This top crypto exchange is great for the intermediate investor with comprehensive tools, coins and products.
What Does It Offer?
KuCoin Logo There are over 500 different currencies to choose from on KuCoin. You can start trading from $1.
In addition to buying, trading and even lending cryptocurrencies, KuCoin offers the following:
- Operating margin
- futures trading
- P2P trading
- trading bot
KuCoin also provides users with various ways to earn crypto bonuses or rewards for their accounts, such as referring friends, becoming an affiliate, completing tasks, or participating in sweepstakes and sweepstakes.
How Does It Work?
Read on to discover the different ways you can buy and trade cryptocurrencies with KuCoin.
There are three ways to buy cryptocurrencies with KuCoin: Fast Trade, P2P and Third Party.
1. Fast Trade
The Quick Trade option is designed for express trading of Bitcoin, Ethereum and Tether. This feature supports more than 70 payment methods, including USD balance in your KuCoin account, linked credit or debit card, P2P transfers such as Paypal or Zelle, and third-party platforms.
The minimum payout per quick trade transaction is $5 and the maximum payout is $5,000. KuCoin automatically deducts the transaction fee (shown on your order confirmation) after ordering. If you use a card, your bank may charge you another fee for that as well.
Please note that in order to be eligible to make Quick Trade purchases with a bank card (which must provide 3D Secure), you must complete advanced verification or KYC2. Fast Trade is ideal for quick and easy purchases.
Another way to buy cryptocurrencies with KuCoin is to buy them from another user. The P2P dashboard allows users to post their USDT, BTC, ETH, KCS and USDC sales. The user selects a payment method to accept from P2P transfer apps and platforms such as Zelle, TransferWise, Paypal and AirTM, among others. They then state how many coins they are selling, the trade limit per person, and the price of the currency you specify.
While this probably isn't your primary method of making new purchases, it's a great way to save money because there are no fees for P2P transactions. Exchanges won't always be available for any type of currency, but it's worth checking to save some money.
The ultimate way to buy crypto is through a third party fiat/crypto payment channel like Simplex or Banxa. The minimum and maximum allowed purchase amounts depend on the currency you purchase. sometimes you will be able to choose your payment channel and sometimes it will be chosen for you. You can pay with a connected Visa or Mastercard, or with Apple Pay.
These actions require you to leave KuCoin and you will pay service fees to whatever payment channel you use.
There are three main ways of trading: Spot Trading, Margin Trading and Trading Bot. KuCoin also supports derivatives trading.
1. Spot Trading
Spot Trading is a quick way to buy crypto at the market price and sell it later for a profit. There are a wide variety of trading pairs available for trading on the spot. When you are ready to buy or sell, choose from the following order types:
- Limit Order – Set your buy price and quantity and the order will be filled automatically when the market price matches your limit price.
- Market order – Place an order to buy assets immediately at the current market price.
- Stop Limit Order – Set your ideal commission and order amount, then set the trigger price at which you want to buy or sell.
- Stop Market Order – Set your order amount and trigger price to automatically buy or sell at the current market price when the trigger price is reached.
KuCoin's Spot Trading portal doesn't look too different from other cryptocurrency exchanges, so it shouldn't be strange if you've done it before.
2. Margin Trading
Margin trading is much riskier than spot trading and is not something you should do until you are more comfortable with the crypto market. That said, the fact that KuCoin allows margin trading is noteworthy, as this is a more advanced trading strategy that many exchanges do not offer.
You are taking a lot more risk when you borrow money to trade on margin, but it can pay off for investors who know what they are doing. KuCoin's margin trading interface is comprehensive, to say the least. Margin trading is available for many different currencies and you can leverage up to 10x.
