The world of cryptocurrency trading can be overwhelming with so many exchanges to choose from. Kraken and Bitfinex are two old school and well-known exchanges in the industry, but how do you know which one is right for you? That's where we come in. Our comprehensive comparison will provide you with all the information you need to make an informed decision when it comes to choosing between Kraken and Bitfinex.
Kraken and Bitfinex are both popular cryptocurrency exchanges that offer a wide variety of coins to trade.
Kraken stands out as one of the top cryptocurrency exchanges due to its high level of security, low fees, and diverse range of trading pairs. The exchange has been in operation since 2011, making it one of the oldest in the industry, and has established a strong reputation for its reliability and transparency.
The exchange was founded in 2011 by Jesse Powell is based in San Francisco and has over 2,000 employees. They are available in 190 countries and offer 190 cryptocurrencies to choose from making them a solid choice for investors looking to diversify their portfolio. With a user-friendly interface and excellent customer support, Kraken is a top choice for both novice and experienced traders alike.
Bitfinex was founded in 2012 by Raphael Nicolle and Giancarlo Devasini and is registered as Ifinex Inc in the British Virgin Islands. With 300 employees, they are available in 52 countries and offer over 180 cryptocurrencies. One of the standout features of Bitfinex is its advanced trading tools and platform customization options.
Bitfinex offers a range of order types, including limit, market, stop, trailing stop, and fill or kill orders. Additionally, Bitfinex provides users with a customizable user interface, allowing them to adjust the layout and widgets according to their trading preferences. Bitfinex also offers a variety of margin trading options, with leverage of up to 5x for most trading pairs and up to 100x for some crypto-to-crypto pairs.
Kraken vs Bitfinex: Signup & KYC
Signing up for Kraken is a fast and takes less than a minute to complete. Basic verification can be achieved in 2 minutes. However, if all the required documents have been received, the verification process can take up to 5 days. This may seem like a long time but it's a testament to Kraken's thorough verification process. Once completed, you'll have access to full trading and transfer capabilities.
Bitfinex also requires users to complete KYC verification before they can trade. Signing up for Bitfinex typically takes 30 seconds to complete and the verification taking 1-2 working days. To pass the KYC, users will need to upload official photo ID, biometric photo, phone number, and address. For corporate accounts, the process may take longer to complete.
Kraken vs Bitfinex: Products & Services
Kraken offers a more limited product offering with spot, futures, and margin trading. It also offers staking (for non-US users) and an NFT marketplace. The user interface is straightforward and easy to navigate, making it a great choice for beginners. Kraken has also provided proof of reserves, giving users peace of mind when it comes to the safety and security of their funds. However, the leverage offered by Kraken is limited to 50X for spot and 5X for margin trading.
On the other hand, Bitfinex offers a wider range of trading services such as spot, futures, perp, and margin trading. It also offers additional features such as staking, lending & borrowing, OTC desk, and a debit card. The leverage on Bitfinex is higher, with 100X for spot trading and 10X for margin trading. However, the user interface can be a bit confusing and may take some getting used to.
If you are a beginner looking for a straightforward and secure platform with limited leverage, Kraken is a great option. However, if you are an experienced trader looking for a wider range of services and higher leverage, Bitfinex may be more suitable for you.
As a cryptocurrency trader, finding the right exchange with the lowest trading fees can make all the difference in your profitability. In this review, we will take a closer look at the trading fees offered by Kraken and Bitfinex.
Kraken offers competitive trading fees of 0.16% for makers and 0.26% for takers. This fee structure is tiered meaning that the more you trade, the lower your fees become. Kraken also offers a low 0.02% futures fee for makers and a 0.05% fee takers.
On the other hand, Bitfinex, a Hong Kong-based exchange, offers a fee structure of 0.10% for makers and 0.20% for takers. Bitfinex also offers a lower maker fee of 0.02% for futures and slightly higher maker fee at 0.065%. In comparison, both Kraken and Bitfinex offer reasonable trading fees with Bitfinex having lower spot trading fees.
When it comes to deposit options, Kraken and Bitfinex are two of the most popular cryptocurrency exchanges in the market. Kraken supports a whopping 7 fiat currencies, including USD, EUR, CAD, AUD, GBP, CHF, and JPY.
Meanwhile, Bitfinex only supports 5 fiat currencies: USD, EUR, GBP, JPY, and CNH.Kraken offers a variety of deposit methods, including Fedwire, SWIFT, ACH, SEPA, FPS, and more. The best part is that ACH deposits for USD, EUR, and CAD are completely free.
On the other hand, Bitfinex only offers bank wire transfers and crypto deposits.While Kraken's deposit fees are quite reasonable (0.15 EUR for SEPA deposits), Bitfinex's deposit fees are not so competitive.
In fact, Bitfinex charges a minimum deposit fee of $60 USD with OpenPayd or a 0.5 EUR fee per transaction.Overall, if you're looking for a wider range of deposit options with lower fees, Kraken is the better choice. However, if you only need to deposit a large amount of crypto, Bitfinex may be the right exchange for you.
Kraken and Bitfinex both offer fiat currency withdrawals through various methods, including bank transfer and SEPA. Kraken charges a withdrawal fee of 0.9 EUR for SEPA, while Bitfinex charges a 0.1% withdrawal fee with a minimum of $20. When it comes to cryptocurrency withdrawal fees, Kraken charges a lower fee for BTC and ETH compared to Bitfinex. However, Bitfinex offers free ETH withdrawals, which Kraken does not. Additionally, Bitfinex supports free SOL withdrawals, while Kraken charges a fee for SOL withdrawals. Overall, both exchanges have their advantages and disadvantages, but Kraken may be more cost-effective for withdrawals with lower fees for cryptocurrency withdrawals.
Kraken supports fiat withdrawals for all seven currencies that they support, including ACH (free), SEPA (0.9 EUR fee), SWIFT ($4 fee), and FPS (1.95 GBP fee). Bitfinex, on the other hand, offers fiat currency withdrawals via Bank Wire and OpenPayd for five supported currencies, with a minimum withdrawal amount of 10K USD/EUR and a 0.1% withdrawal fee (minimum $20 fee).
When it comes to crypto withdrawals, both exchanges offer competitive and low withdrawal fees.
In conclusion, Kraken's focus on security and thorough verification process may be more appealing to users who prioritize safety, while Bitfinex's wider range of trading options and higher leverage may be more suited to experienced traders who are looking to diversify their portfolio. Ultimately, it is up to each trader to weigh the advantages and disadvantages of Kraken and Bitfinex against their specific trading needs and preferences.
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Jack is a crypto writer and reviewer who has been active in the space since he caught the crypto bug in 2017. With a passion for trying out new shiny things, Jack is always eager to try the latest cryptocurrency exchanges, wallets or DeFi applications.