Coinbase, Exchanges

How Profitable Is Coinbase?

As one of the largest and most popular cryptocurrency exchanges in the world, Coinbase is often thought of as being a very profitable company. And indeed, it is reported to have made over $1 billion in profits in 2017 alone.

However, it is important to note that Coinbase is not just a cryptocurrency exchange, but also a wallet provider and platform for buying and selling cryptocurrencies. This means that its profits are not entirely derived from trading fees.

NOTE: WARNING: Investing in Coinbase can be a profitable venture, but it is important to remember that it is not without risk. Cryptocurrency markets are highly volatile and can experience sudden and dramatic changes. As such, it is important to do your research and understand the risks associated with investing in Coinbase before doing so. Additionally, you should always diversify your investments and never invest more than you can afford to lose.

In fact, a large portion of Coinbase’s profits come from its wallet service, which allows users to store their cryptocurrencies offline in a secure “vault.” The service charges a small fee for each transaction made using the wallet.

Additionally, Coinbase also makes money from its “GDAX” platform, which allows users to buy and sell cryptocurrencies directly with each other. GDAX charges a small fee for each transaction as well.

So, while Coinbase is certainly a profitable company, the majority of its profits are not derived from trading fees. Instead, they come from other services that it offers to users.

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