Binance is a crypto exchange for buying and selling cryptocurrencies. Some of the factors that have made it attractive to crypto traders include its availability in multiple languages, fast order processing and the fact that it transacts numerous digital currencies.
Binance is only for trading cryptocurrencies, and does not handle fiat currencies.
Due to evolving global regulations, Binance moved from China, where it was established, to Japan and then Taiwan and as of March 2018, relocated to Malta (Island country south of Italy).
Coinbase is a U.S. crypto exchange which supports Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, and Litecoin, which of course represent a fraction of the global digital currencies available. To become more globally competitive Coinbase will begin listing new crypto assets which are in line with local regulations. This is a significant change for Coinbase.
Brian Armstrong is CEO of Coinbase, which has recently grown to over 500 employees (founded in 2012). Coinbase is working to establish an open financial system for the world that will create innovation, efficiency and economic freedom.
They aim to be the trusted, legal compliant place for people to trade crypto.
Coinbase is known for being the most popular exchange for converting fiat currency into crypto — most of the largest traded exchanges are crypto-to-crypto — but he foresees a future in which it plays host to a growing number of cryptocurrencies as it becomes standard for companies to create their own token, which runs alongside equity as an alternative investment system.
Armstrong states the investment phase is driving the crypto market but the utility of blockchain is where the long-term value exists.
Armstrong articulated that:
Web 1.0 was about publishing information, web 2.0 was about interaction and web 3.0 is going to be about value transfer on the internet because now the web has this native currency and so applications can be built that instantly tap into this global economy on the internet.
Cyptocurrency exchanges are platforms through which you can purchase or sell digital currencies for dollars, euros, and pounds, as well as other digital assets. For example, you can sell bitcoins and purchase dollars with the sold bitcoins, or you could exchange bitcoins for ether.
Cyptocurrency exchanges may be brick-and-mortar businesses, exchanging traditional payment methods and digital currencies, or strictly online businesses, exchanging electronically transferred money and digital currencies.
A number of cyptocurrency exchanges operate outside of Western countries, avoiding regulatory oversight and prosecution, but they often accept Western fiat currencies, sometimes maintaining bank accounts in several countries to facilitate deposits in various national currencies.
Some may accept credit card payments, wire transfers or other forms of payment in exchange for digital currencies or cryptocurrencies.
There are private exchanges, which are exclusive and operate by invite only, as well as those available for the public. Local exchanges also exist. Some are easier to use than others are.