Kraken vs Binance: Cryptos, Fees, KYC Compared

We continue to compare famous cryptocurrency exchanges. This time we will compare the pair Kraken vs Binance. Two popular exchanges with huge fanbase. Let's find out which exchange is more suitable for cryptocurrency trading.

Advantages and disadvantages of Kraken

About Kraken exchange

Kraken Exchange is one of the oldest, most reputable cryptocurrency trading platforms. Founded on July 28, 2011 in San Francisco, it began open beta testing as early as 2012 and opened to the public September 10th of that year. The CEO of Kraken is "Charles Hoskinson." Kraken operates within the legal boundaries of the law, complying with all KYC and AML regulations, including fiat currencies that can be deposited/withdrawn. Kraken has successfully partnered with Fidor Bank in Germany since it's launch in January 2014. Since then, Kraken has quickly become the new number one for euro trading volume.

About Binance Exchange

Binance is the largest cryptocurrency exchange and has been pioneering businesses such as NFT and staking. The exchange has rapidly gained popularity and continues to grow.

Comparative analysis of Kraken and Binance exchanges

Available features

Both crypto-exchanges focus on cryptocurrency trading. 

Kraken offers: 

Binance offers:

Available countries

Kraken and Binance exchanges are available in more than 100 countries. These exchanges do not provide trading services in sanctioned countries. 

Payment methods

You can fund your Kraken and Binance account with a bank card, PayPal or cryptocurrency.

Card Support

All types of bank cards from supported countries are available on Kraken and Binance.

Available Cryptos and Tokens

Kraken currently supports 631 trading pairs and 202 coins. 

Binance supports 357 trading pairs and 1466 coins.

Regulation

The most popular crypto exchange has changed jurisdictions several times during its existence, and there have been many rumors about it (Caymans, Malta, Singapore, Seychelles). The platform is actively recruiting regulatory staff and working towards licensing in major states.

At the moment, the legally independent Binance US platform for the US is fully legal. A list of licenses and regulators for each state is here.

Kraken is regulated by FinCEN (USA), registration number 31000176593851. In Canada, the platform is regulated by FINTRAC, registration number M19343731.

In the UK, the services are represented by CryptoFacilities Ltd, registration number 757895, regulated by the FCA. Australia - legal entity Bit Trade Pty Limited (ABN 42 163 237 634, ACN 163 237 634), regulator AUSTRAC, Australian Reporting and Analysis Centre. Japan - legal entity Payward Asia, K. K., registration number 00022, regulator The Director-General of the Kanto Local Finance Bureau.

In the UAE the financial services are provided by Payward MENA Holding Limited registered in Abu Dhabi and supervised by the Financial Services Regulatory Authority (Financial Services Authorization Number 190008).

For users from other countries the contract is concluded with Payward Trading Ltd registered in British Virgin Islands. For Kraken Futures, the data controller is Payward Pte. Ltd. or Payward Global Trading Pte. Ltd, registered in Singapore (regulator Monetary Authority of Singapore (MAS), regulatory framework Payment Services Act (PSA).

Interface

The interface of the exchanges is quite convenient and clear. Any user can immediately understand all the functions. Do not worry, if you do not understand something, you can always see the training and tips.

Verification (KYC)

Kraken makes sure that their exchange follows international standards for proving somebody's identity online. When considering joining a site, it's important to fully understand their identity verification process - Kraken goes through 6 different levels in total. Successful passage through each level allows for more options to be used.

All Binance users are required to have verification. It is possible to pass the KYC with a driver's license or passport.

Account deposit

Exchanges offer the following options for funding the account:

Comparison of Trading Fees

Kraken:

Binance:

Account security

The Kraken meets all safety requirements. The exchange offers users: secure password, 2FA, etc.

Binance offers users Two Factor Authentication (2FA), hardware key, email and phone confirmations, whitelisting for withdrawals, anti-phishing code, monitoring of devices used and account activity.

Passive earn on exchanges

Start staking crypto on Kraken in just a couple of clicks and automatically earn rewards twice a week. There's no point of unstaking your tokens at any time with no possible penalties!

Binance Earn is popular for its many investment plans and tools. It includes bicurrency investments, fixed and flexible deposits, stacking, and farming. It periodically offers new features as the crypto market evolves.

Which to choose - Kraken or Binance

Significantly lower commissions on the exchange Binance, it will help save on commission. On Binance there are more trading pairs and opportunities to trade. In all other respects the exchanges are similar

It's worth taking the time to get to know each exchange better, especially if you want to delve deeper into the cryptocurrency sphere.

Disclaimer:

Crypto trading entails a high level of risk and is not suited for all investors. You should carefully evaluate your investment objectives, degree of experience, and risk appetite before deciding to trade cryptocurrencies. You should not invest money that you cannot afford to lose because there is a chance that you will lose some or all of your initial investment.

You should be aware of all the dangers connected with cryptocurrency trading and seek counsel from a financial expert who is not affiliated with any cryptocurrency exchange. This website's opinions, news, research, analysis, pricing, and other information are offered as general market commentary and do not represent investment advice.

FAQs

Which is more secure Binance or Kraken?

Binance has a very strong security infrastructure in place. They have implemented multiple layers of security, including 2-factor authentication, a withdrawal lockdown period, and IP whitelisting. Their team is also constantly on the lookout for new security threats and they work quickly to address any vulnerabilities that are discovered.

Kraken does not have as robust of a security infrastructure in place. They do offer 2-factor authentication and withdrawal lockdown periods, but their team does not seem to be as proactive about identifying and addressing potential security threats. Additionally, Kraken has been hacked in the past, while Binance has not been hacked to date.

Is Kraken more safe than Coinbase?

In general, Kraken is widely considered to be a more secure exchange than Coinbase, due largely to its extensive security measures and compliance with regulations. However, Coinbase also has strong security features in place, so it really depends on your individual needs and preferences. If security is your top priority, then Kraken may be the better option for you. However, if ease of use is more important to you, then Coinbase may be a better fit. Ultimately, it's up to you to decide which exchange is more safe for you.

Are Kraken fees cheap?

Kraken fees are very reasonable, especially when compared to other exchanges. Their fees start at 0.26% and go down to as low as 0% depending on how much you trade. They also offer discounts for high volume traders. Overall, their fees are very competitive and they offer a good trading experience.

What is the minimum withdrawal amount for Binance?

There is no minimum withdrawal amount for Binance. You may withdraw any amount of tokens provided that you have the corresponding balance.

Conclusion

Before starting to trade, every trader faces the problem of choosing a stock exchange. There are many cryptocurrency exchanges, but it is very important to choose the right one. Mark for yourself what parameters are important to you and make the right choice.