Kraken vs Coinbase: Which Should You Choose?

Additionally, Kraken has a customer support team that operates all day, every day via email and live chat. With regards to insurance, no funds held in your Kraken account are insured. Crypto is not eligible for FDIC insurance, anyway, and the company does not maintain insurance for digital assets. Additionally, Coinbase provides a separate personal hot wallet. The Coinbase Wallet is free to use and it’s technically available to anyone with a smartphone.

  1. However, Kraken is different, it was created with security in mind.
  2. Amilcar has 10 years of FinTech, blockchain, and crypto startup experience and advises financial institutions, governments, regulators, and startups.
  3. Coinbase has received $547 million in funding from professional investors like Andreessen Horowitz, Union Square Ventures, and the New York Stock Exchange.
  4. The company was able to halt $280,000 in Bitcoin transactions when hackers overtook several famous Twitter accounts and solicited funds from unsuspecting followers.
  5. With a brokerage, however, there is no “other person” – you come and exchange your crypto coins or fiat money with the platform in question, without the interference of any third party.

Between the two exchanges, users can deposit fiat currencies through bank transfers, ACH, online wallets, and credit/debit cards. With Coinbase, there is the added advantage of using PayPal to deposit and withdraw funds. Users are also able to send cryptocurrencies from external wallets to either platform. These are two of the most popular cryptocurrency trading platforms based in the United States but available globally in more than 100 countries. They enable their customers to buy, sell, exchange, and trade their digital assets with Coinbase providing an external wallet for self-custody as well.

They also offer the option of buying using a credit/debit card, which comes at a higher price. Thanks to its intuitive design, Coinbase is a suitable platform for new crypto investors. The company’s advanced trading terminal also makes it a nice option for experienced investors that want to access Coinbase’s other features. Kraken is an ideal platform for experienced crypto investors that want advanced trading features without high fees. The Kraken OTC desk is a premium service that processes large crypto trades off the public exchange.

How is this cryptocurrency exchange comparison tool used?

Gemini, although an exchange, also offers a way to manage your digital assets. You can also earn rewards on your everyday purchases if you are approved for and use the Gemini Credit Card. Plus, it’s even possible to use Gemini Pay, which allows you to pay with crypto assets at tens of thousands of retail locations in the U.S. When executing cryptocurrency trades on Coinbase, it makes more sense to utilize Coinbase Pro to reduce trading fees. On Coinbase Pro, as with most crypto exchanges, trading fees depend on your trailing 30-day trading volume and maker/taker status. Kraken comes out very slightly ahead of Coinbase in terms of fees, even though they are pretty similar.

Their fees are even lower than the best options at Kraken and Coinbase. Email, search and a library of help topics are available on each platform. Coinbase and Kraken also comply with the KYC, or Know Your Customer requirements. Procedures within the financial services industry that help to verify the customer and help tackle money laundering. Securities and Exchange Commission, Kraken is ending staking services to U.S. clients. Therefore, U.S. traders will need to look to other platforms, such as Coinbase, for those services.

LENDING PLATFORMS

Because of its origin in Europe, Kraken is still a bigger name in that region than it is in the United States. To represent the data of Kraken vs Coinbase comparison as accurately as possible, we have divided our thorough fact-based analysis results into 8 different categories. For an instant Kraken vs Coinbase main metric comparison at a glance, take a look at the general overview table below. However, Coinbase is generally a better platform for beginners, and it’s great for those specifically looking to stake assets like dai.

A Brief Look at Coinbase and Kraken

Alternatively, Coinbase simplifies buying cryptocurrency by removing many of the more complex aspects found at exchanges. Even more, it allows you to buy cryptocurrency with both bank transfers (ACH) and debit cards. Below, we’ll show you what the Coinbase buying process is like for each payment method. Kraken has an “Instant Buy” option, where users can purchase crypto in seconds with their card or from funds in their fiat wallet. There is a standard purchase fee plus an additional fee depending on the method of payment.

Related Reading

The employees are also mandated to encrypt their hard drives, use strong passwords, enable screen locking and utilize multi-factor authentication on all company devices. Coinbase, due to its emphasis on adhering to financial regulations, currently only supports three main national currencies, which are the US Dollar, Euro, and Pound Sterling. Coinbase and Kraken both allow staking, with similar options available and reward rates. You can compare the two based on which coin you’d like to stake to see which one suits you best in terms of coin availability and annual percentage yield (APY).

Whether it’s user feedback, service features or pricing, everything passes through our strict review process in order to filter out false info & advertising claims. The data represented in this Kraken vs Coinbase crypto exchange comparison is fact-based & collected from trusted, verified sources only. In this way we make sure that the reader’s decision is measured & based on real facts. The location where the cryptocurrency exchange company is based. Whether or not the cryptocurrency exchange allows their users to remain anonymous. What kind of unique additional features are offered by a certain cryptocurrency exchange.

The American company was initially part of the Y Combinator startup incubator, where it formulated the prototype for the exchange. When accounting for all of these factors, Coinbase vs Kraken stands out as two of the most high-profile, trusted platforms on the market. And while Coinbase might be more well-known (especially in the United States), a variety of alternative exchanges, like Kraken, have their value. The biggest amount that a certain cryptocurrency exchange allows to be fluctuated in one trading session. Whether or not the cryptocurrency exchange allows you to directly copy the positions taken by another trader and connect a part of your portfolio with theirs. Whether or not the cryptocurrency exchange has integrated tools to help you analyze your performance.

On the fiat end, the exchange supports USD, EUR, CAD, AUD, AED, GBP, CHF, and JPY. Both are highly rated by iOS and Android users and allow functionality similar to the web-based exchange. However, unlike Binance, Kraken responds to nearly all reviews or suggestions about their mobile apps and continually improves the user interface and user experience.

However, Binance has millions of users although it was hacked in 2019. Furthermore, Coinbase Pro offers more robust storage options than Kraken. It’s nice that you’re able to choose between built-in/semi-insured storage and external storage. Between Gemini, Coinbase, and Kraken, the Pro version of Coinbase is the better crypto exchange platform.

Kraken wins across several aspects, with lower fees, more features (such as forex trading, margin trading, futures contracts, staking and more) and 24/7 Live Chat customer support. Kraken has excellent customer support, that is hard to find with is kraken legit large cryptocurrency exchanges. Usually you are given the runaround with a bot, or you may have to wait days for an email response. Kraken has done a great job by focusing on customer support, with its 24/7 Live Chat with a real person.

demo
No Comments

Sorry, the comment form is closed at this time.