Kraken and BingX are both popular cryptocurrency platforms, but they offer different services and features to their users.
Kraken is a US-based cryptocurrency exchange founded by Jesse Powell in 2011 in San Francisco. It is an alternative to Gemini for buying bitcoin with fiat currency. The platform offers spot trading services and has a 24-hour trading volume of over 1 billion USD. It is a top 10 spot trading exchange. Kraken supports the free exchange of 49 cryptocurrencies. Kraken is designed for traders without any crypto trading experience. It specializes in spot trading, with a maximum leverage of 5X for its margin trading service. The platform has lower trading fees compared to Coinbase and Binance, at 0.26%. Kraken supports most countries worldwide, except for those restricted by US policy.
Kraken has however received negative reviews, mainly due to its lengthy account verification process. This is due to Kraken’s compliance with US law, which requires the company to perform KYC and verify users’ identities. Additionally, the company must trace the source of funds when users use Direct Deposit instead of credit card or bank transfer, which can take several days. As a result, it is highly recommended to not use Direct Deposit on Kraken.
Kraken has also had a Market Pin issue on 22 February 2021, where the ETH market suffered a system error leading to margin calls for users trading Ethereum. The company only agreed to pay up to 50% of users’ losses. This has caused margin trading users to lose confidence in Kraken and switch to other platforms. Kraken’s customer support is also known to be slow to respond, possibly due to the COVID-19 pandemic. Additionally, the exchange’s user-friendly process also needs optimization, causing stress on its customer service.
On the other hand, BingX is an international digital service financial institution with branches in North America, Canada, the EU, Hong Kong, and Taiwan. BingX has also obtained regulatory approval to operate in other countries where it provides services or conducts business. BingX focuses on providing users with financial services such as lending, borrowing, and staking, as well as allowing users to buy and sell cryptocurrencies. They also have a referral program, a trading competition, and a copy trading feature that enables users who do not have much time or who are new to crypto to choose their trader of choice and follow their trade(s).
In conclusion, Kraken and BingX have different features and services that cater to different user needs, preferences, and purposes. It is advised to research both platforms thoroughly and consult with financial advisors before making any investment decisions.