The minimum amount of cryptocurrency needed to cash out from Coinbase depends on the withdrawal method. Generally, Coinbase requires a minimum balance of $5 USD worth of cryptocurrency before allowing users to withdraw funds. However, there are some exceptions. Keep reading to learn more about Coinbase’s minimum withdrawal amounts.
Minimum Amounts by Withdrawal Method
Here is an overview of the minimum withdrawal amounts for the different methods offered by Coinbase:
| Withdrawal Method | Minimum Withdrawal Amount |
|---|---|
| Bank account (ACH) | $5 USD |
| PayPal | $5 USD |
| Debit card | $5 USD |
| Wire transfer | $10,000 USD |
As you can see, most withdrawal methods require a minimum balance of $5 USD worth of cryptocurrency. The one exception is wire transfers, which have a much higher minimum of $10,000 USD.
Next, let’s take a closer look at the requirements for each withdrawal method.
Bank Account (ACH) Withdrawals
To withdraw funds to a linked bank account using ACH, you need a minimum balance of $5 USD worth of cryptocurrency in your Coinbase account.
ACH withdrawals from Coinbase are free and take 3-5 business days to complete. This makes ACH the most cost-effective withdrawal method for smaller amounts.
PayPal Withdrawals
The minimum amount required to withdraw funds to a linked PayPal account is also $5 USD worth of cryptocurrency.
PayPal withdrawals are instant but come with a fee. For withdrawals between $5 and $24.99, the fee is $0.25 USD. For withdrawals between $25 and $99.99, the fee is 1% of the amount transferred. For withdrawals of $100 or more, the fee is 1.5% of the transferred amount, capped at $10 USD.
So PayPal can be convenient for quick access to funds, but the fees make it less cost-effective for frequent withdrawals.
Debit Card Withdrawals
You can instantly withdraw funds to a debit card linked to your Coinbase account. The minimum for debit card withdrawals is $5 USD worth of cryptocurrency.
Debit card withdrawals incur a fee of 2% of the transaction amount, with a minimum fee of $0.99 USD. So this method is also less cost-effective for frequent withdrawals.
Wire Transfers
Wire transfers have by far the highest minimum withdrawal amount at Coinbase – $10,000 USD worth of cryptocurrency. This makes wire transfers impractical for withdrawing smaller amounts.
The upside is that wire transfer withdrawals over $10,000 are free. The downside is transfers can take 1-3 business days to complete.
So in summary, wire transfers are only practical for withdrawing large amounts of $10,000+ and aren’t feasible for small balances.
Tips for Meeting Minimum Balance Requirements
If your Coinbase balance is currently less than the $5 minimum, here are some tips for meeting the requirement:
- Purchase additional crypto – Deposit fiat funds from your bank and use the funds to buy more cryptocurrency. This will increase your balance.
- Use Coinbase Earn – Watch educational videos to earn small amounts of crypto for free. These earnings can help push your balance over the minimum.
- Refer friends – Get $10 USD in free Bitcoin for each friend that signs up and completes $100 in transactions within 180 days of opening an account.
- Wait for price increases – If you own volatile coins like Bitcoin, a price surge could push your balance over the minimum.
- Convert balances – Convert small balances held in multiple coins into a single coin to consolidate your balance.
Taking one or more of these actions can help smaller accounts meet the $5 minimum for withdrawals.
Special Exceptions to Minimums
While the minimums listed earlier represent the standard Coinbase withdrawal rules, there are a few exceptions:
USD Coin (USDC)
For the stablecoin USDC, the minimum withdrawal amount is just $1 USD worth of USDC.
This lower minimum makes USDC ideal for withdrawing small balances off of Coinbase. There are no fees for USDC withdrawals, aside from gas fees required by the blockchain.
So holding balances in USDC can provide more flexibility for withdrawals.
USD Paxos (USDP)
Paxos standard (USDP) is another USD stablecoin with a $1 minimum withdrawal amount. There are no fees for USDP withdrawals.
