Coinbase vs Kraken: The Crypto Exchange Battle
The online trading world has grown at a rapid pace, offering a vast range of cryptocurrency exchanges (read this – best exchanges for staking). The payment system of cryptocurrency is digital, removing the concept of traditional banking from the process. Using encryption for transaction verification, this digital method of payment definitely has its advantages. The wealth of platforms available varies greatly in what they can offer the user. These crypto exchanges can be centralized or decentralized. Centralized crypto exchanges are managed by a single authority while decentralized exchanges share the verification process.
If you compare Kraken vs Coinbase fee, so Kraken offers lower fees at 0.26%, Coinbase is more costly at 0.50%.
✅ Yes, coins can be easily transferred between the two platforms.
It depends on what an individual requires. They both offer apps, various payment options, and hot wallet features. While Coinbase’s fees are more expensive, making withdrawals and deposits is more convenient on the Coinbase platform.
Coinbase supports slightly more cryptocurrencies by offering 100 options, while Kraken supports 93 different cryptocurrencies on its platform.
✅ Yes, the Coinbase app is available on iOS and Android devices on the App Store and Google Play Store, respectively.
A Coinbase wallet is a cryptocurrency wallet as well as a DApp browser. The control is restricted to the user only. The private keys are not stored with a centralised exchange (e.g. Coinbase.com). Instead, they are stored on the user’s mobile device.
✅ Yes, the Kraken app is available on iOS and Android devices across the world.
Coinbase maintains 98% of assets in cold storage. Kraken keeps a slightly smaller percentage of 95% in cold storage. Both Kraken and Coinbase are involved in bug bounty programs, multi-factor authentication and additional protection when making withdrawals.
Binance is cheaper. Binance’s trading fee is at 0.10%. Kraken’s trading fee is a maximum of 0.26%.
The Coinbase Pro platform offers fees equating to a 0.50% average for each transaction.
Kraken is a better choice if you are located in the US. Binance is preferable if you are looking for more cost-effective fees and a more advanced trading structure. Coinbase should be the choice if the buying and holding of currency is a priority.
Coinbase is designed for beginner investors, while Coinbase Pro is created for expert traders. The user interfaces of the two platforms are different. The Coinbase platform is simple and easy to navigate. The Coinbase Pro platform offers additional trading features for the more experienced trader.
Coinbase vs Kraken – introduction to exchangesCoinbase is a fully regulated and licensed platform. Established in 2012, Coinbase has become a well-ranked cryptocurrency exchange in the USA. Coinbase initially offered Bitcoin as the cryptocurrency traded on their platform (read this – best place to stake Bitcoin). Eventually, additional currency options such as Litecoin, Ethereum, Bitcoin Cash, and XRP became available, broadening trading opportunities. Coinbase offers a custodial account for institutions and a wallet option for people investing in retail. Is Kraken better than Coinbase? We took a closer look to find out. Established in 2011 in the USA, Kraken is available in 185 countries and offers cryptocurrency trading at affordable prices for individual investors and institutions. Coinbase is offered in 190 countries worldwide. The Kraken and Kraken Pro platforms are designed to meet the needs of beginner investors and cryptocurrency experts. There are advanced margin and futures features. The ‘earn’ tab allows beginner investors to earn interest by depositing their cryptocurrency at any time. The Kraken platform offers a 24/7 live chat to facilitate customer support. Coinbase is available via a 24/7 messaging service. The availability of Coinbase and Kraken differ. Coinbase is only available in over 100 countries, and 185 countries have access to Kraken. Last year, margin trading with three-times leverage became an added feature for the Coinbase platform. However, this feature was disabled in late 2020. Margin trading with a maximum of five times leverage is available at Kraken. Coinbase and Kraken offer mobile compatibility. However, the USA, Japan, and five other countries are not currently given this option. Both Kraken and Coinbase are known for their satisfactory customer service in the form of live chats. The live chat features can become busy at times. Both platforms have been created with layered security. Security keys will provide a one-time passcode for users when they log in. PGP encryption protects all correspondences on the platforms. Two-factor authentication is implemented for the withdrawals and transfer processes.
