Kraken Review & Rating 2023
Kraken is one of the largest cryptocurrency exchanges. In this Kraken review, we will find out everything about what the Kraken exchange has to offer you. I'll even share with you some interesting information that you can share with your friends!
Ready? Let's begin this Kraken review with how the crypto exchange started its journey. It's going to be a neutral review. AtoZ Markets is not responsible for any opinions made by the writer.
Kraken Review: Company
Once in San Francisco, California, there was a young man named Jesse Powell. Jesse was an ardent fan of cryptocurrencies and showed considerable interest in her technology.
In 2011, he visited the offices of Mt.Gox, then one of the largest cryptocurrency exchanges in the world. During his visit, Jesse was shocked by what he saw and there were very good reasons for this. Exchange gaps and security vulnerabilities put clients' money at risk . By the way, the result was not long in coming. Mt. Gox was hacked and Jesse knew why.
He decided to create an exchange that would be safer and much more organized than any that had ever existed before. He named it Kraken, although to you it is better known simply as the Kraken Exchange.
By 2014, Kraken had become one of the most respected exchanges in the entire industry. In the same year, Mt. Gox was hacked again, losing $460 million in customer savings and finally going bankrupt.
Jesse Powell understood that restoring people's trust in cryptocurrencies - and their exchanges - was the top priority. The Kraken Stock Exchange has established links with banks in Germany and Japan. It was also one of the first to be featured on the Bloomberg terminal (a tool used by bankers around the world ).
The Kraken Exchange became the platform that customers could trust.
Is Kraken Trusted?
Is Kraken safe or not? Crypto experts like the Kraken crypto exchange. It took a lot of effort for the project team to earn global trust. The Kraken exchange was the first exchange to prove that it can keep clients' money safe. Kraken did this by focusing on the PoR's security and auditing system.
A PoR or Proof-of-reserves audit is a test that banks or exchanges can pass to show customers that all their money is exactly where it should be.
Is Kraken a safe platform? Jesse Powell and his team have learned a lot from the mistakes of Mt.Gox. Kraken has never been a victim of a hack as they keep most of their currency offline. The platform also offers two-factor authentication for user accounts.
Two-factor authentication adds a second layer of protection to your account. The first is your password, and the second is a code generated using apps like Google Authenticator.
Kraken Review: Trading Platform
Kraken doesn't have the smoothest trading platform in the industry. Errors have occurred in the past.
Kraken has a basic platform where you can trade cryptocurrencies directly and a more advanced one for active traders.
To quickly buy or sell a currency pair, the main platform is more than enough. Just click on the "trade" tab to bring up the trading window. You can choose between the deferred order (limit) or the market order (market).
The trading platform has multiple tools. It allows you to perform technical analysis on the currency pairs of your choice. You can take advantage of a chart on which you can add technical indicators or even draw patterns.
Accounts of Kraken
To start trading with Kraken you need to open an account. Creating a Kraken account is a simple process, which will only take a few minutes of your time! This Kraken review shows a step-by-step guide on how to open an account:
- After logging in to the official website, you will need to click on " Register " and then on " Create an account ", which is located at the top right.
- Then you will have to follow the steps indicated by Kraken , filling in the required data and immediately you will have to verify your identity.
- You will then be asked to upload a valid ID and take a selfie with your ID .
- A confirmation link will be sent to the email address used for the creation, in order to certify the mailbox.
- When you have completed the above steps, you can continue entering your bank account details and make a first deposit.
- Once the funds have arrived in your new Kraken account, you can start trading by selecting " New Order ". From this screen you can buy cryptocurrencies by choosing a payment method and confirming this transaction.
Once you have opened your account on this platform and depending on the chosen account level, you will be able to trade and withdraw different amounts of cryptocurrencies. Remember that if you choose to trade larger amounts of coins, you must provide additional account verification elements, such as a passport and copies of paid utilities, to prove residency.
On Kraken, you can trade the following cryptocurrencies:
- Bitcoin (XBT)
- Ether (ETH)
- Bitcoin Cash (BCH)
- Monero (XMR)
- Dash (DASH)
- Litecoin (LTC)
- Ripple (XRP)
- Lumens (XLM)
- Ether Classic (ETC)
- Augur (REP)
- Iconomi (ICN)
- Melon (MLN)
- Zcash (ZEC)
- Dogecoin (XDG)
- Tether (USDT)
- Gnosis (GNO)
- EOS (EOS)
Note that the Bitcoin symbol on Kraken's main platform is XBT, not BTC. This can be confusing for cryptocurrency enthusiasts who want to buy Bitcoin. Bitcoin's ISO code is actually XBT. Although not widely adopted, this notation is recommended.
More importantly, Kraken allows users to trade not only cryptocurrencies, but fiat currencies as well.
Fiat currency refers to any currency that is supported by the government. This kind of currency is the official currency of the country. Examples of fiat currencies include US dollars, Chinese yuan, British Pound, and so on.
