Kraken exchange review
Cryptocurrencies:
Fees:
Security system:
Deposit methods:
Cryptocurrencies
Kraken offers an extensive range of over 210 cryptos, including some of the biggest ones on the market such as Bitcoin, Ethereum and Ripple.
| Bitcoin (BTC) | Available |
| Bitcoin Cash (BCH) | Available |
| Ethereum (ETH) | Available |
| Ripple (XRP) | Available |
| Solana (SOL) | Available |
| Dogecoin (DOGE) | Available |
| Polkadot (DOT) | Available |
| Polygon (MATIC) | Available |
| Cardano (ADA) | Available |
| Litecoin (LTC) | Available |
| Tether (USDT) | Available |
In contrast, Uphold lists over 250 cryptos on its platform, while Binance offers more than 350. However, compared to its competitors, Kraken provides 24/7 global customer phone support.
Payment methods
You can deposit and withdraw in CAD.
| Payment method | Limits |
|---|---|
| VISA weekly limit (buying in FIAT) | $6,500 requires KYC verification, ID check and a selfie |
| MasterCard weekly limit (buying in FIAT) | $6,500 requires KYC verification, ID check and a selfie |
| Apple Pay weekly limit (buying in FIAT) | $6,500 requires KYC verification, ID check and a selfie |
| Google Pay weekly limit (buying in FIAT) | $6,500 requires KYC verification, ID check and a selfie |
On the other hand, Uphold requires KYC checks to buy, sell or exchange cryptos, fiat currencies, equities and precious metals, regardless of the amount you wish to buy. The company asks you for a selfie, proof of identity, which can be a drivers licence, government-issued ID or passport, as well as proof of address, which can be a utility bill, correspondence from a government department or bank account statement.
Binance requires KYC verification to buy, sell and trade cryptos but your country of residence must match your ID documents. Instead of a selfie, you need to complete their face verification process and this can be done on your desktop computer or via a QR code on the Binance mobile app.The company asks you for proof of identity, which can be a drivers licence, government-issued ID or passport, as well as proof of address, which can be a utility bill, correspondence from a government department or bank account statement.
CashtoCode eVoucher
You can’t fund your account with a CashtoCode eVoucher as this isn’t offered at Kraken.
Trading fees
The platform charges relatively high trading fees through a tiered maker/taker pricing structure whenever you buy, sell or exchange cryptos. There’s also a flat 0.25% fee to deposit crypto via debit or credit card and differing rates of withdrawal fees for over 210 listed cryptos, for example 0.0035 for Ethereum and 0.00001 for Bitcoin.
| Pricing tier | Trading maker fee | Trading taker fee |
|---|---|---|
| Up to $50,000 | 0.16% | 0.26% |
| $50,000-$100,000 | 0.14% | 0.24% |
| $100,000-$250,000 | 0.12% | 0.22% |
| $250,000-$500,000 | 0.10% | 0.20% |
| $500,000-$1,000,000 | 0.08% | 0.18% |
| $1,000,000-$2,500,000 | 0.06% | 0.16% |
| $2,500,000-$5,000,000 | 0.04% | 0.14% |
| $5,000,000-$10,000,000 | 0.02% | 0.12% |
| $10,000,000+ | No fee | 0.10% |
Staking
Kraken offers a program that allows users to stake any of the 15 eligible cryptos and the flexible rewards you earn depends on the amount staked, with annual percentage yields (APYs) of up to 20%. For instance, you can earn up to 4-7% on your Ethereum.
| Cryptocurrency | Flexible APYs |
|---|---|
| Algorand | 1-4% |
| Cardano | 3-6% |
| Cosmos | 6-9% |
| Ethereum | 4-7% |
| Flare | 4-8% |
| Flow | 3-5% |
| Kava | 5-7% |
| Kusama | 7-11% |
| Mina | 12-20% |
| Polkadot | 6-8% |
| Polygon | 1-2% |
| Secret | 8-10% |
| Solana | 2-3% |
| Tezos | 5-7% |
| Tron | 3-6% |
Is Kraken exchange safe?
