What are the differences between Crypto.com and Kraken? You will find one too many sites out there to use to buy, sell, hold, or trade cryptocurrencies, and most of them are great.
Two such sites are Kraken and Crypto.com but which one you should choose for your crypto trading needs will need you to understand the differences between them.
This article will allow you to do so. You will come to know the differences in their features that may result in a difference in their respective functionalities.
This article entails all the major differences such as the basics of the two companies, the fees they charge and the coins they support.
In addition to that, this article also comes with a separate section that will help you even further to know which among the two is better with respect to your trading needs and circumstances.
Typically, Kraken is one of the oldest as well as the largest Bitcoin exchanges you will find in the world. On the other hand, Crypto.com is one of the most popular crypto trading platforms that are growing at a rapid pace both in market cap and number of users.
Since choosing the right trading platform is vital to make money out of crypto trading, this article should be a great help for both the experienced traders as well as the beginners in the exciting world of cryptocurrencies.
Contents
9 Differences Between Crypto.com and Kraken
Here are some of the major differences between Crypto.com and Kraken that every crypto trader should know.
If you keep these points handy it will not only help you in choosing the appropriate crypto trading platform among these two available possibilities to trade your crypto assets but will also help you a lot in achieving your financial goals much more easily and efficiently.
1. Company Formation
Kraken was launched in 2011 in San Francisco, California. It was founded by Jesse Powell. However, it was launched in 2013. Ideally, with its features and useful tools, this particular crypto trading platform targets the global audience and markets.
The Kraken website is rated as one of the best sites for crypto trading that allows the users to trade at lower fees.
The users will not only find a large number of flexible funding options but will also get the highest possible security standards that will protect their accounts from being hacked and their funds from being stolen.
Over the years, the platform has undergone a lot of renovation to prove its stability, a factor for which it was scorned before.
On the other hand, Crypto.com was founded in 2016 with its head office located in Hong Kong by four founders. They are Bobby Bao, Gary Or, Kris Marsala, Rafael Melo.
This platform was created especially to cater to the needs of those particular crypto traders who are looking for a great crypto exchange and a lending platform.
Additionally, this platform also offers a savings account, wallets, debit cards, and lots of other useful services associated with cryptocurrencies making it a one-stop exchange for the crypto traders.
2. Features
Using the payment services offered by the Crypto.com platform, users can access their funds from anywhere and at any time they want.
Add to that, if you are interested in getting cashback when you make your daily purchases or get easy access to funds by making withdrawals from ATMs then the MCO Visa card offered by Crypto.com may just be the right one for you.
Add to that, the platform is also one of the best for the users to have much better liquidity of their crypto holdings which is a welcome bonus of sorts.
The features of Kraken, as said earlier, are much better than what it was even a couple of years ago.
They are highly committed to improving the features and functionalities of the platform further in addition to providing low fees to trade on this platform and an excellent security for fund protection.
The platform boasts of never being breached to date which is a great feat to achieve given its scale and the number of security breaches occurring in other crypto exchanges.
3. Additional Features
Through the Crypro.com platform, users can also interact with the crypto market and also reduce the amount of fee they need to pay for it by the ways provided by this exchange.
The Crypto.com app is also very useful for categorizing customers based on their transaction volumes in a month. This not only allows the users to trade at market orders at a true cost but also reduces the maker and taker fees since it is inversely proportional to the number of transactions made in a month.
The intuitive interface of the Kraken platform is another good feature that attracts the users towards it and to utilize all its features.
The platform comes with a lot of useful crypto resources and tools that show its commitment to enhancing the user experience even further as well as making it one of the best websites for crypto trading.
4. Objective
The primary objective of Crypto.com is to provide the users a platform from where they can trade their crypto assets safely and at the same time rest assured that their money, data and information will be safely stored.
Serving millions and millions of customers all over the world, its mission is to become one of the most useful and formidable alternatives to orthodox financial services.
No doubt it has been successful in becoming the most popular and reputable Android and iOS app and a place for making Bitcoin transactions.
