KuCoin is a large cryptocurrency exchange known for its wide range of cryptocurrencies, competitive trading fees, and unique features.

In this KuCoin review, we’re going to talk about what makes the company special while taking a look at areas like security and accessibility.

The History of KuCoin

KuCoin sprang from the minds of Michael Gan and Eric Don in 2013. The two wrote the first code for the company’s platform in a café, which is where the idea of a “People’s Exchange” was born.

The KuCoin exchange was launched in 2017 and is headquartered in Seychelles. The company has grown significantly since that time, and now has a global reach covering more than 200 countries.

Year Founded  2017
Founders  Michael Gan, Eric Don, Kent Li, Johnny Lyu
Industry  Cryptocurrency exchange
Headquarters  Seychelles
Key People  Top Lan, Jack Zhu, Linda Lin, John Lee
Notable Products  KuCoin Cryptocurrency Exchange, KCS token, Windvane NFT Marketplace
Website  https://www.kucoin.com/

KuCoin Through the Years

KuCoin’s ICO raised around $27.5 million in Bitcoin, and it wasn’t long before they received VC funding. NGC Ventures, Karnika Yashwant, IDG Capital, and Matrix Partners committed $20 million through Series A round funding to the company in 2018, which helped KuCoin expand into new regions while expanding its offerings.

In 2021, KuCoin gained an additional $150 million through the second round of funding. IDG Capital and Matrix Partners were still on board, but they added new investors with Circle Ventures and Jump Crypto, who led the charge.

The most recent funding came through the Susquehanna International Group in July 2022. The trading firm provided $10 million as an extension of round B funding. The company has gone through 3 funding rounds for a total of $180 million to date.

KuCoin raised $100 million through the KuCoin Metaverse fund in November 2021. The company has invested in multiple ventures as well, including recent seed rounds for Mizar, X Rush, Aura Network, and Galaxy Fight Club.

Trading on KuCoin

KuCoin makes trading simple for beginners and advanced users alike.

There are mobile apps and a desktop version of KuCoin–-each with a wealth of tools. Users can trade through stop-limit, stop-market, limit, and market orders, but that’s just one type of trading on KuCoin.

Risk takers will appreciate the margin trading through KuCoin, but spot trading is also available. Interested in futures? There are three options to choose from with Futures Classic, Futures Lite, and Futures Brawl. KuCoin has a Trading Bot, and also offers leveraged tokens which are perpetual and provide leveraged positions to holders.

As for the tokens themselves, there are more than 600 available to buy, sell, or trade across 13 categories. That includes cryptocurrencies designed for payments as well as meme coins and gaming tokens. There are far too many to list, but this table will give you a good idea of what to expect from KuCoin’s cryptocurrency offerings.

InfrastructureNFTsDeFiPaymentsSolona EcosystemMetaverse
BTCTHETAAAVEXMRSOLMANA
ETHCHZUNITRXSRMSAND
ADAIMXMKRXRPARAXS
MATICAPECAKEBATLUNAENJ
ATOMFLOWANKRBCHRENCEEK
ALGOALICEROSECELOC98BLOK
XTZILVSUSHIXEMFRONTVR
FTMSOULANCOMGAURYBULL
FLUXEPIKMJTABBCGARIPOLC

KuCoin Features

There are more than 200 crypto exchanges throughout the world, which can make it difficult for companies like KuCoin to stand out. One way they do this is through features, and it’s an area where KuCoin sets itself apart from the pack.

KCS Tokens

It’s not uncommon to see a crypto exchange have its own token, and on KuCoin that’s KCS. KCS allows users to access a range of benefits including daily rewards, fee discounts, and early access to new projects.

A burning mechanism is in place for KuCoin’s token along with monthly buybacks. Burns are based on the company’s monthly revenue, with more than 380,000 KCS burned between March and the end of April 2022. You can also convert crypto dust leftover from trades into KCS on-site.

KuCoin cryptocurrency trading exchange
KuCoin is known for its low trading fees and great features.

