KuCoin Exchange Review: Scam or Legit?

/KuCoin Exchange Review: Scam or Legit?

KuCoin Exchange Review: Scam or Legit? 2018-05-22T15:27:06+00:00
KuCoin Exchange Review: Scam or Legit?

KuCoin Exchange Review

Quick inner navigation:

  1. What is KuCoin?
  2. Is KuCoin safe?
  3. How to use KuCoin?
  4. KuCoin Fees
  5. KuCoin’s Verification
  6. KuCoin Bonus and Referral Program

In recent years, cryptocurrency has exploded and gained a lot of public interest. It has created opportunities for new businesses and markets. Cryptocurrency exchanges are battling it out to become the best.

However, a lot of cryptocurrency exchanges have stopped taking in new members in the meantime because of extraordinary demand. This makes it harder to enter the cryptocurrency world if you want to trade. Recently, a cryptocurrency exchange called KuCoin has emerged in the competition. As such, they are currently accepting new members. If you are a beginner, this cryptocurrency exchange can be your ticket to entering the world of cryptocurrency. But first, what is KuCoin? Let’s discuss that a little further.

What is KuCoin?

Kucoin is an Asian exchange and it is based in HongKong, China. The exchange that was launched last September 15, 2017. It is one of the many cryptocurrency exchanges that trade between cryptocurrencies and no fiat currency is supported.

It was founded by a group of blockchain enthusiasts and lists 12 core members. The founder and CEO, Michael Gam, worked as a technical expert in Ant Financial, an affiliate company of Alibaba. Most of the team members have years of experience in prestigious companies.

Despite being based in Hong Kong, it has reaped an outstanding acceptance rate in the global markets. The company primarily aims to attract foreign users. KuCoin has its own token called KuCoin Shares (KCS) and pays out 90% of its exchange fees to token holders. Every day they give dividends in token form.

KuCoin exchange main features

The unique features of kucoin have made it so distinct from other cryptocurrencies. The features are intensively explained below;

  • Powerful API interface

In order to get access to market and real-time prices, the interface pulls data from other systems.

  • Financial system stability

To help protect your asset and keep it safe, there are multiple levels of protection that Kucoin has. Other exchanges do not have this guarantee; the desktop wallet is best used to store coins. For the financing sectors, Kucoin’s level of stability is reserved typically. For prevention of natural disaster and hardware failure, extra precautions are taken.

  • Specialized and well-established Professional Team

The team’s professional members are well established with good work experience in each field of specialization. Kucoin’s consultant team are experts with financial skills; they also have experience in the cryptocurrency world and blockchain.

  • Efficient customer service

When it comes to rendering good services to customers, kucoin customer service runs throughout the day, i.e. it is available 24/7.  Customer needs are attended to and taken care of without delay via website and email.

  • Operation strategies

Another unique feature of kucoin is its operation strategies, the R&D team which is so powerful ensures the services rendered are stable and of good quality. To promote operations, the operation team works on long-term and large-scale online and offline. Active users who invest, exchange or promote kucoin are given more commission from the exchange; this serves as incentives to customers and users and in the long run, helps to bring in new traders.

KuCoin Shares

KuCoin Shares (KCS) are used in the exchange and offer several bonuses such as lower trading fees, income from fees and other special services. Currently, it only has a total volume of 200 million in circulation. KCS is based on Ethereum and is an ERC20 token. You can store your KCS safely on ERC-20 supported wallets.

KuCoins Supported Cryptocurrencies

Among the coins traded in the platform include ETH, BTC, BCH, KCS, DRGN, DBC, XRB, PRL, LTC, SNOV, DENT, NEO and many more. By December 2018, KuCoin aims to expand to around 1000+ altcoins.

KuCoin Fees

Deposit Fees

KuCoin does not require any deposit fees aside from the fees you’ll pay for transferring a particular currency. On the other hand, trading fees are at 0.1% minus the discount you will receive from holding KCS.

Every 1000 KCS that users purchase has an equivalent 1% discount on their trading. This can go on to as much as 30% discount.

