Kraken Review 2024: Is It the Crypto Exchange for You?

what is a kraken account

Once an account is funded, it’s extremely wise to add two-factor authentication. You can create different two-factor codes for sign-in, account withdrawals, and trades. There’s also a feature to lock your account from any changes if you’re concerned that your account was breached.

Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website. Kraken is available to traders in most states in the U.S., but there are restrictions on certain activities that might be allowed in other countries. Once a company is granted a BitLicense, it is subject to ongoing regulatory oversight by the NYDFS. The NYDFS may conduct periodic examinations of BitLicensees to ensure they comply with all applicable laws and regulations.

As a result, through its Bug Bounty Program, Kraken has created and promoted coordinated vulnerability disclosure (CVD). Kraken is now better prepared to safeguard its clients in the digital currency market as a consequence of the effort. As an additional security measure, the company runs a Bug Bounty program to tap into the exhaustive knowledge and experience of the security researchers’ community. To maximize your holdings, you can stake coins and fiat that would otherwise be held in your Kraken account and not earn interest. Users can earn staking rewards on top of their assets, which can then be compounded to increase the value of your holdings. Over the counter (OTC) refers to the settlement of orders between buyers and sellers that are generally too big to be listed on the platform’s order book.

Office of Foreign Assets Control

  1. The NYDFS also conducts an extensive background check on all applicants before issuing a BitLicense.
  2. The NYDFS may conduct periodic examinations of BitLicensees to ensure they comply with all applicable laws and regulations.
  3. Kraken’s top-notch security, low trading fees and solid range of available cryptos makes it a good choice for investors who are just experimenting with crypto as well as more experienced traders.
  4. This is a negative for people who value having complete control over their investments.

When signing up, you’ll need to provide contact information, including your name, address, phone number, and Social Security number. This information is part of what’s known as know your customer (KYC) requirements in the financial industry. Your Kraken account should be safe from cybercriminals looking to drain your balances if you follow good online security practices.

Trading Fees

Exchanges were reviewed on points including security, fees, number of cryptocurrencies available, and more. We also considered if the exchange is regulated by a proper agency or entirely decentralized. Our full cryptocurrency exchange methodology, including the review process and weighted data points, is available for review.

What Is Kraken Pro?

what is a kraken account

Securities and Exchange Commission (SEC) charged Kraken with failing to register its crypto asset staking-as-a-service program as a security. Maker orders are trades that are not instantly matched against existing orders, which add liquidity to the platform. Taker fees are charged to orders that match against an outstanding order from another user on the market and require a slightly higher fee. Kraken also supports a handful of stablecoins including Tether USD, USD Coin, and Dai.

Due to its rigorous adherence to financial rules, Kraken has evolved to become one of the largest and most reputable cryptocurrency exchanges since its inception. Spot trading encompasses buying, selling, and trading between assets on the spot market. Here, the trades are settled instantly, and the assets are delivered on the spot. What is more, users can either complete market orders or limit orders to be fulfilled at a later price point. Many major exchanges such as Coinbase offer a self-custody wallet that allows investors to keep control of their keys, data and crypto.

The Instant Buy platform can make Kraken a pricey way to get into crypto, but there are no barriers to entry if you’re just beaxy review getting started. In addition to physical security measures, Kraken encrypts all of your sensitive contact information at the system and data level and regularly engages in vulnerability testing of its own system. Recently, Kraken received the CSO50 Award for its security initiatives. To get the best possible experience please use the latest version of Chrome, Firefox, Safari, or Microsoft Edge to view this website.

Although all Kraken users can participate in Instant Buy, it’s the only method that Starter accounts use. There are different fees for using Kraken’s Instant Buy option, which may appeal to beginners less experienced with maker/taker models. The BBB evaluates companies with a grade range of A+ to F, indicating that Kraken has underperformed in some aspects of its customer support services. Additional trading and asset management services are available for How to buy catecoin institutions and high-net-worth individuals. These include account management, one-on-one consultation services, over-the-counter (OTC) trading, and expert market insights.

Beginners and intermediate crypto traders can open a regular Kraken personal account to access hundreds of cryptocurrencies, including popular ones like Bitcoin, Ethereum, and Cardano. Business Insider’s personal finance team compared Kraken to the best crypto exchanges. We found its security and library of educational content to be an industry leader. Kraken is a cryptocurrency exchange, which facilitates currency exchanges and transactions. Kraken continued to grow in 2015, boosted by the launch of several new features popular with retail investors and professionals. The exchange introduced a margin trading facility and forex analytics model dark pools, allowing large orders to be placed discreetly and executed against similar-sized orders for a price advantage.