Kucoin Exchange Review: Crypto Trading and Profit Sharing
Kucoin exchange is one of the fastest growing cryptocurrency exchanges in the market. Based out of Hong Kong and going live in Q4 2018, Kucoin may not be as well known to some Western crypto traders as its immediate competition. However, the Kucoin team has set out with an ambitious business plan, which plans to dazzle new users, provide exceptional service, and thus seal their business for years to come.
The Kucoin model will be familiar to anyone who has used cryptocurrency exchanges like Binance or Bittrex, but there are certain ways in which Kucoin exchange distinguishes itself, and in general the company has chosen the best methods of all of the crypto exchanges which have gone before. By the end of this Kucoin review we will have gone into detail on all of this, so keep reading!
What is Kucoin Exchange?
Kucoin is a crypto exchange built with venture capital money as a way of cashing in on the cryptocurrency phenomenon, while still offering peerless performance and service to its users. Most of Kucoin’s investors are Chinese (GF Securities, Ant Financial, Youling, Jianbang Communication, and iBOX PAY), and the company itself is headquartered in Hong Kong (as was fellow crypto exchange Binance until recently).
Kucoin doesn’t accept fiat payments, but it does include trading pairs based on a greater variety of cryptocurrencies than is typical. Kucoin exchange also offers its own cryptocurrency, Kucoin Shares KCS, which gives hodlers a range of advantages, discounts, and profit opportunities. Kucoin service is on another level, and users report having better responsiveness from customer service than with any other exchange.
We’ll go deeper still in the Kucoin review to come, but if you’re already interested in creating a Kucoin login of your own, let’s first learn how to start an account with Kucoin exchange.
How to Create a Personal Kucoin Login
Kucoin is pretty easy to sign up with. Unlike many Western exchanges, Kucoin is not regulated. This is a blessing and a curse. On the one hand, users don’t have the same level of assurance they would get from a regulated exchange. On the other hand, they don’t have to spend almost any time signing up, and they don’t have the chance of Kucoin leaking intimate personal information, as happened with Bittrex.
In any case, let’s get started. Go to Kucoin.com.
Click “Sign Up” in the upper right-hand corner. This will take you to the following screen.
Once inside your account, you’ll see a page like the one pictured above. This shows you various ways to strengthen account security, including using 2 Step Authentication with the Google Authenticator app (highly, highly recommended) and some security questions only you will know the answers to. Now that your account is created, let’s explore some other important pages on the Kucoin exchange website. We’ll start with the “Assets” page.
The “Assets” page holds all of the digital wallets supported on Kucoin. Kucoin trades dozens of currencies. If you were to buy any of these currencies, you would have to store your coins somewhere. Cryptocurrencies are digital money, so they need to be stored in digital wallets. From these wallets, you can send your coins, hold them, or use their addresses to receive coins from another address or user.
To trade on Kucoin, you will need to send a currency like Bitcoin or Ethereum to the appropriate wallet on this page. Click “Deposit” beside the Bitcoin wallet (or whatever other currency you are using to trade) and use this address to send your money from the address where it is currently stored. Your coins should arrive in a few minutes, at which time we’ll be ready to trade crypto.
Once your coins have arrived, click on “Markets” and you’ll be led to a screen like the one below. We won’t go through all of the different ways to use this trading page, but through this platform you can trade for any coin supported by Kucoin.
What Coins Does Kucoin Support?
At the time of this writing, Kucoin supports more than 300 cryptocurrencies. Because listing them all here would just take up space and be difficult to read, we’ll refer you to the complete list of Kucoin cryptocurrencies on Coinmarketcap.com. Kucoin is very responsive to community feedback, and regularly adds support for currencies popular among the community. If you don’t see your coin of choice in the list linked, don’t keep quiet. Speak out and Kucoin might just add it.
What Are the Kucoin Fees?
Kucoin fees are among the lowest in the industry. Charging only 0.10% for buy and sell orders, Kucoin fees are well cheaper than Bittrex’s 0.25% or Gemini’s 1.0%. This already low rate can be further discounted by paying for orders with Kucoin Shares KCS, just like with Binance’s Binance Coin BNB. More on this later.
Kucoin charges very slight withdrawal fees for most currencies, though not for NEO, GAS, and a few others. There are some dynamic fee rates, but these will apply to so few users that they’re not worth mentioning here. Just know that Kucoin really does offer just about the best trading prices you’ll find in a crypto exchange.
What Do Kucoin Shares KCS Do?
Kucoin Shares KCS are an amazing value proposition. Kucoin Shares are a traditional cryptocurrency, in that there is a fixed supply, a market driven value, and digital means of transfer and ownership. However, Kucoin’s primary use is much different than that of other cryptos. Like Binance Coin, Kucoin Shares give users significant discounts on trades. However, this isn’t the only benefit of owning Kucoin Shares.
Kucoin Shares holders also receive kickbacks from Kucoin exchange itself. 50% of Kucoin’s trading profits are distributed to Kucoin Shares holders, in proportion to the amount each user holds. Kucoin Shares also get burned through regular buybacks from the Kucoin exchange, just like Binance. This reduces the overall Kucoin shares supply and thus increases the chances that your KCS will go up in value.
This isn’t Kucoin’s only profit-sharing model. Kucoin users also get referral benefits from users they refer to the system. In fact, they slate a full 40% of their trading profits to this purpose. Between this and Kucoin shares, Kucoin users really have a lot of ways to save and make money with the Kucoin exchange currency and profit sharing systems.
Other Kucoin Features and Special Characteristics
- Kucoin exchange has a Kucoin iOS app and Kucoin Android app, both of which give the user full platform functionality in a streamlined mobile-friendly presentation.
- Kucoin offers 24/7 customer service available through a variety of communication channels: WeChat, phone, email, and web chat.
- Users can trade with more base currencies than are usually accepted on exchanges like this. We’ve come to expect Bitcoin and Ethereum as the bases of trading pairs. But Kucoin also accepts USDT, various ERC20 tokens, NEO, KCS, and LTC. This means less trading around of currencies just so you can get some Bitcoin or Ethereum to trade for stuff, like we’re used to doing with older cryptocurrency exchanges.
- Kucoin wallets are highly secure. Even though Kucoin isn’t formally regulated (most countries haven’t created a regulatory framework for crypto exchanges), they give the user multiple resources for securing their funds, and the Kucoin wallets themselves are stored using Amazon Web Services Cloud, itself a highly secure storage option with many security layers and redundancies.
- Unlike older exchanges like Bittrex and Binance, most deposits and withdrawals are completed in seconds. Even for very large balances, a withdrawal should take no more than 10 minutes.
- Kucoin can process more than 1,000,000 trades per second, future proofing it for quite some time as the industry grows and trading demand increases.
Kucoin Vs Binance
Kucoin and Binance are very similar, with similar fees, business models, and coins supported. It’s hard to recommend one over the other. Binance is older and more proven, but Kucoin offers incredible benefits to users and their native currency, KCS, may have more growth potential than Binance’s BNB. There’s no way to say that one or the other is better. Try both!
Final Thoughts on Kucoin Exchange
Kucoin exchange may be young, but it has quickly distinguished itself, even in the crowded field of cryptocurrency exchanges. Offering hundreds of currencies, Kucoin IOS and Kucoin Android apps, low Kucoin fees, and an innovative cryptocurrency/profit-sharing structure, Kucoin is growing fast with no signs of stopping. We use Kucoin exchange ourselves and will definitely be watching this exchange as the industry progresses.