Kraken Exchange Review 2023- the Pros and Cons, Fees & more

Introduction

Are you going to open an account in Kraken for cryptocurrency investment and trading? Not sure whether Kraken is the right exchange for you? Then read on. In this review, we will cover everything you need to know about Kraken exchange’s trading fees, trading types, cryptocurrencies available, earning programs, etc.

Overview

What is Kraken Exchange?

Kraken is a cryptocurrency exchange with 9 Million clients from over 190 countries with a quarterly trading volume of $207 Billion. The exchange was founded in 2011 by Jesse Powell in the United States and its headquarter is located in San Francisco. The exchange has two trading platforms Kraken for beginners and Kraken Pro for advanced traders. 

Kraken offers 185+ cryptocurrencies in its exchange for trading and has a robust security system. There had been no major hack events in the exchange and it shows their commitment to creating a clean and secured cryptocurrency exchange. The trading fee is calculated based on the 30-day trading volume and the maker/ taker position of the user. Generally for a beginner, the maker fee is 0.16% & the taker fee is 0.26%. 

The exchange has a simple user interface, making buying and selling easy for users. If you are a beginner and unsure where to start they have a learning center on their website where you can learn everything about cryptocurrency & blockchain. 

Features

• Trading Types – They offer Spot, Margin & Derivatives Trading
• Trading Fees – The trading fee for beginners is (0.16% Maker fee & 0.26% Taker fee). The 30-day trading volume is also considered while calculating the trading fee. The more you trade, the less trading fee you have to pay. 
• Proof of Reserve – The exchange is audited by a third party using Merkle Tree and you can check whether your account was audited by going to the Setting page > Audit
• Bugs Bounty Program – Freelance developers and ethical hackers can join this program to help the exchange find its vulnerability and bugs. The individuals will be rewarded based on the severity of bugs reported in the system. The higher the severity, the higher the reward. All rewards are paid in bitcoins
• Kraken Pro – A platform exclusively designed for advanced traders to execute trades smoothly. It includes graphs, market metrics, open orders, positions, and the ability to place trades. Currently, it has more than 9 million reviews & trading volume of $207 billion
• Learn – They have an exclusive learning center with blog articles, videos, and podcasts on cryptocurrencies and blockchain 
• Staking – Earn up to 21% APY by holding and staking your cryptocurrencies. Please note that this feature is currently unavailable in the United States.

Cryptocurrencies Available on Kraken

Kraken supports over 185+ cryptocurrencies. Some of the Popular cryptocurrencies include

• 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)

How to Create an Account on Kraken?

Let us learn how to create an account on the Kraken exchange

1. Log on to Kraken.com
2. Enter your email ID and set a password
3. Confirm your email ID by clicking the link sent to your account
4. Congratulations your account has been created
5. We recommend you get verified in order to increase withdrawal limits. The verification is of 3 types – Starter, intermediary, and Pro. You need to provide basic details like name, and phone number for starter verification which can be done in less than 1-2 minutes. Address proof and ID proofs are submitted for intermediary verification which can take 3-4 minutes. And for Pro verification, you need to mention financial details like a source of funds, etc. 

How to Buy Cryptocurrency on Kraken?

Let us learn how to buy cryptocurrency on Kraken. Make sure that your ID is verified before this. 

1. Log on to your Kraken account
2. Click [Buy Crypto]
3. Select the currency pair. (The cryptocurrency you want to buy and the fiat currency you want to use for the transaction)
4. Fill out the order form 
5. Click confirm order
6. You will get a notification once the transaction is complete

How to Sell Cryptocurrency on Kraken?

Let us learn how to sell cryptocurrency on Kraken. 

1. Log in to your Kraken account
2. Click on [Buy Crypto]
3. Select the cryptocurrency you want to sell and the fiat currency you want to receive
4. Click Sell
5. Review the order details and Confirm it
6. You will get a notification once the order is complete

How to Deposit Cryptocurrency on Kraken?

Let us learn to deposit cryptocurrency on Kraken

1. Sign in to your Kraken account and navigate to the funding
2. Click [Deposit]
3. Search for the cryptocurrency you want to deposit and select it
4. If you are depositing for the first time in a Kraken account, you need to generate a deposit address
5. Follow the instructions provided by cryptocurrencies deposits on the page
6. Copy the address and paste it into the wallet from which the funds have to be sent
7. Mention the tag and memo for certain selected cryptocurrencies like ripple, Lume, Stack & EOS

How to Withdraw Cryptocurrency on Kraken?

Let us learn how to withdraw cryptocurrency from Kraken

1. Sign in to your Kraken account
2. Click [Withdraw]
3. Select the currency you wish to withdraw
4. Select a previously added address or add a new address
5. Enter the amount you wish to withdraw
6. Review the details and Click [Confirm]
7. You will get a notification once the transaction is complete

Exchange Fees & Supported Payments

There are no deposit charges for depositing cryptocurrencies, however, there is a minimum amount for withdrawal and withdrawing charges vary on different cryptocurrencies. The supported fiat currencies include USD, EUR, CAD, AUD, GBP, CHF, JPY & AED. You can deposit cash via bank transfer, ACH & Debit/ credit cards.

The Kraken exchange uses the maker-taker model and 30-day trading volume into consideration while calculating trading fees. Usually, for beginners, the trading fees are 0.16% maker fees and 0.26% taker fees. As the trading volume increases there is a significant decrease in the trading fees. 

The volume generated with the Instant Buy option is not considered in the 30-day trading volume. Users trading over $100,000,000 in 30-day volume on spot crypto pairs benefit from 0.00% maker fees and 0.08% taker fees.

The detailed break-up of trading fees for spot & Futures trading is listed below in the table. 

Spot Trading Fees

Futures Trading Fee

Stable Coins, Pegged Tokens, & FX Pairs

Customer Support

Kraken has a support section where you can answer your general queries. If you are still not happy with it, you can contact customer support via the 24/7 chat support team. The exchange also provides 24/7 phone support for customer account-related issues in English, Spanish & French. 

Mobile App

Whether you are a crypto beginner or an advanced trader, Kraken offers a simple, easy-to-navigate mobile app that is available both on the Google Play store and the Apple App store. With the mobile app, you can trade cryptocurrencies, track your portfolio, check account details, track market trends, etc. The app has a 4.4-stars rating.

Affiliate Program

Kraken exchange runs an affiliate program where the users will get a 20% trading fee commission for every referee they sent into the system. The referee must have a count of followers of more than 5000. This program is for a lifetime and the bonuses will be directly credited to your bank account rather than the exchange account. 

Conclusion

Kraken is one of the oldest and safest exchanges in the world. Top-notch security and compliance have always been their priority in business operations. The exchange offers more than 185 cryptocurrencies and the trading fees are very reasonable. 

Based on the level of trading requirements you can choose a suitable verification level and use the exchange. 

The exchange is extremely transparent and they document all of their procedures and policies online. They have also received extensive coverage in the past and the Kraken price is also affordable. Kraken is regulatory compliant in all jurisdictions of operation and accepts US customers

A secure track record, fiat deposits, multiple trading options, and excellent customer service have made Kraken’s reputation one of the most reputable cryptocurrency exchanges. Kraken has never been hacked and is a reliable exchange. 

Thus Kraken is highly recommended for both US and international users.  It is an excellent choice for high-net-worth individuals looking to purchase large amounts of crypto assets. However, we recommend you transfer your digital assets to offline wallets to reduce threats. 

FAQs

Kraken Rating