Kraken is a cryptocurrency exchange where you can buy and sell Bitcoin and Ethereum.
The crypto exchange giant is one of the oldest Bitcoin exchanges, offering over 120 different coins for purchase, sale, and trading at competitive exchange rates.
It is notable for allowing for both spot trading at current market rates and cryptocurrency futures.
The crypto exchange is an excellent choice for novice and experienced cryptocurrency investors and traders seeking minimal trading costs and access to a diverse range of coins.
Year Established: 2011
Official Website: kraken.com
Cryptocurrencies Supported: 110+
Customer Support: Help page, Support tickets, chat, and phone
Key Takeaways
- Kraken provides safe venues for buying, selling, and storing cryptocurrencies.
- Kraken accepts bitcoin spot trades as well as cryptocurrency futures.
- This exchange offers both beginner and advanced trading platforms.
- Margin trading is offered for people with a high-risk tolerance.
Pros and Cons
Pros:
- More than 120 coins supported
- Simple user interface
- High liquidity exchange
Cons:
- Higher fees when not using Kraken Pro
- Some users report losses due to hacks
Pros Explained
More than 120 coins supported: Kraken accepts prominent cryptocurrencies including Bitcoin, Ethereum, Cardano, Solana, and Dogecoin.
Simple user interface: Even if you have no prior knowledge of cryptocurrency, Kraken is relatively simple to use.
High liquidity exchange: The crypto exchange is a bustling exchange where you can easily buy and sell at market values.
Cons Explained
Higher fees when not using Kraken Pro: Transaction fees on the basic Kraken platform are higher than on Kraken Pro.
Some users report losses due to hacks: Some users have reported a history of costly hacks with little to no response from the crypto exchange.
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Introduction
Kraken is a large cryptocurrency exchange that allows you to buy, sell, and exchange a wide range of cryptocurrencies, including market leaders Bitcoin and Ethereum. In addition to buying and selling cryptocurrency at market rates,
The crypto exchange provides customers with margin accounts and futures trading, which are riskier products that can be advantageous for specific trading techniques.
The main Kraken site is the best spot for new crypto investors to start in the Kraken ecosystem.
Even outside of cryptocurrencies, more experienced traders may favor the lower-cost active trading platform Kraken Pro.
Company Overview
Kraken is a cryptocurrency exchange that was launched in 2011 in San Francisco and now has operations all over the world.
It serves consumers in the majority of the world’s countries, including the United States.
The crypto exchange provides competitively priced bitcoin trading to individual and institutional clients.
Beginners would benefit the most from the standard Kraken platform, whilst advanced and skilled crypto aficionados may prefer Kraken Pro and its extensive margin and futures capabilities.
Beginners and advanced users alike can earn interest benefits by staking coins.
The crypto exchange is likely to be able to meet your cryptocurrency needs due to the combination of platforms and services.
Cryptocurrencies Supported By Kraken
Kraken accepts around 110 cryptocurrencies, including well-known ones such as:
- Bitcoin (BTC)
- Ethereum (ETH)
- Cardano (ADA)
- Dogecoin (DOGE)
- Litecoin (LTC)
- Polkadot (DOT)
- Polygon (MATIC)
- Ripple (XRP)
- Stellar Lumens (XLM)
- Solana (SOL)
- Sushi (SUSHI)
- Uniswap (UNI)
The crypto exchange also accepts a number of stablecoins like Tether, USD Coin, and Dai. If you choose, you can also convert US dollars to Canadian dollars, Japanese yen, and Swiss francs. It should be noted that not all currencies are available in all countries.
Trading Experience
Kraken provides users with two trading platforms: Kraken and Kraken Pro. Kraken Pro has lower prices and is accessible to everyone who has a Kraken account.
You may prefer Kraken or Kraken Pro depending on your bitcoin and active market trading experience. In either case, there is a platform for everyone, from novices to experts.
Kraken
Beginners should begin with the center Kraken platform. With a verified account, you can instantly acquire cryptocurrencies from a linked bank account, and you can also sell or convert currencies into your account.
Once you’ve formed an account and logged in, it simply takes a few seconds to place an order using a simple form.
Using this technique, you can buy cryptocurrency directly from your bank account balance. You do not need to fund your account first.
Aside from purchasing and selling, you can deposit your cryptocurrency for staking and earn up to 23 percent interest, depending on the currency.
To keep your account secure, enable two-factor authentication (2FA), which stops anyone from accessing your account without your device and a randomly generated code.
Kraken Pro
Kraken Pro is an active trading platform that can be accessed via a web browser or smartphone.
While the UI may be intimidating to newcomers to crypto and trading, it may be worthwhile to understand. It contains more extensive asset information, such as live charts and a look at open orders.
Kraken Pro is available to everyone who has an active Kraken account. Lower fees may be more significant than the complex interface.
