How to Close Coinbase Accounts Permanently in 2024

Hey there!

So you‘ve decided it‘s time to close your Coinbase account. Maybe you no longer want to trade cryptocurrencies. Or perhaps you‘re looking to try out a different crypto platform.

Whatever the reason, deleting your Coinbase account is a big decision. While the process itself is simple, it‘s irreversible once your account is gone for good!

In this detailed guide, I‘ll walk you through everything you need to know before closing your Coinbase account permanently in 2024.

A Quick Intro to Coinbase

Founded in 2012, Coinbase is one of the biggest cryptocurrency exchanges in the world. It operates in over 100 countries and has facilitated over $500 billion in trading volume so far.

With 89 million verified users, Coinbase has almost as many customers as Charles Schwab! No wonder it calls itself "the easiest place to buy and sell crypto."

The exchange offers 100+ cryptocurrencies and charges up to 4% in fees. It also provides features like staking, Earn rewards, and Coinbase Wallet. The company went public in April 2021 at a whopping $85 billion valuation.

However, as the crypto market matures, users now have more choices. So many have started looking at alternatives to Coinbase.

Key Stats on Coinbase Users and Trading Volumes

Here are some crucial stats to put Coinbase‘s growth in perspective before we dig into account closure:

• 89 million verified users worldwide
• Over 8000 institutions trade on Coinbase
• 159 million web visits and 21 million mobile app visits per month
• $327 billion in quarterly trading volume as of Q2 2022
• Trades 100+ crypto assets
• Has 3,700+ employees

As you can see, Coinbase has a massive global userbase. Tens of millions access Coinbase on a monthly basis to buy, sell, and store cryptocurrencies.

No wonder then that the platform processes transactions worth hundreds of billions of dollars each quarter!

But how easy is it for these users to close their Coinbase accounts if needed? Let‘s find out.

Should You Delete Your Coinbase Account?

Before I explain the account closure process, let‘s weigh the pros and cons of keeping your Coinbase account. This will help decide whether to disable or delete it.

The Pros of Keeping Your Coinbase Account

Here are some good reasons for holding on to your Coinbase account:

• Easy buying/selling – Coinbase is designed for simplicity. Even beginners can invest in seconds via bank transfer or card payment.
• Secure storage – Coinbase Claims to store 98% of users‘ crypto securely offline. This protects against theft and hacking of funds.
• Insurance protection – All cash balances are FDIC-insured up to $250,000. A good safeguard against bankruptcy or insolvency.
• Earn rewards – Coinbase lets you earn interest on crypto holdings by lending assets through its Earn program. Rates are up to 5%.
• Future access – You never know when you might need to buy or sell crypto again. Keeping your account avoids the hassle of re-verification.

The Cons of Keeping Your Coinbase Account

On the flip side, here are some potential drawbacks of retaining your Coinbase account:

• Higher fees – Coinbase fees range from 0.5% to 4% based on payment method, region, and transaction amount. Other exchanges may be cheaper.
• Security risks – Any exchange account poses risks if login credentials are compromised. Two-factor authentication is a must.
• Distraction – Checking crypto prices and your portfolio can end up being a distraction. Account deletion forces a clean break.
• Limitations – Coinbase has limited availability in some countries. You may want to use a local exchange instead.
• Abandoned accounts – Forgotten or unused Coinbase accounts left open may incur ongoing maintenance fees based on their policies.

As you can see, there are solid arguments on both sides. Evaluate your own situation before deciding whether to delete your account.

How Other Major Exchanges Compare to Coinbase

Coinbase is convenient but definitely not the only option. Here‘s how it stacks up against some other popular crypto exchanges:

Binance – World‘s largest exchange offering lowest trading fees of 0.1% and over 500 crypto pairs. However, U.S. users need to sign up for Binance.US with reduced asset offerings.

Crypto.com – Based in Singapore but heavily markets to U.S. and European audiences. Charges 0.4% maker/taker fee. Offers apps, debit cards, and generous rewards.

Kraken – Founded in 2011, this U.S. exchange is known for security and offers staking services. Fees range from 0% to 0.26% based on volume.

Gemini – Regulated New York exchange founded by the Winklevoss twins in 2014. Charges around 1% spread as fee. Accepts fiat deposits.

FTX – Popular with sophisticated traders and one of the largest derivatives exchanges. Offers leveraged and spot trading with low fee tiers.

As you can see, whether it‘s fees, coins listed, security, or regulation, there are plenty of Coinbase alternatives to choose from. You‘re not limited to using a single platform.

Account Risks and Issues If Not Closed Properly

Now that we‘ve weighed the pros and cons of closure, it‘s crucial I emphasize the risks of leaving your Coinbase account open.

Forgotten accounts – Accounts left untouched and unmonitored for years can easily slip from memory. This makes them vulnerable to potential hacking or unauthorized access.

Login credentials – If you reuse the same email and password across accounts, your other financial or crypto accounts are exposed if Coinbase credentials are compromised.

Regulatory coverage – Regulations vary globally. An open account may subject you to taxation or disclosure requirements even as a non-resident.

Asset risks – Historically, over 1500 crypto projects have failed. Keeping holdings on a dead account could lead to losses.

Account freeze – If regulatory issues emerge like sanctions or illegal use, Coinbase may freeze the account and funds for investigation.

Maintenance fees – While there are currently no inactivity fees, Coinbase can introduce maintenance or storage fees at any time for abandoned accounts.

Personal data – Open accounts on any platform increase risk of data leaks, targeting by hackers, or misuse if company policies change.

So if you don‘t plan on actively using Coinbase, it‘s smarter to close the account and withdraw your crypto funds. This eliminates security headaches and compliance issues down the road.