It aims to offer all services cheap at only 0.10% and the best thing is that the mobile app does not carry any trading charges. With more crypto stock liquidity offered, the platform provides the users with a valuable advantage.
On the other hand, the objective of Kraken is to provide the users with a more streamlined and better trading experience.
For this, they have designed an interface that is easy to use but at the same time is sophisticated enough to keep up with the needs of modern crypto trading which is complicated, no doubt.
However, this is certainly not the site for the beginners like Crypto.com, it will surely assist the experienced traders in a much better way when they want to branch out and try new crypto platforms with the experience they have gained via other crypto trading platforms.
The features of this platform need some time for the users to get used to it but once they do they are benefitted immensely in their crypto trading endeavors with their enhanced knowledge.
5. History
Initially known as Monaco, Crypto.com was able to raise $26.7 million through an ICO or Initial Coin Offering in its year of launch itself, 2017.
During that time, the investment price was $2.89 on average for each MCO. Today, the team behind the success of this platform comprises 17 members and is led by Kris Marszalek, the CEO of the company.
On the other hand, though Kraken was founded in 2011, it was launched in 2013, as said earlier. It raised about $100 million through coin offerings.
This company has spread far and wide over the years and now you will find it not only operating in Canada and across America excluding New York but you will also find its offices in Japan as well as in other cities in the European Union.
After the disaster of Mt. Gox that resulted in bankruptcy, it was Kraken that assisted its customers and helped the exchange to process the claims which won Kraken some extra kudos. This process resulted in winning over a lot of users of Mt. Gox as well.
6. Advantages
Both these platforms have made tremendous progress in recent years to offer a host of advantages to their respective users.
As for Crypto.com, apart from the basic offerings mentioned above, the platform has also made some exciting additions to make it easy for the users to deal with the supported assets.
A few of such additions include active updates as well as blogs which help the users to know more about crypto trading and the market scenario and at the same time help the platform to uphold its position as one of the standard investment tools for individual users, especially those who are new to this exciting world of cryptocurrencies.
This enhanced knowledge not only allows the users to use the crypto investment to diversify their financial investment portfolio but also create a hedge against market fluctuations.
On the other hand, Kraken too provides its significant advantages to the users. The users can trade at flat fees charged by this platform, which is its norm as opposed to the other crypto platforms that charge percentage-based fees.
This is quite advantageous to those users who want to make a large deposit into the crypto market since the amount of fees charged will be quite low compared to the total amount of purchase.
This low fee also proves to be advantageous for the platform itself. This is because the users who get hooked to it due to the low deposit fees invariably start using its other features and services such as trading which broadens the ways of the platform to make money.
However, Kraken is a good platform for those users who are experienced in and comfortable with higher stakes. Otherwise, Crypto.com is better to start with to gain experience and then make a switch.
7. Security
As for the security aspects of these two platforms, if you consider that of Crypto.com, you will be happy to know that the platform follows a proactive philosophy and takes proven measures to provide the users with defense in depth.
It places 100% of the funds of the users in cold storage which makes it pretty impossible for the hackers to intervene, thanks to its partnership with Ledger.
Ledger is known to be the global leader in providing infrastructure solutions and security to crypto and blockchain applications.
A smaller portion of funds is stored in the hot wallets to meet the day-to-day expenses of the platform for its operation as well as to meet the withdrawal requests of the users.
As for the security aspects of Kraken, it follows quite strict measures to ensure the security of the accounts of the users as well as the platform on the whole.
They also conduct independent audits of the accounts that are also verified cryptographically. This means that the company maintains full reserves of the funds of the customers.
8. Additional Security Measures
In addition to that, the Crypto.com platform uses multi-signature key-generation technologies, leverages HSM and corporate funds, and uses regulated bank accounts that are linked with the platform to ensure secure transactions and safe storage.
This offers ownership to the users of the fiat currencies deposited in the bank accounts. This means that no one, the platform or its creditors, can make a claim for these funds ever.