Earn with KuCoin

KuCoin was designed with trading in mind, but there are a number of ways you can use the assets you hold on the platform. That includes soft-staking which rewards users for holding certain tokens and crypto lending.

KuCoin Lend allows you to earn interest on your assets by lending them out. It’s a feature that has become incredibly popular on crypto exchanges and is easy through KuCoin Lend. There are more than 100 assets listed in their program from BAT and SHIB to USDT. Terms are set at 7, 14, or 28 days.

Another option is KuCoin Pool, a PoW mining pool with support for Bitcoin, Bitcoin Cash, and Ethereum. The pool has 2% mining fees and there’s a handy tutorial for beginners that are new to the process. Cloud mining is also an option along with KuCoin Win.

KuCoin Win was introduced in 2021 as a way to provide entertainment to KuCoin users through token listings. The first product under that banner is Lucky Raffling, a KCS-based lotto system.

KuCoin Spotlight

One of the earlier projects from KuCoin is called Spotlight which launched in 2019. KuCoin Spotlight is a launchpad for new projects in the crypto space, and a way to pick up tokens early through an initial exchange offering.

The projects are hand-selected by KuCoin and there have been over 20 launched since the Spotlight’s inception. Some early ones include an Indonesian-based project with Tokoin, Lusko, and Polkadex. Their most recent launch is Fracton Protocol, a liquidity infrastructure for NFTs that provides 2-step fractionalization for NFTs.

Windvane

The rise of cryptocurrencies brought NFTs into the spotlight, and KuCoin joined the fray earlier this year with Windvane. It’s a decentralized NFT marketplace powered by KuCoin, and while you won’t find any Disney NFTs on this platform, it does have some interesting features.

Windvane offers users whitelisting for upcoming projects and allows users to browse through top-tier NFTs including BAYC, Cool Cats, CrytoPunks, and World of Women. Launchpad provides access to new projects and there’s a game portal with titles like Chain Guardians, MIR 4, and League of Kingdoms.

Wonderland is another NFT initiative from KuCoin. It differs from a traditional NFT platform, however, with a design geared towards managing in-game NFT assets. You can buy and trade through Wonderland, although it only supports KCC and Polygon networks at this time. ETH, SLP, and BSC are listed as coming soon.

Fee Structure

KuCoin is known for its low fees, and like most companies in the industry, they use a maker/taker model for fees. You can cut the price of KuCoin trading fees by 20% if you pay using KCS and by holding the KuCoin KCS token on the platform.

While the maker/taker fee structure means fees are hard to calculate, the company makes sure they stay competitive against Binance, Coinbase, and others. How much you’ll pay at the end of the day, depends on how much you’ve traded over the past 30-days on the platform.

Fee LevelKCS Balance30-day spot trading volume (BTC)30-day futures volume (BTC)Maker/Taker FeeMaker/Taker with KCS discount
11,000>=50>=2000.09%/0.1%0.072%/0.08%
210,000>=200>=4000.07%/0.09%0.056%/0.072%
320,000>=500>=1,0000.05%/0.08%0.04%/0.064%
430,000>=1,000>=2,0000.03%/0.07%0.024%/0.056%
540,000>=2,000>=3,0000%/0.07%0%/0.056%
650,000>=4,000>=6,0000%/0.06%0%/0.048%
760,000>=8,000>=12,0000%/0.05%0%/0.04%
870,000>=15,000>=20,000-0.005%/0.045%-0.005%/0.036%
980,000>=25,000>=40,000-0.005%/0.04%-0.005%/0.032%
1090,000>=40,000>=80,000-0.005%/0.035%-0.005%/0.028%
11100,000>=60,000>=120,000-0.005%/0.03%-0.005%/0.024%
12150,000>=80,000>=160,000-0.005%/0.025%-0.005%/0.02%

Keep in mind that the fee rate may not apply to certain coins, and those rates are subject to change. Spot trading fees are charged based on the base currency of the trading pairs. The maker/taker fee is different for futures as well.

KuCoin Security and Customer Support

Having access to more than 600 tokens and an NFT marketplace are two perks of KuCoin, but neither is worth your time or effort if security is subpar.

