KuCoin and Binance are two of the largest crypto exchanges in the world if you consider the number of users and average daily trading volume.
KuCoin has over 10 million registered investors and a trading volume that is currently over $1.8 billion, while Binance has over 20 million users and an average trading volume of over $15 billion.
While it is clear Binance is the larger of the two companies, this does not necessarily make it the better option as KuCoin still has the edge over it in several other aspects.
This guide provides an in-depth overview of how the two companies compare to make it easier for investors to decide which one will work best for them.
KuCoin vs. Binance: Account Funding Methods
Both KuCoin and Binance accept various payment methods when funding your account. However, traders need to note that the actual method available for them will largely depend on the country they are using the platform from, given that both are global exchanges. Also, the deposit fees depend on the method you are using.
KuCoin allows traders to fund their accounts using both fiat and cryptocurrencies. For crypto deposits, traders only need to go to the deposit page and copy the wallet address or scan the QR code and send the assets.
The KuCoin cryptocurrency exchange does not support direct fiat deposits. Still, it allows traders to fund their accounts with fiat through third-party apps like Apple pay and Google Pay or use credit/debit cards.
Other account funding methods that KuCoin supports include Alipay, Paypal, Skrill, WeChat Pay, and Wire Transfer. And the exchange supports dozens of fiat currencies, including USD, EUR, RUB, GBP, CNY, JPY, AUD, and KRW.
Binance supports both fiat and crypto deposits and offers a wide variety of payments methods. Traders can post directly from external wallets and their bank accounts. Like with KuCoin, you only need to copy the address of the respective asset you want to send and paste it on your external wallet when sending.
Binance will give you more options than most other crypto exchanges out there regarding fiat deposits. The Binance exchange currently supports over 40 different fiat currencies that range from popular ones like USD and GBP to others like TRY, KES, and UAH. The chances are you can deposit with your local currency if you are from a country that Binance supports.
You can add funds to your Binance account using over 300 payments methods, including bank and wire transfer, debit/credit cards, PayID, OSKO, and third-party payments methods like Simplex and Banxa. Binance even accepts in-person cash payments in some countries.
KuCoin vs Binance: Spot Trading
KuCoin and Binance support more crypto assets than most of the exchanges out there, allowing traders to form hundreds of trading pairs for their spot market.
KuCoin supports over 500 coins that allow traders to form more than 1,000 trading pairs ranging from popular ones like ETH/BTC to altcoin pairs like KLV/TRX, so there is something for everyone. Moreover, the platform has deep liquidity with over $600 billion in trading volume.
Binance also supports over 600 digital assets for their spot market, and they are constantly adding new coins as they come into the market. The exchange allows you to form dozens of trading pairs with BTC, altcoins, and most of the supported fiat currencies. It is easy to keep track of the movement of your spot trading pairs as Binance provides real-time updates that include the market cap for the specific pair.
KuCoin vs Binance: Margin & Derivatives Trading
Crypto traders looking for higher returns on their digital assets should try derivatives trading with margin. However, it is also a riskier way of trading crypto as you can lose your investment with a slight change in price in the wrong direction.
Both KuCoin and Binance allow for margin trading and also have crypto derivatives markets. The maximum leverage you can use differs between the two exchanges, and their derivatives trading products are also different.
KuCoin allows traders to open positions with a maximum leverage of 100x but has the leverage at 20x as the default. Therefore to open a position worth $20,000, you will only need an investment of $200 if you plan to use the maximum leverage.
Their derivatives market will include futures and leveraged tokens. KuCoin allows you to choose from the futures classic market and futures lite with a maximum leverage of up to 100x. Also, the exchange has a futures brawl product that allows you to go long or short and battle for other prizes.
The Binance crypto exchange platform will allow you to open leveraged positions with a maximum leverage of 20x. Although it might not be as high as what you get on KuCoin, it is still good enough as even experienced traders will hardly open any position with a leverage of more than 20x.
For their crypto derivatives market, Binance will allow you to buy and sell futures, options, and leveraged tokens with margin. Their futures include USD-M futures settled in BUSD or USDT and Coin-M futures settled in crypto. Also, both products are available in quarterly and perpetual contracts. Quarterly contracts expire every three months, while perpetual contracts have no expiry.
KuCoin vs Binance: Trading Fees For Spot & Derivatives
Trading fees are a crucial element that will define the suitability of a crypto exchange as the higher they are, the more expensive it will be to use the platform. Luckily, both have relatively low trading fees at par or lower than the industry average.
