Hello, future crypto exchange!! If you aspire to create a crypto exchange similar to the popular trading platform, probably you will have a battle in your mind between Binance vs Coinbase, right? Some may have different choices but in most cases, these are the choices.
This is because of the impact they made on the field of crypto exchange and the millions of users over the years. However, when choosing between Binance and Coinbase as a reference model for creating your crypto exchange, the decision can be quite challenging. For that, we bring here their business model for your better understanding.
In this quick comparison guide, we’ll explore the cryptocurrency exchange business model, and essential features of each exchange to help you make an informed choice between them.
Binance vs Coinbase: Business Model
| Point of Difference | Binance | Coinbase |
| Value Proposition | Binance is an infrastructure provider for crypto in tomorrow’s world | Coinbase is an exchange to increase economic freedom in the world |
| Channel | Websites Mobile Apps (Android & iOS) | WebsitesMobile Apps (Android and iOS) |
| Customer Segments | Traders, Token Launchers | Traders, Institutions, Asset Issuers |
| Customer Relationship | Social media-mailTelephonesBinance CommunityBinance Academy | Customer service support via E-mail Social media self-service platform community forum |
| Key Activities | Crypto TradingWallet services software-as-a-Service (SaaS)APIsSwap FarmingNFT Marketplace | Currency conversion payment processingCrypto TradingWallet platform API software development-NFT Marketplace |
| Key Resources | Exchange platform Binance chain Trust walletBinance Academy | Coinbase platformDigital Asset ExchangePayment providersCoinbase Academy |
| Key Partners | AffiliatesPlatform Users | Platform usersAsset IssuersAlgo Traders and Other Developers |
| Cost Structure | MarketingPlatform maintenance Operations & SalariesIntellectual Property | Platform development and maintenanceDatacenter OperationPayment of personnelInternational exchange services |
| Revenue Model | Exchange fee withdrawal fee Listing feeMargin fee SpreadSpreadsInterchange FeesAnnual FeesInterests on Loans | Cryptocurrency to fiat conversion transaction feesCommissionCoinbase debit card transaction fees credit transactions |
Related Article: Cryptocurrency Exchange Business Model
From the comparison table above, you can understand the cryptocurrency exchange business model of Binance vs Coinbase. Now, in the following discussion, we will look at the rest of the comparison aspects like user experience, features, and finally the best crypto exchange as the reference model for creating your platform.
Binance vs Coinbase: User Experience Comparision
Any online platform that handles a large number of users should pay special attention to user experience (UX). Because it fulfills the needs of the traders and their platform users. In crypto exchanges especially Binance and Coinbase it has an impact on the user, which makes them loyal to their services through UX.
Binance Exchange User Experience
Binance’s popularity can be largely attributed to the user experience it provides to its customers. While not the easiest crypto exchange available in the market, Binance is also not overly complex.
New investors can find ample assistance on the website to familiarize themselves with the exchange within a few days. In addition, the platform offers video tutorials for new users, which are helpful in carrying out specific actions.
On the other hand, Binance is a highly sophisticated cryptocurrency trading platform that offers more than just spot trading. In addition to spot trading, it provides traders with a range of features such as margin, futures, and staking, allowing them to develop different trading strategies.
This is one of the reasons why Binance is an optimal exchange for traders who want to take advantage of the platform’s diverse options and advanced features.
Coinbase Exchange User Experience
Coinbase provides Pro and regular versions, for new investors, the regular version has a simple interface that allows them to buy or sell cryptocurrency directly on the exchange. These transactions come with a premium fee, but they are convenient and can be executed quickly and without any complications.
Also, Coinbase’s user-friendly trading platform allows for quick order processing. While both Coinbase and Binance are highly regarded for their user experience, there are notable differences between the two platforms.
Binance vs Coinbase: Some Unique Aspects
Other than user experience, Both Binance and Coinbase offer their own APIs, feature sets, and more comprehensive trading experiences for their users. Other than trading tools, both platform offers some unique things that are list below.
Binance Exchange’s Unique Aspects
Recommendations: DeFi services including lending, earning, insurance, and derivative services are recommend Binance DEX, along with NFTs, cross-chain bridge solutions, the BSC construction tool, trading, and the opportunity to purchase any cryptocurrency using the MoonPay payment method.
User rewards: Binance frequently hosts giveaways and challenges with users claiming prizes in the Binance rewards center in order to promote user engagement on their site. Additionally, Binance regularly offers airdrops for coins or tokens that will be list on its marketplace.
Binance Academy: With tutorials on trading, mining, NFT, metaverse, and everything else related to cryptocurrency, it offers a free comprehensive crypto education that is perfect for both new and experienced traders.
Multiple types of trade options: Binance provides a wide range of trading tools, including complex charting with hundreds of overlay overlays and indicators available through the embedded TradingView charts.
API keys: Binance allows third-party apps to interface with the exchange by making their API keys available.
Coinbase Exchange’s Unique Aspects
Learn and Earn: Users can receive incentives equivalent to a small portion of the coin they are investigating by watching instructional films on cryptocurrency projects.
Newsfeed: Users can take advantage of Coinbase’s built-in newsfeed service to stay up to date on the latest cryptocurrency news, trends, and developments.
Price alerts: Users can utilize the offered watchlist to view updates or price changes of their cryptocurrency and receive mobile push notifications.
Binance vs Coinbase: Which is the Best Choice for Your Business
Once you’ve consider the comparison, you may be torn between which crypto exchange reference model to choose. Don’t worry, I’m here to offer a suggestion to help ease your dilemma.
If you plan to start a crypto exchange outside of the United States then keeping Binance as your reference model is the right choice for your business. Because it is a well-known platform all over the world.
If you’re considering launching a crypto exchange outside of the US, taking Binance as your reference model is a great idea. This platform is highly recognize all around the globe and could be just what your business needs to thrive.
Besides, if you’re looking to set up in the United States, Coinbase exchange is an excellent choice, as it’s widely popular among crypto users in the US. Ultimately, the decision is yours to make, and Zodeak is here to support you no matter what you choose.
In a way, if you opt for any of these platforms, you have the option of selecting a convenient solution like a Binance clone script or Coinbase clone script, or you can always seek the assistance of the Zodeak experts for cryptocurrency exchange development.
