> It makes more sense when you consider the insane fees they get away with charging due to lack of competition in the regulated US crypto space.

The fees, as you explain it, do indeed seem like highway robbery. But there's something very specific about Coinbase in the US: all customers funds from american fiscal residents in USD are FDIC insured (so up to 250 K are safe). AFAICT they're the only one to actually offer this? It's also a real company, with a real address, whose owners are real people, etc.

It's not exactly the "we're convicted criminals operating from the Cayman using some shady bank" type of crypto exchange.