A trading cryptocurrency guide must provide reviews of all of the top crypto exchanges out there, so that you can find the best cryptocurrency exchange site for you. This review of KuCoin consists of four parts: general information, fees, deposit methods and security.
KuCoin is a cryptocurrency exchange based in Hong Kong. There are loads of coin exchanges from Hong Kong. Hong Kong is in a way the Mecca of cryptocurrency trading. A non-exhaustive list of competitors to this exchange on its home turf is Binance and Bit-Z.
US-investors are not listed as prohibited from trading. If you are a US-investor, however, you should still always analyse yourself whether your home state imposes any obstacles for your foreign cryptocurrency trading.
The exchange has one of the world’s most impressive trading pair selections, with more than 430 trading pairs.
Furthermore, the exchange claims to have the most advanced API on the market. The following picture shows a few of the other advantages that KuCoin claims to have:
It should also be noted that the exchange has so called KuCoin Shares (KCS), i.e., its own cryptocurrency. If you are a holder of KuCoin Shares, you can receive cryptocurrency dividends on a daily basis. You can also receive trading discounts and even lower withdrawal fees than otherwise. The exchange also states that KCS-holders receive exclusive promotions, offers and rewards from the exchange.
KuCoin Trading View
Different exchanges have different trading views. And there is no “this overview is the best”-view. You should yourself determine which trading view that suits you the best. What the views normally have in common is that they all show the order book or at least part of the order book, a price chart of the chosen cryptocurrency and order history. They normally also have buy and sell-boxes. Before you choose an exchange, try to have a look at the trading view so that you can ascertain that it feels right to you. The below is a picture of the trading view at KuCoin:
Like many other exchanges, KuCoin has an affiliate program. Something unusual (but not unheard of) with KuCoin’s affiliate program is that you not only receive a revenue share of the users you invite directly, you also receive a revenu share of the users your invitees invite. Moreover, you get a revenue shares from your invitees’ invitees’ invitees! That is, you have a 3-level affiliate system. For the users you refer directly, you get 20%. Second-level users: 12%. Third-level users: 8%. Referral bonuses are issued daily.
KuCoin Trading fees
This trading platform doesn’t charge different fees between takers and makers. Instead, the exchange has a so called “flat” fee model. They offer a flat trading fee of 0.10%, which is below the global industry average. There are different opinions around what exactly the global industry average is but we would say “around 0.25%”.
KuCoin Withdrawal fees
Many exchanges have competitive trading fees but then hit you on the way out with their withdrawal fees. Not this exchange. KuCoin charges a withdrawal fee amounting to 0.0005 BTC when you withdraw BTC. This fee is also below the industry average.
All in all, the trading fees and withdrawal fees here are strong competitive advantages against the majority of other top crypto exchanges in the market.
Previously, KuCoin only accepted deposits of cryptocurrencies and it did not accept any deposits of fiat currency. New crypto investors was accordingly restricted from trading here. However, on 4 July 2019, KuCoin finally enabled deposits of fiat currency. This was made possible through the cooperation with Simplex. This makes it possible for KuCoin-users to purchase Bitcoin, Ethereum, Litecoin and Ripple with Visa or MasterCard-credit cards. This deposit method is however not possible for countries on Sanctions lists (such as Iraq, North Korea, Syria, Afghanistan, Lybia), nor residents of any of the following six US-states: New York, Connecticut, Washington, New Mexico, Georgia and Hawaii.
Simplex charges 3.5% per trade. So if you want to buy Bitcoin for USD 10,000, Simplex will take US 350 (plus a minium flat fee of USD 10) for enabling the purchase.
Wire transfer are however still not enabled at KuCoin.
You might wonder why security is even a feature that we at Cryptowisser have examined. There are two primary reasons.
First, exchanges store a massive amounts of valuable personally identifiable information. From names to addresses, to government identification details, taxpayer identification number and a lot more. More importantly though, exchanges handle a lot of cash or cryptocurrency deposits. If the security at your exchange makes the exchange vulnerable to attacks, that means that also the cryptocurrency or fiat currency assets you hold at such exchange might be vulnerable to attacks.
Examples of successful hacks are countless. The most famous is probably the Mt.Gox-hack that left thousands of users without a penny (worth $450 million at that time and many times more today). But many other exchanges have faced similar outcomes.
To examine exchange website security, we run them in Mozilla’s Observatory-test (https://observatory.mozilla.org/). KuCoin received a C- score. This is decent, but there is also room for improvement.
The exchange reviewed above has a large number of cryptos you can trade. If a large number of cryptos is important to you in your choice of exchange, you could also check out the following exchanges: