Coinbase vs River — Head-to-Head Custody Comparison

An independent, data-driven comparison of Coinbase and River across security, insurance, fees, regulatory compliance, and more.

Verdict

Quick Verdict

Coinbase scores 7.8 vs River's 6.6. Coinbase leads in 5 of 8 categories.

Coinbase is better suited for Beginners, US-based investors, Passive holders. River is better suited for Bitcoin-only investors, DCA enthusiasts, Beginners.

7.8

GoodCustody Score

Coinbase

6.6

FairCustody Score

River

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Coinbase	River	Winner
Security	20%	8.0	7.5	Coinbase
Insurance	15%	7.0	4.0	Coinbase
Regulatory	15%	9.5	7.0	Coinbase
Fee Transparency	10%	6.0	7.5	River
Track Record	15%	8.5	7.0	Coinbase
Withdrawal Flexibility	10%	8.0	9.0	River
Reporting & Audit	10%	9.0	6.0	Coinbase
Counterparty Diversification	5%	2.0	2.0	Tie
Overall Score	100%	7.8	6.6	Coinbase

Visual

Score Radar

Visual overlay of Coinbase and River across all categories.

CoinbaseRiver

Deep Dive

Category-by-Category Analysis

A deeper look at how each provider performs in every scoring criterion.

Security (8.0 vs 7.5)

Coinbase uses Institutional cold storage system key management with 98%+ in cold storage and regular penetration testing. Compliance: SOC 2 Type 2. Incident history: 2021 account takeover attacks (phishing, not platform breach).

River uses Proprietary cold storage key management with Majority cold in cold storage and regular penetration testing. Compliance: SOC 2. Incident history: No incidents.

Insurance (7.0 vs 4.0)

Coinbase offers Crypto insurance for hot wallet portion. FDIC on USD (up to $250K). via Crime insurance policy. Publicly traded company. FDIC insurance on cash. Crypto hot wallet insured.

River offers Not explicitly disclosed via N/A. US-regulated Bitcoin-only platform.

Regulatory (9.5 vs 7.0)

Coinbase holds NASDAQ listed (COIN), FinCEN MSB, NY BitLicense, State licenses, Multiple international licenses and is a qualified custodian operating in United States / Global. Most regulated US exchange. Publicly traded. Custodian for multiple Bitcoin ETFs.

River holds FinCEN MSB, State money transmitter licenses and is not a qualified custodian operating in United States. US-regulated Bitcoin financial services company.

Fee Transparency (6.0 vs 7.5)

Coinbase charges None in annual custody fees with ~1.5% (Simple) / 0.05-0.6% (Advanced) per transaction. Simple interface has higher fees. Advanced trading has competitive fees.

River charges None in annual custody fees with 1.0-1.5% (spread) per transaction. Zero-fee recurring buys. Spread-based pricing. Free withdrawals.

Track Record (8.5 vs 7.0)

Coinbase was founded in 2012 and is headquartered in San Francisco, CA. AUM: $130B+ assets on platform. Incident history: 2021 account takeover attacks (phishing, not platform breach).

River was founded in 2019 and is headquartered in San Francisco, CA. AUM: Not publicly disclosed. Incident history: No incidents.

Withdrawal Flexibility (8.0 vs 9.0)

Coinbase withdrawal fees: Network fees. Minimum account: No minimum ($1). Supported assets: Bitcoin, Ethereum, 250+ cryptocurrencies.

River withdrawal fees: Free Bitcoin withdrawals. Minimum account: No minimum. Supported assets: Bitcoin only.

Reporting & Audit (9.0 vs 6.0)

Coinbase: SOC compliance is SOC 2 Type 2. As a qualified custodian, it meets SEC reporting requirements.

River: SOC compliance is SOC 2. Not classified as a qualified custodian.

Counterparty Diversification (2.0 vs 2.0)

Coinbase is a exchange custody provider. Key management: Exchange-managed custody with institutional-grade cold storage infrastructure..

River is a exchange custody provider. Key management: Bitcoin-only exchange with proprietary custody infrastructure..

Fees

Fee Comparison

Side-by-side fee breakdown for Coinbase and River.

Fee Type	Coinbase	River
Setup Fee	Free	Free
Annual Custody	None	None
Transaction	~1.5% (Simple) / 0.05-0.6% (Advanced)	1.0-1.5% (spread)
Withdrawal	Network fees	Free Bitcoin withdrawals

Coinbase: Simple interface has higher fees. Advanced trading has competitive fees.

River: Zero-fee recurring buys. Spread-based pricing. Free withdrawals.

Features

Feature Comparison

Checklist of features across both providers.

Feature	Coinbase	River
98%+ cold storage	✓	✗
Beginner-friendly interface	✓	✗
Bitcoin education resources	✗	✓
Bitcoin-only focus	✗	✓
Coinbase Vault for extra security	✓	✗
ETF custodian (BlackRock IBIT)	✓	✗
Excellent mobile app	✗	✓
FDIC on USD	✓	✗
Free Bitcoin withdrawals	✗	✓
Lightning Network support	✗	✓
Publicly traded (NASDAQ)	✓	✗
Zero-fee recurring purchases	✗	✓

Recommendation

Who Should Choose Which?

Coinbase is better if you…

✓Are a beginners
✓Are a us-based investors
✓Are a passive holders
✓Are a mainstream adopters
✓Want: Publicly traded — maximum transparency
✓Want: Custodian for BlackRock and other ETFs
✓Want: 98%+ cold storage

River is better if you…

✓Are a bitcoin-only investors
✓Are a dca enthusiasts
✓Are a beginners
✓Are a us-based bitcoiners
✓Want: Bitcoin-only — aligned with Bitcoin ethos
✓Want: Zero-fee recurring purchases
✓Want: Free Bitcoin withdrawals

FAQ

Frequently Asked Questions

Is Coinbase or River better for Bitcoin custody?

Coinbase scores 7.8 vs 6.6 in our weighted Custody Score. Coinbase leads in 5 of 8 scoring categories. However, the best choice depends on your specific needs: Coinbase is best for Beginners and US-based investors, while River suits Bitcoin-only investors and DCA enthusiasts.

What is the difference between Coinbase and River?

Coinbase is a exchange custody provider, while River is a exchange custody provider. Coinbase excels in Regulatory, whereas River is strongest in Withdrawal Flexibility.

How do Coinbase and River fees compare?

Coinbase charges None annual custody fees with ~1.5% (Simple) / 0.05-0.6% (Advanced) transaction fees. River charges None annual custody fees with 1.0-1.5% (spread) transaction fees.

Which is more secure, Coinbase or River?

Coinbase scores 8.0/10 for security while River scores 7.5/10. Coinbase uses Institutional cold storage system key management, and River uses Proprietary cold storage.