KuCoin is one of the leading crypto exchanges where you can seamlessly buy, sell and trade cryptocurrencies. Besides offering its teeming users basic trading options, Kucoin has taken things up a notch by offering traders the opportunity to trade futures, margins, and peer-to-peer. As if that’s not enough, KuCoin users can now also lend or stake their digital assets for an opportunity to earn mouthwatering rewards. Compared to other exchanges, KuCoin offers low trading fees. This has made the platform very attractive to newbies and experienced traders.
Warning: Investing in cryptocurrencies, Initial Coin Offerings (ICOs), and DeFi is super risky. Plus, the market can be extremely volatile. So before investing your hard-earned money in this industry, it’s best to consult with a professional, to get the best advice possible. Also, keep in mind that today’s guide is not a recommendation to invest in digital assets. So make sure you do your due diligence before making any investment decisions.
Pros and Cons of KuCoin
- KuCoin provides you with an opportunity to earn interest on crypto
- The platform offers a wide selection of digital assets you can trade
- They charge very low trading fees.
- Poor user review
- KuCoin isn’t currently licensed to operate in the U.S.
A brief overview of KuCoin
The KuCoin exchange kicked off operation in 2017 and has grown to be a force to reckon with in the crypto space. It is currently headquartered in Seychelles. Since making its debut, KuCoin has metamorphosed into one of the largest crypto exchanges by trading volume. The platform currently boasts of having 10 million users and is present in over 200 countries.
While users in the US can sign up for an account on KuCoin, they have access to limited features and that’s because KuCoin isn’t currently licensed to provide its services in the US. This unfortunate scenario means signing up for an account for users in the US can be a little challenging and here is what we mean. Let’s assume US regulators decide to crack down on the Exchange, it means you won’t be able to withdraw your cryptocurrencies.
Currently supported cryptocurrencies
KuCoin supports a wide variety of cryptocurrencies. For context, the platform is said to support over 600 cryptocurrencies users can buy, sell and trade. So if you’ve always wanted an exchange that lets you trade a wide variety of digital assets, you’ll certainly love what KuCoin offers. Here is a small list of cryptocurrencies currently supported by the exchange:
While KuCoin users can access the platform via their online portal, users can also explore KuCoin via their dedicated mobile app that is available on iOS and Android. And just so you know, both the desktop site and mobile app offer access to a brilliant array of features and tools.
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78% of retail investor accounts lose money trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Trading forex or CFDs on margin involves a high degree of risk and may not be suitable for all investors. There is a possibility that you may suffer a loss equal to or greater than your entire investment.
CFDs are complex instruments and involve a high risk of losing money quickly because of the leverage effect. 68% of retail investor accounts lose money trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Once users gain access to the desktop or mobile platform, they can seamlessly explore the market, lend digital assets, buy crypto and execute other functions. Let us also quickly add that KuCoin supports four order types including stop market, limit orders, market order, and stop limits. In addition to buying crypto, KuCoin also supports Margin, Futures, and Peer-to-Peer trading, which is a huge plus for certain users looking to take their trading journey to the next level.
To provide additional support for its users, KuCoin recently added staking and crypto lending to its services. These options now provide crypto owners a chance to make passive income for lending their digital assets. In addition to this, KuCoin also recently introduced a Trading Bot feature. This feature makes the trading process easier. Just to be clear, the recently launched trading bot only acts as a Robo-advisor for your digital asset portfolio.
Unfortunately, while the platform offers myriads of options, its desktop and mobile app isn’t so user-friendly. Thankfully, the platform offers a reliable help center where you can easily get answers for some of the questions you’re having.
Warning: As a beginner trader, it’s easy to get overwhelmed with the myriads of tools and features available on the platform. If you’re just getting started with cryptocurrency, we suggest you use a more user-friendly exchange, that is a lot easier to navigate
KuCoin has a unique fee model we love. To be precise, the platform has a tiered maker/taker fee model. What this simply means is that the platform charges between 0.0125% to 0.1%, depending on your tier levels. Compared to other platforms where users pay nearly 0.50% fees per trade, you’ll agree that KuCoin charges relatively low fees.
Also, depending on how many KuCoin tokens you have in your wallet, you can get mouthwatering discounts on trading fees.