3. Trading Bot
If you don't feel like you have the time or knowledge to follow the market, you can let the KuCoin Trading Bot do it for you. Bots are free to create and can be used in conjunction with any other transaction you make or on their own. Choose one of the following strategies to get started:
- Spot Grid: Hedging Against Volatility
- Futures Network Long/Short for maximum profit
- Smart rebalancing. long-term diversified investments
- DCA: Regular income
- Infinity Grid. Bullish Buy Low Sell High Strategy
They are designed for spot trading except Futures Grid which is designed for short selling. Spot Grid is a very popular option and also the smartest if you are new to crypto trading.
After you create your bot and deposit your funds, the bot will run on autopilot to make trades for you. You can create a bot with low opening investments to start earning passive income.
4. Derivatives Trading
KuCoin also offers cryptocurrency derivatives if you are interested in contract trading. In a futures contract, two parties agree to buy and sell at a certain price and date in the future.
Choose from Futures Classic, Futures Lite, Futures Brawl and Leveraged Tokens. Futures Classic allows you to trade with up to 100x leverage. The default contract displayed is BTC Perpetual/USDT, but there are many USDT futures contracts to choose from, including some Metaverse coins. Futures Classic offers detailed market data and advanced trading that you may want if you have futures experience.
Futures Lite is a stripped down version of Futures Classic that is less comprehensive but easier to use. If you've never tried futures trading before, this option will probably be a lot less confusing. Finally, Futures Brawl lets you compete with other KuCoin users for a chance to win prize draws. Battle events are constantly changing and you must register to participate.
Leveraged tokens allow you to reduce your liquidation risk and potentially increase your profits, just like margin trading, but without paying margin fees. However, there is a 0.1% subscription fee and a 0.1% redemption fee and a trading fee when you make spot trades with a leveraged token. There is also a daily management fee that is included in the NAV of the tokens.
You must activate your futures account and go through the setup process to get started with derivatives.
Here is an overview of KuCoin's features and resources:
If desired, anyone can use the KuCoin API to interact with the platform as a developer and access additional features. Being an API user comes with exclusive benefits, including discounted trading rates, access to interest-free loans, and the ability to compete with other API users in SandBox trading contests to earn a USDT bonus and fee discount.
KuCoin-academy, GitHub's quantitative trading guide, is continuously updated with quantitative trading strategies. There are currently 11 to choose from.
The KuCoin blog is full of articles on almost any cryptocurrency-related topic, and the News page can help you stay up-to-date on the ever-changing world of cryptocurrencies. KuCoin Labs is the investment and research arm of KuCoin, which is still developing.
Ways to Earn
There are several ways to earn a little extra money while using KuCoin.
KuCoin affiliate program allows you to earn commission even when you are not trading. When you become an affiliate, you receive a unique referral link that you can use to invite others to use the platform. For every successful referral you make, you can earn up to 40% commission or 45% commission when you reach the second affiliate level (you move to the second level when someone you refer becomes an affiliate).
You cannot join the KuCoin referral program if you are already participating in the affiliate program and vice versa. But if you join the Referral Program, all you have to do is share your unique referral link with your friends and invite them to start trading. If they use your link to sign up, you'll earn stars that you can use to unlock prizes.
3. Rewards Hub
The KuCoin Reward Center has free crypto challenges and promotions that you can complete to earn a USDT bonus for your account.
One of the tasks is to use a business function for the first time. For example, you can earn bonuses when you start spot trading, margin trading, futures trading, leveraged trading or building a trading bot. Another challenge is “Learn to Win” where you can read a tutorial to earn a bonus.
4. KuCoin Win
Betting has begun for Lucky Raffling on KuCoin Win, a lottery-style system where you can bet some of your coins for a chance to win the jackpot. Select the lottery you want to play and select “Buy Now” to select how many lottery tickets you want to buy. This automatically brings you into the picture.
The game ends when all available lottery tickets are purchased, then a winner is randomly selected and the winnings are credited to your account.
5. Kucoin Lending
If you want to give coins to other users, KuCoin will pay you interest. They are short-term loans with high interest rates. Often, you will lend your coins to use for margin trading.
