Kraken Review 2024: The Best Exchange for UK Users?
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Risk Warning
The information provided in this article is for educational and informational purposes only and does not constitute financial or investment advice. The future performance of cryptocurrencies, including the low-cap coins listed here, is inherently uncertain and subject to significant market volatility, regulatory changes, and technological developments.
Investing in cryptocurrencies carries a high level of risk, and you should only invest what you can afford to lose. Past performance of these coins does not guarantee future results. Conduct your own research (DYOR), consider seeking advice from a financial professional, and evaluate your risk tolerance before making any investment decisions.
Updated 02/12/2024
Kraken was the first Cryptocurrency exchange I ever utilised, back when purchased my first high-caps pre-covid.
Their user friendly and intuitive desktop and mobile platforms made for a great first exchange for me. I have since learned that not all exchanges are this user friendly and transparent.
My review aims to provide a clear and candid take on Kraken and some insight on what they do best. This is expressed through my eyes as a UK user.
To ensure it’s accuracy the content of this communication has been prepared by Payward Limited
- Strong Security: Protects your assets.
- User-Friendly Interface: Easy for all levels.
- Wide Crypto Variety: 200+ assets available.
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
Page Contents:
TIC Kraken Review 2024
The Investors Centre rating for Kraken is 4.3 out of 5.
Kraken is a robust and comprehensive cryptocurrency trading platform with sophisticated security, trading tools, and a wide range of cryptocurrencies available. The user experience is well-balanced between beginner-friendly interfaces and advanced features for experienced traders.
The fee structure, while competitive for active traders, is higher for casual or low-volume traders. Account funding via bank transfer minimises any credit or debit card fees. The platform is transparent, especially regarding fees and security, and the customer support is responsive. The mobile app, although functional and user-friendly, are areas where there’s room for enhancement. Overall, Kraken is a highly competent and reliable platform in the cryptocurrency exchange market.
Please click to expand the various criteria below for more in depth analysis.
Kraken’s selection of over 200 cryptocurrencies makes it one of the most diverse crypto exchanges on the market. This range includes popular choices like Bitcoin and Ethereum, catering to mainstream crypto investors, and extends to a wide array of altcoins and ERC-20 tokens, appealing to those seeking diversity in their crypto portfolios. The inclusion of niche tokens allows users to explore and invest in emerging blockchain projects and technologies.
The platform’s commitment to continuously updating its cryptocurrency offerings ensures that it stays abreast of market trends and user demands. Whether users are looking to trade in established cryptocurrencies or experiment with newer, lesser-known coins, Kraken provides a comprehensive and evolving crypto marketplace that caters to a wide spectrum of trading preferences and investment strategies.
Kraken’s reputation for security is one of its strongest aspects. The exchange employs robust security measures such as two-factor authentication (2FA) and cold storage for the majority of its assets. These measures significantly reduce the risk of unauthorized access and potential cyber threats. The platform’s security protocols are regularly updated to address evolving security challenges in the crypto landscape.
In addition to technical safeguards, Kraken’s approach to operational security includes constant monitoring and surveillance to pre-emptively identify and mitigate risks. The platform’s proactive stance on security, coupled with its transparent communication about safety measures, fosters a high level of trust among its users, making it one of the most secure cryptocurrency exchanges in operation. This is backed up my responsive customer support.
The Kraken exchange offers a user experience that strikes a balance between accessibility for beginners and depth for advanced traders. The interface is designed for ease of use, with clear navigation and straightforward functionalities that make it easy for newcomers to start trading. For those new to crypto exchanges, Kraken provides a range of educational resources, guiding them through the complexities of crypto trading.
For more experienced traders, Kraken Pro offers an array of advanced trading tools, including detailed charting, a variety of order types, and comprehensive market analysis capabilities. While these features are invaluable for sophisticated trading strategies, they can present a steep learning curve for beginners. However, the platform’s overall design and resource availability help bridge this gap, making Kraken a versatile choice for a broad range of users.
