Introduction
Since Cash App—owned by Square and backed by Twitter CEO Jack Dorsey—announced support for Bitcoin purchases, Coinbase has faced stiffer competition. Initially marketed as a commission-free platform (relying on spreads for revenue), Cash App eroded Coinbase's market share. However, fee structure transparency and limited U.S. availability have kept Coinbase dominant.
This analysis compares both platforms across critical metrics: fees, security, supported currencies, and more.
General Overview
Coinbase
- Launched: 2012 (San Francisco, USA)
- Regulation: Complies with U.S. federal/state laws (Patriot Act, Bank Secrecy Act) and FinCEN registration.
- Reputation: Top-tier crypto exchange with institutional-grade security.
Cash App
- Peer-to-Peer Focus: Primarily a fiat payment app (formerly Square Cash).
- Bitcoin Support: Added in 2018.
- Availability: Limited to the U.S., Canada, and UK.
Fee Structures
| Method | Coinbase Fee | Cash App Fee |
|----------------------|----------------------------|----------------------------|
| Bank Transfer | 1.49% (min $0.15) | Free (standard deposit) |
| Credit/Debit Card | 3.99% | 3% |
| Bitcoin Transactions | N/A | 1.75% + volatility adjust. |
👉 Compare crypto platforms for lower fees.
Purchase Limits & Supported Countries
Coinbase
- Limits: Up to $50,000/week (U.S.), $30,000 (EU).
- Global Reach: Available in 30+ countries (e.g., Australia, UK, Singapore).
Cash App
- Limits: $250/week (sending), $10,000/week (Bitcoin).
- Availability: U.S., Canada, UK only.
Supported Currencies
- Coinbase: Bitcoin, Ethereum, Litecoin, +10 others.
- Cash App: Bitcoin only.
Security Measures
| Platform | Key Features |
|-----------|-----------------------------------------------|
| Coinbase | FDIC-insured, 98% offline storage, Lloyd’s insurance. |
| Cash App | PCI-DSS Level 1, biometric locks, offline Bitcoin storage. |
Customer Support
- Coinbase: Email-only; 24–72hr response time.
- Cash App: In-app support; frequent user complaints.
Pros and Cons
Coinbase
- ✅ Strong reputation, multi-currency support.
- ❌ High fees, slow customer service.
Cash App
- ✅ Simple interface, free standard transfers.
- ❌ Low limits, Bitcoin-only.
Final Verdict
- For diversity: Coinbase wins with broader currency options.
- For low-cost Bitcoin: Cash App is cheaper.
- Security: Both excel with robust measures.
👉 Explore alternatives like Kraken or Bitstamp.
FAQs
1. Which is safer: Coinbase or Cash App?
Both use advanced security (offline storage, encryption), but Coinbase offers FDIC insurance.
2. Can I use Cash App internationally?
No—only available in the U.S., Canada, and UK.
3. What’s Coinbase’s biggest drawback?
High fees for card purchases (3.99%).
4. Does Cash App support altcoins?
No, only Bitcoin.
5. How do I increase my Cash App limits?
Verify your identity with full name, DOB, and SSN.