Coinbase Wallet Review: Is It Good For Beginners?

The digital wallet Coinbase Wallet allows you to store many cryptocurrencies. You can also access decentralized apps through the browser. This wallet can be linked directly to your Coinbase account. It is a great place to store crypto. Read our complete review to learn more.

What is Coinbase Wallet?

Coinbase Wallet allows you to securely store and access cryptocurrency.

 

The crypto wallet separates assets from the exchange. This protects crypto from hacks, breaches, government actions and coding bugs.

 

This wallet was designed for beginners. It follows Coinbase’s user-friendly design. It also includes advanced features like access to decentralized tokens (DEXs), NFTs and a variety of DeFi protocols.

 

Coinbase’s wallet can be used in a similar way to Trust Wallet or MetaMask. It supports Bitcoin, Litecoin, and other assets that are not natively supported by MetaMask.

 

How does Coinbase Wallet function?

Coinbase Wallet uses well-tested technology and BIP39 compatible seed phrases to protect your wallet. A seed phrase, also known as a “mnemonic phrase”, is a 12-to 24-word group that acts as your private key for your wallet.

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BIP39, a Bitcoin Improvement Proposal 39, allows cross-wallet compatibility with several popular crypto wallets. You can use your seed phrase to restore a wallet created from Coinbase Wallet, Trust Wallet, Coinomi, or Exodus.

 

This wallet can be downloaded as a mobile app on iOS or Android. It also works as a web extension to Google chrome and chromium browsers like Brave and Microsoft Edge. The mobile app offers more functionality than other apps, including the ability to browse available dApps.

 

  • Ethereum wallet: Coinbase Wallet’s heart is an Ethereum wallet, which supports ERC-20 tokens on Ethereum blockchains and EVM-compatible Blockchains.
  • Bitcoin wallet: The Coinbase Wallet differs from other Ethereum-focused wallets like MetaMask in that it offers native support for Bitcoin.
  • Support for Litecoin and other cryptos: Your wallet can be used to store LTC, BCH, DOGE, and XLM. This browser extension supports SOL tokens and SPL tokens.
  • Swap crypto on 16 trading platforms: Swap Ethereum-based tokens at Uniswap or other decentralized exchanges.
  • Connect to the most popular DeFi protocol: You can earn or borrow on a variety of DeFi platforms, including AAVE, Compound and many others.
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Security

Coinbase Wallet is very concerned about security.

 

The wallet is not custodial and decentralized. This means that only the user has access to their private keys. Coinbase’s servers would not be compromised so attackers couldn’t access this wallet’s users’ funds.

 

The wallet lets users set a password and a PIN, depending on whether the wallet is for mobile or browser extensions. It provides biometric verification to mobile app users.

 

Coinbase.com users might have been victims of fraud and hacking, but Coinbase Wallet’s codes are not believed to have been compromised or to present security risks.

 

Coinbase.com is Coinbase’s centralized digital asset management and exchange platform. It operates independently of the wallet.

 

Coinbase Wallet Fees

This walletwallet is free and does not charge wallet fees. Blockchain transaction fees are payable by users when they send funds or interact with smart contracts. Smart contracts are programs that run automatically when certain conditions have been met. This allows developers to develop decentralized blockchain applications.

 

Users can set up transaction fees to let them decide how much they want for their fees. Users who pay higher fees will see transactions settle quicker.

 

Features

Wide Integration with dApps

To use cryptocurrency applications and marketplaces, a wallet must be able to speak the same language. Most apps and marketplaces will support the MetaMask wallet, but Coinbase Wallet is also supported. These wallets can be used easily with the ease of connecting your wallet via a few mouse clicks.

 

Coinbase Multicoin Support

Many wallets support Bitcoin, Ethereum, and Litecoin. It is rare to find a wallet that supports all cryptocurrency simultaneously. Coinbase Wallet supports all cryptocurrencies simultaneously.

See also  MetaMask vs Coinbase Wallet 2022

 

Coinbase provides off-exchange storage for:

 

  • Ethereum
  • Tokens based upon Ethereum (ERC-20)
  • Bitcoin
  • Litecoin
  • Bitcoin Cash
  • Dogecoin
  • Stellar Lumens
  • Ripple
  • NFTs

Integration with Coinbase

Coinbase Wallet can be used as a standalone app or to import other wallets. It can also be integrated with Coinbase’s exchange. Coinbase allows you to buy and also gives you access to other trading platforms such as Uniswap via your wallet. Many coins and tokens that you don’t see on Coinbase will be available to you.

Pros and Cons

 

Pros Cons
User friendly No cold storage
No cost Browser compatibility limited
Connects to Coinbase
Supports crypto storage and NFT
dApp browser

 

Conclusion

Coinbase Wallet is easy to use and has many features that make it easy for beginners to get started. Advanced wallets might not have the same features as this partcular one. This can frustrate power users. This crypto wallet, however, is a great choice for beginners. It also offers additional cryptocurrencies such as Bitcoin, Litecoin or XRP.

 

You can add a hardware wallet or other hot wallet to your Coinbase wallet for extra security.

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