Besides charging users’ trading fees, the platform also charges withdrawal fees. These fees vary according to assets and are subject to change based on market performance. The exciting part, however, is that deposits are free. That said, keep in mind that the exchange has limited options for fiat deposits.
Despite offering KYC verification along with other sophisticated industry-standard security features, KuCoin was subject to a major hack in 2020, which saw the attackers make way with over $280 million in cryptocurrency. Good enough, the assets were insured, so owners were compensated. That said, a security breach of this magnitude calls for concern.
In addition to its robust security measures including offering multi-factor authentication and encryption, KuCoin also offers a different password for trading. Keep in mind that this password is different from the regular login information you use to access the platform. The additional password offered by KuCoin is for executing trades and withdrawals. Given their past security issues, KuCoin towed this path to add an extra layer of security to users’ accounts.
Opening an account on KuCoin
Opening a KuCoin account is super easy. Plus, the process only takes a few minutes. To open a new KuCoin account, simply navigate to the homepage of the platform and click the “Sign Up” button, located in the upper right-hand corner of the page. Once the form opens, you’ll be required to provide your phone number, email address, verification code, and password. Once your account is activated, you’re ready to start trading.
KuCoin has a KYC verification process. Opting for KuCoin’s KYC verification comes with lots of exciting perks. With a KYC verified account, you’ll get access to higher daily withdrawal limits as well as other exciting features. And just so you know, KuCoin offers both basic and advanced KYC verification options.
To complete the basic verification process, you only need to log into your account, navigate to the KYC verification section under your avatar, and provide some basic personal information. For the advanced KYC process, you’ll need to provide supplementary documents such as a government-issued ID, a selfie, or a photo. With the advanced KYC process complete, you’ll enjoy access to other trading features and benefits.
KuCoin customer services
KuCoin has very responsive customer support. And yes, they have multiple customer support options you can leverage. Unfortunately, you can’t directly contact their customer support via email or phone. The only option available to users is live chat support. Using this option, you can get answers to basic questions or submit a request for assistance, especially for more complicated issues.
In addition to this, KuCoin also has a support page. The support page has proven quite useful for users who need help navigating the platform and all of the features it offers.
KuCoin gets poor customer ratings. A close look at the average ratings across Trustpilot reviews shows that the exchange scores a poor 1.7 out of 5 stars. Many of the negative reviews are largely centered on the platform’s poor customer support. Also, there are lots of complaints about its slow withdrawal process and deposits.
There are several accusations about market manipulations, with several traders reporting their assets missing from their accounts. This is especially concerning for newbies looking to get started with crypto investment.
But despite the negative feedback, some users have said a lot of nice things about KuCoin’s low fees and wide selection of digital assets.
Thanks to the sleek design of the platform, users can seamlessly access their accounts via desktop, iOS and Android devices. And the best part is that the platform is available free of charge. Once you register for an account, you can simply log in to your account to buy, sell and trade cryptocurrencies you have your eyes on. If you have any questions about your account or encounter any issues, you can simply contact KuCoin via their live chat support page to register your complaints.
KuCoin and other cryptocurrency exchanges
Compared to other crypto exchanges, KuCoin offers an incredible selection of cryptocurrencies. That coupled with relatively low fees has made the platform attractive to users. Additionally, the platform supports Margin, Futures and P2P trading. These options appeal to more experienced traders looking to scale their crypto investments.
That said, there are some not-so-cool aspects of KuCoin you should know. For instance, the exchange isn’t licensed in the U.S. And yes, it was a victim of a major hack in 2020. For people interested in buying or trading cryptocurrencies, here is how KuCoin compares to top exchanges like Coinbase.
KuCoin vs Coinbase
Both of these crypto exchanges rank among the top crypto exchanges in the world by trading volume. Nevertheless, there are some significant differences between these two platforms. Here, check out some of them.
- While KuCoin isn’t currently licensed to operate in the U.S, Coinbase is licensed in the U.S. and provides its services primarily to US users.
- Although KuCoin currently supports over 600 digital assets, Coinbase only supports 150+ assets.
- In terms of trading fees, Coinbase charges higher fees than KuCoin.
- While Coinbase users can reach out to support via phone call, KuCoin doesn’t currently support this option.
If you’re a U.S.-based user, Coinbase is your best bet, despite charging higher trading fees. On the flip side, traders outside the United States are better off with KuCoin, especially because of its large selection of digital assets and low trading fees.