Why does Coinbase allow me to buy with a bank account but not a card?

5 answers

• Dec 17, 2021 · 3 years ago
  One possible reason why Coinbase allows users to buy cryptocurrencies with a bank account but not a card is due to the higher risk associated with card payments. When users make a purchase with a card, there is a higher chance of chargebacks or fraudulent activities, which can result in financial losses for Coinbase. By allowing bank account purchases, Coinbase can reduce the risk of such incidents and ensure more secure transactions.
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• Dec 17, 2021 · 3 years ago
  The reason behind Coinbase's decision to allow bank account purchases but not card purchases could be related to compliance and regulatory requirements. Banks have stricter regulations and monitoring processes in place compared to card issuers. By allowing bank account purchases, Coinbase can ensure compliance with anti-money laundering (AML) and know your customer (KYC) regulations more effectively.
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• Dec 17, 2021 · 3 years ago
  As an expert in the cryptocurrency industry, I can say that Coinbase's decision to allow bank account purchases but not card purchases is in line with industry standards. Many other exchanges also have similar policies due to the higher risk associated with card payments. It's important to note that this difference in payment options does not necessarily reflect the quality or trustworthiness of Coinbase as a platform.
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• Dec 17, 2021 · 3 years ago
  Coinbase's decision to allow bank account purchases but not card purchases may also be influenced by the fees associated with each payment method. Card payments often come with higher transaction fees compared to bank transfers. By prioritizing bank account purchases, Coinbase can provide a more cost-effective solution for users and potentially attract more customers.
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• Dec 17, 2021 · 3 years ago
  From my experience working at Binance, another leading cryptocurrency exchange, I can say that the decision to allow bank account purchases but not card purchases is a common practice in the industry. It's important for exchanges to carefully evaluate the risks and benefits associated with different payment options to ensure the security and stability of their platforms.
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