Self-Custody Wallets
You can withdraw any amount of cryptocurrency from Coinbase to a self-custody wallet that you control, like MetaMask.
This allows you to access funds and use decentralized apps without leaving crypto balances on an exchange. Just be aware you are responsible for securing the wallet.
So the $5 minimum does not apply when withdrawing directly to a private crypto wallet where you control the private keys.
How Long Do Small Balances Last?
If your Coinbase balance stays below the minimum withdrawal amount, how long until Coinbase removes the funds?
Coinbase does not impose account dormancy fees or sweep away low balance funds. Your balance can remain unchanged as long as you log into your account once every 3 years.
So there is no time limit or deadline to meet the minimum – your funds will remain safely in your account. You can withdraw them in the future once you meet the minimum balance.
Using Exchanges With Lower Minimums
If you need to withdraw a very small cryptocurrency balance below $5, Coinbase may not be the best option.
Here are some exchanges with lower minimum withdrawal balances:
- Binance – Minimum withdrawal around $1 worth of crypto.
- KuCoin – Minimum withdrawal around $1 worth of crypto.
- Crypto.com – Minimum withdrawal around $2 worth of crypto.
- Gemini – Minimum withdrawal $2 worth of crypto via ACH.
However, be aware that other exchanges may charge higher fees or have other disadvantages compared to Coinbase. Always compare overall features when choosing an exchange.
Special Considerations for Altcoins
The rules and minimums outlined above apply specifically to major cryptocurrencies like Bitcoin, Ethereum, and Litecoin.
Withdrawal minimums and fees may be different for smaller cap altcoins. Always check the details for each specific coin before attempting a withdrawal.
For example, some altcoins may have higher minimum withdrawals or additional network fees. Smaller cap assets also tend to be more volatile.
Payment Methods With No Withdrawal Minimum
One way to access funds without being constrained by withdrawal minimums is to sell the cryptocurrency for fiat, then withdraw the fiat.
For example, you can:
- Sell Bitcoin for fiat, then withdraw the fiat to PayPal with no minimum.
- Sell crypto to fund purchases with your Coinbase debit card, with no minimum spend.
- Sell crypto to top up your fiat wallet balance on Coinbase.
When selling crypto for fiat in your Coinbase account, there is no minimum amount that must be withdrawn. The fiat funds can remain in your wallet balance indefinitely.
This provides an alternative way to cash out small amounts without meeting crypto withdrawal minimums. The downside is you may be liable for capital gains taxes when selling.
How to Minimize Fees
When withdrawing cryptocurrency from an exchange, fees are often the main expense. Here are some tips for minimizing withdrawal fees at Coinbase:
- Use ACH transfers to banks when possible – These are free for USD withdrawals.
- Withdraw USDC or USDP stablecoins – No withdrawal fees for these USD-pegged coins.
- Withdraw via native blockchains when possible – Avoid slower transfers via external networks like ERC20 that may incur higher fees.
- Withdraw during off-peak times – Fees tend to be lower when trading volume is lower on weekends and overnight.
- Comparison shop exchanges – Some exchanges offer discounted or free withdrawals, but consider overall value.
Minimizing fees allows you to withdraw funds more efficiently and retain more of your capital. Just be sure to consider factors beyond fees too, like security and reliability.
Other Ways to Spend Crypto
Instead of withdrawing cryptocurrency, another option is to spend it directly from your Coinbase account using various integrated services:
- Coinbase Card – Spend crypto anywhere Visa/Mastercard is accepted. Funds are deducted from your Coinbase balance and converted to fiat.
- Pay Anyone – Instantly send crypto to email or crypto addresses globally. Minimum $1 transaction.
- Gift Cards – Redeem crypto for e-gift cards from retailers like Amazon and Uber. Minimum redemption $5.
- Crypto Pay – Scan a QR code to pay businesses directly from crypto funds. Works online or in-store.
These options allow you to spend crypto while avoiding withdrawal minimums and network fees.
