Account opening & deposit, withdrawal – 4.1
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Kraken Review – Overall Rating: 3.7
Before going through this review, please make sure to read the relevant disclaimer.
Kraken is a US-based cryptocurrency exchange that is smaller in scale compared to some of the industry’s largest platforms. The company is privately held and not publicly traded on any stock exchange. Founded in 2011, Kraken has built a longer operating history than many newer crypto platforms, although it remains significantly smaller than major competitors such as Coinbase.
As of mid-2021, Kraken employed around 175 staff members, served approximately 6 million clients, and recorded quarterly trading volumes of about $1.83 billion. When compared with larger exchanges like Coinbase or Binance, these figures are considerably lower in terms of workforce size, user base, and trading activity.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Why is this important? It is not easy to determine how safe a cryptocurrency exchange is. In most cases, cryptocurrency exchanges do not qualify for deposit insurance programs, so you have to be especially thorough when selecting your provider. In general, it is a good sign if
- the exchange has a sizable client base,
- it has a robust traded volume per quarter,
- it is an established company (e.g. it’s been around for several years and has many employees),
- or the company that operates the exchange is listed on a stock exchange.
While Kraken is certainly not the biggest exchange out there, it has a reasonably long track record, making it a player to be reckoned with.
Kraken overall Pros and cons
| Pros | Cons |
|---|---|
| • Low non-instant buy fees | • Extremely high instant buy fees |
| • Advanced trading platform | • Poor selection of educational materials |
| • Massive product selection | • Withdrawal fees, and high minimums |
 Country of regulation |
USA, Ireland, UK, Hungary, India, Australia, Canada, Japan, Hong Kong, Singapore |
 Trading fees class |
Low |
| Inactivity fee charged |
No |
| Withdrawal fee amount |
$0 |
| Minimum deposit |
$0 |
 Time to open an account |
1-3 days |
 Deposit with bank card |
Not available |
 Depositing with electronic wallet |
Not available |
 Number of base currencies supported |
23 |
 Demo account provided |
Yes |
 Products offered |
Stock, ETF, Forex, Fund, Bond, Options, Futures, CFD, Crypto, Warrants, Structured Products |
| Country of regulation |
USA, Ireland, UK, Hungary, India, Australia, Canada, Japan, Hong Kong, Singapore |
| Trading fees class |
Low |
| Inactivity fee charged |
No |
| Withdrawal fee amount |
$0 |
| Minimum deposit |
$0 |
| Time to open an account |
1-3 days |
| Deposit with bank card |
Not available |
| Depositing with electronic wallet |
Not available |
| Number of base currencies supported |
23 |
| Demo account provided |
Yes |
| Products offered |
Stock, ETF, Forex, Fund, Bond, Options, Futures, CFD, Crypto, Warrants, Structured Products |
Kraken review
Kraken fees – 1.3
Kraken has extremely high fees for instant purchases and SWIFT withdrawals. However, non-instant trading fees are low, and there are no deposit fees.
| Pros | Cons |
|---|---|
| • Low instant trading fees | •High fees for instant purchases |
| • No deposit fees | • High SWIFT withdrawal fees |
How we ranked fees
We ranked Binance fee levels as low, average or high based on how they compare to those of all reviewed crypto service exchanges.
First, let’s go over some basic terms related to crypto service fees. Just as with brokers, what you need to keep an eye on are trading fees and non-trading fees.
-
Trading fees occur when you trade. These are mostly commissions, but some exchanges may also charge spreads (the difference between the bid and ask price).
-
Non-trading fees include charges not directly related to trading, like deposit and withdrawal fees, inactivity fees, conversion fees and bank transfer fees, among others.
In this review, we used two different calculation methods to represent the exchange’s fee structure in a comprehensive number. This means that we replicated the two most popular ‘buy’ scenarios for cryptocurrencies, as suggested by our clients. In this review, we calculate the
-
fees of an instant purchase
-
fees of a non-instant purchase
Instant purchase means a model scenario where we bought a coin straight, for example with a credit card or other instant deposit. A non-instant purchase means a model scenario where we first deposit in a fiat currency (USD, EUR, etc.) then convert the deposit into a coin.
For both scenarios, we calculated with a $2,000 trade value, assuming 50,000 BTC/USDT as the market price, which means trading 0.04 BTC per transaction.
