, and withdrawing funds (cashing out) whenever needed. Trusted and well known for its strict token onboarding policies; hence, Coinbase only crypto projects that pertain to the incorporation policies and requirements can expect to feature on the platform.

Under the pilot BitLicense program, Coinbase is one of only four exchanges to have a license in the state of New York. Thus, it adheres to strict KYC (Know Your Customer) rules and stays compliant with regulations and statutes. Since institutions have different needs to retail investors, Coinbase has launched the beta version to accommodate the ever-growing demand from clientele as more people enter the crypto space.

How does Coinbase work?

Opening a Coinbase account is similar to opening an account with a bank or starting a new relationship with an investment firm. There are certain types of information that are required to verify your identity, both to protect your interests and to ensure that the account that is being set up is for legitimate (i.e., legal and non-criminal) purposes. Coinbase facilitated institutional crypto purchases for companies such as Tesla and MicroStrategy. In addition, the more well-known deep-pocketed corporate clientele are beginning to use the platform’s institutional trading arm. So on that account, Coinbase is normalizing itself in the daily life of the consumer.