4 ms·

To confirm, what makes Coinbase different is that it's not a lender?

by redwood 4y ago

aodin 4y ago
Yes, Coinbase is an exchange
- JumpCrisscross 4y ago
  > Coinbase is an exchange Not in the conventional sense. It’s a broker with a prop desk.
  - HDThoreaun 4y ago
    Coinbase has a prop desk?
    - JumpCrisscross 4y ago
      > Coinbase has a prop desk? Maybe [1], possibly not anymore [2]. [1] https://www.wsj.com/articles/coinbase-tested-group-to-speculate-on-crypto-11663806157 https://www.wsj.com/articles/coinbase-tested-group-to-specul... [2] https://news.yahoo.com/coinbase-never-trades-against-customers-145709295.html https://news.yahoo.com/coinbase-never-trades-against-custome...
Auracle 4y ago
As far as I know only interest you can earn on Coinbase is from staking coins - and Coinbase actually takes a portion of that profit for themselves. I remember looking at all of these now defunct businesses wondering just how they could have such high interest rates on your coins. In what should be a surprise to no one it was too good to be true.
- NotYourLawyer 4y ago
  If someone offers a risk-free return way above the prevailing risk-free interest rate… there are some risks that aren’t being disclosed. Everybody forgot that for a little while.
  - AlexandrB 4y ago
    "This Time It's Different"
jb12 4y ago
It's not domiciled in North America. In fact, they refuse to tell anyone where their HQ is. EDIT: sorry, got confused. Ignore me.
- capableweb 4y ago
  Coinbase is probably the most American of all the "American" cryptocurrency exchanges. It's also a publicly traded company on NASDAQ. Not sure where you get the picture that they refuse to tell anyone where the HQ is, it's famously a remote-first company but used to have their HQ in SF.
  - misiti3780 4y ago
    blockfi was based in jersey city also, it just wasnt public.
- NotYourLawyer 4y ago
  Are you thinking of Binance?
- deleted 4y ago
  [deleted]
SilverBirch 4y ago
It looks like everyone in crypto has been doing wild and shady stuff, whilst Coinbase has built a respectable business in an industry that doesn't exist. Coinbase was being looked at as a shrinking fish in a growing pond, moving slowly whilst places like FTX ran rings around them, now it turns out FTX was just a straight up scam and loads of the money was actually wash trading, so Coinbase now looks like an expensive and slow business in an industry that doesn't actually exist.

To confirm, what makes Coinbase different is that it's not a lender?

aodin 4y ago

Yes, Coinbase is an exchange

JumpCrisscross 4y ago
> Coinbase is an exchange Not in the conventional sense. It’s a broker with a prop desk.
- HDThoreaun 4y ago
  Coinbase has a prop desk?
  - JumpCrisscross 4y ago
    > Coinbase has a prop desk? Maybe [1], possibly not anymore [2]. [1] https://www.wsj.com/articles/coinbase-tested-group-to-speculate-on-crypto-11663806157 https://www.wsj.com/articles/coinbase-tested-group-to-specul... [2] https://news.yahoo.com/coinbase-never-trades-against-customers-145709295.html https://news.yahoo.com/coinbase-never-trades-against-custome...

Auracle 4y ago

As far as I know only interest you can earn on Coinbase is from staking coins - and Coinbase actually takes a portion of that profit for themselves. I remember looking at all of these now defunct businesses wondering just how they could have such high interest rates on your coins. In what should be a surprise to no one it was too good to be true.

NotYourLawyer 4y ago
If someone offers a risk-free return way above the prevailing risk-free interest rate… there are some risks that aren’t being disclosed. Everybody forgot that for a little while.
- AlexandrB 4y ago
  "This Time It's Different"

jb12 4y ago

It's not domiciled in North America. In fact, they refuse to tell anyone where their HQ is. EDIT: sorry, got confused. Ignore me.

capableweb 4y ago
Coinbase is probably the most American of all the "American" cryptocurrency exchanges. It's also a publicly traded company on NASDAQ. Not sure where you get the picture that they refuse to tell anyone where the HQ is, it's famously a remote-first company but used to have their HQ in SF.
- misiti3780 4y ago
  blockfi was based in jersey city also, it just wasnt public.
NotYourLawyer 4y ago
Are you thinking of Binance?
deleted 4y ago
[deleted]

SilverBirch 4y ago

It looks like everyone in crypto has been doing wild and shady stuff, whilst Coinbase has built a respectable business in an industry that doesn't exist. Coinbase was being looked at as a shrinking fish in a growing pond, moving slowly whilst places like FTX ran rings around them, now it turns out FTX was just a straight up scam and loads of the money was actually wash trading, so Coinbase now looks like an expensive and slow business in an industry that doesn't actually exist.