Kraken trading fees
Kraken trading fees are mixed. Like at most exchanges, the fee you pay depends on your traded volume. Kraken does not have “discounts” like using their own coin while trading, or special account types that come with preferential fees.
The standard trading fee of crypto assets on Kraken is 0.9% for stablecoins and 1.5% for any other crypto or FX pairs. This is called the “Kraken fee”. Apart from the “Kraken fee”, additional fees apply, depending on the type of transaction.
Kraken fees for instant purchases
Kraken has the highest instant fee among reviewed competitors. This is due to the fact that on top of the 0.9%/1.5% Kraken fee, a 3.75% + €0.25 fee is charged for credit/debit card payments.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Kraken fees for non-instant transactions
Kraken has low trading fees for non-instant purchases, only slightly above those charged by Binance.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Krraken non-trading fees
Kraken does not charge an inactivity fee or any account management fees. There are no deposit fees, and withdrawal fees only apply for certain withdrawal methods.
Kraken deposit fees and options
Kraken charges no deposit fees. SWIFT, Wire, SEPA transfers, and both BTC and ETH deposits are available. However, a credit/debit card deposit is only available for Canadians and for those who have qualified for an ‘Intermediate’ account level. To reach this, users must properly fill in their data and verify them with documents. It is quite common among crypto service providers that you have to provide additional personal data to unlock certain features.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Kraken review – Deposit & withdrawal
Kraken withdrawal fees and options
Kraken charges fees for certain withdrawal methods (see table below).
Please keep in mind that withdrawal may take up to 5 business day, depending on the chosen method.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
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Kraken review
Account opening & deposit, withdrawal – 4.1
Kraken’s services are available for most residents globally, with the option for a business account as well. However, the minimum withdrawal is high, and withdrawal is not free.
| Pros | Cons |
|---|---|
| • Global availability | •High minimum withdrawals |
| •Business account available | • Withdrawal fee |
Kraken is available for almost all residents around the world, with a handful of exceptions:
Countries where Kraken is not available
| Interactive Brokers | Interactive Brokers is a US discount broker. It is listed on a stock exchange and regulated by several authorities, including top-tier ones like the FCA and the SEC. | Visit broker |
| Alpaca Trading | Alpaca Securities LLC is US-based broker providing commission-free API stock trading. The company is regulated by the top-tier SEC and FINRA: | Visit broker |
| TradeStation Global | TradeStation Global is an introducing broker of Interactive Brokers. This practically means that assets and cash are held with Interactive Brokers, but services like fees and customer support are provided by TradeStation Global. TradeStation Global is regulated by the top-tier UK FCA. | Visit broker |
| Zacks Trade | Zacks Trade is a US discount broker that also allows international clients to open an account. Zacks Trade is a division of LBMZ Securities, which is regulated by SEC and FINRA. Customers are protected by the SIPC scheme, up to $500,000 (including a $250,000 limit for cash). | Visit broker |
| Saxo Bank | Saxo Bank is a Danish investment bank. It is regulated by several financial authorities globally, including the top-tier UK FCA. | Visit broker |
Countries where some of Kraken’s services are restricted
| Interactive Brokers | Interactive Brokers is a US discount broker. It is listed on a stock exchange and regulated by several authorities, including top-tier ones like the FCA and the SEC. | Visit broker |
| Alpaca Trading | Alpaca Securities LLC is US-based broker providing commission-free API stock trading. The company is regulated by the top-tier SEC and FINRA: | Visit broker |
| TradeStation Global | TradeStation Global is an introducing broker of Interactive Brokers. This practically means that assets and cash are held with Interactive Brokers, but services like fees and customer support are provided by TradeStation Global. TradeStation Global is regulated by the top-tier UK FCA. | Visit broker |
| Zacks Trade | Zacks Trade is a US discount broker that also allows international clients to open an account. Zacks Trade is a division of LBMZ Securities, which is regulated by SEC and FINRA. Customers are protected by the SIPC scheme, up to $500,000 (including a $250,000 limit for cash). | Visit broker |
| Saxo Bank | Saxo Bank is a Danish investment bank. It is regulated by several financial authorities globally, including the top-tier UK FCA. | Visit broker |
Minimum deposit amount
Kraken’s minimum deposit is $0; this is ideal for those who want to invest smaller amounts only.