The platform also uses biometric fingerprint authentication, FDIC backed USD holdings, insurance in case of a breach, and AES-256 digital wallet encryption.
In order to ensure complete protection of the funds of the customers, there are also other security features included by the platform such as two-factor authentication, SSL encryption, globally set time lock, email confirmation during withdrawals, API key permissions, stringent monitoring, air- gapped cold storage, and others.
All these features make the entire security approach of this platform much more comprehensive to keep the investments and data of the users safe.
The security team of this platform is efficient enough to create world-class programs to keep security above everything else which is why this platform is trusted by millions of users.
9. Other Notable Differences
Here are a few other differences between Kraken and Crypto.com that are quite noteworthy.
In terms of account funding options, Kraken allows cash deposits, bank transfers, crypto deposits, and the use of credit cards or debit cards. As for Crypto.com, the options include crypto deposits, credit cards, PayPal, and Transfer Wise.
The minimum deposit requirement of Kraken is $1 while that of Crypto.com is $20.00. However, on Kraken, you can start trading your crypto assets with as little as $10 but on the Crypto.com platform, the trading minimums may vary depending on the type of crypto coins used.
Another notable difference between Kraken and Crypto.com is that Kraken is regulated by FinCEN, while nothing as such is applicable to Crypto.com.
When it comes to trading options, though both these platforms support futures trading, Kraken allows copy trading additionally. Also, Kraken allows stop order type while Crypto.com does not.
In terms of tradable assets, Kraken supports BAL, BCH, BTC, CRV, DOT, EOS, ETH, LTC, SNX, XRP and others whereas Crypto.com supports ATOM, BCH, BTC, CRO, ETH, LINK, USDT, XLM, XRP, XTZ and others, all arranged alphabetically.
As for the fees, Kraken will charge a brokerage fee of $0.26 while Crypto.com will not. And, for withdrawal of funds, Kraken will charge a fee of $5.00 while Crypto.com will not, whether you make partial or full withdrawals.
And finally, in terms of customer service, though both these platforms offer email and live chat support and no phone support, the good thing about Kraken is that you will get such support all round the clock.
Which is Better – Crypto.com or Kraken?
This is a million-dollar question and is not at all easy to answer. This is because the characteristics, features and attributes of these two platforms, as it is evident from above, are significantly different.
In addition to that, both these platforms offer great benefits to the users. Therefore, choosing one over the other is really a tough call.
However, the differential parameters covered above should help you to make your choice based on the circumstances and your needs. If not, then here are some more facts to know and keep handy while making your choice.
One of the most significant points of difference between Kraken and Crypto.com is that the latter is considered to be one of the most popular and favored crypto exchanges that offer cheaper rates.
It is also considered to be one of the most dependable Android and iOS app store Bitcoin exchanges.
As for Kraken, it is a popular exchange that serves a large portion of users in Europe apart from a significant part of the American market.
While Crypto.com is a good platform to go for the beginners in the field, Kraken is better suited to those who have a reasonably good experience in this field. This is due to the differences in versatility and ease of use of the two platforms.
Kraken is a feasible option to go with when you want to make large investments because the flat fee structure will not eat up your profits.
Also, it will offer you much more monetary possibilities and solid safeguards at the same time.
In terms of transactions, apart from the basics, the Crypto.com platform will allow you to buy, sell, receive, send, and replace crypto assets while Kraken will allow all those along with a crypt view of all assets.
Now it is up to you to choose the right platform for crypto trading based on:
- The cost of trade
- The payment methods for deposits and withdrawals
- The crypto coin and fiat currency support
- The safety and security aspects
- The variety of transactions
- The features and
- Popularity
And yes, do not forget to consult with your financial advisor as well for a second opinion from an expert.
Conclusion
In order to compare Kraken and Crypto.com side by side, it is paramount that you know the differences between the two. Going through this article, hopefully, that aspect is fulfilled and now it should be easy for you to make a choice.
I have special interest in crypto and intend to help common people to gain knowledge about the digital asset as well as its potential. Follow Me at Linkedin.
