With Binance and Kraken among the most established cryptocurrency exchanges, which offers cryptocurrency traders a better overall product and service portfolio?
We have conducted an in-depth review of Binance and Kraken to determine which option presents the better overall choice and which traders will benefit the most from each exchange.
- Features and Platforms
- Available Markets
- Typical Spreads and Fees
- Security and Trust
- Binance vs Kraken - Verdict
 |  | |
Headquarters | United States | Malta |
Regulators | N/A | AMF, ASIC, CNMV, CONSOB, FMA, KNF, SEC, SFSA |
Tier 1 Regulator(s)? | ||
Owned by Public Company? | ||
Year Established | 2011 | 2017 |
Execution Type(s) | Market Maker | Market Maker |
Minimum Deposit | $0 | $0 |
Negative Balance Protection | ||
Trading Platform(s) | Other, Proprietary platform+ | Other, Proprietary platform, Web-based+ |
Average Trading Cost EUR/USD | Not applicable | N/A |
Average Trading Cost GBP/USD | Not applicable | N/A |
Average Trading Cost WTI Crude Oil | Not applicable | N/A |
Average Trading Cost Gold | Not applicable | N/A |
Retail Loss Rate | Undisclosed | Undisclosed |
Minimum Raw Spreads | Not applicable | N/A |
Minimum Standard Spreads | Not applicable | N/A |
Minimum Commission for Forex | Not applicable | N/A |
Islamic Account | ||
Signals | ||
US Persons Accepted? | ||
Managed Accounts | ||
| Visit Website | Visit Website |
Here is a snapshot of the most notable advantages of Binance:
- Industry-leading cryptocurrency ecosystem
- 300+ assets with low transaction fees
- Open dialogue with its client base
- The world’s leading cryptocurrency exchange with 150M+ traders globally
- An average daily trading volume of $65+ billion
- Algorithmic and API trading support
- Copy trading functionality.
- Excellent cryptocurrency exchange that is not subject to restrictive regulatory processes
- Superb educational content
Here is a snapshot of the most notable advantages of Kraken:
- 10M+ clients from 190+ countries
- Quarterly trading volume exceeding $200 billion.
- User-friendly fiat currency ‘on-ramp’ for beginners
- API trading support
- Quality educational content
- Largest Bitcoin exchange for Euro-denominated transactions
- The first cryptocurrency exchange to pass a cryptographically verifiable proof-of-reserves audit.
- Court-appointed trustee of the Tokyo government
- A partner in German-based Fidor Bank
Features & Platforms
| | |
MT4 | ||
MT5 | ||
MT4/MT5 Add-Ons | ||
cTrader | ||
Proprietary Platform | ||
Automated Trading | ||
Social/Copy Trading | ||
DOM? | ||
Guaranteed Stop Loss | ||
Scalping | ||
Hedging | ||
One-Click Trading | ||
OCO Orders | ||
Interest on Margin | ||
| Visit Website | Visit Website |
Available Markets
Kraken offers fewer cryptocurrencies but features Forex trading on its web-based platform.
Here is why we rate Binance as the better choice for most traders:
- Greater choice of cryptocurrencies
- Highly liquid meme coins
- Digital tokens
- DeFi solutions
- Liquid staking
- Gaming
Typical Spreads & Fees
| | |
Average Trading Cost EUR/USD | Not applicable | N/A |
Average Trading Cost GBP/USD | Not applicable | N/A |
Average Trading Cost WTI Crude Oil | Not applicable | N/A |
Average Trading Cost Gold | Not applicable | N/A |
Average Trading Cost Bitcoin | 0.00% to 0.26% | 0.018% to 0.10% |
Minimum Raw Spreads | Not applicable | N/A |
Minimum Standard Spreads | Not applicable | N/A |
Minimum Commission for Forex | Not applicable | N/A |
Deposit Fee | ||
Withdrawal Fee | ||
Inactivity Fee | ||
| Visit Website | Visit Website |
Which multi-tier maker-taker model is cheaper?
Binance trading fees start from 0.1000% for non-VIP traders or 0.0750% for BNB-denominated transactions. Kraken charges makers 0.16%, takers 0.26%, and 0.20% on stablecoin pairs and Forex. NFT transactions face a 2.00% flat fee, and Kraken Instant Buy has a 0.9% fee for stablecoins and 1.5% for cryptocurrencies.
Account Types
Account Types | Binance | Kraken |
|---|---|---|
Commission-free Accounts | No | No |
Commission-based Accounts | Yes | Yes |
Demo Accounts | Yes | No |
Islamic Accounts | No | No |
Social / Copy Trading | Yes | No |
Managed Accounts | No | No |
Both cryptocurrency exchanges deploy a commission-based pricing model using the industry-wide price maker/taker model. Still, Binance has significantly cheaper trading costs in comparison, granting its account holders a competitive edge.
What else should cryptocurrency traders know about the Binance and Kraken account types?
Here is what stands out the most:
- Both cryptocurrency exchanges support API trading, but Binance offers non-API algorithmic trading.
- Binance has demo accounts.
- Binance features in-house copy trading.
