GDAX stands for Global Digital Asset Exchange, one of the most famous cryptocurrency exchanges around the globe. It is under the ownership of the same organization that possesses Coinbase. Though the points of views of GDAX and Coinbase are quite the same, GDAX has managed to be the first choice for many experienced investors.
Origin of GDAX
Under the ownership of the same company, GDAX and Coinbase are separately decorated for different purposes. Basically, the platform of Coinbase is more suitable and easier to adapt for the fresh traders. But the experienced and long sustained investors demand robust functionality.
Keeping the point in mind, Coinbase was determined to diverge itself into two distinct business model. It remained beginners-friendly and GDAX became the choice of the educated and experienced investors.
Who should use GDAX?
The trading platform of GDAX is best suitable for those traders who have an intermediate or expert level of experience and knowledge about cryptocurrency trading, professional and institutional investment. It may seem a bit complex to the beginners but gradually becomes interesting and pleasing once a user gets used to it.
The funds of the customers are FDIC protected which means that the balance up to $250,000 USD is secured.
Users can exchange among various currencies such as Bitcoin, Litecoin, Ethereum etc. USD, EUR etc fiat currencies are also available for exchange.
Review: Exploring the platform
A user needs only to have a Coinbase account in order to enjoy the platform.
- Transferring fund from the Coinbase account to that of GDAX is totally free of cost.
- Low cost of transactions is one of the most attractive features of GDAX.
- No fees are charged on makers trade and taker fees start from only 0.25% and it may come down to only 0.1% by means of volume-based discounts and other offers.
This feature has made GDAX distinguishable from Coinbase as it charges 1.49% for each transaction.
The platform presents info on the most recent price movements of the cryptocurrencies and other instantaneous market data. It attracts many professional and institutional investors as its versatile API plans for secure as well as programmatic trading bots.
Financial audits and IT security tests on a regular basis are implied to calibrate the platform. Customers and traders can remain tension free as GDAX storage keeps their funds unquestionably secured.
About 98% of the funds are stored offline in cold storage which remains under surveillance 24/7.
Another new feature of the platform is that the users are allowed to set limit buys.
A user can set a price and can make orders upfront at which he or she is willing to buy assets. If the price comes down to the rate fixed by the trader overnight, the order will be executed automatically.
There is also an option to set a threshold which, when reached, a fixed amount of cryptocurrencies from the account of the trader will be sold out automatically.
The only drawback of we could spot is that unlike other exchanges, there is a boundary to the number of altcoins a user can buy.
Hopefully, this limitation will be rectified shortly.