Coinbase allows direct conversion between cryptocurrencies

Coinbase allows direct conversion between cryptocurrencies. A novelty for the moment only active in the US market.

Coinbase allows direct conversion between cryptocurrencies - coinbase5

Coinbase has finally added the possibility of being able to make direct conversions between two cryptocurrencies, without having to go through the fiat currency.

The function currently operates with Bitcoin (BTC), Ethereum (ETH), Ethereum Classic (ETCs), Litecoin (LTC) 0x (ZRX) is Bitcoin Cash (BCH). For now it is only available to US customers, but the company plans to distribute the function in other countries as well.

As for the rates, if you live in Europe or in the United States, every time you buy or sell cryptocurrency using USD or EUR, pay at least 1,49% of Coinbase commissions in addition to the spread (the difference between the highest selling price and the lowest purchase price). Commissions are even higher if you use a credit or debit card.

Coinbase says it spread between a fiat currency and an encrypted currency it should be around 0,5% but may vary depending on the trading pair and the order queue.

Example of commissions

For example, if you buy or sell less than 200 USD or equivalent, commissions become much more expensive. For example, an order from $ 10 will generate $ 0.99 in commissions, or 9.9 per cent. Customers pay the 3% commission for an order from $ 100.

However, the good news is that with token-to-token transactions it is a completely different operation. Indeed, Coinbase does not charge any markup fees - but there is an inevitable spread. And with some dark trading pairs (exchanging ZRX with BCH for example), you could end up paying around the 1% spread. However, it is still a much better user experience for those who just want to trade on Coinbase.