Kraken vs. Binance: Which Is the Best Crypto Exchange in 2023?

Kraken and Binance are heavyweights in the world of cryptocurrency exchanges, both making the top 5 largest exchanges by trading volume. They offer advanced trading options, low fees, and mobile accessibility, targeting a wide audience of crypto enthusiasts. But between Kraken vs. Binance, which one should you choose?

Our article aims to provide a detailed and unbiased comparison of Kraken and Binance to help readers make an informed decision.

Kraken vs. Binance Comparison – The Methodology

To conduct a fair and comprehensive comparison, we’ll evaluate both Kraken and Binance across key parameters. These include features, security measures, supported currencies, fee structures, and ease of use. We thoroughly examined each aspect to provide a well-rounded view of the strengths and weaknesses of each crypto exchange.

Features

Known for its robust feature set, Kraken offers a variety of trading options, including spot trading, futures trading, and margin trading. It boasts advanced charting tools, order types, and a liquid order book, making it suitable for both beginners and experienced traders. Kraken also supports staking for certain cryptocurrencies, allowing users to earn passive income.

Furthermore, Kraken unifies international and US investors on the same platform. Despite global access to a broader array of transaction types and coins, Kraken’s interface feels less constrained than Binance’s.

Noteworthy features include the Kraken Terminal, providing advanced charting specifically for Kraken markets, and a comprehensive “Learn” section offering educational content such as videos, tutorials, and podcasts.

Moreover, the platform enhances its offerings with Cryptowatch, a standalone platform with premium trading terminals with real-time data and advanced charting capabilities. This additional feature further distinguishes Kraken as a comprehensive solution for traders seeking in-depth analytical tools alongside a diverse range of transaction options.

Meanwhile, Binance is renowned for its extensive range of features. In addition to spot trading, it provides futures and options trading, staking, and a launchpad for participating in token sales. Also, its user interface is intuitive, featuring advanced trading tools, charts, and a mobile app for on-the-go trading. The platform’s versatility appeals to traders with various experience levels.

Even though Binance supports various transaction types globally, certain features like margin trading are unavailable for US users. That’s a stark difference from Kraken, where such functionalities are accessible to international and US investors.

Additionally, Binance.US lacks details on the Binance Visa Card, a rewards center for earning crypto, and the Binance Academy. Instead, The US platform primarily offers an FAQ knowledge base and cryptocurrency exchange. However, both Binance platforms provide advanced charting options similar to those on Kraken.

Kraken vs. Binance Security

Kraken and Binance employ rigorous measures to protect user assets. However, Kraken enjoys a more robust overall reputation, reinforced by its enduring presence in the market.

Security is a top priority for Kraken, which employs industry-standard measures such as two-factor authentication (2FA), cold storage for the majority of funds, and regular security audits. Moreover, Kraken has a clean security track record and has never been hacked, which instills further confidence in users.

Meanwhile, Binance offers security features like 2FA, withdrawal whitelist, and SAFU (Secure Asset Fund for Users), which acts as an insurance fund. However, the exchange suffered a security breach in 2019, with hackers stealing over $40 million worth of Bitcoin.

Despite the incident, Binance has since enhanced its security protocols, assuring users of a safer trading environment.

Supported Currencies

Kraken supports a wide array of cryptocurrencies for trading, more than 200, including major ones like Bitcoin (BTC) and Ethereum (ETH), as well as lesser-known altcoins. It provides fiat-to-crypto trading pairs, enabling users to buy digital assets directly with fiat currencies.

On the other hand, Binance boasts an extensive list of 600 supported cryptocurrencies, spanning major and minor tokens. It offers a vast selection of trading pairs, including fiat-to-crypto and crypto-to-crypto pairs. Binance’s wide range of options caters to users with diverse investment preferences.

And while both exchanges support a wide range of fiat currencies, Binance is miles ahead with 19 currencies compared to Kraken’s seven. You’ll find the US dollar (USD), Euro (EUR), British Pound (GBP), Canadian dollar (CAD), and Australian dollar (AUD) on both platforms. However, Binance.US only supports the US dollar and offers much less crypto coins than the international service.

