| Kraken |  |
|---|---|
| Founded | 2011 (San Francisco, USA) |
| Supported Assets | 220+ cryptocurrencies |
| Trading Options | Spot, Margin (up to 5x), Futures, Staking |
| Mobile App | iOS & Android (highly rated) |
| Security | Industry-leading; Proof-of-Reserves; cold storage |
| Fiat Currencies | USD, EUR, GBP, JPY, CAD, AUD |
| Regulation | Registered with FinCEN (US), FCA (UK), BaFin (Germany) |
In this modern days, it’s more important to choose a reputable crypto exchange and not just investing for bonus. The best way to identify a reputable cryptocurrency platform is its age regulation, user reviews can equally be of help.
Kraken has established itself as one of the cryptocurrency industry’s oldest and most prominent exchanges since its launch in 2011. With over a decade of operation and millions of users worldwide, this San Francisco-based platform offers a comprehensive suite of trading services. But is Kraken the right choice for your crypto journey in 2025?
This review dives deep into Kraken’s features, security measures, fees, and overall user experience. We’ll examine what makes this exchange stand out and where it might fall short.
What Makes Kraken Stand Out in 2025
Kraken operates as a full-service cryptocurrency exchange offering spot trading, margin trading, futures, staking, and even an NFT marketplace. The platform supports over 290 cryptocurrencies and more than 780 trading pairs, making it a versatile choice for diverse investment strategies.
Founded by Jesse Powell after witnessing Mt. Gox’s security failures, Kraken built its reputation on robust security practices. The exchange became the first cryptocurrency company to obtain a special purpose depository institution (SPDI) charter in Wyoming, essentially becoming the first crypto bank in the United States.
The platform serves users across North America, Europe, Asia, and Latin America. It holds registrations and licenses in multiple jurisdictions including the U.S., U.K., Canada, Australia, and several European countries.
Security Features and Safety Measures
Security remains Kraken’s strongest selling point, with the exchange maintaining an unblemished record of never being hacked. The platform implements multiple layers of protection to safeguard user funds and data.
Key security features include:
- Cold storage for 95% of user funds keeps the majority of assets offline and away from potential hackers
- Two-factor authentication (2FA) adds an extra security layer to all accounts
- Global Settings Lock prevents unauthorized changes to account settings
- Advanced encryption protects all sensitive data transmission
- Regular third-party security audits ensure continuous improvement of security protocols
The exchange’s track record speaks volumes. While competitors like Mt. Gox, Bitfinex, and others suffered major breaches, Kraken has successfully protected user assets since 2011.
Kraken vs. Other Top Exchanges (2025)
| Feature | Kraken | Binance | Coinbase |
|---|---|---|---|
| Founded | 2011 | 2017 | 2012 |
| Coins Available | 220+ | 350+ | 240+ |
| Fees (Spot) | 0.16–0.26% | 0.1% | 0.5% |
| Margin Trading | Up to 5x | Up to 20x | None |
| Staking | Yes (up to 15% APY) | Yes | Limited |
| Security | Never hacked, strong audits | Faced hacks (2019) | Strong but expensive |
| Best For | Security & long-term investors | Active traders & altcoin hunters | Beginners (easy UI) |
Trading Features and Available Markets
Kraken offers an extensive range of trading options suitable for beginners and professional traders alike. The platform provides access to spot markets, margin trading with up to 5x leverage, futures contracts, and perpetual swaps.
The exchange supports major cryptocurrencies including Bitcoin, Ethereum, Solana, and Cardano. Traditional fiat currencies like USD, EUR, GBP, CAD, and JPY are also supported for deposits and withdrawals.
Notable trading features include:
- Kraken Pro offers advanced charting tools and order types for experienced traders
- Over-the-counter (OTC) trading facilitates large transactions with minimal market impact
- Staking services allow users to earn rewards on supported cryptocurrencies
- NFT marketplace enables buying, selling, and creating digital collectibles
- API access provides developers with tools to build custom trading applications
The platform’s dark pool feature deserves special mention. Launched in 2015 as the first bitcoin dark pool, it allows large orders to be executed discreetly without affecting market prices.
Fee Structure and Costs
Kraken’s fee structure follows a maker-taker model with rates starting at 0.25% for makers and 0.40% for takers. These rates decrease significantly with higher trading volumes, making the platform attractive for active traders.
The fee breakdown includes:
- Spot trading fees range from 0.00% to 0.40% depending on volume and order type
- Margin fees start at 0.01% for opening positions plus rollover fees
- Futures trading carries fees between 0.01% and 0.075%
- Staking rewards vary by cryptocurrency with Kraken taking a 15% commission
- Deposit fees are generally free for bank transfers but vary for other methods
- Withdrawal fees depend on the cryptocurrency and withdrawal method
Compared to competitors, Kraken’s fees sit in the middle range. While not the cheapest option available, the platform justifies its pricing through superior security and comprehensive features.