Account types
Kraken provides only one type of account for retail investors. This is fairly common among crypto exchanges – you can only open one type of account, and if you want to unlock additional features, you either have to subscribe or pay more in fees.
Within the account, you can opt for different trading platforms, such as the regular web trading platform or Kraken Pro. However, this doesn’t mean that there is a ‘Pro’ account, as fee structures are the same. Fees depend on the traded volume, your chosen asset (stablecoin, altcoin, FX, etc) and whether you use instant purchases or not; but not on which platform you use.
In addition to the basic retail account, you can open a business account as well.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
While there’s only one type of retail account at Kraken, it comes with various service levels. If you add more personal info or upload additional veryfing documents, you’ll get access to extra features like the possibility to deposit with a credit card. Make sure to check what services you can unlock after various sign-up levels.
How to open an account
Opening an account at Kraken is fairly easy and fully digital. Verification only takes a few minutes. To access Kraken’s ‘Pro’ view, simply go to trade.kraken.com
What are the steps for account opening?
- Go to kraken.com
- Click the Sign-Up button
- Add basic info, like your email address, username, password, country of residence
- Follow the instructions to upload a proof of ID (personal ID, driver’s license, passport) and a proof of address (such as a utility bill)
- You’re done! Verification will take less than 15 minutes.
Kraken review – Account opening
Deposit and withdrawal
Deposit fees and options
You can deposit fiat currencies and digital currencies to your account. Kraken offers many payment options to send your money to the exchange. The simplest would be to use your credit card or debit card, but this is not available at Kraken as a default option, and is in any case usually the most costly deposit method.
Unlike at other exchanges, the costs of a deposit at Kraken are tied to the method of deposit, not whether it’s a fiat currency or a digital currency. Having said that, Kraken charges no deposit fees for the majority of the available deposit options (e.g. SWIFT, Wire, SEN), with only a very few deposit scenarios involving a fee.
Withdrawal fees and options
You can initiate withdrawals from your Kraken account in fiat currencies and digital currencies as well. Kraken offers several options for both. The cost of withdrawal depends on the currency you want to transfer and the method you use.
For cash withdrawals, the cost of withdrawal and the minimum amount would depend on
- the chosen fiat currency (USD, EUR, CAD, AUD, GBP, CHF, JPY)
- the chosen method (SEPA, Instant SEPA, Swift, FedWire, Bank Transfer, Osko, FPS, CHAPS, SIC)
For example, you can initiate an international USD withdrawal through SWIFT via many different intermediaries:
- SWIFT (Signature Bank) costs $4, with a minimum withdrawal amount of $100
- SWIFT (Etana Custody) costs $35, with a minimum of $150
- SWIFT (Silvergate Bank) costs $20, with a minimum of $100
For more info, see the table below, taken from Kraken’s site:
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Let’s see the same options for crypto withdrawals:
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Available fiat currencies
Kraken accepts 7 fiat currencies, listed in the table below.
Kraken fiat currencies
| Interactive Brokers | Interactive Brokers is a US discount broker. It is listed on a stock exchange and regulated by several authorities, including top-tier ones like the FCA and the SEC. | Visit broker |
| Alpaca Trading | Alpaca Securities LLC is US-based broker providing commission-free API stock trading. The company is regulated by the top-tier SEC and FINRA: | Visit broker |
| TradeStation Global | TradeStation Global is an introducing broker of Interactive Brokers. This practically means that assets and cash are held with Interactive Brokers, but services like fees and customer support are provided by TradeStation Global. TradeStation Global is regulated by the top-tier UK FCA. | Visit broker |
| Zacks Trade | Zacks Trade is a US discount broker that also allows international clients to open an account. Zacks Trade is a division of LBMZ Securities, which is regulated by SEC and FINRA. Customers are protected by the SIPC scheme, up to $500,000 (including a $250,000 limit for cash). | Visit broker |
| Saxo Bank | Saxo Bank is a Danish investment bank. It is regulated by several financial authorities globally, including the top-tier UK FCA. | Visit broker |
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Kraken review
Research & platform – 4.8
Kraken has multiple trading platforms, including a ‘Pro’ one with great charting. Nice extras include multiple order types and an order book. However, the mobile app is a bit too basic.
| Pros | Cons |
|---|---|
| •Base and Pro platform with charting tools | • Simple mobile platform |
| •Extra features like multiple order types and order book | • No order types on mobile |
Kraken has many trading platforms where you can buy and sell digital currencies. There is a simple one for beginners, designed to convert fiat to crypto or one crypto to another on the spot market quickly and easily. There are advanced platforms as well, serving the needs of more experienced crypto traders. There is also a dedicated page for futures trading, Kraken Futures.
