In this week’s Innovative Use digest, I wanted to focus on how to start maximizing use of Coinbase for Creator Coins. (Digest #7 is here.)
Per our recent announcement of $RLY being listed on Coinbase.com, this is a good time for creators and your communities to learn about and use Coinbase for both buying and selling Creator Coins.
What is Coinbase?
From Coinbase: “Coinbase is a secure platform that makes it easy to buy, sell, and store cryptocurrency like Bitcoin, Ethereum, [$RLY,] and more.” Coinbase is an exchange where you can convert one cryptocurrency for another and send/receive crypto from other people/platforms (very similar to Venmo or PayPal).
Coinbase has both a website and smartphone apps, and offers secure access through two-factor authentication. You connect a bank account to Coinbase to both buy and withdraw cryptocurrency assets. For example, you can send $RLY to your Coinbase account, convert that to cash, and send to your bank. More on that below.
We highly recommend all Rally creators and their community members to create a Coinbase account as — in addition to selling $RLY to cash — anyone can use any their crypto assets in Coinbase to purchase Creator Coins via the Buy > Cryptocurrency option on Rally.io, which allows you to buy a larger amount of a Creator Coin than via Buy > Debit or Credit Card.
Creating a Coinbase Account
First thing you and your community should do is create a Coinbase account. There are a few steps to complete, so you should give roughly 20–30 minutes to complete the setup.
Complete the Rally KYC Process with our Partner PTI
If you want to send $RLY from Rally.io to Coinbase (or any other compatible wallet/platform), you will need to complete the Know Your Customer (KYC) process. This is a required financial regulatory process.
If you have not started the process already, any Rally.io user can start the KYC process by following the prompts in the Trade > Bridge Out feature on Rally.io. Click here to read our Wiki article on this process.
Sending $RLY to Coinbase and Converting to Cash
(This assumes your KYC application has been approved.) If you want to sell some of your Creator Coin to cash, and send that cash to your bank account:
- On Rally.io, use the Trade > Convert feature to exchange any Creator Coin you hold for $RLY. This transaction will be listed as a “Sell” transaction.
- Use the Trade > Bridge Out feature to send $RLY to Coinbase. Follow the steps in the Receive section of this Coinbase help article to learn how to generate a proper receive address for $RLY into your Coinbase account.
- Once $RLY is in your Coinbase account, you can sell the $RLY to cash by following this help article.
- You can then withdraw the cash to your bank account within Coinbase.
Buying Creator Coin with Cryptocurrency from Coinbase
Assuming you or a community member owns another cryptocurrency such as Bitcoin (BTC), Ethereum (ETH), or other crypto (shoutout to the DOGE coin holders) in Coinbase, you can use the Buy > Cryptocurrency feature on Rally.io to exchange that cryptocurrency for a Creator Coin!
Make sure to click the Pay with Coinbase option in the purchase flow to access your Coinbase account to complete the purchase.
If you click on the options below the Pay with Coinbase button, you will be taken to MetaMask, which is a cryptocurrency wallet, to complete the transaction. (You would need to have the selected cryptocurrency in MetaMask to complete the transaction.)