If you're looking to start investing in cryptocurrency, it can be easy to get overwhelmed when finding a trading platform through online reviews, and hard to know if a particular marketplace is worth your time.
Like any investment, there are risks involved in buying and selling crypto, which opens up a lot of questions:
While we can't choose an exchange site for you, we can help you with some of the research. In this review, we'll share what we found when we analyzed at GDAX (Global Digital Asset Exchange) - an exchange site with a good reputation among experienced crypto traders.
Headquartered in San Francisco, GDAX was founded in 2012 and offers individuals and institutions the opportunity to trade crypto coins on a regulated, US-based system.It is a product of another popular altcoin trading site, Coinbase, and can work in conjunction with Coinbase, if the trader chooses to use it that way.
The company believes that an open financial system, such as the one created by cryptocurrencies, can generate efficiency, economic freedom, equality, and innovation.
They plan on turning this dream into a reality by becoming the most trusted, most accessible marketplace in the sector.
In this review we'll take a closer look at how to buy, sell and trade on this exchange (as well as how to transfer your cryptos from coinbase) - but first let's take a look at what coins you can trade on this digital platform.
GDAX is a cryptocurrency exchange site that operates similarly to a stock exchange. It allows users to buy, sell, and trade four altcoins:
It also supports three fiat currencies: the US Dollar, the Euro, and the British Pound.
As we review this exchange site we'll demonstrate how it offers users ten trading pairs and three types of orders. The pairs are available to view in a drop-down menu on the trading dashboard, and after you've selected your pair, you can choose the order type.
The interface can seem a little intimidating, especially to beginners, but it gives users a real-time view of the exchange. Even though the dash looks intimidating, selecting your trading pair, order type, and submitting your order couldn't be easier.
Users can deposit and withdraw funds to and from their GDAX account via ACH transfer, wire transfer, and cryptocurrency deposits. While it's not recommended to hold assets in digital exchanges for long periods of time, this site does have security measures in place to protect the wealth of its customers.
All US dollars held in your GDAX account are FDIC insured (funds belonging to non-US customers are kept in custodial bank accounts). The site only stores 2% of its digital assets online and fully insures all of it.
The remaining 98% are held in cold storage in safe deposit boxes around the world in the form of encrypted USB drives and paper backups. As you'll see further on in this review, they take security very seriously and work to ensure the safety of your investments.
GDAX is one of the most popular, trusted cryptocurrency exchanges out there. But is it right for you? That depends on your experience in the crypto market and your investment needs. Doing your homework and reading real user reviews is a great place to start.
Here in this review we'll discuss the pros and cons of this particular trading platform, but as always, you should look at different marketplaces and consider all of your investment needs before making your final choice. Only you can decide what's right for you!
Let's review the advantages and disadvantages of this trading platform. Here are what investors like most about GDAX, and also what they don?t like:
Before you decide which exchange site to use, there are a few things about GDAX that you should keep in mind when reading reviews.
The fees on this digital marketplace are comparable to, or even lower than, other leading trading sites. They use a system that is complex, but relatively standard for cryptocurrency markets.
You?ll pay a minimum fee of 0.25% on Bitcoin orders and a minimum of 0.30% on Ethereum orders and from there, your fees will depend on the currency you trade and the volume of those trades over a 30-day period.
The outstanding thing about their fee schedule is the 0% maker fee.
In layman's terms, if you place an order that is not immediately matched by an existing order, it gets placed on the order book. When another user places an order that matches yours, you're considered the maker and won't be charged any fees.
Their full fee schedule can be found online so you can get a feel for how much it will cost you to trade each cryptocurrency.
Yes! Since GDAX is a product of Coinbase, it's easy to move over to GDAX or even use the two services together.
Transferring funds between your Coinbase and GDAX accounts is easy, free, and the transferred funds are available instantly.
It's important to note that there is a big difference between Coinbase and GDAX: Coinbase is not a trading site, while GDAX is. Users on Coinbase are able to buy altcoins directly from Coinbase and store them in their crypto wallet (available right on Coinbase).
As we've mentioned in this review, this is a trading site, usually favored by seasoned (or even professional) traders and does not offer users a wallet. To spend any currency in your account, you?ll need to transfer it to your bank account or a crypto wallet.
In order to get started on GDAX, the site will need to verify your identity.
Customers in the US will need to supply a scan of a driver's license or state-issued ID.
Please note that this platform does not accept passports for identity verification.
For regulatory reasons, they need to verify your state of residence, which is not included on a passport. You?ll also need to supply your home address and social security number.
For UK users, the requirements are similar. You'll need to provide a scan of a government ID (passports are acceptable for UK customers) and you will be asked to answer some verification questions.
Users in Australia, Canada, Singapore, and European countries simply need to provide two forms of ID.
If you have trouble with identity verification, know that the site is not able to manually bypass any requirements. If the issue lies with your identification, be sure to check your scanner or camera and make sure that the entire document is in the frame and it is not blurry. It's easiest to take the picture using the camera in the Coinbase app (free in the App Store or Google Play Store).
If you are having trouble with your address, make sure that you're typing it in exactly as it appears on official documents. For this platform to verify your identity, your information must match across all of your documents.
Getting started on the site is easy:
When you're ready to buy and sell, it can all be done from the exchange dashboard:
To withdraw digital currency from your account and transfer it to a digital wallet or other exchange, you'll need the destination address from that service.
Once you have that, it's simple to move your altcoins:
As you'll find in many reviews, the process for depositing and withdrawing USD and other fiat currencies is similar:
Its low fees, easy-to-use-interface, and tight security measures make this particular exchange platform a great option for seasoned crypto traders and Coinbase users that want to take the next step with their investing.