KUCOIN
What is Kucoin?
KuCoin is a global cryptocurrency exchange that offers a variety of features and trading options along. From its native token to the trading bot, this guide has covered it all for beginners.
Launched back in 2017, KuCoin is a global crypto exchange that provides a number of trading options to its six million users. These include spot, margin, futures, and P2P trading, along with lending, and staking. KuCoin claims to offer the most advanced level of security and a selection of nearly 400 cryptocurrencies. Despite its variety of features, it is a beginner-friendly exchange, with a sleek and easy-to-use interface. The exchange also charges some of the lowest fees in the crypto industry.
What Is KuCoin Token (KCS)?
The price of many popular exchange tokens is on an upward trend, including KuCoin’s native coin, KCS. Since August 21, 2020, the token has experienced an increase of about 700% in its price, drawing the attention of crypto and blockchain investors. With a circulating supply of 80,118,638 KCS, the exchange rewards KCS holders with bonuses daily. The initial total supply of this token was 200 million where the implementation of the burning strategy has brought the count down to around 170 million, at the time of writing.
Understanding KuCoin Exchange and KCS Token
KuCoin has a tendency to list small-cap cryptocurrencies that have huge growth potential. Additionally, it offers access to a large selection of tokens, including lesser-known coins. Moreover, it has one of the most generous profit-sharing incentives - up to 90% of trading fees are given back to KCS holders.
The total market cap of KCS is currently $919,605,428 and ranks 96 on CoinMarketCap, at the time of writing. There are 80,118,638 KCS in circulation with a max supply of 170,113,638. KuCoin’s buyback and burn strategies will continue till only 100 million tokens are left.
What Makes KuCoin Unique?
Staking coins on KuCoin is a great way for users to make a passive income, as they reap the benefits of joining the KuCoin community. Those that hodl more than six KCS also have the opportunity to earn a daily bonus.
Using the KuCoin Exchange
Just like any exchange, KuCoin has been designed to allow its users to buy, sell, and safely store a variety of cryptocurrencies either using their online platform or mobile applications. Although you can register an account using just an email address or a phone number, if you go through the verification process, you can enjoy access to advanced features in addition to reduced fees and opportunities to earn rewards.
As for the KCS token, there are a number of applications and uses. It is used not only to pay trading fees but also to participate in events and token sales featured on KuCoin Exchange. The token is also used as a payment method across tons of applications ranging from gaming to retail to NFTs and even travel. SwirlPay, PlayGame, Travala, Print-ted, PundiX, and BetProtocol are just a few platforms that accept KCS as payment.
KuCoin Trading Bot
KuCoin offers the facility of Trading Bot that makes it easier for users to trade.
After creating an account and making a deposit, users can enter specific trading parameters and let the bot take over. Its Trading Bot uses information and analytics about the market in addition to other tools to analyze prices and forecasts. In addition to the users’ preferences, the bot then uses this combination of information to place buy and sell orders as the price moves. And voila! Trading Bot helps crypto traders make money while they sleep by recovering invested money as well as making pure profit.
KuCoin Trading Bot offers long-term trading strategies as well. Instead of investing several thousand dollars into any cryptocurrency all at once, users can instruct the Trading Bot to invest small amounts at certain intervals over time.
As CEO of KuCoin Global Johnny Lyu, makes note of, "Unlike other financial markets, crypto trading occurs on a 24/7/365 scale. Human traders can't keep up with the ongoing changes. KuCoin acknowledges that its Trading Bot tool will solve the problem of needing sleep and trading based on emotions. It is a passive approach to trading cryptocurrency and maximizing one's potential profit. Traders will have more time to enjoy life and do what they like, knowing that their crypto trading portfolio is working on their behalf."
Who Is KuCoin Good For?
There’s one huge caveat you need to understand before you even think about opening a KuCoin account: KuCoin is not licensed to operate within the U.S. This does not mean you cannot use KuCoin in the U.S., although it does make this platform complicated and risky.
What Makes KuCoin a Good Choice
KuCoin charges rock-bottom fees and supports trading in a huge range of cryptocurrencies. It’s one of the few platforms where U.S. users can access a margin account for trading crypto, and it offers a 20% discount on trading fees when using its token, KuCoin Token (KCS).
As with all crypto exchanges, it’s important to keep in mind that you are investing in a very volatile new asset class. This involves taking on significant risk, no matter what trading platform you choose.
KuCoin’s Disadvantages
For starters, users who are based in the U.S. cannot complete standard financial industry Know Your Customer (KYC) disclosures on KuCoin. These disclosers are meant to reduce crime and money laundering.
Crypto exchanges are also frequently targeted by hackers. In 2020, KuCoin suffered a major hack, with more than $280 million in assets stolen. Almost all of the stolen assets were recovered, and KuCoin compensated for the missing assets through its insurance.
