Coinbase is the world’s most trusted place to buy, sell and store cryptocurrencies. The app is well known for having an Ethereum wallet, but is it compatible with ERC20 tokens? Today I’m going to reveal the answer to this question.
The Coinbase Ethereum wallet is not ERC20 compatible. Sending ERC20 tokens to your Coinbase ETH wallet may result in a loss of funds. On the other hand, Coinbase does support some ERC20 tokens but these are listed as separate wallets on your account.
Why isn’t it compatible?
The main reason in my opinion as to why the Coinbase Ethereum wallet doesn’t accept ERC20 deposits is because of regulation. Coinbase has to be careful that its users don’t hold unregistered securities on their app. Coinbase has made clear that they are adding support for more ERC20 tokens in the future.
Best ERC20 compatible wallets
Now that you know that you can’t just send any old ERC20 tokens to your Coinbase Ethereum wallet, you’ll have to store them somewhere right? Well here are my most trusted and favourite ERC20 crypto wallets.
Ledger Nano X (most secure)
The Ledger Nano X is possibly one of the world’s most trusted and secure Bitcoin & ERC20 wallets. You can send any ERC20 token to this wallet – even one that you make yourself. The reason this wallet is compatible is that you can use it to log in to the main Ethereum network without the need of a third party like Coinbase. It is slightly more technical, but extremely easy and quick once you get the hang of it. It’s also physical which is nice and familiar with a lot of people. To get the Ledger Nano X, click here.
Metamask (free)
Metamask is a free extension for Chrome, Firefox, Brave and Android. It allows you to seamlessly connect with the ETH network and store ERC20 tokens securely. What I really like about this is just how easy it is to use and the fact that you can have different accounts for different tokens. To get this wallet, just head over to their website: metamask.io. What’s also cool to see is that they have launched a mobile app, meaning that you can manage your tokens on-the-go.
MyEtherWallet
MyEtherWallet (MEW) is a free website for managing and storing your Ethereum and ERC20 tokens. It is 100% free to use and only takes a few minutes to set up. This one is a little more complex to use than the previous wallets but is perfectly doable for the average investor and enthusiast. Visit myetherwallet.com to get started.
Summary
I hope you found this guide useful in your quest to learn about Coinbase’s ERC20 compatibility and the search for a secure ERC20 wallet for your tokens. If you know of any other good ERC20 wallets, feel free to comment them below. If Coinbase decides to support ERC20s in the future, I will update this post as relevant.