Common Situations Where Closing Accounts is Necessary

There are many scenarios where Coinbase users have elected to delete their accounts permanently:

-Switching to an exchange with lower fees or additional features

-Moving to a different country where Coinbase does not operate

-Wanting to stop casually trading cryptocurrencies

-Concern over hacking risks or past security breaches at Coinbase

-Preferring to use a decentralized wallet for direct crypto asset control

-Loss of individual account access keys or recovery phrases

-Dissatisfaction with sudden policy changes or business practices

-Need to comply with changing tax laws or cryptocurrency regulations

-Following extended periods of account inactivity over many years

-Death of the original account holder requiring account termination

As you can imagine, user motivations can be highly variable. But the end goal remains the same – permanently closing their Coinbase account.

Personal Experiences Closing Coinbase Accounts

Scouring crypto forums and social networks, I found many instances of users sharing their experiences after deleting Coinbase accounts:

Eric S. wrote:

"I stopped trading crypto in 2017 after the bubble popped but forgot to close my Coinbase account. Last month I permanently deleted it after withdrawing my remaining coins to a wallet. Feel safer not having private data on an old exchange account."

Alicia G. said:

"After using Coinbase for years, I switched to Kraken for lower fees and because they have a better selection of staking coins. Closing my Coinbase account was super quick after I emptied out my account balance."

James R. explained:

"Coinbase suddenly suspended my account out of nowhere and their customer support took weeks to respond! I finally had enough and closed my 3 year old account for good. Switched to Gemini which is way better."

Based on such experiences, it‘s evident that closing Coinbase accounts for good is driven by very individual motives. Frustrations with commercial policies or fears over security breaches are common contributing factors.

Now let‘s get into the step-by-step process of how to actually delete your Coinbase account.

Step 1 – Empty Your Coinbase Account

Before your Coinbase account can be closed, you need to withdraw any stored cryptocurrency and cash balances.

If there are remaining funds, the deletion request will be rejected. Here are the withdrawal options:

Withdraw to crypto wallet – Scan the QR code from your external crypto wallet app to transfer coins off Coinbase. Make sure to empty all wallets like Bitcoin, Ethereum, etc.

Withdraw to bank account – Go to Accounts > Fiat accounts > Withdraw funds. Submit a transfer request to your verified bank account.

Donate crypto – You can send crypto to charitable causes like GiveCrypto.org directly from your Coinbase account wallet.

Convert to fiat – Any crypto holdings can be sold to USD, EUR, etc. and withdrawn to your linked bank account.

Use funds – Deplete account balances by spending via Coinbase Card or making purchases on sites that accept Coinbase Pay.

Once all trade volumes are zero, you‘re all set to terminate the account.

Step 2 – Remove Linked Payment Accounts

Go to Settings > Linked accounts and disconnect any connected credit cards, debit cards, and bank accounts.

These withdrawal methods will no longer be available once your account is gone.

So remove them ahead of the deletion process to avoid problems later. This step is optional but recommended.

Step 3 – Take Records for Taxes

Download past account statements from Coinbase using the steps below for future tax filing and tracking purposes:

1. Go to Settings > Statements
2. Select required statement period
3. Choose Transactions CSV or Gain/Loss CSV
4. Download report in spreadsheet format

Ideally, maintain digital copies of key statements even after you close your account. Consult a tax professional to determine which records to retain.

Step 4 – Change Account Passwords

If you reuse the same password across multiple accounts, make sure to change credentials for:

• Email account associated with Coinbase
• Other crypto exchange accounts
• Online banking and financial platforms
• Retail site accounts where you store payment information
• Digital wallets linked to Coinbase

This prevents continued account access if your login details were compromised earlier. Enable two-factor authentication wherever possible too.

Once these preparatory steps are complete, you‘re ready for permanent deletion.

Step 5 – Close Your Coinbase Account

These are the specific steps to terminate your Coinbase account:

1. Sign in to Coinbase and click your profile icon
2. Select Settings from the drop-down menu
3. Choose Account access > Close account
4. Enter your account password when prompted
5. Click Close account to confirm

That‘s it! This immediately begins the account closure process. You‘ll receive an email from Coinbase confirming the deletion shortly after.

And just like that, your account will be closed permanently without option for recovery. All associated data will be erased over the next few weeks.

Answers to Common Account Closure Questions

Here are quick answers to some frequently asked questions about deleting Coinbase accounts:

Can I re-open my account after closure? No, account deletion is irreversible. You would need to create a brand new account.

Are my details completely removed? Coinbase wipes all personal data from closed accounts over a set period per their privacy policy.

Can I still access tax documents? You can no longer access account statements but download these before deletion.

What happens to my transaction history? All trading activity and order history will be permanently erased.

Do I need to uninstall the app? Yes, you should delete the Coinbase app from your devices once the account is closed.

What about my Coinbase wallet? Your separate hosted Coinbase wallet will NOT be deleted. You can still access this using recovery phrase.

I hope these answers clear up common queries around the account deletion process and aftermath. Ready to take the next steps?

Moving On From Coinbase

The process of closing your Coinbase account is relatively quick and straightforward. However, the decision to delete your account permanently should not be taken lightly.

Make sure to download statements for taxes, remove linked accounts, withdraw funds to wallets or your bank. Change passwords and turn on 2FA across all platforms for enhanced security.

Evaluate if you really need to terminate your account or simply disable it temporarily. Also research alternatives to Coinbase that meet your specific needs in the cryptocurrency market better.

With hundreds of exchanges out there today along with decentralized wallet apps, you have options if Coinbase isn‘t working out for you anymore.

But if you do decide to leave for good, this step-by-step guide has you covered on how to delete your Coinbase account safely and securely in 2024 and beyond!