Withdrawal Fees

When withdrawing, fees vary for each currency. Some are expensive while others are free like GAS and NEO. I have included a sample list of the withdrawal fees down below to give you an idea.

Assets Fees (units of each currency)
KCS 2
BTC 0.0005
USDT 10
ETH 0.01
LTC 0.001
NEO Free
GAS Free
KNC 0.5
BTM 5
QTUM 0.1
EOS 0.5
CVC 3
OMG 0.1
PAY 0.5
SNT 20

Keep in mind, though, that the majority of KuCoin fees come back to us, users. KuCoin only retains 10% of the trading fees while the 90% returns to the users. The biggest portion, 50%, is given to users with KCS while the remaining 40% is shared via Invitation Bonus.

KuCoin’s Verification

Signing up for KuCoin is easy.

  1. Start by entering your email address and password.
  2. Afterwards, you will receive a verification email.
  3. Then you’ll only need to verify your email address and voila you’re logged in.

Identity verification is not needed since KuCoin doesn’t support fiat currencies like EUR and USD.

KuCoin Bonus and Referral Program

Note: KuCoin referral program is temporarily suspended.

Kucoin provides a platform whereby users can invite other users with the use of an invitation code, and if you invite others to trade on kucoin successfully, the trading service fee of the invited persons could be shared with you. For example, if you directly invited users, you will get 20% of the fees, while the user you invited directly gets 12% of the fees of the users that were invited indirectly and that is how the invitation code works.

KuCoin has a lot of promotions. They have a referral program which has a pyramid effect. Registered users receive an Invitation Bonus for every new user that they invite.

I know you might be thinking that this is a pyramid-scheme or KuCoin scam. However, what makes this KuCoin different is that they do NOT benefit from the entire referral program. It is merely used to bring more traffic and volume.

When you share your code, you will get a referral bonus. Plus if the one you’ve invited shares their code with others, you will also receive a percentage of their transaction fees.

You will receive:

  • 20% of directly invited users
  • 12% of indirectly invited users (2nd degree)
  • 8% of indirectly invited users (3rd degree)

Is KuCoin safe?

KuCoin is considered to be safe due to the proper security efforts on both the operational and systems level. The R&D team which is so powerful ensures the services rendered are stable and of good quality. It is also very easy to use and has a mobile application. The transactions on Kucoin are fast, reliable and with low fees.

Community Trust

People trust Kucoin because of their high profile team members starting with the CEO, Michael Gan who is a former technical expert of the Ant Financial of Alibaba Group, a senior partner of Internet giants such as MikeCRM and KF5.COM and veteran of financial solutions. In addition, they also have their President of the Business Operations Group, John Li, the President of Jianbang Communication.

Because of their Invitation bonus and incentives, a lot of people have become token holders. Currently, the exchange has been growing at an impressive rate.

Security

KuCoin was built using financing level standards such as standard transfer encryption protocol for data transfer layers. This means that the user data and sensitive data are stored at a bank level on data encryption. Kucoin ensures that transactions are well secured by using multi-level risk identification control, dynamic authentication, data encryption, etc. Kucoin has lots of benefits that it offers to users. One of the benefits includes financial security; using Kucoin, your wallet is safe; there is an adoption of a storage solution which has a security level that is multiple, in accordance with their storage scale.

KuCoin also has a multifactor dynamic authentication for added security, a dedicated internal risk control department and another for operational processes.

24/7 Customer Service

Through WeChat and other platforms, KuCoin provides 24/7 customer service where issues are addressed fast. Through platforms like WeChat and the likes, a customer service that runs throughout the day is guaranteed by Kucoin.

Handling Speed

KuCoin can process withdrawals and deposits at a fast speed. Within 2 minutes, assets are added to the account after the transaction is made while it only takes 8-10 minutes to withdraw. KuCoin’s trade engine can process 2 million requests per second.

The Competitor Of Kucoin- Binance

Binance like Kucoin originated from China; it was launched five months ago. It has become so famous because of its unique features, which include; a neat user interface, high speed in processing orders, and availability in multiple languages.