Coinbase crypto exchange – main characteristicsThere are two trading platforms and a cryptocurrency wallet feature at Coinbase. This provides users with a variety of choices to trade effectively online. The Coinbase website and mobile app are straightforward to navigate. This simple process is ideal for beginners with basic computer skills or individuals who are still learning the ropes in cryptocurrency exchange. The Coinbase Earn feature offers traders the opportunity to acquire new currency. Traders can also earn interest on certain balances through this feature. The amount of Cryptocurrencies supported by Coinbase is extensive. The list is not restricted. New currencies are added to the platform regularly. Users can access the Coinbase platform via desktop or mobile, iOS and Android devices. The Coinbase platform is designed in a similar way to an online brokerage. The Coinbase homepage displays your portfolio. Buying and selling cryptocurrency is a swift procedure. Since the cryptocurrency trading markets never close, users can access the platform at any time. Users choose to use available funds in their accounts or make payments via a bank account or card. Keep in mind that additional costs may occur. This is dependent on your payment method. It may take some time for deposits to become available for users. However, your account will be credited straight away.
Kraken crypto exchange – main characteristicsKraken is a well-known cryptocurrency exchange. Users can buy and sell various cryptocurrencies at market rates. Futures trading and market accounts are also offered for the more experienced traders. It is important that investing is done mindfully as cryptocurrency exchange can be high risk. You don’t need to be an experienced trader to navigate the Kraken platform. The Kraken interface is simple, offering a high liquidity exchange. This implies that the buying and selling of cryptocurrency occurs at market rates. Cryptocurrency can be purchased with a bank account. Currencies can also be converted or sold on the platform. Kraken supports over 50 altcoins. Cardano, Bitcoin, Ethereum, Solana, Dogecoin, Stellar Lumens are popular cryptocurrencies supported on the platform. You need to create an account and log on to the platform before purchases can be made. The Kraken platform allows users to buy crypto via a connected bank account without funding their accounts first. Users can make a crypto deposit for staking. A maximum of 20% interest can be accumulated, although this figure is dependent on the chosen currency. Kraken implements two-factor authentication. This helps ensure the access to personal accounts is restricted to the user only. The 2FA feature allows you to choose different codes for logging on, trades, and withdrawals. An additional locking feature allows users to lock their accounts for security purposes. Cryptocurrency transactions are irreversible. Even though security measures are implemented, account hacking does occur at times. Always ensure your account login details are kept private. When transferring funds, always check the recipient’s address. Registration on the Kraken platform is a simple process. Your account can be active within a few minutes by supplying your contact details and Social Security number. These are standard requirements for a financial website. Your account needs to be verified. A photo ID will need to be uploaded, and a photograph of the individual physically holding the same ID photo. Providing this additional information will allow you access to all the trading features on the platform. If the account user does not provide this, the account will have limited features. Coinbase vs Kraken fees What is the difference in the Coinbase vs Kraken fees structure? Coinbase fees vs Kraken offers a high baseline fee with a maximum of 0.50%. Fees Kraken vs Coinbase transaction are much lower at 0.26%. These fees are determined by the amount an individual trades during one month. E.g., an investor using Coinbase would pay $5 for a $1000 trade. The Kraken platform would cost an investor $2.60 for a $1000 trade.
|Coinbase fees||Kraken fees|
|Bank account||1.49%||Ranging from $0 - $10|
|Debit & credit cards||3.99%||3.75% plus €0.25|
|ACH transfer||No charge||0.50% + 0.9% to 1.5%|
|Wire transfer||$25 withdraw, $10 deposit||$4 - $35 withdraw, $0- $10 deposit|
|Crypto Conversion||0.50%||Based on volume|
|Purchases||0 - 0.50%||0 - 0.26%|
|Trades||0 - 0.50%||0 - 0.26% (based on 1 month volume)|