Kraken’s fee structure is known for its competitiveness, particularly beneficial for active traders. The standard trading fees on the platform are relatively low, with a 1.5% fee for stablecoin purchases and a 0.9% fee for transactions involving fiat currencies or stablecoins. This pricing structure makes Kraken an attractive option for regular trading activities.
Kraken Pro adopts a maker-taker fee model, which is even more favourable for users with high trading volumes. Fees start at 0.16% for makers and 0.26% for takers and decrease with increased trading volume over a 30-day period. This tiered fee system incentivizes frequent trading and provides cost-effective trading options for high-volume traders. Although the fee structure is advantageous, its complexity and the variety of factors affecting fees may require some time for new users to fully grasp.
The Kraken mobile app is an extension of its desktop platform, offering a wide range of functionalities in a user-friendly format. It’s designed to cater to the needs of traders who prefer managing their portfolios and executing trades on the go. The app’s interface is intuitive, making it easy to navigate and conduct transactions, which is particularly useful for users who are not always able to access the desktop version.
While the mobile app provides a comprehensive trading experience, it may lack some of the advanced features available on Kraken Pro. Despite this, the app’s efficiency, real-time data updates, and security features make it a reliable tool for mobile trading, ensuring users have continuous access to their accounts and the crypto market.
Kraken’s presence in the crypto community is solid, with active engagement across various social media platforms and forums. The crypto exchange frequently updates its community on developments, market trends, and educational content. This level of engagement demonstrates Kraken’s commitment to maintaining an open line of communication with its users and fostering a knowledgeable and informed user base.
While its community engagement is notable, there is potential for Kraken to further enhance its user interaction. More direct and interactive community support initiatives, such as live Q&A sessions, webinars, and user forums, could elevate the sense of community among users. Expanding its community outreach efforts would not only support user education but also strengthen user loyalty and engagement.
Transparency is a key aspect of Kraken’s operations, especially in terms of its fee structure and security protocols. The platform’s transparent approach in these areas has earned it a high level of trust among users. By openly communicating about fees, security measures, and compliance with regulatory standards, Kraken establishes itself as a trustworthy and reliable exchange.
The platform’s commitment to regulatory compliance further reinforces its transparency. Regular updates and clear policies regarding trading, withdrawals, and other platform activities ensure that users are well-informed. This level of openness is crucial in the cryptocurrency exchange market, where trust and clarity are essential for user confidence.
Kraken Pro is a testament to the platform’s commitment to catering to advanced crypto traders. The trading platform offers a suite of sophisticated trading tools, including extensive charting options, a variety of order types, and in-depth market analysis. These tools are crucial for users employing complex trading strategies and looking for in-depth market insights.
The trading environment on Kraken Pro is complemented by its high liquidity and range of supported cryptocurrencies. However, the complexity and depth of these tools may be overwhelming for beginners. For users looking to advance their trading skills, Kraken Pro’s trading platform provides a conducive environment with the resources necessary for developing sophisticated trading strategies.
Kraken has managed to maintain a strong foothold in the UK market, offering services that comply with local regulations. The platform supports GBP transactions and tailors its services to meet the needs of UK-based users. Kraken’s ability to adapt to regulatory changes and maintain operations in the UK is indicative of its commitment to serving a global user base.
Despite the challenges posed by the dynamic regulatory landscape, Kraken’s presence in the UK remains robust. The platform’s efforts to ensure compliance and provide a range of services have kept it accessible and relevant to UK users. However, like all platforms operating in multiple jurisdictions, Kraken must continuously navigate evolving regulations to maintain its level of service and accessibility in the UK.
Kraken Exchange Key Features
Extensive Cryptocurrency Selection: Kraken stands out for its broad range of over 200 cryptocurrencies, including major tokens like Bitcoin (BTC) and Ethereum (ETH), as well as lesser-known altcoins. This variety caters to diverse investment preferences, whether you are looking to stick with established coins or explore emerging tokens.
Trading Options : Kraken has robust instant buy and spot market features, ensuring that UK traders have access to essential trading tools.
