Last update: Apr 28, 2021

eToro vs Coinbase: Fees, Deposit Methods and Much More

At first glance, it’s tough to see what Coinbase and eToro might have in common with one another. Coinbase is one of the most popular cryptocurrency exchanges in the industry, while eToro is known for trading derivatives and other financial products.

eToro vs Coinbase

Name Founded Countries Cryptocurrencies Trading Pairs FIAT Trading Fees Withdrawal fees
eToro 2006 140+ 15 90+ 0 5 $
Coinbase 2012 100+ 328 129 up to 3% 3.99%

However, the two have a common factor – digital assets. eToro offers financial assets of all kinds, so it stands to reason that the platform branched out into cryptocurrency trading.

With new products due to hit the market soon, it’s clear that eToro plans on playing a significant role in the industry.

Not much needs to be said about Coinbase. It is arguably the most well-known crypto platform in the market.

Newcomers flock to the exchange to purchase their first crypto as they make their way into the wonderful world of digital coins and tokens.

So what do these two platforms really have in common?

And how do they differ from one another?

Join me as I dig further into Coinbase vs. eToro to learn all about these unique and distinct crypto exchanges.

History

Coinbase

Coinbase started in San Francisco, California, in 2012, making it one of the oldest exchanges in the market.

Since it operates in the United States, the exchange complies with all US regulations and laws, including state regulations and transmission laws.

If you prefer to use a platform that is accountable to outside forces, it might be a good exchange.

Many offshore options that reside in countries that lack regulations are less likely to provide US users’ security and privacy. As a result, Coinbase is considered by many as one of the best trading platforms in the industry.

Coinbase Pros And Cons

Pros

  • Insured by the FDIC
  • Ease of use
  • Deposits through debit cards
  • Secure and safe
  • Reputation as a high-quality exchange

Cons

  • Doesn’t support as many coins as other platforms
  • Customer support could be better
  • Higher fees than other exchanges in the industry

eToro

Of the two, eToro has been around longer. The site launched in 2006 and has since become a global sensation.

It is active in more than 140 countries, offering trading and forex options to investors. This well-established exchange expanded its offerings a few years ago to include trading cryptocurrencies.

While the platform doesn’t have the cache that other platforms like Coinbase and Binance offer, it does have unique features like margin trading and fee-less trading.

Additionally, like its counterpart, eToro does let users purchase cryptocurrency via PayPal.

eToro Pros And Cons

Pros

  • Simple and clean interface
  • Secure and trustworthy platform
  • Multiple trading options
  • Wide variety of markets

Cons

  • Unable to deposit crypto
  • Users don’t hold assets
  • Doesn’t support as many cryptocurrencies

Security

When it comes to Security, Coinbase does what it can to provide safety for user funds. One way it does this is by separating company funds from consumer funds.

The assets are kept in two distinct bank accounts so if the site is breached (which has never happened,) hackers don’t have access to your funds.

Additionally, the site requires users to go through the AML/KYC process to verify their identity.

Anytime you log into your account, you go through the company’s two-factor authentication process to prove you have authorization.

One last way the platform provides user security is by only offering cryptocurrencies it has vetted. That way, you’re not buying into potential scams and you’re only investing in legitimate digital coins.

Similarly, eToro is known for being an extremely safe platform. It has never had problems with hackers or lost user funds due to attacks.

That’s largely because the exchange takes the necessary precautions to ensure personal information and assets are kept safe.

For example, all traditional funds are kept in secure European banks.

However, keep in mind that as an offshore platform, eToro isn’t subject to the same requirements and regulations that apply to US-based exchanges.

As a result, crypto trading and investing do not have the same protections you might find with typical brokerage transactions.

Still, the exchange takes great pride in the fact that it has never been breached.

It works tirelessly to ensure that user funds are safe while giving its users a way to provide feedback and suggestions on ways to make the platform even more secure.

Features Comparison

Since its launch, Coinbase has seen significant growth. As a result, the platform has decided to branch out into different areas of the crypto industry.

This is evident with new features and services offered by the exchange, including Coinbase PrimeCoinbase Staking, and Coinbase Custody.

I’ve included the URLs so you can check those out at your leisure.

Another feature users have access to is the Coinbase Pro exchange.

This platform is specifically designed for investors and day traders.

When you’re ready to move to the next level of cryptocurrency buying, selling, and trading, Coinbase Pro is a solid option.

Wallet
Coinbase

One of the most popular sites to get started with crypto is Coinbase. This well-known wallet not only lets you buy, sell, and trade coins but also lets you earn more through short videos and courses. It’s a solid option for anyone new to the world of cryptocurrencies.

Learn about cryptocurrencies and more by visiting Coinbase today.

4.7/5
Visit Coinbase

By comparison, eToro is a comprehensive financial platform that offers a wide variety of features and products.

Since its initial foray into the world of crypto, the exchange has expanded its offerings to include eToro Wallet and eTorox, both of which are products adjacent to its main trading platform.

One feature offered by eToro that you’re not likely to find on other crypto trading platforms is CopyPortfolio offering.

With this feature, users can copy the portfolios of some of the top investors and purchase the same cryptocurrencies. Along the same lines is another eToro feature called CopyTrading.

With this, users can copy trades of more successful traders and take some of the guesswork out of day trading.

