Robinhood vs Coinbase: Which Is Better for Crypto?
Robinhood makes crypto look easy. But is a stock trading app the best place to buy Bitcoin? We compare it head-to-head with Coinbase, the crypto-native alternative.
Quick Verdict
Choose Coinbase if you want more coins (250+ vs ~20), staking rewards, and the full crypto experience.
Choose Robinhood only if you already use it for stocks and want the simplest way to add some crypto exposure.
🔑 The Key Difference
Coinbase is a crypto company that built an exchange. Robinhood is a stock broker that added crypto. This difference shows in everything—coin selection, features, and crypto-native capabilities.
Head-to-Head Comparison
| Feature | Robinhood | Coinbase | Winner |
|---|---|---|---|
| Trading Fee | $0 (spread only) | 0.40-0.60% | Robinhood |
| Spread (Hidden Fee) | ~0.4-1% | ~0.5% | Similar |
| Cryptocurrencies | ~20 | 250+ | Coinbase |
| Staking Rewards | ❌ None | ✅ 2-6% APY | Coinbase |
| Crypto Withdrawals | ✅ Available | ✅ Available | Tie |
| Crypto Card | ❌ No | ✅ Up to 4% back | Coinbase |
| Learn & Earn | ❌ No | ✅ Free crypto | Coinbase |
| Stocks + Crypto | ✅ Same app | ❌ Crypto only | Robinhood |
| Options Trading | ✅ Stocks only | ❌ No | Robinhood |
| Security Record | Data breach 2021 | Never hacked | Coinbase |
Robinhood's "Free" Trading Isn't Free
The Spread Trap
Robinhood advertises $0 commissions, but you pay through the "spread"—the difference between buy and sell prices. This can be 0.4-1% or more, depending on the coin and market conditions.
Example: Buying $1,000 of Bitcoin
Robinhood:
Commission: $0
Spread: ~$5-10
Total: ~$5-10
Coinbase Advanced:
Commission: $4-6
Spread: ~$5
Total: ~$9-11
The "free" option often costs the same or more. You just don't see the fee.
Cryptocurrency Selection
Robinhood (~20 coins)
Only the biggest names:
Coinbase (250+ coins)
Everything Robinhood has, plus:
Who Should Use Which?
Use Robinhood If:
- ✓ You already use it for stocks
- ✓ You only want BTC, ETH, DOGE exposure
- ✓ You want stocks + crypto in one view
- ✓ You value simplicity over features
Use Coinbase If:
- ✓ You want access to 250+ cryptocurrencies
- ✓ You want to earn staking rewards
- ✓ You plan to use DeFi or NFTs
- ✓ Security is a top priority
- ✓ You want a crypto debit card
Security Comparison
✅ Coinbase: Never Hacked
Founded 2012. Publicly traded (NASDAQ: COIN). 98% of assets in cold storage. $255M insurance on hot wallets. No security breaches involving customer funds.
⚠️ Robinhood: 2021 Data Breach
In November 2021, hackers accessed customer support systems and obtained email addresses for 5 million users and full names for 2 million. No funds were stolen, but it raised security concerns.
Frequently Asked Questions
Can I transfer crypto from Robinhood to Coinbase?
Yes, Robinhood now allows crypto withdrawals (this wasn't always the case). You can send your crypto to any external wallet, including Coinbase. Standard network fees apply.
Is Robinhood safe for crypto?
Robinhood is a legitimate, regulated broker. The 2021 data breach didn't compromise funds. However, Coinbase has a stronger crypto security track record and is crypto-focused vs being a stock broker that added crypto.
Why doesn't Robinhood have more coins?
Crypto isn't Robinhood's focus—stocks are. They add coins slowly and conservatively. They also face the same regulatory pressures as Coinbase regarding which coins might be securities.
The Bottom Line
Coinbase is the better crypto platform—more coins, staking rewards, crypto card, and a security track record that Robinhood can't match.
Robinhood makes sense only if you're already using it for stocks and just want simple BTC/ETH exposure alongside your portfolio. For anything more, use a real crypto exchange.
Compare All ExchangesLast updated: December 18, 2025