While Coinbase is still the place many Americans go for their first cryptocurrency purchase, another crypto exchange has them backpedalling. As the Malta-based exchange Binance continues its rise to the top, Coinbase is making moves to ensure they don’t become “Yahoo!” to Binance’s “Google.”
The San Francisco-based platform just announced that they’re looking to add eight new coins to their exchange. In a recent blog post, Coinbase stated that they’re considering adding the following coins:
- Algorand (Algo)
- Cosmos (Atom)
- Dash (Dash)
- Decred (DCR)
- Matic Network (Matic)
- Harmony (One)
- Ontology (Ont)
- Waves (Waves)
Founded in 2012, Coinbase made it to 2018 with only four coins on its roster. With only bitcoin, litecoin, ethereum, and bitcoin cash in tow, Coinbase was known as one of the primary fiat on-ramp/ off-ramps during the 2017 bull run. Binance was off doing its altcoin thing, then they started to get ambitious.
The Ascension of Binance
CEO Changpeng Zhao (CZ) founded Binance in 2017 and he made sure they hit the ground running. It only took them 143 days to become one of the top three exchanges in the world and now they’re known as the number one exchange by volume. After a highly successful initial coin offering (ICO) of their BNB token, it has become one of the most profitable coins in 2019.
Lately, Binance has been making moves to compete directly with Coinbase. Earlier this year, they announced they would allow credit card purchases on their platform. CZ has even said he plans on adding 5 to 10 fiat-to-crypto exchanges in 2019, including a platform targeting U.S. customers.
Coinbase Fights Back
In response, Coinbase has been adding to its historically slim roster of coins as they look to dig into Binance’s demographic: altcoin traders. If the eight coins in question are approved, Coinbase will support over 30 coins. While it’s a far cry from Binance’s 500+ coins, it shows that Coinbase is also trying to appeal to a broader range of investors.
As Binance announced earlier this year that they planned to add margin-trading to their exchange, Coinbase soon followed with a similar announcement.
Does it Matter?
As the exchanges fight for crypto dominance, some see a Game of Thrones white-walker scenario looming. If banks and large institutions decide to go all-in on crypto, it could spell the end for both exchanges.
With companies like Fidelity and Facebook looking to join the game, both exchanges may end up clawing for survival. Until then, grab your popcorn and enjoy the show.
Last modified: March 4, 2021 2:39 PM