You set your priority rate and enter how many coins you are willing to give. On average, you'll earn an interest rate of 8-12% once your loan is approved, but other users won't choose yours if your rate is too high. You can set APY as high as 25%. Periods can be seven days, 14 days or 28 days. There is a different minimum loan amount for each type of currency.
6. KYC Verification
KuCoin recommends KYC verification for all eligible users. As a verification incentive, you benefit from a higher daily withdrawal limit for each stage of the verification process you decide to go through.
Key Verification or KYC1 for personal verification increases your daily P2P limit from 400 USDT to 2000 USDT. Advanced Verification or KYC2, which you can complete after your KYC1 is approved, increases your 24-hour withdrawal limit to 200 BTC and your P2P limit to 500,000 USDT.
Fees & Limits
Fees are based on the type of trade you make and how much you trade.
When you trade and exchange one currency for another or make a trade, your fee rate is determined by the level of your trade. There are 13 levels in total and you can find out which level you are in by looking at your KCS holdings, cash trade volume over the last 30 days or futures trade volume over the last 30 days. KuCoin uses a creator/taker fee structure. If you're not sure whether you ordered from the manufacturer or the insurer, you can review your order confirmation.
For example, you are eligible for trading fee level 5 if you have at least 40,000 KCS, sold at least 2,000 BTC spot in the last 30 days, or sold at least 3,000 BTC futures in the last 30 days. At this level, your fee is 0%/0.07%. Fees generally do not exceed 0.1%.
The fee for spot trading is also determined by the base currency of the exchange. So if you exchange KCS/USDT, the fee is based on KCS.
When you withdraw, the fee rates vary by cryptocurrency and market prices and are subject to change at any time. The daily withdrawal limit for unverified users is 1BTC and the P2P limit is 400 USDT. You don't pay any deposit fees.
In general, the more assets you trade or hold, the less you pay in trading fees. To further reduce your fees, you can choose to pay with KCS coins for a discounted rate of 20%.
You can start trading KuCoin for $1. There are no limits when trading between fiat and crypto, and over 50 fiat currencies are currently supported.
Who Is It For?
KuCoin offers many different types of tokens to choose from, making it a great option if you have your eye on a specific type of crypto or want to trade several different types. It is also ideal for investors who want to save on trading fees.
But the platform could be easier to navigate. Not the most beginner friendly crypto exchange out there. That said, this is a solid option for intermediate investors, as there are many ways to do more advanced trading, such as margin investing and futures. In general, we recommend it to investors who have at least a little experience in cryptocurrency trading.
How Do I Open an Account?
To get started with KuCoin, you need to create an account and follow the steps to verify your identity and agree to the terms. You must be at least 18 years old to register and start trading with KuCoin.
You can complete the KYC verification while setting up your account by selecting “KYC Verification” and submitting the required personal information at this time. Once your submission has been approved, you will receive an email from email@example.com informing you that your verification has been completed.
When you sign up, you'll need to create a unique key that you'll use to verify your transactions. You will then use this code to sync KuCoin with Google Authenticator and you should be ready to start trading.
As a new user, you may qualify for a bonus of up to 500 USDT.
Is KuCoin a Centralized Exchange?
KuCoin has both centralized and decentralized exchange features. You need to verify your account to unlock higher trading limits and the exchange makes crypto trading easy. But it recently launched a fully decentralized wallet that offers Web 3.0 support for things like NFT trading, crypto gaming, and multi-blockchain support.
How’s the Customer Service?
When it comes to customer experience, reviews are mixed, but overall not great. Customer support has a reputation for being rude and unhelpful. And many users have reported security issues and problems accessing their accounts.
Since it may be difficult for you to get the help you need from customer support, be sure to try KuCoin's community form, FAQ, and blog whenever you have any issues.
To contact technical support, you can send an email to firstname.lastname@example.org or submit a ticket through the online portal.
If your question is not related to technology, customer service representatives are available to help you 24 hours a day, 7 days a week. The response time of this channel is quite fast.
