The Best Coinbase Alternatives in Australia: 2021 Guide

Although Coinbase is available to Australians, you definitely shouldn’t buy bitcoin with it. There are much cheaper Coinbase alternatives in Australia. In this post I’m going to break down why you shouldn’t use Coinbase and how to actually invest in cryptos through better alternatives.

Why You Shouldn’t Use Coinbase in Australia

There are two big reasons why you shouldn’t use Coinbase in Australia:

  1. No Selling Support – In Australia you can buy Bitcoin and other cryptocurrencies through Coinbase, but you can’t then sell it back to Australian Dollars. Selling on Coinbase isn’t supported for Australian customers. That means if you buy bitcoin on Coinbase you then need to transfer it to another exchange to sell it back to fiat currency. You’ll need to pay transaction fees to send the crypto making it a really bad deal.
  2. Credit Card Buys Only – You can only buy crypto using a credit card on Coinbase from Australia. Buying crypto with a credit is always a bad idea as you’re charged outrageous fees. You’ll end up getting a lot less crypto for your money.
Coinbase sells not supported in Australia
You can buy Bitcoin in Australia on Coinbase but you can’t sell it!

So that’s why you shouldn’t use Coinbase in Australia. It just doesn’t make any financial sense and you’ll just get ripped off. Thankfully though there are some great exchanges in Australia. I’ve used a bunch of them but there are only two that I currently recommend.

CoinSpot – The Best Coinbase Alternative for Australians

I believe that the best place for most Australians to buy Bitcoin is CoinSpot. Here is why I think it makes the best alternative to Coinbase:

  • Cheapest Fees – CoinSpot has some of the cheapest fees in Australia. If you buy Bitcoin (or other cryptos) using the markets feature on CoinSpot you’ll pay a fee of just 0.10%. This is lower than pretty much every other Australian exchange.
  • Local Deposit Options – You can buy Bitcoin and other cryptos using PayID, BPay or even Cash. You don’t need to buy Bitcoin using a credit card like on Coinbase and get charged exorbitant fees. PayID deposits are pretty much instant so you don’t need to wait days for bank transfers to clear.
  • Sell back to AUD – When you want to cashout your crypto investment back into AUD (Australian Dollars) you can easily do this through CoinSpot.
  • Fast Withdrawals – You can Withdraw AUD back to your Australian bank account easily through CoinSpot. I’ve found withdrawals on CoinSpot to be some of the fastest of any exchange.

Find out more about CoinSpot here

Buying and selling crypto through CoinSpot
Using the Markets Feature on CoinSpot is the way to go. You’ll pay a fee of just 0.10%, the cheapest of any Australian exchange

CoinSpot vs Coinbase

I think that CoinSpot makes way more sense to use in Australia vs Coinbase. It has much cheaper fees, local deposits and most importantly you can sell Bitcoin and other cryptos for Australian Dollars and withdraw this money to your bank account.

If you do have crypto stuck on Coinbase, I’ve put together a step-by-step guide on how to withdraw to $AUD.

Get $10 Free on CoinSpot

When you sign up to CoinSpot using a referral code you’ll get a $10 bonus when you make your first deposit. It’s free money, so I would recommend taking advantage of it!

FTX – The Best Coinbase Pro Alternative

CoinSpot will suit most Australian crypto investors. But if you’re after some more advanced trading features that are similar to CoinSpot Pro than my top pick is FTX. I’ve been testing it out over the last year and I’ve been super impressed.

I’ve tested out depositing and withdrawing AUD, as well as making trades. The interface is more complex than CoinSpot. If you’re just looking to Buy and hold Bitcoin than I would definitely choose CoinSpot. FTX also charges a withdrawal fee for values of less than $10k. So if you’re investing small amounts it might not be the best idea to use FTX.

Here’s why I like FTX in Australia

  • Deposit Using PayID – You can deposit Australian Dollars on FTX using PayID. This means you can make pretty much instant deposits. You can then convert this AUD into Bitcoin and other cryptos.
  • Cheap Fees – The fees on FTX are some of the most competitive available. If you’re making a large trade, then you’ll get the best deal through FTX.

One thing to note, FTX isn’t a local Australian exchange. Crypto will be getting more regulated in Australia (in a good way) over the coming few years. Exchanges like FTX might struggle with this.

Find out more about FTX here

Coinbase vs Binance?

I don’t recommend Binance as an alternative to Coinbase anymore. Recently Binance has been struggling with regulatory issues around the world. I don’t like that nobody really knows where Binance is located. Although Binance does support Australian deposits, I believe that it makes more sense to just use CoinSpot which is based in Australia and has just as competitive fees.

Why Use Coinbase?

There are a couple of reasons why Coinbase might be useful to Australians. Coinbase does have a feature called Coinbase Earn. You can earn free crypto for watching videos and learning about how various cryptos work. I use my Coinbase account for this. Whenever I get free crypto I just send it to CoinSpot (which supports pretty much all the major alt coins) and then either sell it or convert it into Bitcoin.

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Jamie Benedict
I've been covering all things crypto over the past 5 years. I invest in Bitcoin and DeFi projects.

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