Coinbase Offers ‘Thousands of Tokens’ in Expanded Swap Service
Coinbase, the largest US crypto exchange, has added BNB Chain, formerly Binance Smart Chain, and Avalanche to Coinbase Wallet’s list of supported networks where users can swap and store cryptocurrencies.
The exchange’s Tuesday blog post claimed the additional functionality would provide access to “thousands of tokens,” which constitutes “greater diversity than what most traditional centralized exchanges offer.”
A wallet. More networks. Thousands of tokens.
Learn more -> https://t.co/ZdEg1T8s53 pic.twitter.com/prWhSlPYl8
— Coinbase Wallet (@CoinbaseWallet) 23 May 2022
Additional functionality for BNB Chain and Avalanche brings the total supported networks to four, including Ethereum and Polygon. Wallet users who wish to trade on-chain can access Coinbase’s own in-app decentralized exchange (DEX) across the four networks. Token bridging is not yet available.
The Coinbase Wallet allows users to self-custodial their crypto and provides access on-chain, unlike the features available on Coinbase’s centralized platform.
Coinbase currently has only 173 tokens listed on the exchange. These numbers are low compared to the thousands available on the four networks that Coinbase Wallet users now have. The exchange said that in the coming months, “we will make it possible to swap on more and more types of networks:”
“Not only will the business expand, but we also plan to add support for network bridging, which allows you to seamlessly transfer tokens across multiple networks.”
Network bridging involves sending tokens between networks without going through a centralized exchange (CEX). Popular token bridges include Multichain and Wormhole.
Although only available to a small number of users at first, Coinbase is rolling out its Web3 wallet and browser for mobile app as well. This will give mobile traders access to a wider ecosystem of DEXs on supported networks other than just Coinbase.
related: Coinbase launches new crypto think tank to help shape policies
According to CoinGecko, BNB Chain had $74 billion in trading volume in the last 24 hours, while Avalanche had $68.5 billion in trading volume.