Binance vs Kraken – Which One To Choose in 2022?

Binance vs Kraken – Both are two well-known worldwide exchanges that provide cryptocurrency trading, staking, margin trading, institutional services, and various other services.

Advanced trading choices, cheap costs, and mobile applications are all available on these two crypto exchange platforms. Furthermore, both have aimed at intermediate or advanced users. Binance, on the one hand, has somewhat cheaper costs, a more comprehensive selection of currencies, and more options to deposit and withdraw money.

On the other hand, Kraken is recognized for its excellent security standards, has just received Wyoming bank charter approval, and plans to go public in 2022.

Binance

Binance, the world’s biggest cryptocurrency exchange by trading volume, was created in 2017. The exchange began in China. It now has over 13.5 million active users and operates in the United States, Europe, and other parts of the globe.

Binance trades approximately 500 cryptocurrencies, including two coins it created: BNB (Binance Coin) and BSC (Binance Security Coin) (Binance Smart Chain). Trading on leveraged tokens, cryptocurrency futures, and a decentralized exchange are all available on the platform (Binance DEX).

Kraken

Kraken was one of the first significant cryptocurrency exchanges, having been created in 2013 in San Francisco. After the Japanese cryptocurrency exchange, Mt. Gox went bankrupt in 2014, and consumers were forced to open an account with Kraken to recover their funds.

Moreover, Kraken currently supports over 70 coins for trade. It has cheap costs and a wide range of sophisticated trading options, including futures, margin, and over-the-counter (OTC) trading. Furthermore, Kraken is known for its impenetrable security – the platform has never been hacked.

Binance vs. Kraken: Which one is easy to use?

Binance and Kraken may both be accessed using a web browser or a mobile app. When it comes to simplicity of use and Binance vs. Kraken, Kraken comes out on top. For first-timers, every crypto trade might be a weird and unfamiliar experience. However, Binance’s user interface does not make things much simpler for the typical novice.

Binance

The Binance web interface presumes that visitors are familiar with how to use a cryptocurrency exchange. There are three viewpoints available: “basic,” “classic,” and “advanced.”

In the basic view, converting one crypto to another should be straightforward enough for everyone, given the display has two dropdown selections. The classic view, which includes charts and order books, provides a more convenient trading experience. The advanced view is designed for skilled traders and may be beneficial to experienced users.

Kraken

Kraken is more enticing to those who aren’t acquainted with exchanges. The interface is more user-friendly and clearly explains how to complete tasks. Users may make a purchase or sell order by selecting the “new order” option. The procedure is also made simpler by the style, colors, and bigger text.

Binance vs. Kraken: Which is more secure?

Binance vs Kraken - Security
Binance vs Kraken – Security

Without any doubt, the most critical factor to consider when selecting a cryptocurrency trading platform is security. This remains true in this Binance vs. Kraken comparison, as well as every other crypto-related comparison you may encounter!

However, you risk losing all of your assets if you put your funds into a less secure exchange. Although most of the top-tier cryptocurrency trading platforms have their security mechanisms in place, it’s still worth remembering!

Binance

Hackers got into Binance in 2019 and stole $40 million in cryptocurrency. While no more security breaches have happened afterward, the incident raises concerns. Those inquiries have also gone unanswered by the corporation. Binance does not provide all of the facts of how it protects its crypto assets.

Kraken

Kraken has never been hacked, and its security policies are open and transparent. In fact, the company’s website has an entire page devoted to explaining its extensive security features. The exchange maintains 95 percent of its cash in air-gapped cold storage, keeps its servers under 24-hour video monitoring, and encrypts all sensitive account information at both the system and data levels.

Binance vs. Kraken: Good Features

In terms of trading, both platforms provide a lot of the same functionality. The purchasing, selling, and converting of cryptocurrencies are the main things for which most people utilize crypto exchanges. If all you want to do is convert some fiat cash to cryptocurrency, any exchange will suffice.

Binance

Peer-to-peer (P2P) trading, margin lending, futures trading are all available on Binance. Advanced charting and technical analysis tools are also available. Specific transaction types, like margin trading, are not accessible on Binance for US customers but are available on Kraken.

Kraken

For some of the most popular proof-of-stake currencies, such as DOT, ATOM, and XTZ, Kraken provides simple staking options. Users of Kraken have access to a unique platform called Cryptowatch, which allows them to trade on various exchanges simultaneously.

Binance vs. Kraken: Range of Currencies

Binance vs. Kraken: Range of Currencies
Binance vs. Kraken – Range of Currencies

Around 7000 distinct cryptocurrencies are presently accessible for consumers to investigate, analyze, and exchange. Even crypto beginners nowadays want to start building varied portfolios right now. However, you’ll need to be able to buy a variety of cryptocurrencies to do so.

Both Binance and Kraken provide USD/crypto trading pairings, allowing various cryptocurrencies to be exchanged for dollars directly on the exchange.

Binance

For international customers, Binance supports over 500 currencies and various stablecoins such as DAI, Tether, and Binance USD (BUSD). It also takes 19 fiat currencies, including the USD, AUD, Hong Kong dollar, Euro, GBP, and Indian rupee. Residents of the United States, on the other hand, are restricted to 47 cryptocurrencies and only USD fiat money.

