Setting Up Coinbase

Discussion in 'Bitcoin and Cryptocurrency' started by picholas, May 26, 2018.

  1. picholas

    picholas Member

    If you're using coinbase you have to first link it to your bank account by putting in the routing number and account number.

    This is for verification and IF you wanted, to convert large sums of money (I think $7.5k USD) into cryptocurrency at a time.

    It is a hassle in the beginning and includes some verification processes but the website itself is pretty thorough in explaining that process. Only problem with linking it directly to your bank account is that it takes 2-3 business days to clear with your bank.

    You can (I did) link your debit card, no credit cards as of yet, and that is an instant purchase/receive. They do ask you to upload a photo ID with the card which you can do on the site, through webcam, or even on your phone by taking a picture and sending it to the number they contact you with.

    After that is all set up it's fairly simple

    Using the number $300 as an example. When you complete you order on whatever site you are using, and they tell you the total cost, they will provide you with an "address" to their store's virtual wallet that could look something like this:

    1MauqJEVKx7mohEXXaHXnn96RFvLEGnVjV

    They will then tell you how much your total is in bitcoin, the rate of exchange is locked in once you complete your order (it fluctuates like a stock)

    So at the current rate of exchange $300 = 0.03589999 bitcoins

    You then send the money from coinbase to the address of the wallet they provided. It takes about 1-5 minutes to go through, and you should get a confirmation email stating they received the funds.

    Buy about $10 extra to cover the conversion fee.

    All in all A LOT quicker than MG or WU and less likely to get scammed.

    I provided pictures that should help with my personal information removed.

    confirmation.jpg dashboard.jpg sendingmoney.jpg

    More info can be found here:

    First-time buyers guide - Bitcoin Wiki <--- Very useful but takes a bit to get through
     
    3ml, TestYourMight, StillMind and 6 others like this.
  2. Savagesteve

    Savagesteve Member

    Good info and the only thing I would add but be to tumble the coins through something like blockchain before sending to source. Also the bank deposit USD doesn’t charge a fee like using your debit card does for the money being available instantly. I think the using card fee is like 3-4%.
     
  3. picholas

    picholas Member

    Yes if you went through the bank it doesn't charge the fee, but you also don't get the funds instantly have to wait 2-4 business days for it to clear. Due to the volatile nature of cryptocurrencies unless you are investing in it, I prefer to do same day transactions.

    Bitcoin transactions are recorded on a public ledger. Anyone who traces a public address can know the origin and/or destination. So tumbling the coins isn't fool-proof but I heard the following helps:

    "The main problem with Bitcoin anonymity is that every transaction is publicly logged by design. Anyone can view the flow of Bitcoins from address to address in the blockchain. This data alone cannot be used to identify you because the addresses are just random numbers, but if any of the addresses in a transaction's future or past history can be backtraced to a real identity, it may be possible to find out who owns all the other addresses. Such identity information could be derived from network analysis, surveillance, or a quick google search for the bitcoin address.

    here is the list of mixing servises, use them to avoid compromising of privacy and security. Mixing services provide to periodically exchange your bitcoins for different ones which cannot be associated with the original owner. Mixing service - Bitcoin Wiki"
     
  4. Savagesteve

    Savagesteve Member

    You can add funds to your USD wallet without worrying about the volatility of crypto while waiting on the transfer to clear. Wasn’t trying to take away from the great article, just adding to it.
     
    picholas likes this.
  5. picholas

    picholas Member

    No not at all, appreciate the insight. It was very useful information, and I didn't know that about the bank transfer (I am assuming based off what you said, it locks in at the rate you made the purchase?)

    As more and more sources switch to just crypto I think the more we know about the functionality and how to protect ourselves the better.
     
  6. Savagesteve

    Savagesteve Member

    When you use the add to USD wallet you’re adding funds to a coinbase account without purchasing any coins. So for instance, you transfer $400 to the USD wallet via bank transfer after the 3-5 days wait you have $400 in your USD wallet awaiting you to purchase the crypto of your choice with an instant transfer.
     
    picholas likes this.
  7. Interesting read. As far as digital wallets go what do you prefer? If I'm not mistaken it's way better to deposit your bitcoins there as an added precaution to possible theft. I'm currently dabbling between Electrum and Exodus.
     
  8. picholas

    picholas Member

    I prefer
    Code:
    https://blockchain.info/wallet/#/home
    but I've heard good things about Exodus
     
  9. From what I have read web wallets are a no-no for security. Although if you just put the money and do the transaction the same day that problem is mitigated a lot. Exodus has an amazing UI but thing is Close source that means that the developer could sneak in an update to take your money. So you just have to trust him. Electrum from the other hands looks like crap, is open source [good thing] and has a seed function to get your bitcoins back in case you, by mistake, delete your wallet.

    Personally since I, probably like you, am going to use it the same day I might opt for either coinbase [I think it's also a wallet] and maybe electrum.
     
  10. Savagesteve

    Savagesteve Member

    personally i use coinbase and blockchain and it’s simple.
     
    Ray9 likes this.
  11. rutman

    rutman Member

    Subbed for later
     
  12. superbane

    superbane Member

    So if you were to use a bitcoin ATM and transfer cash to a wallet you wouldn't need an bank account linked correct?
     
  13. Ray9

    Ray9 Member

    So there is a card fee and a conversion fee?
     
  14. Savagesteve

    Savagesteve Member

    Yes the card option charges a percentage of the overall purchase if I’m not mistaken and the conversion is to send the money.
     
    Ray9 likes this.
  15. TRT

    TRT Member

    I've got a few questions. I just bought $1000 in Bitcoin and it says I have to wait 26 days for it to clear before I can send it.

    Is my Bitcoin amount gonna change in that time?
    Is there anyway I can speed this transaction up now or in the future?
     
    rutman likes this.
  16. Savagesteve

    Savagesteve Member

    26 days? Wtf?! Did you add funds to USD wallet or bitcoin wallet?
     
  17. Ray9

    Ray9 Member

    Is it just as simple to transfer crypto back into USD? I will probably buy a little more than needed just in case. Rather a little too much than have more fees for a small amount to complete a purchase. Also, if I have some left over, I was thinking of a currency that is on the rise, so that amount would increase a little, not reduce. Litecoin has been on the rise?
     
  18. Savagesteve

    Savagesteve Member

    Yes you can do that but I think the fees apply for selling the crypto as well as when you add it back to a wallet when you purchase them again
     
  19. TRT

    TRT Member

    It was on Coinbase. I guess it was to Bitcoin wallet not USD. Is that what it should have been?
     
  20. Savagesteve

    Savagesteve Member

    I’ve bought coin with my card and it’s instant...transferred funds to my USD wallet from my bank and it took 4-6 days or so but 26 is ridiculous...next time if you transfer the funds to your USD wallet you don’t have to worry about losing any money as it transfersthe amount you set and doesn’t purchase any crypto until you tell it to from your USD wallet
     
    TRT likes this.