GDAX Review 2018
GDAX or Global Digital Asset Exchange is a leading cryptocurrency exchange that was launched in 2016. The exchange is a sister trading platform of another major cryptocurrency exchange called Coinbase. Based in San Francisco, the GDAX platform is geared towards more experienced and professional traders. Since its inception, GDAX has earned a reputation as being a trustworthy and reliable platform.
- The GDAX Platform
- Deposit and Withdrawal Options
- Fees and Charges
- Privacy and Security
- Customer Support
- Pros and Cons
As GDAX and Coinbase are sister platforms, Coinbase’s account holders can also log onto the GDAX’s platform using their Coinbase account. As an international exchange that is based in the U.S, GDAX is one of the few cryptocurrency exchanges that is insured under the FDIC. This means your funds are insured up to a maximum amount of $250,000. Unsurprisingly, it is one of the handfuls of cryptocurrency exchanges that is so appealing to traders from the developed economies.
The GDAX Platform
The GDAX exchange is actually the old Coinbase exchange used for trading Bitcoin but was relaunched by Coinbase in 2016 to accommodate more cryptocurrency pairs such as the Ethereum pairs as well. Essentially, the layout of the platform has been designed in such a way to ensure that the functionalities are all within easy reach. As the GDAX trading platform is geared towards professional level traders, it has been designed to accommodate several types of markets orders such as the following below:
- Buy Order
- Fill or Kill (FOC)
- Good ‘Til Cancelled (GTC)
- Immediate or Cancel (OIC)
- Limit Order
- Post Only
- Sell Order
- Stop Order
Unlike its sister platform Coinbase, GDAX supports margin trading. Depending on the type of cryptocurrency, the available leverage is between 2 times to 3 times the invested amount.
At present, GDAX supports trading with these fiat currencies, the Euro, the British pound and the U.S dollar. As for the cryptocurrency pairs, they are paired with Bitcoin (BTC), Ether (ETH) and Litecoin (LTC). The availability of these cryptocurrency pairs depends on which country that you are trading from. For example, if you are a U.S based trader, the available cryptocurrency pairs include BTC/USD, ETH/BTC, ETH/USD, LTC/BTC and LTC/USD. For Europe, the available cryptocurrency pairs include BTC/EUR, ETH/BTC, and LTC/BTC.
Deposit and Withdrawal Options
Although GDAX caters to a different category of traders, the services offered by the exchange are also available in the same countries as those for Coinbase’s services. The list of countries are:
- Czech Republic
- San Marino
- United Kingdom
- United States
Supported deposit and withdrawal methods at GDAX include the following:
- Bank Wire Transfer
- Credit/Debit Cards
- Ach Transfer
- Xfers Transfer
Fees and Charges
In terms of trading fees, GDAX’s fees are significantly lower than its sister platform Coinbase. At GDAX, the trading fees are based on volume traded. These fees range from 0.1% up to a maximum of 0.25%. Compared to Coinbase, the same fees can reach up to 10%. The fact that the fees at GDAX are lower than Coinbase, gives traders from the latter exchange the benefit of capitalizing on the lower trading cost.
Privacy and Security
At GDAX, verification of trading accounts is a prerequisite. Without verification, you will be unable to deposit funds or make a trade. There are 2 levels of verifications. The requirements vary depending on which country the trader is from.
For U.S residents, you need to produce the following documents:
- Proof of residential address
- Social Security Number
- State Photo ID or Driving license
Passports are not acceptable as they do not show which state you are residing in
For UK traders, you need to show one of the following types of documents:
- Photo ID
- Driver License
For traders in Asia, Australia, Canada and Europe, you need to show the following documents in order to verify your identity:
- Photo ID, Driving License or Passport
- Separate Photo ID document
Traders who log in to the GDAX exchange are not required to reverify their identity as they can rely on their Coinbase credentials. Once verified, there is no limit imposed on the amount of deposit made or the amount traded. However, for withdrawals, there is a weekly limit of $50,000.
In terms of security, GDAX has the following security measures in place:
- Cold Storage of funds (98% of the traders’ funds are kept offline)
- FDIC insured scheme (Funds are protected up to a maximum amount of $250,000)
- Regular security checks on the IT infrastructure
The cryptocurrency industry is notorious for its poor customer support. With GDAX, the support service is not much better, as the only way to reach to the support team is through email. One can expect a reply from the support team within 24 hours to 72 hours depending on what your problem is. Nevertheless, GDAX does provide a fairly decent help section where you can refer to for any information that you want.
Pros and Cons
- Competitive fees
- Advanced Platform
- Reputable Exchange
- Support is only available through email
- Not all countries are supported
Does GDAX Charge Any Fee For Transferring Funds?
No, GDAX does not charge any fees for funds transferred from a Coinbase account to a GDAX account.
Which Countries Are Supported By GDAX?
GDAX’s services are currently available to clients in the U.S, UK, Europe, Australia, and Singapore.
What Is The Minimum Trade Size On GDAX?
The minimum trade size on the GDAX platform is 0.001 BTC, 0.01 ETH, and 0.1 LTC.
What Are The Trading Fees At GDAX?
At GDAX, the maker fee is 0% whereas the taker fee is 0.25%.
My Available Balance Is Less Than My Total Balance. Why Is That So?
Your available balance is less than your total balance as you have opened some trades. The funds used to place those orders are regarded as being on hold and hence not available to you.
Overall, GDAX has managed to provide a fairly decent level of services for the more advanced cryptocurrency traders. The fact that the exchange is based in the U.S is another plus point as funds are FDIC insured. Apart from the low fees, the fact that you can also trade with major fiat currencies is a huge draw for most traders. In short, GDAX is a well-rounded cryptocurrency exchange that is able the needs of the most demanding crypto traders.
- United Kingdom
- Czech Republic
- San Marino