0

My first post here and my first time to look for cryptocurrencies

My understanding of cryptocurrency that it is uncontrolled and no mediators and no fees for exchange

Today I registered at coinbase and it asked for my ID and veridication

and when i wanted to purchase coins I got 10% going for fees !!

How can I trade cryptocurrency the way it meant to be fees-free, unidentified, and secure?

1

My understanding of cryptocurrency that it is uncontrolled and no mediators and no fees for exchange

Bitcoin is a protocol for peer to peer decentralized network. BTC is the symbol for bitcoin, currency used by this network. Every bitcoin transaction involves a fee which is decided by users. Check https://mempool.observer to see what fee rate is used by others for unconfirmed transactions. This fee is an incentive for miners to include transactions in blocks and they normally prioritize transactions with higher fee rates.

Today I registered at coinbase and it asked for my ID and veridication

Coinbase is a KYC exchange.

and when i wanted to purchase coins I got 10% going for fees !!

This fees is decided by exchange and has nothing to do with Bitcoin protocol.

How can I trade cryptocurrency the way it meant to be fees-free, unidentified, and secure?

Check other exchanges that don't require KYC and allow P2P trades and use the one that works better for you:

  1. Bisq: https://bisq.network (This may require some security deposit)
  2. HodlHodl: https://hodlhodl.com
0

You might be interested in what's known as a DEX, or Decentralized Exchange. There are a few out there that service bitcoin purchases: https://defiprime.com/exchanges#bitcoin.

As far as Coinbase itself goes, you can save a point by placing your own buy orders via https://pro.coinbase.com/, but you still pay a small commission to the exchange to execute the trade.

Other exchanges like Gemini, Bittrex, BlockFi and Binance, have exchange credited tokens or coins that allow you trade at slightly lower fee levels, given you're willing to buy some upfront; it's like an escrow that gets deducted from whenever you place a trade.

I would also recommend CashApp for bitcoin only purchases, as they have reasonable fees and a great UI / purchasing experience. They also allow you to self custody.

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.