Kraken vs Binance: Which Exchange Is Best For You?
July 5, 2021
Kraken VS Binance - Comparing two huge crypto exchanges
Kraken vs Binance is the battle between the world’s biggest cryptocurrency exchanges. The biggest exchange in the world, Binance, is offering the lowest fees around. In the other corner is the first exchange to legally become a bank, the government’s favorite, the totally regulated, Kraken. Stick with us and you’ll get an answer to that question. Plus all the information you will ever need about both exchange platforms.
What is Kraken crypto exchange?
Kraken is a crypto-to-crypto trading platform and one of the longest-running bitcoin exchanges. Leveraging its founding as the first cryptocurrency exchange in Europe, it has grown to become one of the largest global online platforms for buying and selling cryptocurrencies. Kraken’s emphasis on security, compliance, and resiliency affords clients peace of mind when conducting business.
When was Kraken founded?
Kraken was founded in 2011, making it one of the oldest cryptocurrency exchanges.
There are no deposits or withdrawal fees associated with trading cryptocurrencies on this platform. For fiat currencies such as USD and EUR you’ll be charged $20-30 per transaction depending on your payment method (wire transfer vs SEPA). And there’s an additional fee if your deposit doesn’t pass through successfully the first time around ($15 – $25). Otherwise, trades cost 0% to takers and 0.16% to makers, compared to the 0.20% for both parties on Binance at the time of writing this article.
What is Binance crypto exchange?
Binance is a cryptocurrency trading platform that grew out of China and became one of the largest in just a year after launch, thanks to its close proximity with Asia where many cryptocurrencies originate from. Today it’s also catering to clients outside Asia as well – including those in USA and Europe – by accepting fiat withdrawals using wire transfers or SEPA. The company has been keen to build up its reputation for being reliable, fast-growing, secure, and compliant within an industry continuously riddled by hacks and scams over recent years.
Who created Binance?
Changpeng Zhao and He Yi founded the company and has led the company to its current status.
What are the fees on Binance.com?
There are no deposit or withdrawal fees on Binance.com, but there’s a 0.20% fee for trading pairs and withdrawals of both cryptocurrencies and fiat currencies like US dollars, Euros, Bitcoin (BTC), Ethereum (ETH), etc., which is one of the most competitive in comparison to other exchanges that have much higher transaction costs. You can also avoid these fees by depositing bitcoin into your account at least once per month using their bitcoin address QR code as shown below:
How does Binance work?
Binance is a crypto-to-crypto trading platform, with no fiat currencies offered. There are no withdrawal or deposit fees for cryptocurrency trades, but there’s a 0.05% fee on each side of the trade (taker and maker). For those deposits, via wire transfer, BNB coins will be charged as gas to incentivize the use of their native token instead.
Kraken vs Binance customer support
Kraken has a robust customer support team available 24/hr. Unlike Binance, Kraken doesn’t offer any live chat option but this can be considered an advantage as you’ll get the best possible response from their email support or ticketing system in most cases.
Kraken vs Binance Mobile Apps and accessibility
Binance offers a mobile app for iOS and Android, while Kraken has yet to launch its own. However, the company does have an easy-to-use website that you can access from any device or browser.
How does Binance Mobile app work?
The Binance mobile app is different than the website in a few ways. One notable difference, and one that distinguishes it from Kraken as well, is its integration of social media features such as Facebook or Twitter login. This allows you to deposit crypto funds into your account with just a login button via these networks.
You can also set up notifications that will come through on your phone when market conditions change quickly – like when BTC hits $50k for example! Plus there’s an option to create API key pairs so you don’t need to remember multiple logins; this way all you’ll have to do is approve any trade requests coming in through the app without logging into your account anywhere else.
Beginner friendliness Kraken vs Binance, which is the easiest one?
Binance is ridiculously easy to use for beginners as it offers a mobile app that’s very intuitive and you can even create API keys so all you have to do in most cases is approve any trades coming through the app without logging into your account anywhere else.
Kraken on the other hand has been around since 2011 and they’ve had plenty of time to work out their kinks! For those just getting started with cryptocurrency trading or not entirely sure what an API key does, Kraken will be more user-friendly than Binance because there isn’t as much confusion about how things work.
Kraken vs Binance Signup Process
How to signup for Kraken
Kraken has a rather straightforward sign-up process that requires you to enter your email address, password, and two-factor authentication (two-step verification). This is then followed by an account confirmation link in the form of a six-digit code which will be sent to your email. Once this is done, you’ll need to verify yourself as being human by entering CAPTCHA text from the picture shown on the screen before proceeding with registration.
How to signup for Binance
Binance has a similarly straightforward sign-up process that requires you to enter your email address, password, and two-factor authentication (two-step verification). This is then followed by an account confirmation link in the form of a six-digit code which will be sent to your email. Once this is done, you’ll need to verify yourself as being human by entering CAPTCHA text from the picture shown on the screen before proceeding with registration.
Kraken vs Binance best liquidity?
Binance has significantly better liquidity than Kraken because it offers a lot more trading pairs for every cryptocurrency listed on the site. This means that you have the potential to trade your $100 worth of ETH, BTC, or LTC into many different digital currencies and not just one as is available through Kraken. This simple advantage can make all the difference when trying to get in and out of trades quickly; while this doesn’t necessarily mean Binance will always be superior to other exchanges it’s certainly something traders should take into account before deciding where they want their funds traded from point A (Kraken) to point B (Binance).
Kraken vs Binance Which exchange has the better trading volume?