KuCoin uses a flat rate fee for its spot market. They charge 0.1% per trade regardless of the trading pair you buy or sell. The fees will also not change whether the coins you are trading gain or lose value. This consistent pricing makes it easier for traders to plan their trade.
The cryptocurrency exchange uses the maker-taker model to calculate fees for its derivatives trading. Also, they have a tiered system where the fees depend on your monthly trading volume and the number of KCS (KuCoin’ss native token) you hold. The exchange calculates the trading fees according to your 30-day trading volume.
New traders with zero trading volume and holding less than 100 KCS will pay 0.1% in make and taker fees. High volume traders with over 20,000 BTC 30-day trading volume and holding more than 150,000 KCS pay o.0125% and 0.03% maker and taker fees, respectively.
KuCoin also charges withdrawal fees, but the actual amount you pay depends on the specific asset you are withdrawing. For example, withdrawing BTC will cost you 0.0005 BTC per transaction.
Binance has some of the lowest trading fees in the industry for both their spot and derivatives market. For their spot market, the exchange uses the maker/taker model and has 10 trader tiers from VIP 0 to VIP 9. Traders at VIP 0 pay 0.1% in maker and taker fees, while those at VIP 9 with the highest trading volume of the platform (over $5 billion) pay 0.0200% and 0.0400%, respectively.
Binance fees for crypto derivatives use the same maker-taker models and a tiered structure but are relatively lower than what you pay when spot trading. For example, VIP 0 traders that buy and sell the USD-M futures will pay 0.0200% and 0.0400% in maker and taker fees, while those at VIP 9 will not pay any maker fees, and their taker fee is just 0.0170%. These fees can even be lower if you pay using their own exchange token.
Binance does not charge withdrawal fees, but you will still need to pay the network fees. Also, there are no fees for depositing, but the third parties that support the payment, such as banks and apps, might charge a small fee.
KuCoin vs Binance: Mobile App
Binance and KuCoin make it easier for traders to trade on the go by providing some easy-to-use apps with most of the functionalities traders enjoy on their web-based platforms.
KuCoin’s mobile app is available for both Android and iOS devices. The app has a sleek but intuitive interface that beginners and experienced traders will love.
Additionally, it includes some trading bots not even available on the web platform and other things like charts and indicators to help support trading.
The KuCoin exchange app already has over 5 million downloads and a rating of around 4.3 after over 50,000 reviews, which is a good sign that many users have a positive experience.
Binance app is also available for both iOS and Android devices, and it offers most of the functionalities that you get on their web-based platform. It includes a simple interface that is easy to figure out and advanced charts and indicators. Traders can deposit, withdraw, and trade on both the spot and derivatives markets using the Binance mobile app.
KuCoin vs Binance: Opening Account & Account Limits
Creating an account on top-tier crypto platforms like KuCoin and Binance is straightforward as the companies try to make the process as simple as possible, even for absolute beginners.
Besides creating an account, traders also need to acquaint themselves with other things such as their limits which are typically dependent on their verification status.
KuCoin does not have mandatory KYC verification requirements. However, traders that use the platform without verification have lower withdrawal and P2P limits. They can only withdraw 1 BTC per day and do a maximum of 400 USDT in P2P trading.
There are two verification levels for individual traders, KYC 1 and 2. KYC 1 traders can withdraw up to 1 BTC per day, but they have a higher P2P limit of 2,000 USDT, while KYC traders can withdraw up to 200 BTC and have a P2P limit of 500,000 USDT.
Other verification levels are Institutiomak KYC with a 500 BTC daily withdrawal limit and 500,000 USDT P2P limit and the P2P merchants with a 2 million USDT daily trade volume limit.
Here are the steps to follow
- Go to https://www.kucoin.com/ and click on the green “Sign Up” button
- Choose to register with your phone or email
- Fill out the form with your phone/email address
- Enter the verification code you get on your email
- Create a password
- Enter the referral code if you have one and agree to the terms
- Click on “Sign Up” at the bottom of the page
- Log in to the account and set up two-factor authentication to secure your account
Binance did not enforce mandatory KYC verification in the past, but it is now making it mandatory for new traders before using the platform.
Luckily, the process is relatively easy and quick, provided your identification documents are ready. It should not be a big deal as it enhances security for traders.
