KuCoin Review: Why Is It So Popular?

Have you been looking around for a new way to buy and sell Bitcoin and your cryptocurrencies? 

Our KuCoin review will definitely provide great information on why it may be one to consider.

Background and Company Information

KuCoin was founded by Johnny Lyu in September 2017 based in Hong Kong and over 5 million users registered in 200+ countries worldwide.  

What is KuCoin?

KuCoin is one of the most popular worldwide exchanges out there to buy, sell, and swap your cryptocurrency assets and do much more too. 

KuCoin is a rising competitor to many other platforms like Binance, Bittrex, and CoinBase. People are flocking to this platform because of its ease of use and low fees for exchanges. 

Their services also provide other opportunities to grow your cryptocurrency. For example their staking program, Pool-X, and their futures trading program, KuCoin Futures.

Pros

  • Awesome low fees for buying and selling coins
  • A One-Stop-Shop for Trading, Staking, and Leverage Trading

Cons

  • Service Issues can come up when buying certain coins
  • First Time User may get easily confused

How Does it Work?

When you sign up for an account on KuCoin, you are given 3 different accounts that are centrally managed. The accounts range from your main account, trading account, and staked account. These accounts each provide their own use to you. 

When you are looking to make swaps on their exchanges, you would primarily be using their trading account. 

When you decide that you want to withdraw your cryptocurrency, you would be using your main account to do these activities. 

Everything is easily transferrable from one account to the next. A clear exception is if you have money that is locked into a staking contract, you may experience longer wait times to transact on your coins.

Is KuCoin Safe?

To provide full transparency, we’ve seen KuCoin go through many ups and downs in its history as an exchange.  

On September 26, 2020, KuCoin shared that they suffered a major hack of an estimated 250 million of loss to users’ cryptocurrency assets. This was one of the largest hacks to ever hit an exchange in history. 

However, KuCoin’s response was extremely well thought and planned out. They contacted all the right stakeholders and underwent correct procedures to lessen the damage. They recouped over 200 million back in losses. 

This was an incredible feat showing that KuCoin wasn’t going to be hacked laying on their back. 

What does this say about them for the future? Are they more prone to get hacked again?

Once a company suffers a major hacking event, it could either end their business completely or they will come back triple times stronger than before. 

KuCoin has shown some incredible resiliency to this event and has been getting customers’ activity back to normal. 

KuCoin Features

Exchange Service

KuCoin’s exchange has a tremendous amount of coins that you can swap for. Their system is set up on allowing you to make swaps based off token pairs. You get access to pricing for the coin and historical charting for tracking a coin’s history.

So if you were looking for a Decentralized Finance coin, you would exchange your Ether for the coin.

Pool-X Service

KuCoin’s gives its users the ability to stake on their platform as well. Staking through KuCoin has the added benefit of keeping everything on their backend. 

Once the stake timeframe ends you gain extra stablecoins. Here you could decide to trade for something else. Or better yet, continue to stake the value and build your interest position.

Futures Service

KuCoin’s Future platform is a more advanced trading application. This platform has much more risk involved due to leverage and margins, but high-end traders love it.

(Please do you due diligence on this before participating, you can lose money very easily)

You can perform leveraged trades on cryptocurrency with Bitcoin and Ethereum. Whatever you are able to secure, you would receive your money back in Bitcoin and Tether.

If you are interested in using leverage to make trades, check out their beginners guide.

KuCoin Cost & Fees

Typically, every trade on KuCoin will have a fee of 0.10%. When depositing money, there will no be any fees.

However, if you purchasing a certain coin or token, there may be additional fees that are a part of that. 

For example, the network fee or gas prices may be associated with transaction costs of the purchase.

When you are looking to withdraw from KuCoin, they do not charge any fees for this event either.

KuCoin provides a tiered approach to trading fees. Depending on how much volume you are trading, you can earn extra benefits.

If you are averaging anything over 50 BTC trading volume in 30 days, then you will receive a lower fee rate due to the volume of trade.

You will find that most other exchanges will have fees tied to every part of the transaction. Whether it’s from deposit, purchase, and withdrawal, fees can be abundant. 

This is definitely a positive feature with KuCoin and helps it stand out amongst the crowd.

Alternatives 

CoinBase

Coinbase

We’d say if you’re looking for an exchange that could provide you all sorts of services, then Coinbase would be a good first start. 

What’s great about exchanges is that you aren’t segregated to only using one. But you can apply to many and trade throughout all your exchanges freely.

Bittrex

Bittrex

One of the exchanges that could pretty much match the number of coins that KuCoin has would be Bittrex.

This exchange is very easy to use and lets you make trades how you want.

What Bittrex lacks in service products, they make up for it in the tools that they give traders to make decisions on which coins they want to buy and sell.

Kraken

This exchange has proven to be very high quality and simple exchange to use as a beginner in the cryptocurrency space. 

Kraken does all that you’re looking for when it comes to exchanging functionality — and they do it well. 

Any one of these three options can serve you well as an alternative to KuCoin and they have their own features that can enhance your experience.

Check out their websites and look through their catalog and see what they can offer.

Pros and Cons

Pro

  • The best prices that you can find on any exchange
  • Tons of great services that make the platform a one-stop-shop

Cons

  • Like many exchanges, you can experience service issues when buying certain coins
  • Can get confusing the first time trying to make a buy

The Real Review: KuCoin Review

KuCoin has shown themselves to be a top tier exchange in the crypto space. They have certainly earned their popularity and admiration. 

Using KuCoin, you will find that they provide services that other exchanges don’t. This will definitely help you build more knowledge in this space.

We love using KuCoin for most of our trades. They will only get better with time especially when they face adversity as a company.

Interested in looking into KuCoin further? Check out their site below!