When you use Kraken Pro instead of Kraken to make the same trade, you will pay less than if you used the main interface.
Fees
Pricing and fees differ depending on the platform you use and the trade you enter. Prices are also subject to spread fees in any instance. Here’s a quick rundown of the most significant costs to be aware of:
Kraken Fees
The cost for most cryptocurrencies is 1.5 percent for instant purchases and 0.9 percent for stablecoins purchased with US dollars or another stablecoin.
Additional fees may apply depending on how you pay for the purchase. Prices range from 0.5 percent for funding via a bank account to more than 3.75 percent + 25 Euro cents for funding via debit card, credit card, or digital wallet.
Kraken Pro Fees
Kraken Pro is significantly less expensive than the regular Kraken platform. Pricing is determined by your overall trading volume over the last 30 days.
The majority of deals are subject to a 0.26 percent taker fee or a 0.16 percent maker fee.
Maker orders are trades that are not immediately matched against existing orders, hence increasing liquidity in the market.
Taker costs are applied to orders that match another user’s outstanding order on the market and necessitate a slightly higher fee.
Security
If you follow proper internet security practices, your Kraken account should be protected from fraudsters looking to drain your holdings.
Once an account has been funded, it is highly recommended that two-factor authentication be enabled.
Different two-factor codes can be generated for sign-in, account withdrawals, and transactions.
If you’re concerned that your account has been compromised, you can also lock it to prevent any further changes.
While the majority of users have had a great experience, some have reported hacked accounts where the owner has lost everything with no way to restore lost assets.
Due to the inability of cryptocurrency blockchain transactions to be reversed, crypto accounts are a prominent target for fraud. When utilizing Kraken or any other exchange, be aware of these risks.
Creating A Kraken Account
Signing up for this crypto exchange is similar to registering for a stock brokerage or another cryptocurrency exchange. It simply takes a few minutes to set up your account if you have all of your information ready.
When you join up, you’ll be asked for contact information such as your name, address, phone number, and Social Security number.
This information is part of the financial industry’s know your customer (KYC) standards.
To authenticate your account and have access to all trading capabilities, you must supply further information, such as uploading a copy of a government photo ID and a photo of yourself holding that ID.
You will have limited account functioning if you do not enter this information.
Customer Service
The crypto exchange’s support is available 24 hours a day, seven days a week by live chat, phone, and email.
We experienced a slight problem updating an account option (due primarily to human error) and submitted a service ticket. In around 20 minutes, Kraken personnel reacted and rectified the issue.
While we had an excellent customer service experience, not all users reported the same results.
Some dissatisfied customers have reported problems with funds as a result of hacking and difficulties in obtaining the crypto exchange to release retained funds.
Customer Satisfaction
Kraken receives only 2.1 out of 5 stars on Trustpilot, indicating that many users have had major issues.
The most common complaints were over long wait times for customer service responses and monies being held past the first security period.
These customer service concerns are troubling, but when selecting a cryptocurrency exchange, it is critical to consider both positive and bad evaluations.
Account Management
Account administration is primarily self-service and is conducted via the company’s website and mobile apps.
If you have a laptop or desktop computer, you may find that the large screen makes it easier to manage your account.
You may update settings, adjust your approval level, add 2FA, manage API credentials, and lock down your account through the company’s dashboard.
How Kraken Compares With Other Cryptocurrency Exchanges
Kraken provides capabilities that go above and beyond what the average industry competitor provides, as well as somewhat lower costs than its most prominent competitors.
Consider the following distinctions between Kraken and Coinbase, another major cryptocurrency exchange:
Kraken vs Coinbase
- Coinbase and Kraken both run centralized exchanges where customers can buy and sell to one another.
- For spot trading, Kraken supports over 110 coins. Coinbase accepts over 150 different currencies.
- Both allow you to earn money by staking your cryptocurrency at various interest rates. Kraken typically offers better rates and allows consumers to invest a greater quantity of currencies.
- Coinbase solely serves spot currency markets, whereas Kraken additionally offers bitcoin futures.
- For most cryptocurrency trades, Kraken trading fees are lower than Coinbase trading fees. Both receive additional fees on the difference between the buying and selling prices.
Final Verdict
Kraken’s pricing and features make it a good choice for new cryptocurrency traders and investors, ranging from beginners to experts. Its low Kraken Pro fees, high staking rates, and futures markets are all appealing.
However, some users have reported major account security difficulties, and the platform is not the easiest to use when compared to competitors.
Overall, Kraken is an excellent option for cryptocurrency trading and investing.
Make sure you understand all of the expenses and dangers involved and take the necessary actions to secure your account with two-factor authentication.
If you follow these steps, you should have a great experience buying and selling cryptocurrency Kraken.
