Security Compliance
NDAX keeps its digital assets in cold storage using Ledger Vault, although they do not state the percentage. Ledger is a big name in the cryptocurrency space, known for making secure hardware wallets.
When signing up to NDAX, you are forced to enable two-factor authentication. Most crypto exchanges will leave this optional, but we think everybody should do it, so we like this mandatory policy.
Additionally, when you wish to change your details such as your email, address, phone number etc, NDAX requires you to submit a selfie with a handwritten note outlining the request.
Coinbase uses its own digital wallet for storing your cryptocurrency.
Coinbase keeps 98% of its cryptocurrency in cold storage. This makes it hard for thieves to steal crypto assets if the exchange is hacked. Cold storage is the most secure way to store cryptocurrency, so the fact that Coinbase does this is a huge plus.
Both NDAX and Coinbase prioritize user security. NDAX uses advanced encryption protocols, complies with Canadian security standards, and stores most assets in cold storage. Similarly, Coinbase holds 98% of assets in cold storage, uses encryption for wallets and private keys, and requires two-factor authentication, making it one of the most secure exchanges globally.
Regulatory Compliance
NDAX is registered as a Money Service Business with FINTRAC and AMF, NDAX is fully compliant with Canadian regulations.
Coinbase is a US-based cryptocurrency exchange, however, no restrictions for Canadians. Canadian residents can use Coinbase to their full capacity.
Both exchanges comply with their respective regulatory bodies. NDAX is a registered Money Service Business (MSB) with FINTRAC in Canada, while Coinbase is registered as an MSB with FinCEN, indicating their operations align with the appropriate federal laws and regulations.
Customer support
NDAX provides a knowledge centre on its website. Articles here answer some of the most common questions. They also have a live chat function, which is handy when you need a quick answer. You can also email them for support. Confusingly, NDAX lists its phone number on its contact page, which is rare for a crypto exchange to do. We weren’t sure if this meant they had phone support, so we reached out via email to ask. They got back to us a very impressive 20 minutes later to let us know that they only have email support. So that’s that. Still, that’s the fastest response we’ve seen.
Coinbase customer support is very slow. It took them 4 days to address our request to a real person. Even though they offer 24/7 support and a live chat option, the quality of the support is bad due to a very high volume.
NDAX offers 24/7 customer support via live chat, email, and phone, a feature that distinguishes it from many competitors. Coinbase also provides 24/7 customer support through live chat, email, and phone. However, Coinbase has faced criticism for its customer service, with a 1.6-star rating on Trustpilot.
Conclusion
Although both NDAX and Coinbase provide reliable and secure platforms for cryptocurrency trading, NDAX emerges as a more favorable option for Canadians. With its customer-centric support, compliance with Canadian regulations, and comprehensive mobile and desktop platforms, NDAX stands as a more fitting choice for those trading within the Canadian market.
When comparing Coinbase to NDAX, it's worth noting that Coinbase One introduces several new features that make it more competitive. These include zero trading fees, boosted rewards, and priority customer support. Additionally, the platform has increased its focus on staking, allowing users to earn rewards, such as 5.10% APY on USDC. While Coinbase’s fees remain high outside of Coinbase One, these added benefits can make the platform more attractive for users looking to maximize earnings while minimizing transaction costs, especially compared to exchanges with lower fees but fewer reward opportunities.
We recommend choosing NDAX over Coinbase for your cryptocurrency trading needs. By opting for NDAX through our referral link, you support us in conducting comprehensive independent analyses of crypto trading options for Canadians.
If you find that neither NDAX nor Coinbase meets your requirements, we encourage you to explore our monthly-updated list of the best exchanges for Canadians to trade crypto. This list provides a range of alternative options that may better suit your specific needs and preferences.