As a regulated Over-the-Counter (OTC) exchange, Kraken has been in operation since 2011 and amassed over nine million users across the world. The company has comprehensive security measures in place that offer you a high level of security for users, from running a bug bounty program to secure cages that are under 24/7 surveillance by armed guards, alarm systems and video monitors.
A low percentage of users (20%) rate Kraken with five stars on Trustpilot, which is a low indicator of safety. The company faced controversy in the past when it was investigated by the US Securities and Exchange Commission (SEC) for offering unregistered securities through its staking program. As a result, the exchange paid $30 million in penalties to the SEC earlier this month.
| Trustpilot | 2 star |
The most common issues raised are related to account and withdrawal concerns, with some users even alleging that Kraken stole money from their accounts. However, people praise them for great customer service and a wide selection of cryptos available to trade.
Security
Kraken is globally recognised as the safest crypto exchange in the world due to the comprehensive security measures it has in place from external audits of proof-of-reserves (PoR) to data encryption at a system level which adheres to ISO 27001 standards. Also, the company has received ISO/IEC 27001:2013 certification for its top-notch security management systems, as well as being awarded an AAA security rating by cybersecurity firm CER.
| Safe coins storage | 95% of deposits are held in cold storage. |
| Two-factor authentication | Two-factor authentication via SMS verification is required at Kraken. |
| Information security | Data encryption at a system level which adheres to ISO 27001 standards, granular API key permissions, PGP signed and encrypted email and SSL encryption when users browse the online site. |
| Platform security | External audits of proof-of-reserves (PoR) and advanced infrastructure with secure cages that are under 24/7 surveillance by armed guards, alarm systems and video monitors. |
| Network security | A Kraken Security Labs team that monitors third-party network breaches and runs bug bounty programs. |
Similarly, Uphold has an array of industry-standard security measures in place such as annual audits for its web network, third-party financial and compliance audits, a bug bounty program, Anti-Money Laundering (AML) controls, as well as their very own Uphold Security Operations Centre. The company is also registered as a Money Service Business (MSB) with the United States Treasury Department regulator FinCEN and adheres to Office of Foreign Assets Control (OFAC) standards
In comparison, Binance has a broad range of security measures in place such as account access controls that limit withdrawals to only certain IP addresses or wallets, 24-to-48 account freezes and end-to-end data encryption. The platform also algorithmically tracks all accounts using real-time monitoring in order to prevent money laundering and financial crime, while 10% ($1 billion) of all trading funds are stored in a SAFU in order to reimburse you in the event of a hack.
How to start trading at Kraken exchange?
Registration
You need to create an account in order to register with Kraken and this can be done by:
- Visiting the homepage and inputting your email address and country of residence so you can create a password and start the process.
- You then need to create a username and verify your email address.
- After verifying your email address, you need to enter details such as full name, address, date of birth and phone number.
- You then have to confirm your occupation.
- After submitting your details, you have to complete KYC verification.
- Upon successful registration and passing verification, access to all functions of the site including higher limits are available to you.
KYC
After filling in your account details, you need to go through multi-step KYC verification. This process is required for anyone who wants to buy, sell or exchange cryptos on the platform. Unlike most other crypto exchanges, Kraken requests a proof of funds (POF) document and this needs to cover all deposits or withdrawals via the particular funding method used. The company accepts tax returns, letters from an accountant stating assets, bank or equities statements, pay stubs showing two years previous income or an accountant's letter stating real estate holdings and inheritance for POF verification.
You must provide a clear and visible picture of the front and back side of your documents such as proof of address and passport. In addition, you need to submit a selfie. Passing KYC checks unlocks functionalities such as the ability to earn rewards on your crypto balance through a staking program.