Minimum Deposit
Deposit Snapshot | Binance | Kraken |
|---|---|---|
Minimum Deposit | $0 | $0 |
Deposit Fees | Third-party | Yes + Third-party |
E-wallets | No | Yes |
Cryptocurrencies | Yes | Yes |
Localized Methods | Yes | Yes |
Total Deposit Methods | 800+ | 6+ |
Supported Fiat Deposit Currencies | USD, EUR, GBP, 27+ | USD, EUR, GBP, 4+ |
Which cryptocurrency exchange has the better deposit process?
Binance is cheaper and faster and offers more deposit methods overall than Kraken. Both exchanges support credit/debit card deposits, fee-free at Binance, while Kraken charges 3.75%.
There is no minimum deposit requirement at Binance or Kraken, but the former supports more fiat currencies, significantly more cryptocurrency transactions, more localized methods, and P2P transactions.
Minimum Withdrawal
Withdrawal Snapshot | Binance | Kraken |
|---|---|---|
Minimum Withdrawal | Asset-dependent | Asset-dependent |
Internal Withdrawal Fees | Yes | Yes |
Internal Processing Times | Between 30 and 60 minutes | Up to five business days |
What should cryptocurrency traders know about the withdrawal process at Binance and Kraken?
Binance has the fastest internal withdrawal processing times and cheaper withdrawal costs. For cryptocurrency transactions, the fees remain asset-dependent at Binance and Kraken. Cryptocurrency traders who request credit/debit card withdrawals pay a 2.00% fee at Binance versus 3.75% at Kraken.
Etana Custody (a third-party custodian) handles fiat bank wires for Kraken but comes with a $150 minimum withdrawal and a $35 fee.
Security & Trust
| | |
Country of the Regulator | N/A | United Arab Emirates, Australia, Bahrain, Spain, France, Indonesia, Italy, Japan, Kazakhstan, Lithuania, Mexico, New Zealand, Poland, Sweden, Thailand, South Africa |
Name of the Regulator | N/A | AMF, ASIC, CNMV, CONSOB, FMA, KNF, SEC, SFSA |
Regulatory Tier | N/A | 1,1,1,1,1,1,5,5,5,2,1,2,1,1,2,2,4,2 |
| Visit Website | Visit Website |
Is Binance or Kraken more secure and trustworthy?
Binance and Kraken are trusted cryptocurrency exchanges; Binance stands out as a highly integrated participant in the global cryptocurrency arena, giving it a competitive advantage.
Binance allows clients to verify assets held on exchange 24/7 via proof of reserves using Merkle Tree and zk-SNARKs. It also goes above and beyond to assist clients in asset recovery from cyber crimes and co-operates with law enforcement to locate criminals.
However, it must be noted that Binance was fined $4.8 billion US, and the CEO stepped down in 2023, leading to increased questions regarding the reliability of Binance, which pleaded guilty to money laundering, unlicensed money transmitting, and sanctions violations.
Kraken deploys industry-leading security features and infrastructure with 24/7 customer support via phone.
Broker versus Broker Verdict
Binance
Pros | Cons |
|---|---|
Trusted exchange with its own cryptocurrency and low trading fees | Beginners face a learning curve due to the scope of products and services |
350+ assets, plus options and futures trading, staking, and NFTs | |
Cutting-edge trading platform, algorithmic trading, and API support | |
P2P trading via bank transfers or 800+ options |
Kraken
Pros | Cons |
|---|---|
Trusted exchange with over 12 years of operational history | Expensive fees for the Kraken Instant Buy feature |
Staking for non-US clients | Operates under unfriendly US cryptocurrency regulations |
Lightweight, web-based trading platform and user-friendly mobile app | Some traders reported asset losses amid hacks |
200+ liquid cryptocurrencies, meme coins, and NFTs |
Which cryptocurrency exchange is better?
Binance has a more competitive, integrated cryptocurrency ecosystem, while Kraken shines with its OTC trading desk catering to larger one-off trades where a client needs more support.
Here is our verdict:
Kraken serves US-based cryptocurrency traders better, and Binance is the best choice for genuine cryptocurrency lifestyle traders everywhere else. However, some investors may justifiably fear Biance due to their recent regulatory issues. It might be wise to conduct deeper research into what changes have been made at Binance since November 2023.
You might also be interested in reviewing the below broker comparisons:
FAQs
Is Binance cheaper than Kraken?
Binance is 50%+ cheaper than Kraken, delivering a notable competitive advantage.
What is the difference between Binance and Kraken?
Binance has a more integrated, genuine cryptocurrency ecosystem catering to traders who embrace the crypto lifestyle and philosophy. Kraken is an excellent corporate partner and features a solid cryptocurrency on-ramp for beginners, but it only serves US residents well.
Which is safer: Kraken or Binance?
Both cryptocurrency exchanges are safe, have verifiable reserve assets, and lead the cryptocurrency industry in safety features, with Binance maintaining an edge. However, it was convicted of money laundering, unlicensed money transmission, and sanctions violations in 2023.
Is Kraken or Binance better?
It depends on individual preferences and the geographic location of cryptocurrency traders. Kraken serves US residents better, but Binance maintains an unbeatable overall cryptocurrency environment for all non-US residents.