Is Coinbase Safe? A Comprehensive Guide to Its Security Features

With the increase in the use of cryptocurrency, crypto exchange platforms are also increasing in number, providing people with more opportunities to trade and invest in cryptocurrency. While there are many crypto platforms on the internet, Coinbase is one of the biggest and most famous exchanges, which is used by thousands and thousands of people. 

The platform has two different versions- Coinbase Simple and Advanced, making it easier for new traders to start their journey and professionals to use the advanced tools of trading. Even though the platform is used by many people, there is one question that often troubles people: Is Coinbase Safe? It is common for people to be worried about the legality and safety of the crypto platform that they are interested in using. This article is going to talk about the security measures of this platform and whether these measures make the website a safe and genuine platform for users or not. 

Evaluating Coinbase: Safety and Trustworthiness

Users will be happy to know that Coinbase has created a very stellar reputation for itself, as the platform is equipped with numerous advanced security measures. You will also encounter advanced moderation tools on the website that detect any form of inappropriate activity. 

As a user, you need to be familiar with all the major security measures implemented on the website if you are wondering: Is Coinbase Legit?

1. Cold Storage

Users on the application do not need to be worried about their funds as the majority of the assets on the application are stored in Cold storage, which is offline. Since the storage is not connected to the internet, no hacker or scammer will be able to steal your assets. 

2. Two-Factor Authentication

2FA, also known as Two-Factor Authentication, provides every account with an extra layer of security as they need to complete an additional step while logging into their accounts. Whether you receive an OTP on your mobile phone or a security question, this ensures that your account is well-protected. 

3. Biometric Authentication

In case someone is logging into your account on a different device, they need to complete the Biometric authentication, which makes your account even more secure. You will be asked to either put your fingerprint or show your face to complete this step. 

4. Data Encryption

Since you have confidential information on the application, all your data will be protected using industry-standard methods. Along with this, your transactions are also highly secure, ensuring that your account is guarded against unauthorized access. 

5. Insurance Coverage

Coinbase also offers its users insurance coverage that protects their online wallets. In case there is a platform-wide breach, this insurance will work as a safety net for your account and ensure that you can easily get your funds and assets back. 

Apart from deploying these robust security measures, the platform also operates under the strict regulatory framework of various countries like the United States of America, Canada, Australia, the United Kingdom, and the European Union. Being a user-friendly platform with such security measures has contributed significantly to the popularity of the crypto exchange platform.