The Binance exchange has basic, intermediate, and advanced verification levels. Traders that do basic verification have a $300 fiat lifetime withdrawal limit. Intermediate traders can withdraw up to $50K per day, while advanced traders have a $200K daily withdrawal limit.
Here are the steps to follow
- Go to https://www.binance.com and click on the “Register” button
- Confirm your country of residence
- Choose to register with your email or phone
- Enter your email/phone
- Create a password
- Read and agree to the terms of service
KuCoin vs Binance: Ease Of Use & Interface
Both KuCoin and Binance have some sleek interfaces with everything well-organized to make it easy to locate and figure out even for traders using the platforms for the first time.
The KuCoin trading platform is generally easy to use, but it still has a learning curve for absolute newbies. The many tools can be overwhelming at first, but they are handy once you get used to the platform. These tools include charts, several indicators, and at least 4 order types: limit, market, stop-limit, and stop-market orders.
Binance’s trading platform includes a more intuitive interface that seems a little more beginner-friendly. Also, they have real-time charting tools and indicators. Traders get easy access to price charts, order books, trade history, and various order types. The main order types on the platform are market order, stop order, limit order, stop-market order, stop-limit order, and trailing stop order.
KuCoin vs Binance: KCS vs BNB Native Token
Most top crypto exchanges shave native tokens that are tradable and usable to pay trading fees on the platform. Also, holding these tokens comes with several other advantages, such as getting bonuses and other incentives. Additionally, they help increase liquidity on the exchange and facilitate community governance.
KuCoin’s native token is the KCS, and holders will get a trading fees discount of up to 30%, depending on how many they hold. Additionally, KuCoin pays dividends to the KCS holders that are calculated daily and can trade a few additional pairs not available to other traders.
Binance has the BNB as their native token, which is a more popular token than most other native tokens as it is used to pay gas fees in other platforms such as Metamask. Holding the token and using it to pay your transaction fees comes with a discount of up to 25%. Also, holders can participate in Initial Exchange Offerings and qualify for the Binance VIP program.
KuCoin vs Binance: Security Features
Security is a major concern for most exchanges, given the ever-increasing cases of platforms getting hacked and user assets stolen. Therefore, when deciding between two exchanges, it should be one of your primary considerations.
KuCoin and Binance are two of the largest exchanges globally. Therefore, you can be sure they take security seriously and use some of the most advanced protocols to secure user assets.
KuCoin security features
- 2FA authentication
- Unique security questions
- Anti-phishing and Login safety phrases
- Separate password for trading
- Email notifications for account activity
- Restricted login IP
Binance security features
- 2FA authentication
- IP and address whitelisting
- API access control
- Ability to restrict device access
- Device management
Binance vs Kucoin: Customer Support
You can be sure of swift resolution of your issues when using Binance and KuCoin, as they have easily accessible and helpful customer support across multiple channels.
Binance allows you to reach this support via live chat, email support ticket, and social media channels like Twitter, Facebook, and Telegram. Their support is available 24/7, and you can also get a lot of helpful material in their learning center.
KuCoin support is also available 24/7 via online chat and email. They respond to most email tickets in under 24 hours to ensure swift issue resolution. Also, traders can get them on different social media platforms, and they have a support page with a lot of helpful articles.
- Is Binance Safe?
Binance is one of the largest exchanges globally, with millions of registered users on the platform, which is a good indication it is safe enough. However, it got hacked in May 2019, and many BTCs were stolen. Luckily, the loss was covered by the emergency insurance funds that compensated all traders. Since then, there have not been any issues as the exchange now uses some of the most advanced security systems in the industry
- Is KuCoin Safe?
KuCoin also had a hacking incident back in 2020 when hackers stole crypto assets worth millions, but the insurance funds covered any losses to traders. That said, the platform is now one of the most secure as they have enhanced their security with more advanced protocols and now keep most of the assets in offline cold storage where they are out of reach for hackers.
Binance and KuCoin are two of the largest crypto exchanges in the industry. Both support hundreds of digital assets and have highly liquid spot markets and high-performing crypto derivatives. Also, both have secure platforms and above-average customer service.
Regardless of which platform you choose between these two, you can be sure of an excellent experience and enough options for making money with your digital assets.
That said, KuCoin is a better option for those that like using trading bots or looking for high leverage trading. Binance is a good fit for a trader looking for low trading fees and a broader range of investments.