Deposit Methods

Now let’s switch gears a moment and discuss deposit methods available for each platform. There are noticeable differences between the two.

When it comes to options, Coinbase offers fewer ways to fund your account than eToro.

Here’s a quick rundown of ways to deposit funds into your account for each platform.

Coinbase

  • PayPal
  • Wire transfers
  • Debit cards
  • Bank Transfers

eToro

eToro Logo

  • PayPal
  • Wire Transfers
  • Bank transfers
  • Debit and Credit Cards
  • Klarna
  • Skrill
  • Rapid transfer
  • Neteller

As you can see, you have several ways to fund your account with PayPal. However, when it comes to payment methods, it’s tough to beat what eToro has to offer.

Fees

One area in which eToro is the clear winner is fees.

It’s no secret that Coinbase fees are higher than many other platforms, but eToro users aren’t charged trading fees, which is tough for many platforms to compete with.

There are also no withdrawal fees when using eToro, whereas Coinbase charges both withdrawal fees and trading fees.

You can expect to pay somewhere between 1.49% and 3.99% when trading on Coinbase. However, cryptocurrency withdrawals and direct deposits are free of charge.

While charges with Coinbase aren’t the highest in the market, the fees do add up over time, especially if you like to buy, sell, and trade digital coins.

Keep in mind, though, that eToro isn’t a free platform. Conversions and blockchain fees are applicable anytime you make a transaction.

Overall, when you buy bitcoin and invest in altcoins, it will be much cheaper if you choose eToro.

Supported Cryptocurrencies

Supported Cryptocurrencies

When it comes to support for various cryptocurrencies, Coinbase is the clear winner.

Currently, eToro only offers support for a handful of digital coins, so if you prefer to have more options, Coinbase is the way to go.

Coinbase

  • Bitcoin (BTC)
  • Ethereum (ETH)
  • Litecoin (LTC)
  • Bitcoin Cash (BCH)
  • ZCash (ZEC)
  • Stellar (XLM)
  • Eos (EOS)
  • Algorand (ALGO)
  • Tezos (XTZ)
  • and many more

eToro

  • BTC (Bitcoin)
  • ETH (Ethereum)
  • Litecoin (LTC)
  • Bitcoin Cash (BCH)
  • Ripple (XRP)
  • Stellar (XLM)
  • Cardano (ADA)
  • Dash (DASH)
  • Tron (TRX)
  • Neo (NEO)

Supported Countries

The following countries are supported by Coinbase:

Australia, Austria, Belgium, Bulgaria, Canada, Croatia, Cyprus, Czech Republic, Denmark, Finland, Greece, Hungary, Ireland, Italy, Jersey, Latvia, Liechtenstein, Malta, Monaco, Netherlands, Norway, Poland, Portugal, San Marino, Singapore, Slovakia, Slovenia, Spain, Sweden, Switzerland, United Kingdom and the United States.

Comparatively, eToro offers support for over 140 countries worldwide.

There are a few exceptions, which include Canada, Cuba, Japan, North Korea, Iran, Syria, Turkey, Serbia, and Sudan.

What Is Special About eToro?

Exchange
eToro

With eToro, you can build your portfolio using 14 different cryptocurrencies. However, the best features is the ability to copy other traders automatically using CopyTrader technology, so if you like what you see, you can do the same thing.

If you want to set your portfolio on autopilot based on other traders and how their portfolios are performing, sign up on the eToro website or download the Android or iOS app now!

3.9/5
Visit eToro

There’s plenty to like about eToro and what it offers its users.

For example, the exchange is one of the few in the industry that supports purchasing cryptocurrencies using PayPal, along with many other payment options.

Additionally, eToro allows for trading on margin, giving its users 2x leverage on the 15 cryptocurrencies the platform supports.

This, combined with the zero trading fees the exchange charges, makes it clear that eToro is serious about being in the crypto industry.

There are a few features eToro offers that it puts in its ‘next-gen’ category.

I alluded to CopyPortfolio and CopyTrading earlier, but these two options are worth repeating simply due to the fact that they’re not available on many other platforms.

With CopyPortfolio, users can copy and invest in the same portfolios as top traders on the exchange.

Users taking advantage of this feature give eToro the ability to professionally manage their portfolio, which takes a lot of the difficulty out of trading and investing.

Using CopyTrading, anyone on the platform can copy the trades made by other investors and traders.

That means if you don’t want to copy an entire portfolio, you can select digital coins and copy trades by top earners when they occur.

One last feature worth mentioning is the smartphone app, available on either iOS or Android devices.

With the eToro app, you can buy, sell, and trade your favorite digital currencies no matter where you are.

It’s not as robust as the platform’s website, but it gets the job done.

Can I Transfer From Coinbase To eToro

The answer to this question is more than just yes or no. Since eToro has a crypto wallet, you can move digital assets to and from the exchange.

However, you can only move coins that the platform supports.

So if you buy Cosmos (ATOM) from Coinbase and decide you want to move it to eToro, you’re out of luck since it doesn’t support that coin.

Basically, the answer is yes, so long as eToro supports the coin you want.

Unfortunately, the exchange currently only supports about fifteen cryptocurrencies, so your options are limited.

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author Andrej Ilisin

A serial entrepreneur working primarily with digital assets. He's the CEO of Sharp Capital, a company that focuses on growing online businesses. Andrej is also huge crypto, chess, and CrossFit enthusiast.