Fiat Currency Integration: Kraken supports multiple fiat currencies, including GBP, making it convenient for UK users to deposit and withdraw funds. This support extends to USD, EUR, JPY, and more, reflecting Kraken’s global reach and its adaptability to various markets.
User-Centric Interface and Customer Support: The platform’s interface balances the needs of both beginners and advanced traders. New users can find the interface welcoming, while practised traders appreciate the advanced features. Additionally, Kraken’s customer support, available via phone and 24/7 chat, is responsive and helpful.
Commitment to Security: Kraken’s emphasis on security is evidenced by its rigorous security measures such as 2-factor authentication and regular independent audits to safeguard user assets.
Educational Resources: Recognizing the importance of informed trading, Kraken offers an array of educational materials. These resources are instrumental in helping both new and practised traders understand the market dynamics and the platform’s functionalities.
Transparent Fee Structure: Kraken adopts a clear fee policy, favouring active traders with lower fees. The detailed fee structure is designed to cater to various trading volumes and frequencies, making it transparent for users to understand their trading costs.
Efficient KYC and Transaction Processes: The platform ensures a seamless Know Your Customer (KYC) process. Additionally, the deposit and withdrawal processes for both fiat and cryptocurrencies are streamlined for efficiency, with a clear fee and processing time structure.
TIC Kraken Review Score 4.3./5
Kraken
Founded in 2011, Kraken.com is a leading cryptocurrency exchange known for its extensive cryptocurrency options, strong security, and user-friendly platform, catering to both new and experienced traders.
Pros
Cons
- Strong Security Measures: Implements two-factor authentication (2FA), cold storage, and encrypted wallets for enhanced asset protection.
- User-Friendly Interface: Intuitive design makes it easy for both beginners and experienced traders to navigate.
- Wide Range of Cryptocurrencies: Offers over 200 cryptocurrencies for trading, catering to diverse investment interests.
- Flexible Deposit Methods: Supports multiple deposit options, including bank transfers and crypto deposits for user convenience.
- Low Trading Fees: Competitive fee structure, Inc lower rates on Kraken Pro.
- Advanced Trading Tools on Kraken Pro: Incuding Stop-losses and charting options
- Higher Fees for Instant Buys: Charges higher fees for instant buy/sell transactions, which can be costly for casual users.
- Limited Features for UK Users: Due to regulatory restrictions, certain features are not available to UK users.
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
What is Kraken Exchange
Kraken.com is cryptocurrency exchange, with a history that traces back to the early days of digital currencies.
Founded in 2011 by Jesse Powell, Kraken emerged in response to the growing need for a reliable and secure platform for trading cryptocurrencies. Powell, recognizing the potential of Bitcoin and the necessity for more regulated and user-friendly crypto exchanges, established Kraken in the aftermath of the infamous Mt. Gox hack. This event underscored the importance of security in crypto exchanges, a principle that became a cornerstone of Kraken’s operations.
Over the years, Kraken has built a reputation for its robust security protocols, which have helped it earn the trust of users worldwide.
Kraken’s journey from a start-up to a leading global crypto exchange is marked by significant milestones. It was one of the first crypto exchanges to provide detailed price data to the Bloomberg Terminal, enhancing the credibility of cryptocurrencies in traditional finance.
Kraken also played a vital role in helping recover lost funds after the Mt. Gox collapse, further solidifying its position as a trustworthy and capable player in the industry.
Today, Kraken stands not only as a crypto exchange hub, but also as an influential entity in the broader digital asset and blockchain space, contributing to the development and maturation of the cryptocurrency market.
What are the Kraken Fees?
Kraken’s fee structure is designed to cater to a broad spectrum of traders, from beginners to high-volume professionals. Understanding these fees is crucial to optimize your trading strategy on the platform. The fee schedule varies between the standard Kraken platform and Kraken Pro, with distinct structures for different types of trading activities.
