Today we are going to check out what Coinbase and GDAX have to offer so that beginner stock investors know which one is the better choice for them. We should mention that Coinbase and GDAX are the biggest crypto exchanges platform in the world and that Coinbase is founder of both platforms. Therefore, Coinbase is its own competition.
Even though both crypto exchange platforms are founded and operated by the same company, there are some distinct differences that set them apart. The main thing that differences these two platforms is the fact that Coinbase is focused on providing users with all the necessary buy/sell features while GDAX is focused on those who want to trade open long/short positions.
With that being said, Coinbase is designed for the type of investors who want to purchase crypto funds and hold onto them so that they can sell when the price goes high.
On the other hand, GDAX is aimed towards investors who prefer to generate profits through the quotation movement. What this means is that these investors put their money in crypto pairs and use stop orders to fully manage their assets and trades.
The biggest edge that GDAX has over Coinbase is that it enables margin trading. This is something that Coinbase lacks. Furthermore, Margin trading means that investors are able to boost their potential profits whilst going through bigger risks at the same time. This means that investors will receive odds such as 3:1 leverage which allows them to open a $999 position with only $333 of their own assets. The rest of the funds come directly from GDAX.
The best thing about Coinbase is that its platform is simple to use and that it doesn’t require any in-depth knowledge. The platform is intuitive and it features all the basic features that traders need.