Fees

Kraken employs a tiered fee structure, with fees decreasing as trading volumes increase. It charges maker and taker fees, which are competitive in the industry. Additionally, Kraken’s transparent fee schedule ensures users know the costs associated with their trades.

30-Day Trading Volume	Maker Fee	Trader Fee
$0 to $50,000	0.16%	0.26%
$50,001 to $100,000	0.14%	0.24%
$100,001 to $250,000	0.12%	0.22%
$250,001 to $500,000	0.10%	0.20%
$500,001 to $1,000,000	0.08%	0.18%
$1,000,001 to $2,500,000	0.06%	0.16%
$2,500,001 to $5,000,000	0.04%	0.14%
$5,000,001 to $10,000,000	0.02%	0.12%
More than $10,000,000	0.00%	0.01%

Binance follows a similar tiered fee structure, offering discounts to high-volume traders. The platform provides an additional discount for using its native BNB token to pay for fees. Binance’s fee structure is competitive, making it an attractive choice for traders seeking cost-effective solutions.

Level	30-Day Trade Volume (BTC)	or/and	BNB Balance	Maker Fees/Taker Fees	Maker/ Taker (BNB 25% off)	Maker/ Taker (BNB 25% off x Referral 20%)
VIP 0	<50 BTC	or	≥0 BNB	0.1000%/ 0.1000%	0.0750%/ 0.0750%	0.0600%/ 0.0600%
VIP 1	≥50 BTC	and	≥50 BNB	0.0900%/ 0.1000%	0.0675%/ 0.0750%	0.0540%/ 0.0600%
VIP 2	≥500 BTC	and	≥200 BNB	0.0800%/ 0.1000%	0.0600%/ 0.0750%	0.0480%/ 0.0600%
VIP 3	≥1500 BTC	and	≥ 500 BNB	0.0700%/ 0.1000%	0.0525%/ 0.0750%	0.0420%/ 0.0600%
VIP 4	≥4500 BTC	and	≥ 1000 BNB	0.0700%/ 0.0900%	0.0525%/ 0.0675%	0.0420%/ 0.0540%
VIP 5	≥10000 BTC	and	≥ 2000 BNB	0.0600%/ 0.0800%	0.0450%/ 0.0600%	0.0360%/ 0.0480%
VIP 6	≥20000 BTC	and	≥ 3500 BNB	0.0500%/ 0.0700%	0.0375%/ 0.0525%	0.0300%/ 0.0420%
VIP 7	≥40000 BTC	and	≥ 6000 BNB	0.0400%/ 0.0600%	0.0300%/ 0.0450%	0.0240%/ 0.0360%
VIP 8	≥80000 BTC	and	≥ 9000 BNB	0.0300%/ 0.0500%	0.0225%/ 0.0375%	0.0180%/ 0.0300%
VIP 9	≥150000 BTC	and	≥ 11000 BNB	0.0200%/ 0.0400%	0.0150%/ 0.0300%	0.0120%/ 0.0240%

Kraken vs. Binance Ease of Use

Kraken has a user-friendly interface with a straightforward design that caters to both beginners and experienced traders. The platform’s educational resources, including tutorials and guides, create a positive user experience.

Meanwhile, Binance’s user interface is intuitive and visually appealing. The platform offers a Basic and Advanced trading view, accommodating users with varying experience levels. Binance’s mobile app further enhances accessibility for traders on the go.

Frequently Asked Questions

If you’re still undecided, here’s additional information to answer your ultimate Kraken vs. Binance questions.

Kraken vs. Binance – Final Verdict

Both Kraken and Binance stand out as reputable cryptocurrency exchanges, each with its unique strengths. Kraken excels in security measures and transparency, making it a reliable choice for risk-averse users. Yet, the SEC recently sued the platform for multiple alleged violations.

On the other hand, Binance’s extensive feature set, wide range of supported currencies, and user-friendly interface make it a go-to platform for many traders. However, Binance’s legal issues with the SEC and its limited services in the US make it a less desirable choice.

In the end, both platforms have their strongpoints and drawbacks, and it all comes to users’ preferences and needs.