The Kraken Exchange allows users to trade in the following fiat currencies :
- US dollars (USD)
- Japanese yen (JPY)
- Canadian dollars (CAD)
- Pounds Sterling (GBP)
- Euro (EUR)
- Australian dollars (AUD)
- Swiss francs (CHF)
Margin trading allows Kraken users to amplify the possible profits from the swings of a volatile market such as cryptocurrency. This service allows you to execute more complex online trading strategies and to use operational tools such as leverage .
In this specific case, margin transactions require collateral capital to guarantee exposure to the market plus the leverage multiplier. This capital pledged to guarantee the position will be frozen for the duration of the transaction and it will not be possible to use it for further investments.
As for CFD trading, even in Kraken's margin trading mode, it will be possible to enter " long " and " short " positions on the selected asset, or invest in the change in the price of the underlying over time, whether it increases (long), or decreases (short). Not all currency pairs present in Kraken are available for trading on margin.
Fees and Commissions
Another fundamental topic to be included in what is a complete Kraken review is that relating to the trading costs and commissions applicable to operations. This crypto exchange is often considered not very advantageous from this point of view, especially when compared with the operating costs of the best cryptocurrency brokers, which are significantly lower.
In the specific case of the Kraken platform, this platform has set its own commission plan based on the investment volumes: the greater the trading activity, the lower the commissions paid.
For example, if a trader places a backorder with a volume greater than $10 million, they pay no commission.
There are 2 types of orders: market orders and deferred orders. When you use market orders, you are told that you are a "buyer" because you decrease the liquidity of the market. On the other hand, when you place a deferred order you are a "maker". In Kraken, producer orders have fewer commissions than customer orders. On the platform, Maker orders cost ranging from 0.16% to 0%, while those for taker orders vary from 0.26% to 0.1%.
In summary, this method of commission is structured to incentivize all investors who will receive "premium discounts" based on the volume of their trades.
The transparency and clarity with which information relating to costs and commissions are transmitted by the exchange to users and possible new subscribers is certainly appreciated. In this way it is possible to undertake investments in cryptocurrencies with greater accuracy and precision.
Deposit And Withdrawal Fees
Kraken's commissions are competitive and profitable.
As a medium or short term trader, you should pay attention to the different fees of your trading platform, as these can affect your trading performance. There are two types of fees: those related to trading and those assigned to non-trading transactions such as deposits and withdrawals.
Kraken does not currently accept credit card deposits. Likewise, it is not possible to buy cryptocurrencies from online wallets such as PayPal. We only accept bank transfers.
For deposits and withdrawals in US dollars, the fee is $5 if your bank is located in the United States. If you use a bank outside the US, the deposit fee is $10, while withdrawals will cost you $60!
As for payments in euros in the “ Single Euro Payments Area ” (SEPA), there are no deposit fees and withdrawals are only charged at €1. Outside Europe, deposits have a €5 fee.
Canadian dollar transfers are free if you use a Canadian bank and 0.25% withdrawal fees.
Transferring your cryptocurrencies to Kraken is free. However, withdrawing the most popular virtual currencies carries fees
Kraken does its best to accommodate customer requests. However, the level of customer support is only satisfactory compared to its competitors who offer more means of communication for their customers.
You can contact chat support from the Kraken website or your dashboard. This chat is available 24 hours a day, 7 days a week. In the event that your request cannot be managed by a simple chat, the platform has also set up a ticket support system from which you can exchange with the assistance of Kraken.
Kraken is also active on social networks, in particular on Twitter. Do not hesitate to ask your questions from Tweeting, you are likely to get an answer promptly.
Kraken Review: Regulation
Is Kraken scam or reliable? This crypto exchange complies with legal and regulatory requirements in all jurisdictions where we operate. Kraken is regulated by FinCEN. Kraken client funds are held directly by clients in their own bank accounts at our partner banks, which are heavily regulated. Kraken Bank is regulated by the Wyoming division of banking.
Kraken is registered as a Money Services Business (MSB) with:
- FinCEN in USA — registration number 31000176593851.
- FINTRAC in Canada — registration number M19343731.
In Australia, Kraken (as the entity "Bit Trade Pty Limited") is registered as a Digital Currency Exchange and regulated by the Australian Transaction Reports and Analysis Centre (AUSTRAC)
- ABN: 42 163 237 634
- ACN: 163 237 634
Payward Asia, K.K. is registered as a Crypto Asset Exchange Operator with the FSA in Japan. Registration Number: Director-General of Kanto Local Finance Bureau No. 00022.
You have read our Kraken review and already know that Kraken is a very interesting platform for those who want to invest in cryptocurrencies through an exchange, and we can only formulate strongly positive Kraken opinions and comments .
Based on what we have summarized in this Kraken broker review, we can therefore clearly state that we believe Kraken one of the best exchanges in circulation. Above all, Kraken is one of the exchanges that is most attentive to the changing needs of its users in a sector that always reserves new surprises every day!
So if you are looking for the most recommended cryptocurrency exchange platform, you should know that Kraken is one of the best options you can find.