Kraken Standard Fees
On the standard Kraken platform, fees are applied to various services like instant buy/sell transactions. These fees are generally higher compared to Kraken Pro, reflecting the convenience and ease of use aimed at casual traders:
Instant Buy/Sell Fees: For instant buy or sell transactions using a debit or credit card, the fee can be around 3.75% + €0.25. Using an online bank transfer incurs a fee of around 0.5%. This convenience comes with a higher cost, making it essential for users to be mindful when using these features.
Spread Fees: Fees for instant buy/sell services also include a spread, which varies based on market conditions, asset type, and order size. Kraken incorporates this into the price, so users are charged the displayed fee.
Convert Small Balances: Kraken applies a 3% fee for converting small balances that are below the minimum order size using their “Convert small balances” feature.
Kraken Pro Fees
Kraken Pro offers a more competitive fee structure designed to benefit high-volume traders. It uses a maker-taker fee model, where fees are based on the user’s 30-day trading volume. Here’s a breakdown:
Maker-Taker Fee Structure: The fees decrease as your trading volume increases. At the entry-level (trading volume under $10,000 in 30 days), the maker fee is 0.25% and the taker fee is 0.40%. For traders with a 30-day volume over $10 million, fees drop to as low as 0.00% for makers and 0.10% for takers.
Per-Trade Basis: Fees are charged on a per-trade basis and calculated as a percentage of the trade’s quote currency volume.
Note: The tiered fee structure makes Kraken Pro appealing for experienced traders who actively engage in high-volume trading.
Kraken Standard vs Kraken Pro Fees Table
To make it easier to compare Kraken Standard and Kraken Pro fees, here’s a table outlining the key differences:
| Feature | Kraken Standard | Kraken Pro |
|---|---|---|
| Instant Buy/Sell Fees | 3.75% + €0.25 (card); 0.5% (bank transfer) | Not applicable |
| Maker Fee (Up to $10,000 Volume) | N/A | 0.25% |
| Taker Fee (Up to $10,000 Volume) | N/A | 0.40% |
| Maker Fee (Over $10M Volume) | N/A | 0.00% |
| Taker Fee (Over $10M Volume) | N/A | 0.10% |
| Convert Small Balances Fee | 3% | Not applicable |
| Spread Fees | Included in price | Not applicable |
This table illustrates how Kraken Standard and Kraken Pro cater to different trader needs. Standard Kraken offers simplicity and instant transactions with higher fees, while Kraken Pro offers competitive fees for active traders, rewarding high trading volumes.
By understanding these fees, traders can choose the platform that aligns best with their trading habits and optimise their strategies accordingly.
Kraken User Interface: Kraken vs Kraken Pro
The user interface (UI) of Kraken and Kraken Pro is designed to cater to different types of users, from beginners to advanced traders, each offering unique features and experiences. More on Kraken vs Kraken Pro here.
| Feature | Kraken | Kraken Pro |
|---|---|---|
| Target Audience | Beginners and casual traders | Advanced and professional traders |
| User Interface | Simple and easy to navigate | Advanced with detailed tools |
| Fees | Dynamic, higher for instant buys/sells | Lower, maker-taker fee structure |
| Trading Features | Basic buy/sell | Advanced order types |
| API Access | No | Yes |
Kraken Standard Platform:
Designed for Beginners: The standard Kraken interface is tailored towards beginners or those who prefer simplicity in their trading experience. The design is intuitive and user-friendly, making it easy for newcomers to navigate the platform.
Simplified Trading Process: It offers a straightforward approach to buying, selling, and exchanging cryptocurrencies. Users can easily view their balances, monitor market trends, and execute trades without the complexity of advanced trading tools.
Educational Resources: Kraken provides various educational resources and guides within its standard platform, helping users understand the basics of cryptocurrency and trading. This feature is particularly beneficial for those new to the crypto space.
Limited Advanced Features: While it covers the essentials, the standard platform doesn’t offer the extensive charting and analytical tools found in Kraken Pro. This limitation makes it less daunting for beginners but may not suffice for more practised traders seeking in-depth analysis.