Users have to create an account before Binance can be used. The procedure is very easy, and there is no need for your account to be verified for level 1, whose daily withdrawal limit is 2BTC. For the level 2, the verification of your account is needed.

Binance fees are 0.1% per trade; fees are not charged for making deposits. It offers many opportunities for customer service. The ticketing system is used mainly for customer services, Binance offers token to its users. The Binance coin was issued during their own ICO. Binance is said to be the competitor of Kucoin, which has gained so much trust from its users.

One major drawback of Binance is that it doesn’t provide information to its users on the security of their funds.

Like kucoin which has a native currency, Binance also has its own native currency which is the BNB coin, which was created in order to fund the Binance’s exchange development

How to use KuCoin?

KuCoin Login

To register to KuCoin, simply follow the steps below:

  • Go to KuCoin’s signup page.
  • Enter your email and password. Don’t forget to read the terms of use, so you’ll know what you’re getting into.
  • Check your email to verify your email address.
  • Once you’re logged in, feel free to adjust the settings, track your assets, and manage the rewards. Add an extra layer of security by enabling the 2-factor authentication.
  • Deposit Funds. Select which coins you want to deposit, add the address, deposit amount and press the confirm button.
  • It is important to note that each of the coins has different addresses so make sure your address is correct.

Exchanging on KuCoin

From the top menu, select “Markets”. Afterwards, choose the desired pair. For example, you want to trade Bitcoin to KCS, start by selecting the KCS/BTC pair market.

You will then be shown the last trades made on the specific market. This can be seen on the right side. You will also see the order book or buy and sell available commands and the chart on the left top part.

To buy, simply set your desired price and select the amount in KCS. The cost which is total BTC will be automatically calculated and shown next to “Volume.” If you want to sell KCS to BTC, just follow the same procedure but opposite. The trade’s fee will also be displayed.

KuCoin Review Summary

Despite being launched only last year, KuCoin has been in works for years. Since 2011, the founding members have researched and explored different possibilities. Kucoin is well known as one of the safes and easiest cryptocurrency exchange. Crypto traders who are looking for a well secured and modern platform to trade between cryptocurrencies should consider Kucoin. Its unique features have made it stand out in the crypto world. It is also known to have efficient customer services and invitation bonuses which serve as incentives to its users. The founders are professionals in the business world who also have vast experience in the crypto world.

Pros

Let’s look at what KuCoin is offering and why it is among the most used cryptocurrency exchange platform on the market at present.

  • Easy to use: cryptocurrency can be complicated, but with KuCoin’s easy to use, simple and clean interface, it’s the perfect place for a beginning trader.
  • Promotions: KuCoin has a lot of promotions for users who have KCS token which works great in being a source of passive income.

Cons

Despite all of KuCoin’s strengths, it still has a few disadvantages.

  • Doesn’t support fiat currencies: exchanging Bitcoin to USD and vice versa is not possible because KuCoin only supports crypto-to-crypto tradings.
  • High fees for some coins: withdrawal fees are not the same for all coins. Some are free while others have high fees.
  • Servers crashing: there are several reports online that shows KuCoin cannot handle the amount of volume it is having.

Currently, there are only several trading pairs available in KuCoin, but they have most of the common cryptocurrencies. Add to the fact that they list new coins quickly allows you to earn higher gains by getting early in these currencies.

KuCoin is excellent for beginners because of it’s easy to use interface, low-cost trading platform, promotions and responsive team. With its referral program and KCS token, you can earn a passive income.

Did you like our KuCoin Exchange review? Check out our website for more cryptocurrency guides and updates.  

Leave A Comment2 Comments on "KuCoin Exchange Review: Scam or Legit?"

  1. Anonymous
    Anonymous April 27, 2018 at 3:30 am

    Scam

    1
  2. Mic
    Mic May 16, 2018 at 11:43 pm

    WARNING: KuCoin is a scam. They do not allow you to withdraw coins. They pretend to send confirmation emails and send you through endless loops to repeat the same security questions. Support has a few generic template responses and stops replying when you explain this problem.

    0