Summary
US-based crypto exchange, Kraken, and perhaps one of the oldest forms of modern crypto exchange, is an industry-famed platform. Kraken serves over 15 million crypto investors in more than 190 countries. From spot crypto trading to different forms of leverage trading, Kraken has expanded its service catalogue over the past 12 years to serve the everyday crypto investor.
Whether you are a beginner or expert trader, the Kraken interface and UX are designed to serve anyone with a basic knowledge of crypto trading. With global availability, good coverage of the crypto market, and a user-friendly KYC policy, US crypto exchange is well within the options of every crypto trader. For existing and intending users, this article provides an in-depth review of the Kraken exchange.
What Is Kraken Exchange?
Kraken Exchange is a centralized crypto trading platform. It offers spot and derivative trading for over 300 crypto assets and tokenized US stocks. Kraken was founded in 2011 by Jesse Powell and launched in 2013. It has since expanded to over 190 countries worldwide and serves more than 15 million investors. Kraken is a full-fledged crypto trading platform with support for fiat-crypto trading and institution-targeted service for onboarding mainstream firms and native crypto organizations.
Kraken is headquartered in San Francisco, USA, and licensed to operate in the US and EU regions. However, investors in Russia, Belarus, Cuba, Iran, Iraq, North Korea, and Japan are restricted from the platform due to regional sanctions.
What Crypto coins are available on Kraken?
Over 300 crypto assets are tradable on Kraken. This includes
- Major crypto coins like BTC (Bitcoin), ETH (Ethereum), SOL (Solana), XRP, BNB, DOGE (Dogecoin), ADA (Cardano), and LTC.
- Stablecoins like USDT, USDC, DAI, PYUSD, TUSD, USDG, and USDS.
- Altcoins in categories like Layer-1s, DeFi, meme coins, AI coins, RWAs; 1,200+ trading pairs.
- Tokenized US stocks and ETFs
Popular Trading Features on Kraken Exchange
The Kraken platform is sectioned into two
- Kraken (for beginners) and
- Kraken Pro.(For Advanced Traders)
The regular Kraken Platform allows users to purchase crypto instantly using traditional banking methods, while Kraken Pro is the advanced trading platform. Here are the primary features of Kraken
Spot Trading
Kraken offers on-ramp and spot trading for supported cryptocurrencies. You can purchase crypto directly from your bank using the instant buy feature or the advanced spot trading features on Kraken Pro. You can set recurring buys and limit orders on Kraken and Kraken Pro. Trading fees on Kraken is 0.4% flat for makers and takers. Lower fees may apply for users in higher tiers. There is no minimum trading amount or deposit.
Margin Trading
Margin trading is also available on Kraken Pro. Trades can borrow up to 10 times their capital (10X leverage) to trade any of the supported assets on the margin trading platform.
Futures Trading (Kraken Pro)
Traders on Kraken Pro can trade perpetual futures contracts of over 300 cryptocurrencies and tokenized assets. Maximum leverage on the Futures trading platform is 50X, and traders can provide collateral in any of the supported collateral options.
Kraken Fees Explained
Here’s Kraken Exchange’s fee structure;
Trading fees (maker vs taker)
Maker and Taker fees on Kraken Pro (spot) are tiered. Maker fees range from 0% to 0.25% depending on Volume. Taker fees also range from 0.05% for volumes over $500 million to 0.4% for less than $10,000.
Futures and Margin trading fees are also tiered and based on volume. Fees vary according to the size of your position, but range from -0.0006% to 0.05% for futures trading and 0.02% to 0.04% for margin trading.
Deposit and withdrawal fees
Crypto deposits are free of charge. However, fees apply to fiat deposits and withdrawals according to currency and method. Crypto withdrawal fees also vary according to the asset and network of choice.
How to Create an Account on Kraken and Trade On Kraken
To create a trading account on Kraken Exchange,
- Visit the exchange’s website
- Click Sign Up from the top right corner1
- Enter your Email and click Continue to proceed
- Set a password for your account and click Continue.
- Set your country of residence and click Create Account to complete
- Follow the prompt in your email inbox to verify your email address using the verification code Your account is now created. You may proceed with KYC verification or skip for later. Note that unverified accounts have limited access to platform services.
- Select the version of Kraken you wish to use to access your personal account.
- Proceed with KYC verification and funding your account to start trading on Kraken.
Kraken User Experience
We explored Kraken from a new user perspective, and the experience was good. Kraken’s intuitive user interface and comprehensiveness make it easy for anyone to use the platform.
Overall, we rate Kraken 4.7/5, considering additional factors like transparency, miscellaneous features, and contributions to the crypto industry.
Kraken Pros and Cons
PROS and CONS
- Wide industry coverage and support for multiple asset classes.
- Liquidity on Kraken spot and derivative trading platforms is sufficient for high-volume trades.
- Kraken exchange maintains top-tier security with cold storage and Proof of Reserves
- Fees for regular crypto trading are relatively low.
- The Kraken customer support team is responsive
- The Instant Buy service fees may be up to 3% traded volume, which is relatively high.
- Kraken is restricted in some countries and US states.
- Kraken’s 50X max leverage is limiting for risk-savvy traders.
Kraken Security & Regulation
Here’s a detailed look at Kraken’s security and regulation efforts.
Regulation: Kraken is licensed in multiple regions like Canada, the UK, Cyprus, and Argentina. It holds a MiCA license that enables it to operate in EU nations. See details of Kraken licenses.
Security measures: The Kraken platform is protected with 256-bit SSL encryption. Kraken holds over 95% of users’ funds in air-gapped cold storage; Users can protect their exchange account with 2FA and passwords. Other security features include withdrawal wallet whitelisting.
Proof of Reserves: Kraken’s Proof of Reserves is publicly accessible. Users can query the reserves to confirm that the exchange truly holds their deposits. Kraken also runs quarterly audits with a detailed report.
Is Kraken Safe and Legit in 2026?
Yes, Kraken Exchange runs a tight-knit security system with regular audits and a strong reserve. Apart from the 2024 security incident that affected the exchange’s treasury, the platform has not recorded significant security breaches or hacks since it launched in 2013. Kraken protects users’ funds using Cold storage facilities and multi-sig wallets. Users can protect their accounts with passwords and 2-Factor Authentication. Despite the relatively robust security, we still advise that you apply safety precautions while using the platform and hold your assets in a cold wallet.
Final Verdict: Should You Use Kraken Exchange?
Kraken Exchange is designed to cater to various types of crypto investors. The basic application is best suited for beginners, while Kraken Pro serves traders with advanced needs and trading strategies. Kraken Exchange works for individuals and institutions that wish to trade crypto on a professional trading platform with robust security. Its tooling system has been refined over the past decade to serve retail and mainstream organizations looking to get into crypto.
In general, Kraken is a user-friendly, law-abiding exchange and a reliable trading platform for short and long-term crypto trading. You can deploy your trading strategies on Kraken, leveraging the features we discussed in this article.
Disclaimer: This article is an independent review of the Kraken exchange. It doesn’t offer financial advice nor endorse the featured product. Note that crypto investments carry significant risks.
Source: https://coingape.com/kraken-exchange-review/