Kraken’s trading platforms are available from your desktop via your browser or as a standalone application.
For mobile, there is a native app for both iOS and Android, which makes it easy to buy and sell crypto assets directly from your mobile device.
Web Platform
Look and feel
Kraken’s default web investment platform is user-friendly and easy to use. All the important functions are displayed in a well-organized manner.
Kraken review – Web trading platform – Base platform
The platform has all the necessary features, including a basic trade panel, a crypto price page, deposit options, your trading history, support links and account settings.
If you need more tools and functionalities, you can try the Kraken Pro platform, which also features a great charting tool, supporting terminal-like trading.
Kraken review – Web trading platform – Pro platform
Login and security
For first-time logins, you must use two-factor authentication. The platform sends you an email with a code each time you log in from a new device.
While this represents an adequate level of account protection, we believe that a message-based authentication system upon each and every login attempt would be even safer.
Placing trades
Both the basic platform and the Pro platform have the same order types available, which are the following:
- Market
- Limit
- Settle Position
- Stop Loss
- Take Profit
- Stop Loss Limit
- Take Profit Limit
Kraken review – Web trading platform – Order types
Charting tools
Kraken has 30 different charting tools available, including some well-known ones like RSI, MACD, Volume and Linear Regression, among others.
Mobile Investment Platform
Kraken is available on both iOS and Android. In this review, we tested Kraken on iOS.
Look and feel
Kraken’s mobile platform is much more minimalistic, with fewer features available. There are no real charting tools or any special order types. Its purpose is to simply send orders to the exchange.
Kraken review – Mobile trading platform
Login and security
As on the web platforms, a first-time login requires two-step email authentication. Afterwads, you can use features such as fingerprint authentication to make subsequent logins more secure.
Placing trades
Unlike on the web platform, there are no order types available on mobile (besides simple market orders).
Kraken review – Mobile trading platform – Order panel
Charting tools
Sadly, charting tools are not available on the Kraken mobile app.
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Kraken review
Customer service – 3.3
Kraken has 24/7 support via multiple channels including a great ticketing system; though live chat is sometimes replaced by a subpar virtual assistant. Also, Kraken has no forum presence.
| Pros | Cons |
|---|---|
| •24/7 availability | • Live chat occasionally unavailable |
| •Great ticketing system | • No real forum presence |
You can contact Kraken 24/7 via:
- Live chat (or virtual assistant)
- Ticketing (email system)
Kraken offers multiple channels to interact with them. The ticketing system is automated – when you type in your issue or query, it tries to list all the relevant FAQ/Support topics based on your inputs, which is really neat.
Submitting a ticket is fairly easy, and turnaround is quick; we got an answer to our question within minutes, which was quite unexpected.
There’s also a round-the-clock live chat, where we received prompts replies on most occasions. A few times during our test though (typically outside of working hours), live chat was replaced by a relatively useless Virtual Assistant, which failed to direct us to the relevant support pages. If this ever happens, try typing “I want to speak to a real person” for a chance to get in touch with a live operator.
Kraken review – Customer service
Some crypto exchanges can also be contacted via a forum (either their own forum, or a subreddit or equivalent). Sadly, that’s not the case with Kraken, which does not have any real forum presence. This is definitely an area for improvement for Kraken, as forums in the crypto world are an essential place to discuss technical and trading issues.