Binance will have significantly higher daily trade volumes than Kraken because as mentioned above it offers many more cryptocurrencies to crypto and fiat pairs. This means that traders who are just starting out or looking for a place with less price volatility may be better off using Binance but those looking to use leverage – which is not available on Binance – should stick with Kraken.
Kraken vs Binance margin trading
Both Kraken and Binance support margin trading, however, the leverage levels that are available on each platform differ. For example, a common way to use margin is by borrowing money in order to invest in – this means you can make more profit as your investment will grow larger quicker if everything goes well while what little cash you put upfront remains safe from any potential volatility. Binance has a leverage ratio of x0.05, meaning you can invest $100 in order to make $500 on the trade (assuming it goes well and doesn’t go against your prediction). Kraken’s margin trading is slightly more lax with ratios ranging from x0.02 all the way up to x20 – this means that if someone put down only $35 they could have profited over 500%.
Kraken vs Binance Standout features
Kraken offers a few features that really set it apart from other exchanges. One of these is the ability to place orders for trading pairs with no fees, which can be done using their ‘Market’ option and will update your balance in real-time without any issues. Additionally, Kraken also has one of the lowest order cancellation rates – meaning you won’t have to worry about canceling an order too quickly or getting charged a fee because they canceled it for you after waiting five minutes (like on Coinbase).
Another thing do notice is Krakens focus on security and privacy, as they offer a myriad of security features for both its website and trading platform. One such feature is the two-factor authentication (two-step verification) which requires all users to confirm their account after registering with an email or phone number in addition to password information while also being able to create API key pairs so you don’t need to remember multiple logins; this way all you’ll have to do is approve any trade requests coming in through the app without logging into your account anywhere else. This focus on security goes beyond just that though as Kraken offers encrypted data storage which protects user’s personal info during transmission as well as end-to-end encryption which ensures only those involved in a specific transaction will be privy to sensitive details about it
Binance’s standout feature by contrast is its large volume per day as compared to many other popular cryptocurrency exchanges like GDAX and Bitfinex; this means that there are more people buying cryptocurrencies through Binance than Kraken.
Binance mobile app is also considered a positive standout since it offers a lot of the same features as their website, which makes it perfect for traders who are always on the go and don’t want to miss out on any opportunities.
Kraken vs Binance Trust & Security
Although it’s not as easy to see through the website, Kraken offers a number of security features that might make you feel more comfortable using them. For example, they offer two-factor authentication (two-step verification) in addition to encrypted data storage and end-to-end encryption which makes your personal information much safer than on Binance; while this doesn’t mean that traders should completely avoid exchanges like Binance altogether, those who are deeply concerned about their privacy may be better off with another exchange such as Bitfinex or GDAX
Kraken vs Binance Supported Coin Count
Binance and Kraken offer a wide variety of cryptocurrencies to trade, with Binance offering over 15 more than Kraken. This can be seen as both an advantage for traders looking for the widest selection possible or just another way in which they’re not superior when compared to other cryptocurrency exchanges like GDAX or Bitfinex
Kraken vs Binance User Count
Over 200,000 active traders on their platform with over $100 million in daily volume.
More than 30 million registered users and 20 million active traders. (April 2018)
Binance vs Kraken: API
How does Kraken API work?
Binance API is public and can be accessed by anyone. Kraken’s API, on the other hand, is only available to developers with accounts and needs to be requested through a form.
What can you do with Binance API?
You can use the API for an array of different purposes, such as retrieving account information or trade history.
Why you might want Kraken
Kraken lets you buy cryptocurrencies such as bitcoin without having to verify your identity by using Tether USD tokens in lieu of real dollars — which many people find convenient when it comes to making large purchases like cars, boats, or homes because they don’t have banks where they live that allow them to open accounts online from abroad.
Why you might want Binance
Binance is a newer cryptocurrency exchange that’s currently more popular than Kraken on web and mobile app users, which means it has lower trade volumes. They also offer their own token – BNB – to incentivize users to make trades using the platform. And they have some of the lowest trading fees in this industry.
Q: What is the difference between Kraken and Coinbase?
A: Coinbase focuses on cash-based transactions whereas Kraken allows for trading of cryptocurrencies. Neither offers margin or lending services, which means that traders are limited to what they can do with their funds when using these exchanges.
Q: How does account verification work on both sites?
Kraken asks you to provide a phone number or email address in order to verify your account before making any trades while Binance simply has an option for signing up without providing this information; additionally, some additional security steps like two-factor authentication (two-step verification) must be set up on Kraken but not at all by default on Binance meaning it’s easier to get started with them.
Q: What is Kraken’s withdrawal limit? Can I increase my withdrawal limit?
A: You’ll only be allowed one ATM withdrawal per day in addition to $100k USD worth of daily transfers. The withdrawal limit can’t be increased.
Q: How many cryptocurrencies are supported by Binance?
A: Over 15 more than Kraken.
Q: What is the difference between order cancellation rates on Kraken vs Binance?
A: On Kraken, you’ll have to wait five minutes before your orders can be canceled for free while with Binance you only need to wait a minute. This doesn’t mean that traders should completely avoid exchanges like Binance altogether though; those who are deeply concerned about their privacy may be better off trading somewhere else like Bitfinex or GDAX.
Q: I want my funds traded from point A (Kraken) to point B (Binance). Can this happen automatically without any issues?
Conclusion: Which Exchange Is Best For You?
It all depends on what your main priorities are for crypto exchanges. If low transaction costs (in terms of both fiat currencies and cryptocurrencies) are your priority then stick with Binance, if you’re looking for security while still keeping an eye on price rates then Kraken would be best for you. In any case, we hope our article helped you decide which exchange is best for you!