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, Bit-Z, Gatecoin, BitFlip and CoinEx Market.
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 300 trading pairs.
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.
The below is a picture of KuCoin’s trading chart. It follows a format that most cryptocurrency investors are used to with the diagram in the middle, and buy/sell-boxes low far right.
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.
KuCoin does not accept any other deposit method than cryptocurrencies, so new crypto investors are restricted from trading here. If you don’t have any crypto but want to start trading here, it is not overly difficult however. The process consists of two steps:
Step 1: Purchase cryptocurrencies from another exchange.
Step 2: Deposit them at KuCoin.
You can do that, right?
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 supported cryptocurrencies. If a large number of supported cryptocurrencies is an important factor for you in your choice of cryptocurrency exchange, you could also check out the following exchanges: