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Bitstamp and Coinbase are two of the biggest names in cryptocurrency. Launched in 2011, Bitstamp is the world's longest-running cryptocurrency exchange. Coinbase started less than a year later and has since established itself as a favorite of U.S. traders.
Both have user-friendly web platforms and mobile apps, dozens of different cryptocurrencies, and high security standards. Read on for a detailed look at Bitstamp vs. Coinbase in every key area.
Bitstamp vs. Coinbase: At a glance
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Rating image, 4.50 out of 5 stars.
4.50/5
Our ratings are based on a 5 star scale.
5 stars equals Best.
4 stars equals Excellent.
3 stars equals Good.
2 stars equals Fair.
1 star equals Poor.
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Variable fees (Coinbase), 0%-0.80% (Coinbase Advanced Trade), $29.99 monthly (Coinbase One)
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0%-0.50%
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Bitstamp vs. Coinbase: Fees
Bitstamp and Coinbase have competitive fee structures that are based on your trading volume. However, Coinbase makes it more complicated by having two separate fee tables depending on whether you use its simple or advanced trading tool.
Fees on Bitstamp are straightforward and reasonable. Clients who trade larger amounts pay less in fees. Here's the Bitstamp fee schedule for up to $1 million in 30-day trading volume:
| 30-day trading volume in U.S. dollars | Fee |
|---|---|
| Under $10,000 | 0.50% |
| Under $20,000 | 0.25% |
| Under $100,000 | 0.24% |
| Under $200,000 | 0.22% |
| Under $400,000 | 0.20% |
| Under $600,000 | 0.15% |
| Under $1,000,000 | 0.14% |
Data source: Bitstamp.
Coinbase isn't so straightforward when it comes to fees. It offers a simple and an advanced trading tool and charges different fee amounts depending on which one you use. The advanced trading option is designed to replace the exchange's pro platform, Coinbase Pro, and has the same fee structure. Simple trading has much higher fees, so using it isn't recommended.
With advanced trading, fees are based on trading volume and use a maker-taker model. When your order is filled immediately by another order already on the books, you pay a taker fee, because you're taking liquidity. When it isn't filled immediately, you pay a maker fee, because you're making liquidity.
Here are Coinbase's advanced trading fees for up to $1 million in 30-day trading volume:
| 30-day trading volume in U.S. dollars | Taker fee | Maker fee |
|---|---|---|
| Up to $10,000 | 0.60% | 0.40% |
| $10,000 to $50,000 | 0.40% | 0.25% |
| $50,000 to $100,000 | 0.25% | 0.15% |
| $100,000 to $1,000,000 | 0.20% | 0.10% |
Data source: Coinbase
If you use Coinbase's simple trading tool, fees are based on the size of your order. The cryptocurrency trading fee is just under 1.5% for orders of $205 or more. Smaller transactions have a flat fee. Here are the flat fee amounts for these trades:
- Up to $10: $0.99
- Up to $25: $1.49
- Up to $50: $1.99
- Up to $205: $2.99
To sum it up, Bitstamp and the advanced trading option on Coinbase are close in terms of trading fees, and they compare well to other top cryptocurrency exchanges. The simple trading option on Coinbase should be avoided, as it can cost nearly three times as much. Here's how much you'd pay in fees on a $1,000 Bitcoin (BTC) purchase with each option:
| Platform | Fee on $1,000 Bitcoin purchase |
|---|---|
| Bitstamp* | $5.00 |
| Coinbase Simple Trade | $14.68 |
| Coinbase Advanced Trade | $6 (taker)/$4 (maker) |
Data source: Bitstamp and Coinbase *Bitstamp and Coinbase Advanced Trade fee amounts are based on their lowest pricing tiers.
In addition to trading fees, Bitstamp and Coinbase charge additional transaction fees for certain types of payment methods. You can avoid extra fees by paying through an ACH transfer from a bank account, which is free on both exchanges.
Bitstamp vs. Coinbase: Cryptos available
Coinbase is better than Bitstamp, and most other exchanges, in terms of cryptocurrency selection. It has well over 150 cryptocurrencies available for trading. Bitstamp lists more than 70, and to be fair, that's still a good amount of digital assets.
Both exchanges carry most of the market leaders, including Bitcoin, Ethereum (ETH), Cardano (ADA), and Tether (USDT). They also have a solid number of smaller types of cryptocurrency that could offer greater growth potential.
Bitstamp is missing some big cryptocurrencies that you could get on Coinbase, including:
Despite its smaller selection, Bitstamp also has some cryptocurrencies that aren't available on Coinbase. These include:
- FTX Token (FTT)
- Hedera (HBAR)
- Audius (AUDIO)
Bitstamp vs. Coinbase: Wallets
Bitstamp and Coinbase store cryptocurrency for you in custodial wallets. With a custodial wallet, your cryptocurrency is tied to your account. Another party, such as the exchange or a digital asset service, has the private keys to that crypto and is in charge of keeping it safe.
With both exchanges, you can transfer your cryptocurrency off the platform to external wallet addresses. If you want to control the keys to your crypto, you can transfer your crypto to your own blockchain wallet.
One difference between these exchanges is that Coinbase offers a digital wallet, whereas Bitstamp doesn't. Coinbase Wallet is free of charge and downloadable as a computer or smartphone app. It's available to anyone, and you don't need to be a Coinbase client to use it.
Bitstamp vs. Coinbase: Security
Bitstamp and Coinbase have high levels of security, and both are considered safe places to buy, sell, and store cryptocurrency.
To keep accounts safe, these exchanges offer two-factor authentication (2FA). This feature requires two forms of authentication to access an account, such as a password and a code sent to the account holder's phone. Bitstamp offers 2FA as an optional feature you can enable. Coinbase requires that customers enable 2FA.
Bitstamp and Coinbase both report that they keep 98% of their customers' crypto funds in cold storage. This type of storage is disconnected from the internet, so it protects crypto from hackers. The remaining funds are in hot storage (storage connected to the internet) for everyday trading purposes.
These crypto exchanges also have crime insurance policies in case of losses due to theft. Keep in mind that insurance only covers situations when the exchange itself is breached. If someone is able to steal your funds because they obtained your login credentials, the exchange's insurance most likely wouldn't cover this.
It's worth mentioning that both exchanges have had security incidents in the past. Here's a quick summary of what happened to each one:
- Bitstamp was hacked in 2015, resulting in losses of nearly 19,000 Bitcoin, worth about $5 million at the time. None of its customers lost any funds. Bitstamp rebuilt its trading platform from the ground up, and it hasn't been hacked since then.
- Coinbase had a vulnerability in its SMS account recovery feature that allowed hackers to steal funds from at least 6,000 of the exchange's clients in 2021. Once it learned of the vulnerability, Coinbase updated its SMS account recovery protocols and reimbursed clients for their losses.
To their credit, Bitstamp and Coinbase both fixed their vulnerabilities promptly, and they ensured that none of their customers lost money or crypto.
Final take
Bitstamp and Coinbase are both great crypto exchanges with similar features and fees. Because of that, you may find that choosing between them is just a matter of which platform you feel more comfortable using. However, there are a couple areas that could be the deciding factor.
Coinbase's cryptocurrency selection is spectacular. If you want more crypto investing options, you should go with Coinbase. It's also better for beginners. The standard Coinbase platform is easy to use, and it includes plenty of quality educational content. Bitstamp is user-friendly, as well, just not quite as much as Coinbase.
The downside with Coinbase is that it has different fees depending on whether you use simple or advanced trading. With Bitstamp, there's only one platform to use, and it charges low fees. And even though Bitstamp doesn't have a massive selection, it offers a few cryptocurrencies that Coinbase doesn't. If any of them caught your eye, then Bitstamp may be a better fit for you.
The Ascent's best cryptocurrency apps
There are hundreds of platforms around the world that are waiting to give you access to thousands of cryptocurrencies. And to find the one that's right for you, you'll need to decide the features that matter most to you.
To help you get started, our independent experts have sifted through the options to bring you some of our best cryptocurrency exchanges for 2022. Check out the list and get started on your crypto journey, today.
Our Cryptocurrency Expert
Lyle Daly is a personal finance writer who specializes in credit cards, travel rewards programs, and banking. He writes for The Ascent and The Motley Fool, and his work has appeared in USA Today and Yahoo! Finance. He was born in California but currently lives as a digital nomad with a home base in Colombia.
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Lyle Daly has positions in Bitcoin, Cardano, Ethereum, Polkadot, Solana, and Tether. The Motley Fool has positions in and recommends Bitcoin, Cardano, Ethereum, Solana, and Target. The Motley Fool has a disclosure policy.