- Fast and free
- Good reputation
- Available worldwide
- SEPA deposits in Europe
- Advanced trading options
- Margin Trading
- Slow customer support
Table of contents
Kraken is a US-based largest crypto exchange for trading altcoins and bitcoin. It was founded in 2011 and continuously growing ever since. It is considered the safest exchange due to its self-regulated approach, security measures, and range of security audits. On top of that, it has low to minimum charges over trading with free deposits and efficient withdrawals. You can also use its mobile app or web platform for trading.
Kraken offers you a convenient and very simple way for trading with US dollar, Australian dollar, Canadian dollars and on digital assets such as bitcoin, chainlink, dogecoin, Ethereum, etc, and also to trade one kind of digital assets for another kind of digital asset.
Opening an account at Kraken
Opening an account at Kraken is straightforward. Kraken is a regulated exchange so you would have to pass the KYC/AML checks the same as you do for other regulated exchanges.
The platform will ask you to submit some identification documents and after that, you will need to wait for approval.
Kraken offers three verification levels and with each higher level that you unlock, it will enable you to do more for your account. Three levels are as follows:
If you are serious about crypto trading, I highly recommend you get a pro verification level by passing KYC procedures. It will allow you to trade on a dark pool and also use the OTC desk, besides higher fiat and crypto withdrawal and deposit limits. If you just want to try Kraken or just starting in crypto trading then starter level is fine for you.
Both corporate and individual entities can open an account at Kraken, although for the corporate level, the KYC process needs extra documents. Account for a corporate entity is only available for the pro verification level.
Kraken offers exceptional features that you cannot find anywhere else. Below are some important features:
- Kraken allows its traders to buy and sell orders secretly without alerting the market which it names as a dark pool. Dark pool enables the traders to hide their large orders and trade anonymously.
- High-net-worth and institutional individuals can trade on the OTC (over-the-counter) exchange alternatively. OTC trade provides high liquidity, 1-on-1 personalized service, and expert desk opinions.
- Kraken offers a coveted margin trading feature that is supported by its excellent trade engine. It also offers up to 5x leverage, advanced APIs, low rollover fees, a pro trading interface, high borrow limits of up to $500,000, to rank it as the best margin trading platform. it has variability in margin trading offerings such as ETH, BTC, XRP, ETC, LINK, BCH, USDT, XTZ, and EOS. Finally, the margin trading fees of Kraken are also the lowest among other exchanges available.
It is a service offered by Kraken to support the customers to keep their money on the platform. It allows the users to purchase assets that will help them to gain rewards with time. This process is the same as you get interest on your savings bank account. If you buy more assets, you will be able to get more rewards over time. To use this feature, click on the “staking” bar on the homepage. Then select any three assets that are available on the site: Cosmos, Tezos, and New dot in case of staking assets. It allows you to check the gains you get and you can also unstake the assets at any time. If you have funds that are not earning you any money, you can stake those assets.
- You can buy assets with your payment card
- Sort with gainers/losers
- You can purchase predefined amounts such as €20, €50, or €100
- Allows you to track your portfolio and monitor prices
- Enables Saving your favorite cryptos
- Beautiful, intuitive design
What payment methods are accepted?
You can instantly buy a variety of cryptocurrencies through Kraken’s advanced buy protocol by using your credit or debit card.
If you are doing a fiat deposit for the first time, you may see a temporary 72 hours hold in withdrawal for the first card purchase.
Kraken has a very efficient trading system and it will have you trading within 24 hours of your deposit. Different deposit methods are used for different currencies as follows:
- USD: payment method for domestic users is SWIFT, Fedwire, and for international users wire transfer and Etana Custody.
- EUR: SEPA and Etana Custody for domestic traders, and wire transfer, Etana Custody for international users.
- CAD: wire transfer and in-person for domestic users and Etana custody and wire transfer for international users.
- JPY: the only Payment method available is Etana custody for international users.
- GBP: Etana Custody, CHAPS, FPS, and BACS for both domestic and international users.
- CHF: SIC-bank Frick for domestic users and SWIFT-Bank Frick for international users.
- AUD: PayID and Osko for domestic users and no information available for international users.
The processing time for all the currencies is 1-5 days except AUD. Payment transfer process in instant for AUD.
What deposit currencies are available at Kraken?
Kraken allows trading in the range of currencies. The available currencies for trading are following:
- US dollars (USD)
- Euros (EUR)
- Australian dollars (AUD)
- Canadian dollars (CAD)
- British pound (GBP)
- Japanese yen (JPY)
- Swiss franc (CHF)
Is Kraken safe?
Kraken has advanced security features to protect the platform from unwanted activities. 95% of the deposits are kept offline in cold wallets to protect them from online fraud. Its servers are caged, armed guarded, and monitored by video cameras. All the account information is end-to-end encrypted at both data and system levels. It also has 2-factor authentication via Yubikey and Google authenticator. The platform is continuously tested by experts to check the vulnerability and cyber attacks. It doesn’t allow account recovery over SMS/phone. It requires email confirmation for withdrawals and requires a multi-tiered verification system. So Kraken is wholly a safe platform.
Trading fees and costs:
Whether you are a newbie or an experienced trader, Kraken offers a range of fee structures that will fit your budget. Following are some fee structures according to the categories:
- For instant buy, no fee is charged if you buy from the bank account balance. Although the payment card transaction fee is 3.75% + €0.25.
- Kraken pro trading fee ranges from 0.26% to 0%
- For stable coin and FX trading, the fee ranges from 0.2% to 0%
- Margins trading the fee ranges from 0.01% to 0.02%
- Futures trading the fee ranges from 0.0500% to 0%
- For dark pool trading, the fee ranges from 0.36% to 0.2%
Kraken costs different deposit fees or no fees based on currency, payment method, and deposit amount. Choose the currency that supports multiple payment methods and is free of deposit fees such as USD. If you deposit your amount in USD, there are multiple payment methods available and on the deposit of $150 using Fedwire or Etana custody payment method, you will be charged no deposit fee at all.
*Kraken charges a fee of 3.75% + €0.25 on every purchase you make with your card.
Who is Kraken best suited for?
You might have heard about Kraken that it is not a platform for beginners, this is somehow true. Kraken has lots of features and a big platform. Sometimes expert traders find it difficult to use.
However, I recommend beginners to use Kraken because everything always starts small. You can learn a lot about trading if you start with Kraken as it has gazillion features for a trader. You will learn a lot in the process.
If you start your trading business with Kraken, you will not need to learn about other trading platforms. You can get 2FA and deposit fiat money to start within minutes. After that, you can trade for as long as you wish. With time, when you get good at trading, you can take benefit from other features that Kraken offers.
On the other hand, some crypto exchanges are limited, but Kraken is a broad platform. It enables its users to do short selling and margin trading. Expert users will find it amazing.
Kraken is a legit exchange platform for both experienced traders and beginners. It attracts users with its wide selection of features, clear user interface, low fees, and deep liquidity. However, Kraken is not a good option if you want to buy cryptocurrency instantly as it doesn’t accept deposits from a bank card. Apart from that, it is the best platform with advanced security features in the trading industry. If you can easily pass vast KYC procedures, then Kraken should be your top pick while trading.
This Kraken review is highly unbiased and based on expert opinions and user experience. It has all the necessary information you may want to know before trading with Kraken. For any queries, you can contact their customer support.