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Kraken review
Product selection – 2.8
Kraken has a solid selection of key cryptocurrencies, though still not nearly as big as some market leaders. It also offers derivative and margin trading, but options are not available.
| Pros | Cons |
|---|---|
| • Good selection of the most important currencies | •No options trading on coins |
| • Derivatives and margin trading | •Selection far below top players like Binance |
Available coins at Kraken
| Interactive Brokers | Interactive Brokers is a US discount broker. It is listed on a stock exchange and regulated by several authorities, including top-tier ones like the FCA and the SEC. | Visit broker |
| Alpaca Trading | Alpaca Securities LLC is US-based broker providing commission-free API stock trading. The company is regulated by the top-tier SEC and FINRA: | Visit broker |
| TradeStation Global | TradeStation Global is an introducing broker of Interactive Brokers. This practically means that assets and cash are held with Interactive Brokers, but services like fees and customer support are provided by TradeStation Global. TradeStation Global is regulated by the top-tier UK FCA. | Visit broker |
| Zacks Trade | Zacks Trade is a US discount broker that also allows international clients to open an account. Zacks Trade is a division of LBMZ Securities, which is regulated by SEC and FINRA. Customers are protected by the SIPC scheme, up to $500,000 (including a $250,000 limit for cash). | Visit broker |
| Saxo Bank | Saxo Bank is a Danish investment bank. It is regulated by several financial authorities globally, including the top-tier UK FCA. | Visit broker |
Kraken has a great selection of the most popular coins, including BTC, Dogecoin, Ethereum, BTC Cash and Sushi, among others.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Derivatives, options and futures on coins
Kraken has a separate trading platform to trade futures on coins. Head to futures.kraken.com to check out this feature. The platform even has a demo account. You can trade futures for the following currencies: XBT, ETH, LTC, BCH and XRP.
Kraken review – Product selection – Futures trading platform
Margin trading / leveraged trading available
On trade.kraken.com (Kraken’s advanced platform) you can also trade using margin. Kraken provides 5x leverage maximum, with a maximum margin level of $500,000. Margin trading is not available for all cryptos, however; only for those listed in the table below.
Kraken available crypto for margin trading
| Interactive Brokers | Interactive Brokers is a US discount broker. It is listed on a stock exchange and regulated by several authorities, including top-tier ones like the FCA and the SEC. | Visit broker |
| Alpaca Trading | Alpaca Securities LLC is US-based broker providing commission-free API stock trading. The company is regulated by the top-tier SEC and FINRA: | Visit broker |
| TradeStation Global | TradeStation Global is an introducing broker of Interactive Brokers. This practically means that assets and cash are held with Interactive Brokers, but services like fees and customer support are provided by TradeStation Global. TradeStation Global is regulated by the top-tier UK FCA. | Visit broker |
| Zacks Trade | Zacks Trade is a US discount broker that also allows international clients to open an account. Zacks Trade is a division of LBMZ Securities, which is regulated by SEC and FINRA. Customers are protected by the SIPC scheme, up to $500,000 (including a $250,000 limit for cash). | Visit broker |
| Saxo Bank | Saxo Bank is a Danish investment bank. It is regulated by several financial authorities globally, including the top-tier UK FCA. | Visit broker |
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Kraken review
Safety
Kraken is one of the longest-running crypto exchanges out there. However, it is one of the smaller exchanges too, with low trading volumes.
| Pros | Cons |
|---|---|
| •Long track record | •Smallest exchange among reviewed competitors |
| • No FDIC/SIPC insurance | |
Is Kraken regulated?
Before we dive deeper into this question, please take a moment to read our disclaimer.
Cryptocurrency exchanges do not qualify for deposit insurance programs, as they are not savings or financial institutions. Therefore no, this service is not regulated in the same sense as broker services are. Still, there are a few signposts that may help you judge the safety of crypto exchanges. Among others, it’s worth checking whether the service:
- is listed on an exchange
- has a long track record
- has significant volumes traded on its platforms
- has a big client base and workforce
- vows to guarantee FDIC/SIPC insurance on deposits
Kraken is not exchange-listed, but it does have a long track record. It has been operating since 2011, making it the service provider with the longest track record when compared with market leaders Coinbase (2012) and Binance (2017).
For more details on the company’s fundamentals, see the table below.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
Background
Kraken was founded in 2011. It is one of the oldest-running crypto exchanges. However, when it comes to all other fundamentals, especially those related to the company’s size, it still lags behind its biggest competitors.
Is Kraken secure and safe?
