In a series of recent announcements, Coinbase, one of the leading cryptocurrency exchanges on Monday introduced a new “Convert” feature exclusively for the US customers.
With this new “Convert” feature,traders and investors will now be able to convert their cryptocurrency assets to any other digital currency on the exchange. In a statement published on December 17, 2018 Coinbase claimed that with this new convert option, their US customers would not have to sell one digital currency to purchase the other, instead, they can instantly convert their crypto assets into the digital currency of their choice from Bitcoin, Ethereum, Ethereum Classic, Bitcoin Cash, Litecoin and 0X, initially.
Currently, to exchange or swap currencies, users have to sell a particular currency and purchase the other. Because the current system involves two separate transactions, Coinbase claims that the new feature will reduce costs for traders and investors as with the “Convert” feature they can instantly convert one currency into other as one single transaction. While the charges for conversion is fixed at 1%, it may fluctuate either way depending upon the market conditions.
According to Coinbase announcement, made on Monday, earlier this week - “Spread may be higher or lower due to market fluctuations in the price of Digital Currencies on Coinbase Pro between the time we quote a price and the time when the order executes. We do not charge a separate Coinbase Fee for Digital Currency Conversions.”
Last week Coinbase started a series of announcements they call “12 Days Of Coinbase” where for the consecutive 12 days starting Dec10, they are announcing new features and partnerships. Amidst the market crash which significantly dampened the spirits of cryptocurrency users and traders, the exciting announcements and new features introduced by Coinbase is an attempt to get more users and retain their existing customers. Also, recently the leading exchange has been facing stiff challenges from their competitors.
Coinbase Anounces Partnership With Paypal
The most significant announcement made so far is their partnership with Paypal. Following the Coinbase partnership with Paypal, Coinbase US users will now be able to move their fiat currencies from the exchange directly to their Paypal accounts. Before this partnership, it took a minimum of two business days for US customers to get the cash out from their Exchange wallets. With Paypal, the transfers are instant and free.
“These withdrawals are not only fast; they’re free and incur no fees. No, moving your cryptocurrency to cash is easier and more affordable than ever.” - Coinbase Project Manager, Allen Osgood.