Do you want to start buying, selling and trading cryptocurrencies, but don't know if KuCoin is the right exchange for you? Or maybe you've seen a particular cryptocurrency listed on KuCoin and now want to make sure it's safe to use?
Well, regardless of what you want to learn about KuCoin,. In this KuCoin review, I'm going to start with a brief introduction to the background of the exchange, followed by a step-by-step overview of how to make a deposit.
Then I will inform you what cryptocurrencies are supported, what is the verification process, and finally I will list all its advantages and disadvantages.
By the end of reading my guide, you will have all the information you need to decide whether KuCoin is the right exchange for you. If not, you will be able to find other recommended cryptocurrency exchanges.
Let's get to the first part of this KuCoin review - the history of the exchange!
Introduction to KuCoin exchange
KuCoin is a third-party exchange that allows buying, selling and trading a wide variety of cryptocurrencies. It was created in May 2017 by a group of experienced business professionals who previously worked on such projects as Ant Financial and iBox PAY. KuCoin is one of the newest cryptocurrency exchanges in the industry.
The founders' goal was to create a simple and secure platform that people around the world could use to trade various cryptocurrencies. In the long term, they want to become one of the 10 largest exchanges in the world and hope to achieve this goal by the end of 2022.
Since its launch, the KuCoin exchange has not experienced any significant problems and generally does not suffer from system overloads. The KuCoin platform can be accessed via a desktop computer, as well as the KuCoin app for systems Android i iOS.
In early 2018, it was reported that KuCoin has more than 1 million users. However, their average trading volume is much smaller than that of other popular exchanges, such as Binance.
While writing this KuCoin review, I also discovered that the exchange has its own cryptocurrency called KuCoin Shares (KCS)! By holding KCS coins, KuCoin users receive reduced transaction fees.
What's more, KCS coin holders also receive a 50% share of all profits from transaction fees earned by the exchange! KuCoin cryptocurrency reached a record high of over $1.8 billion in January 2018!
So, now that you know about their origins, in the next part of my KuCoin review I will discuss the types of cryptocurrencies you can buy!
What cryptocurrencies are available on KuCoin
At the time of this writing, KuCoin has more than 600 different trading pairs. An example of a trading pair is BTC/ETH, which means trading Bitcoin with Ethereum. More than 200 individual cryptocurrencies are supported, and this list is being added to all the time.
This list includes most of the popular cryptocurrencies such as Bitcoin, Ethereum, Litecoin and Bitcoin Cash, as well as less popular (but still top cryptocurrencies) such as VeChain and Luna.
KuCoin seems to be very popular among new cryptocurrencies that have completed their ICOs, which means it's a great exchange if you want to buy cryptocurrencies at the very beginning of their trading journey.
According to the founders, KuCoin aims to support more than 1,000 different cryptocurrencies by the end of 2022.
What are the fees in the KuCoin exchange
One of KuCoin's main goals is to offer investors very low fees. But how cheap are those fees?
First of all, cryptocurrency deposits are free, except for the blockchain transaction fee that you have to pay to make the transfer. Of course, this will depend on which cryptocurrency you use.
When it comes to making transactions, you will only pay 0.1% of the amount you buy. For example, if you want to buy $1,000 worth of Litecoin, you'll only pay $1! This is one of the lowest rates in the industry, which is a good reason to use KuCoin.
As for withdrawing cryptocurrencies from the exchange, the fee depends on what cryptocurrency you want to take out. All the information can be found on KuCoin's official website.
Now that you are familiar with the different cryptocurrencies accepted by KuCoin, as well as the information on KuCoin fees, the next part of my KuCoin review will look at the different payment methods, as well as any verification steps to be taken.
Payment methods and verification
KuCoin currently accepts 5 major fiat currencies, including USD, CAD, VND, IDR and CNY.
Does KuCoin accept fiat currencies? Well, unfortunately no, which means you will have to make your deposit using another cryptocurrency.
If this is your first time in the cryptocurrency industry, the easiest way to get started is to buy a popular cryptocurrency, such as Bitcoin or Ethereum in the Coinbase.
Coinbase allows you to use traditional payment methods, such as a debit card or bank account. Once this is done, you can transfer your cryptocurrencies directly to your newly created KuCoin account.
However, depositing and withdrawing funds using cryptocurrencies has an advantage. Since the exchange is not tied to a fiat currency, users do not need to identify themselves to start trading. This means you can trade anonymously.
What's more, there are no restrictions on the number of funds you can deposit and withdraw! This is a big plus, as other cryptocurrency exchanges require you to send verification documents, such as your passport and bank statement, which can take up to two weeks to verify.
To register a new account with KuCoin, you must first visit the official homepage, which you can go to here. Then click on the Register button, which is located in the upper right corner of the screen.