Kraken

There are 69 currencies available on Kraken, including three stablecoins: USD Coin (USDC), DAI (DAI), and Tether (USDT) (USDT). It accepts seven fiat currencies:

  • The US dollar
  • The Euro
  • The Canadian dollar
  • The Australian dollar
  • The British pound
  • The Swiss franc
  • The Japanese yen

The number of coins available to US investors is restricted to 52.

Binance vs. Kraken: Affordable Fee

Binance and Kraken utilize a maker-taker pricing structure, which allows them to charge substantially cheaper costs than other prominent platforms like Coinbase. At first appearance, Kraken costs seem to be lower than Binance’s, with maker-taker fees ranging from 0% to 0.26 percent vs. 0% to 0.10 percent on Binance.

Binance

Binance’s trading fees are as low as 0.1 percent. Withdrawals are 3.5 percent of the balance, with a $10 minimum. As is the case with most exchanges, cryptocurrency withdrawals vary by currency. Binance is the obvious winner when it comes to reduced fees.

Binance Coin (BNB) clients may save funds on trading fees by using Binance’s exchange token. All customers have to do is keep BNB in their accounts, and fees will be automatically deducted infractions of the currency. Customers get a 25% discount when paying fees using BNB.

Kraken

Kraken charges a fee of up to 0.26 percent on each transaction. A user’s activities determine the actual amount over the previous 30 days. The smaller a trader’s fees are, the more money they trade. Withdrawals from Kraken might cost up to $60. Additional costs apply to margin and futures trading.

Binance vs. Kraken: Which Mobile App is Reliable?

Kraken and Binance both provide mobile applications that allow you to trade while on the move.

Binance

Binance has just one app; however, it has two different modes: Lite and Pro.

The app’s Lite edition has a primary interface that allows you to keep track of cryptocurrencies you’re interested in, make immediate buy/sell orders, and manage your account. The Lite mode is relatively simple to use if you’re new to Binance or cryptocurrency trading platforms in general.

Advanced traders may utilize Pro mode, which contains several Binance online platform’s charting tools and features. Full-screen charts with hundreds of technical indicators and depth charts are available. You may also use Pro mode to access all of Binance’s trading modules, including futures and options trading.

Kraken

Kraken offers two separate applications that fulfill comparable functions to the Binance Lite and Pro versions.

Using the simple Kraken app, you can rapidly purchase cryptocurrency in pre-defined sums such as $20 or $40. It also provides basic line charts to examine price data without needing to do extensive technical analysis.

The Kraken Pro app is a little more complicated, and it’s not nearly as smooth. While it has many similarities to the Binance app’s Pro mode, we found the Binance app to be more user-friendly. Furthermore, having both Lite and Pro modes in one app rather than navigating between two separate applications was a huge advantage.

Binance vs. Kraken: Buying Limits

You can only transact a certain amount of money every day on Binance and Kraken.

Binance

Your transaction limitations on Binance are determined by how many identity verification procedures you have completed. You may purchase and sell up to $300 worth of cryptocurrency every day by providing your name, address, and date of birth.

However, your daily purchase limit is boosted to $5,000 when you add an ID to your account and verify it with a recent picture. You may trade up to $50,000 every day provided you verify your address.

Kraken

Kraken does not have buying limits. However, it does set deposit and withdrawal limits depending on your account level. Starter account users may make monthly deposits of up to $9,000 and daily withdrawals of up to $5,000. Pro account members can deposit and withdraw up to $10 million per day or $100 million per month.

Binance vs. Kraken: Wallets

Binance

The Binance Trust wallet, available for iOS and Android smartphones, is Binance’s cryptocurrency wallet. Binance supports over 500 cryptocurrencies, including all of the tokens accessible for trade on Binance. It also supports non-fungible tokens (NFTs) and lets you purchase and trade cryptocurrency right from your phone.

Moreover, the Binance wallet has a Web3 browser that allows you to access decentralized financial applications (dApps). Binance also allows you to transfer money to anybody, anywhere on the globe, immediately and with no costs.

Kraken

You cannot utilize Kraken’s cryptocurrency wallet. To be clear, you don’t need a wallet to use Kraken to purchase cryptocurrency. Because the exchange has built-in storage for users, your coins will remain secure in your account. More than 95% of Kraken’s coins are kept in cold storage, so you can rest easy knowing that your money is safe.

Conclusion

It’s difficult to go wrong when choosing between Binance and Kraken as your bitcoin exchange. Both exchanges allow you to trade a wide variety of coins. You may also purchase and sell digital currencies on margin or trade bitcoin futures.

SpecificationsBinanceKraken
Ease of UseComplex to understandSimple to Use
SecurityGood SecurityFoolproof Security
Trading FeeLess than 0.1%Up to 2.6%
FeaturesP2P Feature AvailableCryptowatch Feature Available
CurrenciesMore than 500More than 69
Withdrawal Fee3.50%$60
Mobile AppsOne App; Two ModesTwo Apps
Buying LimitsUp to $50,000 Per DayUp to $10 Million Per Day
WalletAvailableCold Storage Available

Binance’s extensive selection of cryptocurrencies appeals to international customers. Residents in the United States, on the other hand, will be less charmed by the lack of options.

However, Kraken provides better transparency, emphasizes security, and offers a reasonable number of currencies for US customers, however considerably fewer coins for foreign users than Binance.

Binance is a better option than Kraken since it accepts credit and debit card payments, has a larger selection of cryptocurrencies to trade and has cheaper spot trading costs.

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