Customer support
Kraken is renowned for being one of the only crypto exchanges in the world to offer 24/7 global customer phone support and there is even a 24/7 live chat function available too.
| Live chat | 24/7 live chat available. |
| Phone support | 24/7 customer phone support available. |
| No customer service email available. | |
| FAQs | Available |
Unlike most other large crypto exchanges, Kraken doesn’t use a ticketing system where users can fill in an online form with a subject, description and optional attachment in order to contact the company. For users who are dealing with emergency account issues, there’s a direct way to speak with customer service on the phone, as well as in real-time with their consultants via the live chat.
Conclusion
Kraken is recommended to users who are looking for a wide selection of cryptos and educational resources to facilitate trading. However, there are limited payment options, a low number of cryptos available to stake and high trading fees for low-volume transactions, making the service less accessible for active traders.
But if you don’t mind this, Kraken can still be a great option if you’re looking for a safe crypto exchange with an AAA security rating and comprehensive measures in place, which is a major differentiating factor and unique selling point (USP) for the platform. The platform could improve its service by offering trading fee discounts, expanding payment method options or increasing the available range of cryptos that can be staked.
Alternatives of Kraken
- Modern trading platform
- Zero trading, deposit or withdrawal fees
- Rewards debit card
- Ability to stake 32 different cryptos
- Cross-asset trading
- Limited customer support
- Relatively high service fees and a price protection fee
- Low trading fees
- Modern interface
- Wide selection of cryptos available at over 350
- Ability to stake 27 different cryptos
- Variety of payment methods available
- Regulatory issues and lawsuits
- Security concerns related to hacks
- Coinbase Advanced Trade service with a plethora of features
- FDIC-insured balance protection of up to $250,000
- Low minimum deposit required to begin trading
- Coinbase Learn site with educational content for traders
- Top-rated mobile app
- High transaction fees
- Low number of cryptos available for staking
- No customer service live chat function
Uphold doesn’t charge trading, deposit or withdrawal fees and there’s a wide selection of 32 different cryptos available to stake. You can earn rewards through the Uphold debit card, which gives 4% crypto rewards in XRP on all purchases. The company also provides educational content for traders although the resources aren’t as broad as Binance Academy or Coinbase Learn..
Binance charges a low fee of 0.10% for trading on the platform, as well as a 0.50% fee for instant buy/sell. Last year, the company introduced zero maker and taker fees for all 13 Bitcoin spot trading pairs and when you use BNB in trades, you get a 25% discount on trading fees. There are also 27 different cryptos available to stake and an online Binance Academy which provides a plethora of educational resources for traders.
In contrast, Coinbase charges high trading fees that are based on a tiered maker/taker pricing structure, as well as a flat 1% fee to convert and withdraw your crypto to cash. There are only nine cryptos available to stake but the company provides great educational resources for traders via Coinbase Learn.
FAQs
Yes, because Kraken has been in operation since 2011, amassing over nine million users across the world and has comprehensive measures in place that have earnt it an AAA security rating by CER.
It’s a 15-digit reference number given to each ACH transaction which can be used to track transfers.
Certain deposits, such as first time ACH purchases or debit/credit card purchases can result in a 72-hour withdrawal hold on your account as part of security measures. Also if you make any changes to your password, withdrawals are held for 24 hours.
Kraken charges trading fees through a tiered maker/taker pricing structure whenever you buy, sell or exchange cryptos. There’s also a flat fee to deposit crypto via debit or credit card and differing rates of withdrawal fees.
You can find your bank code, transit number and account number on a bank cheque but if you don’t have one, you can request a cheque from your bank’s branch or website.
The platform offers flexible commissions of 1-20% depending on the crypto being staked and there are 15 available within the staking program.
Specification: Kraken exchange review
| Bezahlmethoden | ||||||
|---|---|---|---|---|---|---|
|
||||||
| Specification | ||||||
|
||||||
