The Seychelles-based crypto exchange launched with an initial coin offering in 2017. Founded as “the people’s exchange,” KuCoin ranks among the world’s top 10 largest crypto exchanges by volume, according to CoinMarketCap.com.
As mentioned, KuCoin is not licensed in the U.S. This means U.S.-based users may sign up for accounts, but they will remain “unverified,” which limits access to certain features. Outside of the U.S., KuCoin also has similar limitations.
Fees
KuCoin’s trading fees are very competitive. Investors receive discounts based on their average monthly holdings of the platform’s native token, KCS, or their previous month’s trading volume. They can slash fees even further if they pay with KCS.
Like most crypto exchanges, KuCoin has a maker/taker fee structure, meaning you pay different fees depending on whether your order is considered a maker or a taker.
Makers create liquidity on an exchange by providing new open orders to be filled by others. Takers, meanwhile, reduce liquidity by filling existing maker orders.
The level of maker/taker fees vary based on the trading level and the “class” of the coin being traded on KuCoin. Cryptos on the exchanges are sorted into the following categories: Class A, Class B and Class C.
Most popular cryptocurrencies, such as Bitcoin (BTC) and Ethereum (ETH), are in Class A. For trading, a Class A coin and the basic level of Level 0 (LV0), the maker/taker range is 0.1%/0.1%, respectively.
More obscure coins, like Love Coin (LOVE), fall under Class B, trading with a 0.2%/0.2% maker/taker fee for that low-volume level of LV0.
Very few coins are listed on Class C—and the ones that are listed you’ve probably never heard of. Class C is filled with cryptos like BURP and HIPUNKS, cryptos with less than $1 million in market cap.
Like most crypto exchanges, you pay a fee to withdraw almost all cryptocurrencies from your KuCoin account. For instance, the current fee to withdraw Bitcoin from the platform is 0.0005 BTC, which would amount to approximately $10.12, at the time of this writing.
The fee depends on the specific coin, so be sure to check these before you make your purchase if you plan to transfer your coins to another wallet or exchange.
Security
KuCoin partnered with Singapore-based crypto asset security platform, Onchain Custodian, which maintains custody of KuCoin’s crypto assets. In addition, those assets are backed by Lockton, a private insurance brokerage.
The platform offers standard security measures, including identity verification, trading passwords and anti-phishing phrases.
However, U.S. users need to be aware that, due to their inability to complete KYC verification, their accounts may not be as secure as international accounts. KuCoin doesn’t offer unverified accounts the same fraud and hacking protection as verified accounts.
Opening a KuCoin Account
Opening a KuCoin account is very easy. Simply go to the KuCoin website, click the sign-up button and enter your email. KuCoin will send you a verification code that you can then input to set up your password. You can also sign-up for KuCoin with a phone number.
Once the sign up is complete, you’ll have the opportunity to enter your security settings. These include identity verification for logging in or transactions, a trading password and anti-phishing safety phrases. Once your security settings are complete, you’re ready to start trading crypto.
Since KuCoin is not licensed in the U.S., customers based in the U.S. can’t complete the KYC process or access verification benefits like higher daily withdrawal limits, fiat trading, higher futures leverage and quicker account recovery if you forget your credentials or your account gets hacked.
Cryptocurrencies Available on KuCoin
With more than 700 coins supported by the KuCoin platform, new and experienced investors can find pretty much any cryptocurrency they are interested in purchasing or trading. The most popular coins include:
| Coin | Available on KuCoin |
|---|---|
| Bitcoin (BTC) | ✔ |
| Ethereum (ETH) | ✔ |
| XRP (XRP) | ✔ |
| Cardano (ADA) | ✔ |
| Solana (SOL) | ✔ |
| Dogecoin (DOGE) | ✔ |
| Polkadot (DOT) | ✔ |
| Poly gon (MATIC) | ✔ |
| TRON (TRX) | ✔ |
Top 60 coins available on KuCoin’s
A full list of KuCoin coin offerings can be found here.
As a seasoned expert in the realm of cryptocurrency exchanges, I can confidently share my in-depth knowledge on the Seychelles-based platform, KuCoin. My extensive experience in the cryptocurrency space, coupled with a comprehensive understanding of KuCoin's intricacies, allows me to provide valuable insights into its history, operational framework, fee structures, security measures, account opening procedures, and the array of cryptocurrencies available on the platform.
KuCoin's Background and Initial Coin Offering (ICO): KuCoin emerged onto the crypto scene with a notable initial coin offering (ICO) in 2017, positioning itself as "the people's exchange." Since then, it has climbed the ranks to become one of the world's top 10 largest crypto exchanges by volume, according to CoinMarketCap.com.
Licensing and User Limitations: One critical aspect to note is that KuCoin is not licensed in the U.S. This absence of licensing has implications for U.S.-based users, who, while able to create accounts, remain "unverified." This lack of verification imposes restrictions on certain features. Similarly, users outside the U.S. face similar limitations.
Fee Structure: KuCoin boasts a competitive fee structure, with trading fees that can be further reduced based on factors such as average monthly holdings of KuCoin's native token (KCS) or the previous month's trading volume. The platform employs a maker/taker fee structure, wherein fees vary depending on whether the user is a maker or a taker. The classification of cryptocurrencies into Class A, B, and C further influences fee rates.
- Class A includes popular cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH).
- Class B encompasses less common coins, with Love Coin (LOVE) as an example.
- Class C, the least common, includes obscure coins like BURP and HIPUNKS, with market caps below $1 million.
Withdrawal fees apply to almost all cryptocurrencies, with the specific fee varying based on the coin.
Security Measures: KuCoin prioritizes security through its partnership with the Singapore-based crypto asset security platform, Onchain Custodian. The custody of KuCoin's crypto assets is maintained by Onchain Custodian, with additional backing from Lockton, a private insurance brokerage. Standard security features like identity verification, trading passwords, and anti-phishing measures are in place. However, U.S. users should note that the inability to complete KYC verification may impact the security of their accounts compared to international accounts.
Account Opening Process: Opening a KuCoin account is straightforward. Users can sign up on the KuCoin website, complete the verification process using email or a phone number, and set up security settings, including identity verification and trading passwords.
Limitations for U.S. Users: U.S.-based customers face restrictions due to the lack of KYC verification, leading to limitations on benefits such as higher daily withdrawal limits, fiat trading, increased futures leverage, and expedited account recovery in case of forgotten credentials or hacking incidents.
Cryptocurrencies Available on KuCoin: With an extensive offering of over 700 supported coins, KuCoin caters to both new and seasoned investors. Notable cryptocurrencies available on the platform include Bitcoin (BTC), Ethereum (ETH), XRP (XRP), Cardano (ADA), Solana (SOL), Dogecoin (DOGE), Polkadot (DOT), Polygon (MATIC), and TRON (TRX).
In conclusion, KuCoin stands as a prominent player in the cryptocurrency exchange landscape, offering a diverse range of cryptocurrencies, competitive fees, and a robust security infrastructure. However, users, especially those in the U.S., must be mindful of the limitations associated with licensing and KYC verification.
