Kraken and Coinbase are among the biggest crypto exchanges out there. Based in the US, Kraken and Coinbase are global crypto exchanges providing crypto buying, selling, and trading services. This article compares Kraken and Coinbase with the intention of helping you decide which best suits your purpose.
Kraken Overview
Kraken is a crypto trading platform based in the US. Founded in 2011, it has the reputation of being among the very first crypto exchanges. As a global exchange, Kraken serves customers from many countries, but especially the US.
You can buy, sell, and trade any cryptocurrency supported on this platform. Kraken’s number one goal is to facilitate the fast adoption of cryptocurrencies globally. Its services are tailored to help it achieve this goal through support for institutional investors and other user incentives.
The exchange is fully regulated in the US and fully complies with the local laws, making it one of the best for Americans to use
Coinbase Overview
Coinbase is the largest cryptocurrency exchange in the US and one of the largest in the world by trading volume. It was founded in 2012 and has made a name as the go-to platform for new traders who are just setting out in crypto.
Coinbase offers a simple platform to use for buying, selling, and trading cryptocurrencies, but you could also use Coinbase Pro, a more sophisticated platform for pro traders.
Like Kraken, Coinbase is a global cryptocurrency exchange with a presence in numerous countries.
But, the big question is how Coinbase’s services differ from Kraken’s.
Kraken vs. Coinbase: Supported Assets
The number of assets it supports is an important factor in deciding which crypto exchange to use. This is especially important for altcoin traders since they need many altcoins on the platform to trade different pairs.
At the time of writing, Kraken has more than 190 tradable cryptocurrencies listed on its platform, including top cryptocurrencies like Bitcoin, Ethereum, and so on.
Coinbase has over 200 tradable assets in addition to other assets that are not directly tradable on the exchange.
Comparing the two, Coinbase has more supported assets and gives users more options, making Coinbase the winner in terms of supported assets.
Kraken vs. Coinbase: Supported Countries
Kraken supports users from over 190 countries, with more than nine million users, making Kraken a global exchange indeed.
Coinbase has users from exactly 100 countries. However, it has way more users than Kraken, with over 98 million verified users.
Kraken vs. Coinbase: Fees
Kraken has different fees for different trades, including Instant Buy, Kraken Pro, Stablecoins, Margin, Futures, and NFT. However, for the purpose of this comparison, we will only consider instant buy fees and maker/taker fees.
For the instant purchase of digital assets, Kraken charges a 0.5% fee for stablecoins and a 1.5% fee for other cryptocurrencies. Fees are also charged depending on the buying method, as shown in the table below. All the fees are in addition to the 0.9% Kraken fee.
Coinbase charges more for bank-to-bank transfers, 1.49%, compared to Kraken’s 0.5%. Coinbase also charges more for debit cards, 3.99%, compared to Kraken’s 3.75%.
Instant Buy Fees
Kraken
| Kraken Fee | Payment Card Processing Fee | Digital Wallet Payments Processing Fee | Online Banking/ACH Processing Fee |
|---|---|---|---|
| 0.9% fee for any stablecoins 1.5% fee for any other crypto or FX pair | 3.75% + 0.25c | 3.75% + 0.25c | 0.5% |
Coinbase
| Payment/Payout Method | Effective Conversion Rate |
|---|---|
| US bank account | 1.49% |
| Coinbase USD wallet | 1.49% |
| Debit card buy | 3.99% |
| Instant card withdrawal | Up to 1.50% of any transaction and a minimum fee of $0.55 |
Maker and Taker Fees
Both Kraken and Coinbase use the maker/taker fee model to calculate fees. Below are the fees for the two exchanges. Again. Coinbase’s percentages are higher than Kraken’s, making Kraken the cheaper platform.
Kraken
| 30-Day Volume (USD) | Maker | Taker |
|---|---|---|
| $0 – $50,000 | 0.16% | 0.26% |
| $50,001 – $100,000 | 0.14% | 0.24% |
| $100,001 – $250,000 | 0.12% | 0.22% |
| $250,001 – $500,000 | 0.10% | 0.20% |
| $500,001 – $1,000,000 | 0.08% | 0.18% |
| $1,000,001 – $2,500,000 | 0.06% | 0.16% |
| $2,500,001 – $5,000,000 | 0.04% | 0.14% |
| $5,000,001 – $10,000,000 | 0.02% | 0.12% |
| $10,000,000+ | 0.00% | 0.10% |
Coinbase
| Pricing Tier | Taker Fee | Maker Fee |
| $0 – 10K | 0.60% | 0.40% |
| $10K – 50K | 0.40% | 0.25% |
| $50K – 100K | 0.25% | 0.15% |
| $100K – 1M | 0.20% | 0.10% |
| $1M – 20M | 0.18% | 0.08% |
| $20M – 100M | 0.15% | 0.05% |
| $100M – 300M | 0.10% | 0.02% |
| $300M – 500M | 0.08% | 0.00% |
| $500M+ | 0.05% | 0.00% |
As far as fees go, Kraken is a cheaper exchange to use based on the figures. Therefore, Kraken wins in this critical aspect.
Kraken vs. Coinbase: Security
In terms of security, Kraken is known as one exchange whose security has never been breached. As a result, it is considered one of the most secure exchanges in the crypto space. This alone speaks to the security measures the exchange has in place to ensure that its customers’ assets and information are secure.
Although Coinbase also has strong security measures such as cold storage of assets and insurance, it has suffered several attacks that have led to the loss of user funds. This makes it second to Kraken in the key aspect of securing user assets and information.
Therefore, Kraken wins in the aspect of security.
Kraken vs. Coinbase: Verdict
Coinbase is a big exchange used by more than ten times the number of people who use Kraken. It is also a good place to start your crypto investing or trading adventure as it has a simple and user-friendly design.
If you’re a newbie looking for a place to start, Coinbase will be good for you. If, on the other hand, you’re already experienced and in need of a secure exchange with reasonable fees, Kraken is the way to go.