KuCoin Features
The Seychelles-based crypto exchange launched with an initial coin offering in 2017. Founded as “the people’s exchange,” KuCoin ranks among the world’s top 10 largest crypto exchanges by volume, according to CoinMarketCap.com.
As mentioned, KuCoin is not licensed in the U.S. This means U.S.-based users may sign up for accounts, but they will remain “unverified,” which limits access to certain features. Outside of the U.S., KuCoin also has similar limitations.
Fees
KuCoin’s trading fees are very competitive. Investors receive discounts based on their average monthly holdings of the platform’s native token, KCS, or their previous month’s trading volume. They can slash fees even further if they pay with KCS.
Like most crypto exchanges, KuCoin has a maker/taker fee structure, meaning you pay different fees depending on whether your order is considered a maker or a taker.
Makers create liquidity on an exchange by providing new open orders to be filled by others. Takers, meanwhile, reduce liquidity by filling existing maker orders.
The level of maker/taker fees vary based on the trading level and the “class” of the coin being traded on KuCoin. Cryptos on the exchanges are sorted into the following categories: Class A, Class B and Class C.
Most popular cryptocurrencies, such as Bitcoin (BTC) and Ethereum (ETH), are in Class A. For trading, a Class A coin and the basic level of Level 0 (LV0), the maker/taker range is 0.1%/0.1%, respectively.
More obscure coins, like Love Coin (LOVE), fall under Class B, trading with a 0.2%/0.2% maker/taker fee for that low-volume level of LV0.
Very few coins are listed on Class C—and the ones that are listed you’ve probably never heard of. Class C is filled with cryptos like BURP and HIPUNKS, cryptos with less than $1 million in market cap.
Like most crypto exchanges, you pay a fee to withdraw almost all cryptocurrencies from your KuCoin account. For instance, the current fee to withdraw Bitcoin from the platform is 0.0005 BTC, which would amount to approximately $10.12, at the time of this writing.
The fee depends on the specific coin, so be sure to check these before you make your purchase if you plan to transfer your coins to another wallet or exchange.
Security
KuCoin partnered with Singapore-based crypto asset security platform, Onchain Custodian, which maintains custody of KuCoin’s crypto assets. In addition, those assets are backed by Lockton, a private insurance brokerage.
The platform offers standard security measures, including identity verification, trading passwords and anti-phishing phrases.
However, U.S. users need to be aware that, due to their inability to complete KYC verification, their accounts may not be as secure as international accounts. KuCoin doesn’t offer unverified accounts the same fraud and hacking protection as verified accounts.
Opening a KuCoin Account
Opening a KuCoin account is very easy. Simply go to the KuCoin website, click the sign-up button and enter your email. KuCoin will send you a verification code that you can then input to set up your password. You can also sign-up for KuCoin with a phone number.
Once the sign up is complete, you’ll have the opportunity to enter your security settings. These include identity verification for logging in or transactions, a trading password and anti-phishing safety phrases. Once your security settings are complete, you’re ready to start trading crypto.
Since KuCoin is not licensed in the U.S., customers based in th U.S. can’t complete the KYC process or access verification benefits like higher daily withdrawal limits, fiat trading, higher futures leverage and quicker account recovery if you forget your credentials or your account gets hacked.
Cryptocurrencies Available
KuCoin offers over 600 cryptocurrencies for users to buy, sell, and trade. Those looking for a wide selection of assets may appreciate what this exchange provides. Here’s a partial list of cryptocurrencies that are currently available on KuCoin:
1) Bitcoin (BTC)
2) Dogecoin (DOGE)
3) Ethereum (ETH)
4) Polkadot (DOT)
5) Shiba Inu (SHIB)
6) XRP (XRP)
Trading Experience
KuCoin users can access their accounts through an online portal or mobile apps, available for Android and iOS. Both its desktop site and mobile apps offer an abundance of features and tools.
Once logged in on desktop or mobile, KuCoin users can click to view markets, buy crypto, trade, lend crypto, and more. The platform supports four order types—market, limit, stop-limit, and stop-market. Margin, futures, and P2P trading are also available, which could be a plus for certain users. Additionally, KuCoin supports staking and recently introduced a Trading Bot feature to help simplify the trading process; it essentially acts as a robo-advisor for your cryptocurrency portfolio.
While this exchange offers many options, its desktop and mobile platforms aren’t particularly user-friendly. That said, the site does offer a decent help center where users can find answers to common questions.
How KuCoin Compares to Other Cryptocurrency Companies
KuCoin offers a huge selection of cryptocurrencies and relatively low fees compared to other crypto exchanges. It also supports staking and margin, futures, and P2P trading, which may appeal to more experienced users. However, there are some drawbacks to be aware of as well. KuCoin isn’t licensed in the U.S. and it was recently the subject of a major hack. If you’re interested in buying or trading crypto, here’s a look at how it compares to another top exchange, Coinbase.
KuCoin vs. Coinbase
Both KuCoin and Coinbase rank among the top cryptocurrency exchanges in the world by trading volume.2 However, there are some important differences between the two platforms:
1) KuCoin is not licensed in the United States, but Coinbase is licensed in the U.S.