Coinbase Card
The Coinbase debit card seems specifically designed for bypassing minimum balance restrictions.
Users can spend their crypto anywhere that accepts Visa while avoiding withdrawal minimums and blockchain fees. There is no minimum purchase or balance required to use the card.
Transactions are funded by instantly selling crypto to USD at time of purchase. The card works online, in-store, and at ATMs.
The biggest downside is the card has a 2.49% transaction fee when using USDC and a 3.99% fee when spending other cryptos. So fees add up quickly on frequent use.
But overall the card opens up crypto spending while avoiding withdrawal minimums.
Pay Anyone
Coinbase’s Pay Anyone feature allows sending crypto from your Coinbase wallet to other emails or crypto addresses globally.
There is a minimum transaction amount of $1 USD worth of crypto, much lower than withdrawal minimums.
While there is a fee of 1.99% per transaction, this opens up transfers below the $5 withdrawal minimums.
Gift Cards
Purchasing brand name gift cards on Coinbase is another way to indirectly spend crypto from your account balance.
Over 100 top brands are offered, like Amazon, Uber, Nike, and Starbucks. Crypto is exchanged to purchase e-gift cards.
The minimum gift card purchase is $5 USD worth of crypto. So this is another method that can work below the withdrawal limits.
However, most brands come with about a 2% conversion fee. But the e-gift cards offer a way to spend small amounts.
Crypto Pay
With Crypto Pay, Coinbase users can spend crypto in-person or online using a QR code. The merchant is paid instantly from your account balance, avoiding slow on-chain transactions.
There is no purchase minimum and a 0.50% transaction fee, up to a $5 cap.
So while Crypto Pay requires having merchants who accept the service, it allows small crypto payments withoutwithdrawal minimums.
Should You Leave Crypto on Exchanges?
Given the hurdles posed by minimum withdrawal amounts at many exchanges, some users choose to keep cryptocurrency stored on the exchange for convenience.
However, there are risks to leaving crypto assets on trading platforms long-term:
- Hacking – Exchanges can be hacked and funds stolen.
- Mismanagement – Poor internal controls could lead to loss of assets.
- Blocked access – Accounts can be frozen or suspended temporarily.
- Lack of control – You must trust the exchange to manage your private keys.
For these reasons, most experts recommend withdrawing to an external wallet where you control the private keys. This protects your assets from internal exchange issues.
Hardware wallets like Trezor and Ledger provide isolation between your keys and internet access, offering enhanced security for larger balances and long-term holdings.
So despite the ease of leaving funds on an exchange, controlling your own private keys in an external wallet is considered best practice for risk management. Only keep small trading balances on exchanges long-term.
Weighing Convenience vs Risk
There is an inherent trade-off between convenience and security when choosing between exchange accounts and private wallets. Consider both withdrawal minimums and risks.
On exchange accounts:
– Convenient for trading and accessing funds quickly.
– Lower minimums to withdraw fiat (no minimum for sales).
– Higher risk of loss from hacking, corruption, account access issues.
On external wallets:
– You fully control assets and private keys.
– Transactions can be slower and more complex.
– Higher withdrawal minimums for crypto.
– Lower risk of loss from exchange security issues.
Evaluate your specific needs and risk profile when determining where to store funds. An external wallet provides safety for holdings during long-term investment. Exchanges may be acceptable for quantities needed for active trading.
Summary
The minimum withdrawal amount on Coinbase is generally $5 USD worth of cryptocurrency. Higher minimums apply in certain situations:
- ACH, PayPal, debit card withdrawals have a $5 USD minimum.
- Wire transfers have a $10,000 USD minimum.
- USD stablecoins like USDC have a $1 minimum.
- No minimum for transfers to private wallets.
You can accumulate additional funds, use Coinbase services, or select other exchanges to meet minimums. Withdrawing to external wallets is safest long-term, despite higher crypto minimums.
Consider both withdrawal minimums and security when managing crypto funds on exchanges versus external wallets. Evaluate trade-offs between convenience and risks depending on your needs and holdings.