Next you will be presented with the rules and regulations of the exchange. Although I've already read them, it's best if you read them yourself to make sure you understand everything. Once you've done that, check the box for acceptance of the terms and conditions, and then click next.
Now you need to enter your email address and choose a very strong password.
You will then be asked to prove you are human by moving the bar from left to right! Finally, to open an account, you'll need to confirm your email address by clicking on the link that KuCoin will send you.
And that's it, you now have a KuCoin account! At this point you can deposit your cryptocurrency and start trading right away. What's more, there is no need to send any documents proving your identity!
How to buy cryptocurrencies on KuCoin
Are you also wondering how to buy on KuCoin? This is also very easy! After funding your account, click on the markets at the top of the page.
Next, you need to search for the cryptocurrency , which you want to buy. To do this, type it in the search box, which is located on the right.
KuCoin will then display a list of all trading pairs available for the cryptocurrency you want to buy. Click on the trading pair that matches the cryptocurrency you deposited!
You will now find yourself on the main trading screen. On the right side of the page, look for the buy box, which is displayed below the list of orders.
All you have to do is enter the number of counts you want to buy, click on the blue best price button, and then click on the green buy box to complete the transaction. It's that simple!
Now that you know how easy it is to open an account and how to buy on KuCoin, in the next part of my KuCoin review we will look at the investors for whom the exchange is best suited!
KuCoin Review: for whom is KuCoin the right exchange ?
After testing KuCoin for the first time, I was very pleased to find that the platform is really easy to use. As you will have noticed in my instructions above, everything from depositing to completing transactions is very simple.
The KuCoin exchange is also good for more serious traders, as it has many features for analyzing price trends - such as candlestick bars. However, the average trading volume on KuCoin is a few hundred million, much less than on larger exchanges such as Binance.
This can be a problem, as low trading volumes can sometimes mean that there is not enough liquidity. If you are only trading small amounts, this should not be a problem, but if you want to exchange very large amounts, KuCoin may not be the best exchange for you.
After all, when new cryptocurrencies are first introduced to the market, they are sometimes only listed on one particular exchange. If your chosen cryptocurrency is listed only on KuCoin, you will have no choice but to use this exchange.
Now that you know how user-friendly the platform is, in the next part of my KuCoin review I will check if the exchange is safe!
Is the KuCoin exchange safe?
Before depositing your own money, it is always a good idea to know whether it is safe or not. Of course, you need to be sure that the funds will be safe and secure.
Third-party exchanges operate on a centralized server, which means that your coins could be at risk if hacked. Do such situations happen in the cryptocurrency industry? Yes, unfortunately, all the time!
For example, at the end of 2017, it was reported that the total amount of cryptocurrencies that had been hacked in the history of cryptocurrencies was more than $15 billion. Since then, there have been several additional hacks, so the number is now even higher!
So is KuCoin secure, and if so, how? First, the site is protected by an encryption protocol that ensures the security of private account information. Moreover, while writing this KuCoin review, I discovered that there is an internal risk department that takes care of the security of users' funds.
To further protect your account, the exchange offers the option to set up Google Authenticator. If you do this, you will have to enter a code from your cell phone on the KuCoin website before you can log in and also make transactions.
I highly recommend installing this additional security feature. Simply because if someone were able to learn your password, they still wouldn't be able to access your account because they would have to have access to your mobile device.
Finally, it's also worth mentioning that while it's great that KuCoin hasn't experienced a hack, it's still a very new exchange. On the other hand, no matter which exchange you use, you should never store large amounts of money on it. It is always much safer to withdraw your cryptocurrencies back into a secure personal wallet (such as a hardware wallet).
So, now that you know if KuCoin is safe, the last part of my KuCoin review will summarize its advantages and disadvantages!
KuCoin review: Advantages and Disadvantages.
Before we get straight to the conclusion, let's look at the pros and cons of KuCoin.
✔ Very low deposit, withdrawal and transaction fees
✔ Very easy to use - ideal for beginners
✔ A wide selection of cryptocurrencies, including newly introduced cryptocurrencies
✔ Good security features
✔ No verification - anonymous trading
✔ Low trading volume - sometimes liquidity problems with smaller coins
✔ Some difficulties during busy periods
And that's the end of my KuCoin review! If you have read it from beginning to end, you should now have a good understanding of whether KuCoin is the right exchange for you.
In this review, I covered everything from KuCoin fees, supported cryptocurrencies, ease of use and payment methods. I also showed how to set up an account and how to buy on KuCoin. Finally, I discussed whether KuCoin is safe or not.
I have used KuCoin quite a few times, as it pretty much handles the cryptocurrencies I want to buy or sell! My experience has always been positive, and both deposits and withdrawals have been really fast and easy.
The views and opinions expressed here are solely those of the author and should not be taken as financial advice either. Every investment and transactional activity involves risk, so you are advised to do your own research when making any trading, investment or financial decisions.