2) KuCoin offers 600+ cryptocurrencies, while Coinbase supports just 150+.
3) Coinbase has higher trading fees than KuCoin.
4) Coinbase users can get phone support, while KuCoin doesn’t offer this option.
For U.S.-based users, Coinbase is likely the better option despite its higher trading fees. However, those outside of the U.S. may appreciate KuCoin’s lower fees and wider selection of crypto.
Methodology
To determine crypto exchange rankings, we assessed the features and options offered by nearly 25 exchanges, trading apps and brokerage platforms that offer crypto trading options.
To rank the best crypto exchanges overall and the best exchanges for beginners, we assessed all of the features and options offered by these 25 platforms. The editorial team then developed a standardized methodology, analyzing 10 key benchmark features and variables to assess quality across the platforms.
Basic trading features count as one factor in the overall and beginner rankings. Other ranking factors include platform availability, customer service, educational resources, security and storage, staking and rewards, to name a few.
The sum of weighted values across all or some of these key factors was calculated for each ranking to award each brokerage or exchange its overall rank. Margin trading, platform lending, and advanced trading were not considered for choosing the best crypto exchanges for beginners.
KuCoin Affiliate Program
What is the KuCoin Affiliate Program?
The KuCoin Affiliate is a partner with the same mission and values as KuCoin. So, we have launched the KuCoin Affiliate Program, where you can create a unique referral link. Anyone who clicks on the link and completes the registration will automatically be classified as your invitee. You will receive a commission on all trades completed by your invitee, including Spot, Futures, and Margin trades.
KuCoin Referral and affiliate programs
Nearly all the cryptocurrency exchanges prior to KuCoin offered referral systems similar to that of KuCoin. Users would receive a small share of the revenue produced by referrals in exchange for introducing their colleagues, friends and family.
As of now, the Kucoin exchange has launched a brand-new referral programme that operates in a completely unique way. The programme lets all users invite new people top sign up, but rather than receiving cash rewards in exchange for their referrals; instead, they will receive KuCoin stars. After claiming, these reward stars are able to be exchanged for a wide selection of prizes, gifts and other rewards – which includes a huge reward of $1000 dollars to those who earn the top prize of 20000 stars!
With these referral codes, a user's friends can sign up for the program and get big bonuses of their own. This allows everyone to claim more rewards, and also claim big discounts on their trading fees.
Recently, KuCoin has also introduced an upgraded affiliate program, allowing users to earn up to 55% commission on all their invitee’s crypto currency trades.
Affiliate Program of KuCoin
KuCoin members can now also participate in a much more traditional affiliate scheme in which they can refer or introduce other new users and claim commissions based on the volume of cryptocurrency which they trade every week.
Affiliates are eligible to get commissions on their trading fees up to 55% of the trading costs. This allows for huge potential earnings by active affiliates. Also, what is unique to this program, is that KuCoin allows a ‘2nd level’ commission, offering an additional 5% in commissions. This program will also allow you to offer your referrals a customizable discount on their trading fees too.
You can start using the Kucoin referral programme by following the steps below:
1. Launch the KuCoin app, then select menu
2. Select ‘Invite friends.
3. Here, you will be able to receive your unique Kucoin refer code.
With every successful referral, your invitees are able to claim $10 - $510 in rewards and you will be able to earn lucrative bonuses with the referral program – offering a wide variety of amazing rewards and prizes. The affiliate program at KuCoin also follows a similar method, via the affiliate section.
Who Can Join KuCoin Affiliate Program?
Any KuCoin user who has a YouTube, blog, website, or other social network traffic channels with a sizable amount of subscribers or users may have the opportunity to become an affiliate partner, more detailed below:
1) Digital currency community leaders, media writers, YouTube video bloggers, and other content creators willing to promote KuCoin to monetize their audience ( requirements: community with more than 500 members, or a social media account with more than 5000 followers).
2) Crypto tool sites, industry media sites, cryptocurrency-related quotes sites, and other cryptocurrency sites.
3) Institutions, promotion agents, and other organizations, etc.
How Much Can You Earn With KuCoin Affiliate Program?
As an Affiliate Partner, you will repeatedly earn up to 45% of your referral’s trading fees for their lifecycle on KuCoin.
How To Join the KuCoin Affiliate Program?
1st step: become a KuCoin AffiliateTo apply for the KuCoin Affiliate Program, fill out the KuCoin Affiliate Program Application Form, and their team will contact you after review.
2nd step: Promote your unique affiliate linkYou can create and manage your unique referral link on the KuCoin Affiliate page; you can also configure your promotion links to different channels.
3rd step: Earn commission easilyYou will earn a commission of 45% from valid trades of new users signed up for a KuCoin account through your unique referral link; you will also receive a 5% bonus on sub-affiliate commission if you refer others to join the affiliate program.