Pros and Cons of Using Kraken
Advantages of Kraken:
- Proven security track record with no major breaches since 2011
- Regulatory compliance across multiple jurisdictions provides legal clarity
- Comprehensive trading options from spot to derivatives satisfy various strategies
- Strong liquidity ensures efficient order execution
- 24/7 customer support helps resolve issues promptly
- Mobile apps for iOS and Android enable trading on the go
Disadvantages to consider:
- Limited cryptocurrency selection compared to Binance or KuCoin
- Higher fees than some competitors for low-volume traders
- Complex interface might overwhelm beginners
- Restricted services in certain U.S. states due to regulations
- No built-in wallet requires external storage for long-term holdings
- Regulatory challenges including ongoing SEC lawsuit create uncertainty
Is Kraken Safe and Legitimate?
Kraken’s legitimacy is well-established through its regulatory compliance, transparent operations, and long operating history. The exchange holds licenses in multiple jurisdictions and actively works with regulators to ensure compliance.
However, regulatory challenges persist. The SEC has sued Kraken multiple times, most recently in November 2023 for allegedly operating as an unregistered securities exchange. The exchange paid $30 million to settle charges related to its staking services and agreed to discontinue offering these services to U.S. customers.
Despite these challenges, Kraken continues to operate legally in most jurisdictions. The platform’s commitment to compliance is evident in its willingness to exit markets like New York rather than compromise on its principles.
Kraken vs. Kraken Pro: Quick Comparison
| Feature | Kraken | Kraken Pro |
|---|---|---|
| Target Audience | Beginners, occasional traders | Professional and power users |
| User Interface | Simple, intuitive | Highly customizable dashboard |
| Feature | Kraken (Standard) | Kraken Pro |
|---|---|---|
| Target Users | Beginners and casual traders | Experienced and professional traders |
| Interface Complexity | Simple and intuitive, with easy buy/sell UI | Advanced, customizable dashboard with modular layout |
| Order Types & Tools | Basic buy/sell functions, Instant Buy | Supports margin, futures, advanced orders (stop-loss, take-profit, IOC, etc.) |
| Fees | Higher: “dynamic” fees hidden in spreads; Instant Buy includes spreads | Lower maker-taker fees, tiered by volume (e.g., starting at 0.16% / 0.26%) |
| Advanced Features | Staking, Instant Buy, NFT marketplace | Margin & futures trading, deep liquidity, portfolio view, OTС, API access |
| Platform Access | Web and mobile app focused on simplicity | Customizable web platform + mobile app built for power users |
| User Sentiment (Reddit) | Some users feel fees are hidden or variable | Users praise lower fees and better value; one noted 2.2% higher net gains using Pro vs Standard |
How To Create Account and Start With Kraken
It’s simple to start trading with Kraken, weather you’re new to crypto or have been trading for years. You only need to take few steps, first, visit the official Kraken website or download the app on Play Store or Apple Store. Create a free account with your email address. Once registered, you’ll need to complete identity verification (KYC) by uploading a valid ID—this step is required to unlock deposits, withdrawals, and full trading features.
Now that you have a valid verified account, your next step is to add funds to your account using fiat currencies (like USD, EUR, or GBP) via bank transfer, card, or crypto deposit. With funds in place, you can head to the Buy Crypto section for a quick purchase, or switch to Kraken Pro for advanced charting and trading tools.
Finally, enable two-factor authentication (2FA) in your security settings before you start trading to keep your account safe. Within minutes, you’ll be ready to buy, sell, and stake over 200 cryptocurrencies securely on Kraken.
Final Verdict
Kraken exchange is a solid choice for cryptocurrency traders who prioritize security and need access to advanced trading features. The platform’s decade-long track record, comprehensive product suite, and strong liquidity make it particularly suitable for serious traders and institutions.
Beginners might find the interface overwhelming initially, but Kraken’s educational resources and responsive customer support help ease the learning curve. The higher fees compared to some competitors are offset by superior security and reliability.
Consider Kraken if you value security above all else, need advanced trading features, or want access to a regulated exchange with strong compliance standards. Look elsewhere if you’re seeking the lowest possible fees, need access to obscure altcoins, or prefer a simpler interface for basic buying and holding.
Ultimately, Kraken proves itself as a legitimate, secure, and feature-rich platform that continues to evolve with the cryptocurrency industry. While not perfect, it offers a compelling combination of security, functionality, and regulatory compliance that few competitors can match. Learn about how to Use Ledger wallet.