Kraken’s trading platforms use two-factor authentication for first-time logins to make your account more secure. Regarding safety, you should be aware that in most cases, crypto exchanges face less stringent regulations than brokers. Investor protection schemes like SIPC in the US or FSCS in the UK are not available for investors of cryptocurrency exchanges.
| Saxo Bank | Fusion Markets | CMC Markets | Interactive Brokers | Capital.com | |
|---|---|---|---|---|---|
| EURUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| GBPUSD spread | 1.3 | 0.2 | 0.9 | 0.3 | 1.3 |
| AUDUSD spread | 0.8 | 0.0 | 0.7 | 0.1 | 0.6 |
| EURCHF spread | 1.4 | 0.6 | 2.5 | 0.4 | 2.2 |
| EURGBP spread | 1.4 | 0.3 | 1.1 | 0.2 | 1.5 |
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Kraken review
Education – 2.3
Kraken provides webinars and a great blog for newcomers, and a demo account for futures trading. However, unlike its competitors, it lacks quality texts and educational videos.
| Pros | Cons |
|---|---|
| • Lengthy webinars, education section on the blog | •No quality texts |
| •Futures demo account | • No educational videos |
At Kraken, you have access to the following educational tools:
- An education section on blog.kraken.com
- Kraken’s webinars on Youtube
- Futures demo account
Sadly, Kraken’s written educational materials aren’t the best. You can find some quality articles on the blog, but they are rarely updated.
There’s also a separate YouTube channel with lengthy webinars on topics such as margin or hedging. Videos also include interviews and market insights.
On the plus side, Kraken has a unique take on education, as it has a demo account for futures trading. We think that demo accounts are the best way to learn how to trade on a platform. It would be great if there was a demo account for Kraken’s spot platforms as well.
Kraken review – Education
Kraken review – Education – Futures demo platform
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Kraken review
Extra features
Kraken’s greatest extra feature is its futures trading platform. You can also trade on margin and take part in staking. Sadly, no crypto card is available.
| Pros | Cons |
|---|---|
| • Futures trading platform | • No crypto card |
| • Staking | |
Futures trading
Kraken has a separate trading platform for futures trading called Kraken Futures. It is common among crypto exchanges to have such a dedicated place to trade cryptocurrency futures.
Staking
At Kraken, you can stake coins and fiat currencies as well, allowing you to earn staking rewards on your holdings. However, staked assets are not covered by insurance against losses and are not eligible for Federal Deposit Insurance Corporation (FDIC) or Securities Investor Protection Corporation (SIPC) protections.
Kraken is also taking various technical measures to strengthen the security of your account. You can read more about this on Kraken’s security page.
Unlike its biggest competitors, though, Kraken does not offer a crypto card. Crypto cards are basically debit cards that you can use to directly spend your crypto.
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Kraken review
Bottom line
Kraken Review – Key Facts and Considerations
Kraken is a US-based cryptocurrency exchange that operates on a significantly smaller scale compared to industry leaders. The company is privately held and not publicly traded. Although its operating history is comparable to major platforms such as Coinbase, Kraken’s overall size and market presence are considerably more limited.
Kraken employs around 175 people, serves roughly 6 million users, and reports quarterly trading volumes of approximately $1.83 billion. When compared to large exchanges like Coinbase and Binance, these figures are substantially lower in terms of workforce, customer base, and trading activity.
On the positive side, Kraken offers competitive fees for non-instant purchases, a sophisticated trading interface suited to more experienced users, and a well-rounded range of available products.
On the downside, its instant buy fees are notably high, its educational resources are relatively limited, and withdrawal methods can be restrictive and, in some cases, costly.
If you decide to use Kraken, proceed cautiously and remember that cryptocurrency exchanges generally do not operate under the same regulatory oversight as traditional financial institutions.
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Although recent performance in certain cryptocurrencies may appear attractive, digital assets remain highly speculative and volatile. Their price fluctuations can be far more extreme than those of traditional investments such as stocks, bonds, or fiat currencies. It is therefore essential that you carefully evaluate the economic risks and broader consequences before engaging in any crypto-related activity.
You should also understand that cryptocurrency exchanges are typically subject to less rigorous regulatory oversight than traditional brokers or regulated financial institutions. Investor protection programs—such as the Securities Investor Protection Corporation (SIPC) in the United States or the Financial Services Compensation Scheme (FSCS) in the United Kingdom—generally do not apply to funds held with crypto exchanges.
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