Kraken Pro:
Advanced Trading Features: Kraken Pro is designed for practised traders and offers a sophisticated suite of tools. This includes detailed charting options, a variety of order types (like limit, stop-loss), and comprehensive market analysis tools.
Customization and Analytics: The platform allows for a high degree of customization in terms of trading dashboard setup. Users can analyse market trends with advanced charting functionalities, utilize trading indicators, and access historical data for in-depth market analysis.
Interface Complexity: The interface of Kraken Pro is more complex compared to the standard platform. It’s packed with features and tools that, while powerful, might be overwhelming for beginners. This complexity is, however, a boon for professional traders who require these advanced functionalities.
In summary, Kraken offers two distinct interfaces to meet the needs of its diverse user base. The standard Kraken platform is ideal for those new to cryptocurrency trading or who prefer a more straightforward approach. In contrast, Kraken Pro offers a more complex and feature-rich environment suited for advanced traders who need detailed analytical tools and a wider range of trading options. The choice between the two depends largely on the user’s experience level and trading needs.
Which Cryptocurrencies are Available on Kraken
Kraken’s cryptocurrency portfolio is extensive and diverse, catering to a wide array of investor interests and strategies. Here’s a more detailed look at the types of cryptocurrencies available on Kraken:
Major Cryptocurrencies: The backbone of Kraken’s offerings includes major cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP). These are popular among both seasoned and novice traders due to their established market presence and relatively stable histories.
Altcoins: In addition to the major players, Kraken provides access to a variety of altcoins. These include Cardano (ADA), with its unique proof-of-stake mechanism, and Polkadot (DOT), known for enabling cross-blockchain transfers of any type of data or asset. Solana (SOL) and Chainlink (LINK) are also part of this mix, offering innovative blockchain solutions and real-world data integration, respectively.
Niche Tokens: For those interested in the rapidly evolving landscape of niche cryptocurrencies, Kraken lists tokens like Axie Infinity (AXS), a blockchain-based trading and battling game and Moonbeam (GLMR), which simplifies the integration between the Ethereum and Polkadot blockchains.
ERC-20 Tokens: Kraken’s selection also includes a range of ERC-20 tokens, which are based on the Ethereum blockchain and represent a diverse set of assets and utilities in the crypto ecosystem.
This comprehensive range ensures that Kraken users have access to a wide spectrum of cryptocurrencies, from the most popular and widely traded to more speculative and niche options, catering to different risk appetites and investment strategies. If you want a detailed list of cryptocurrencies available then visit Kraken.com
How to Open an Account with Kraken
Opening a Kraken account is a straightforward process, designed to be user-friendly while ensuring security and compliance with regulatory standards. Here’s a step-by-step guide to setting up your Kraken account:
Visit the Kraken Website: Start by navigating to the Kraken website (kraken.com).
Sign Up: Click on the “Sign Up” button usually located at the top right corner of the homepage.
Enter Your Details: You will be prompted to enter basic personal information, such as your email address, a username, and a strong password. It’s crucial to use a unique password for added security.
Email Verification: After submitting your details, Kraken will send a verification email. Open this email and click on the provided link to verify your email address.
Account Activation: Upon email verification, you will be redirected to the Kraken website to activate your account.
Provide Additional Information: For KYC (Know Your Customer) compliance, you’ll need to provide additional information such as your full name, date of birth, country of residence, and phone number.
Identity Verification: Depending on your intended use and the account type, further identity verification may be required. This could include uploading government-issued ID documents, proof of residence, and possibly additional verification steps for higher account tiers.
- Appropriateness Assessment: Before you are able to trade, you will need to tell Kraken what type of investor you are, and provide some information about your exposure to high risk investments like cryptocurrencies. You will also need to answer a series of questions to make sure that you understand the risks associated with investing in cryptocurrencies. If you pass this assessment, you will have to wait for a 24 hour cooling-off period before you are able to start trading.
Enable Security Features: Before you start trading, it’s advisable to set up security features such as two-factor authentication (2FA) for added account protection.