KuCoin follows industry standards with security and has KYC verification along with 2FA and encryption. There is also a separate trading password, which provides an additional layer of security if an account becomes compromised. Mobile apps are also secure and can utilize biometrics to a degree.

While security is on par with the competition, customer service is a mixed bag. The company has a number of online resources available to consumers and you won’t have any trouble getting some assistance from one of KuCoin’s many online communities.

When it comes to official support, there is an online chat system and the usual email inquiries. There is no customer support number, although many users found response times reasonable. Most of the complaints about customer support come from the quality of service, which lags behind bigger names in this space.

Depositing and Withdrawing from KuCoin

KuCoin accepts a variety of payment methods but is a crypto-to-crypto exchange. That means you can’t deposit fiat unless you do so through a third-party partner of KuCoin on-site. That can be expensive, so your best option is to deposit by bringing in crypto from another exchange.

Deposits are free, and withdrawal fees vary based on the market and the underlying asset. The company’s withdrawal fees are comparable to other exchanges, although not as cheap as their trading fees. 

KuCoin is not licensed to operate in the United States, which complicates things for U.S. residents. While you can sign up by simply using an email address, users will have limitations in the states without completing the KYC verification process. 

Notable Controversies with KuCoin

In September 2020, KuCoin was compromised by a hack, resulting in the theft of more than $280 million in cryptocurrency from hot wallets on KuCoin’s website.

The hack affected 154 tokens on the platform, but activities returned to normal within a week, and money was returned. $222 million was recovered through partners and exchanges while law enforcement was able to retrieve $17.45 million. The rest was covered by insurance, so users were not left with empty wallets.

The company has improved security since that time and addressed vulnerabilities in its system. You can read more about the hack here and the measures they’ve taken to prevent future issues with security on KuCoin.

KuCoin Review: Is it Worth It?

Are you looking for an exchange where you can trade almost any altcoin you can imagine with low fees? If so, KuCoin is an excellent choice. They have a much wider selection of cryptocurrencies than bigger platforms like Coinbase.

KuCoin also has interesting features including margin trading and a variety of tools for advanced users. They aren’t an ideal choice for U.S. consumers looking for an FDIC-insured platform, however, and don’t have the best track record of customer support.

We feel the KuCoin exchange is an excellent option for advanced traders that actively trade altcoins and are interested in new ways to invest. For beginners, sites like Binance and Coinbase are much easier to use and a better alternative if you reside in the U.S.

Pros

  • More than 600 cryptocurrencies
  • Low trading fees
  • KYC isn’t mandatory
  • Crypto lending and staking
  • Advanced trading features

Cons

  • Not licensed in the U.S.
  • Could be challenging for beginners
  • Subpar support

KuCoin Review: Features, Benefits, History, and More FAQs (Frequently Asked Questions) 

Can you transfer crypto from KuCoin to Coinbase?

Yes. You can transfer cryptocurrency to and from KuCoin through Coinbase or any other crypto exchange.

Can you legally use KuCoin in the United States?

While they are not licensed to operate in the U.S., they do not require KYC verification for U.S. residents.

Are you able to deposit using the KuCoin mobile app?

Yes, you can access deposits, withdrawals, and transfers from the KuCoin app for Android and iOS.

Is KuCoin an easy platform to trade on?

That depends on how familiar you are with cryptocurrency. While we feel there are easier exchanges to navigate, KuCoin does have a guide to help beginners get started.

Does KuCoin support staking?

Yes, through KuCoin’s staking pool called Pool-X.

About the Author

More from History-Computer

  • KuCoin Available here: https://www.kucoin.com/
  • Crunch Base Available here: https://www.crunchbase.com/organization/kucoin/
  • Forbes Available here: https://www.forbes.com/sites/zinnialee/2022/05/10/kucoin-raises-150-million-at-10-billion-valuation-to-grow-presence-in-web3/?sh=653c00bf7699
  • Windvane Available here: https://windvane.io/
  • Coindesk Available here: https://www.coindesk.com/markets/2020/09/26/over-280m-drained-in-kucoin-crypto-exchange-hack/