Pros & Cons
No platform is perfect. Let's talk about the main advantages and disadvantages of using KuCoin.
- Low Fees – In general, KuCoin charges low fees compared to other platforms. Many other cryptocurrency exchanges charge more than 2% transaction fees for some transactions, or around 0.50% on average, but KuCoin's trading fees are no more than 0.1%. Also, deposits are always free.
- Variety of coins and advanced trading. KuCoin also offers more trading options than many cryptocurrency exchanges, both in terms of volume of assets and different ways to trade them. Futures, margins, and peer-to-peer trading give KuCoin an edge over competitors that only offer basic trading features.
- Earning: There are also different ways to earn through this platform. There is an Affiliate Program, a Referral Program, sweepstakes and rewards. Plus, you can earn interest on peer-to-peer loans. It's not hard to get a little extra funding for your account with KuCoin.
- Educational Resources – KuCoin does a good job of filling their blog with helpful articles, whether you're just getting started with crypto investing or interested in a more advanced strategy. You just have to be willing to do a little research to find the information you're looking for in the extensive Help Center.
- Security – KuCoin uses excellent user-level encryption to protect accounts from cyber attacks, although this will always be a concern on such a large global platform. But of course, since KuCoin isn't licensed in the US, US-based users can't complete the KYC verification, and that understandably makes people nervous.
- Not licensed in the U.S.: Perhaps the biggest drawback for many users is that KuCoin is not licensed to operate in the US, which can pose a significant risk to your assets if government regulations on cryptocurrencies change and limit or restrict trading on unlicensed exchanges. And since you can't complete KYC verification if you're based in the US, you won't have access to some of the security features and higher withdrawal limits granted to verified users.
- Steeper learning curve than other platforms – The sheer number of things you can do on KuCoin, while beneficial, can be overwhelming for beginners. And it's not always easy to figure out where to go to complete the action. Some platforms like Futures Lite and Fast Buy are much simpler to use, but KuCoin could do a better job of making its more advanced features available.
KuCoin is not quite right for you. Check out these popular alternatives.
Best for beginner traders
If you are looking for a crypto exchange that is licensed to operate in the US, Coinbase may be a good fit. Coinbase is a popular exchange that offers over 100 different cryptocurrencies to buy and sell.
You can also borrow and earn as a Coinbase user. It's easy to use for beginners, and the learning portal includes tips and tutorials that will help you learn about cryptocurrencies. You can act as an individual, company or developer.
A few differences between Coinbase and KuCoin are that Coinbase charges higher fees, usually around 0.5% per transaction, and offers fewer coins to choose from.
Best For: Security
This exchange has digital asset insurance and keeps most of the funds in cold storage. Overall, it's a safe way for US customers to invest in over 100 popular cryptocurrencies and stablecoins. And with Gemini Earn, you can currently earn over 8% APY on select cryptocurrencies.
Best For: Low Trading Fees
Binance offers over 500 cryptocurrencies to buy, sell and trade at low prices, as well as over 200 altcoins, making it a good alternative to KuCoin if you want to save on fees without sacrificing variety.
Just remember that US investors should use Binance.US, which supports far fewer assets than the globally available Binance.com. It's still a great alternative to KuCoin in any case due to its low fees and array of trading tools, but be aware of potential geo-restrictions.
Bottom Line: Is It Worth It?
KuCoin may be right for you if you are looking for a platform with low fees and lots of options. This cryptocurrency exchange stands out because it offers more coins, more ways to trade and more earning opportunities than the average platform.
You might be surprised what you can do with your crypto on KuCoin, and intermediate investors will enjoy access to less common features like futures trading, margin trading, and peer-to-peer trading and lending. If you like the fact that KuCoin is not licensed in the US, consider this crypto exchange.
US investors who want more peace of mind can stick with Coinbase or Gemini. But there is no denying that KuCoin is one of the best cryptocurrency exchanges in terms of fees, trading tools and cryptocurrency selection.