Fund Your Account: Once your account is set up and verified, you can fund it using one of the supported fiat currencies or by depositing cryptocurrency.
Start Trading: With your account funded, you are now ready to start trading on Kraken.
Tips and Tricks for Getting the Most Out of Kraken.com
Leverage Educational Resources: Utilize Kraken’s extensive educational materials to enhance your understanding of cryptocurrency trading and the platform’s features.
Customize Your Trading Interface: If you’re using Kraken Pro, take time to customize the interface to suit your trading style and preferences.
Explore Advanced Trading Tools: Familiarize yourself with the advanced tools and features available on Kraken Pro to develop and execute more sophisticated trading strategies.
Stay Updated with Security Features: Regularly update your Kraken account security settings, including two-factor authentication, to protect your account.
Monitor Fee Structure: Keep an eye on the fee structure, especially if your trading volume changes, to manage transaction costs effectively.
Engage with the Community: Participate in Kraken’s community forums or social media channels to stay informed about market trends and insights from other traders.
Use Mobile App for Convenience: For trading on the go, make the most of Kraken’s mobile app while ensuring you’re aware of any limitations compared to the desktop version.
Regularly Review Account Performance: Periodically review your trading activity and account performance to refine your strategies and make adjustments as needed.
Stay Informed About Regulatory Changes: Especially for UK users, stay informed about any regulatory changes that might affect your trading activities on Kraken.
Key Takeaways:
Extensive Cryptocurrency Options: Kraken offers a wide range of over 200 cryptocurrencies, including major coins and niche tokens.
TIC Kraken Review rating: 4.35/5
Kraken Pro for Advanced Cryptocurrency Traders: Offers sophisticated tools and lower fees for crypto trading, but with a complexity that may not suit beginners.
Competitive and Structured Fee System: Designed to benefit high-volume traders, but might be costlier for casual or low-volume crypto investors.
Robust Security Protocols: Emphasizes strong security measures, including two-factor authentication and cold storage of assets.
User-Friendly with Educational Support: Balances simplicity for new traders and advanced features for experienced ones, backed by extensive educational materials.
Easy Account Setup and Crypto Purchases: Streamlined processes for opening a Kraken account and buying cryptocurrencies, with a focus on compliance and user security.
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
Frequently Asked Questions
Is kraken safe? Kraken is considered one of the safest cryptocurrency exchanges. It prioritizes security with comprehensive measures such as extensive two-factor authentication, cold storage of the majority of its assets, and continuous system monitoring to mitigate potential risks. Kraken’s security protocols are among the most rigorous in the industry, earning it a reputation for safety and reliability.
Yes, Kraken is legal in the UK. The platform operates in compliance with UK regulations and offers services to UK residents. Kraken adheres to local regulatory standards and provides GBP trading pairs, making it a compliant and accessible option for UK-based users. However, it’s always advisable to stay updated on any changes in cryptocurrency regulations in your jurisdiction.
To withdraw money from Kraken, log into your account, navigate to the ‘Funding’ tab, and select ‘Withdraw.’ Choose the currency you wish to withdraw, and then select your preferred withdrawal method (e.g., bank transfer). Enter the amount and the details of your withdrawal method (like your bank account information), and confirm the transaction. Ensure that your account is verified and that you adhere to the withdrawal limits and conditions for your account level.
The time it takes to withdraw funds from Kraken depends on the method and currency. For GBP withdrawals using SEPA, the process can take 1-5 business days, depending on the bank. Cryptocurrency withdrawals are usually processed more quickly, often within a few minutes to a few hours, depending on the network status. It’s important to note that withdrawal times can be affected by factors such as account verification level, withdrawal limits, and network congestion.
Yes, Kraken offers a mobile app that provides a wide range of trading functionalities. The app is designed to be user-friendly, allowing users to trade, manage their portfolio, and monitor market trends on the go.
You may also be interested in our Crypto vs series, OKX vs Coinbase, OKX vs MEXC, Coinbase vs MEXC. and OKX vs Kraken.
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