Key Points:
| – KuCoin provides numerous features like staking and lending, making it suitable for both beginners and professionals. – KuCoin offers over 700 cryptocurrencies for trading with a competitive fee structure. – Get up to 30% cashback on trading fees using the KuCoin Cashback Code: QBAE69JW. |
Get up to 30% cashback on trading fees with KuCoin Cashback. Start saving on your crypto transactions with an exclusive cashback trading code.
Introduction to Kucoin Exchange
Overview of Kucoin
KuCoin is one of the biggest cryptocurrency exchanges. It lets customers buy, sell, and trade various cryptocurrencies. The exchange provides basic trading options and professionals in margin, futures, and P2P trading. Users can also stake or lend their crypto assets here and earn rewards. KuCoin charges minimal fees for its trading rounds, making it competitive among exchanges.
Founded in 2017 and headquartered in Seychelles, KuCoin quickly became one of the largest global exchanges by trading volume. It supervises over 30 million users and conducts business in more than 200 countries.
While users from the United States can register an account, certain limitations apply to using KuCoin services since the company does not have a license to operate there. Probable risks include not being able to withdraw your assets if stricter measures are put in place by regulators in the United States. Moreover, regulatory pressures confronted KuCoin in countries like the Netherlands and Canada.
Key Features of Kucoin
Security
KuCoin has several features to enhance the user experience and security. One of the major partnerships is with the Singapore-based crypto asset security platform Onchain Custodian, which keeps KuCoin’s crypto assets in custody. These, in turn, are insured by Lockton, a private insurance brokerage.
The security offered by this platform is basic yet very instrumental. It considers identity verification, trading passwords, and anti-phishing phrases. This way, users can trade with confidence that their assets are safe.
However, U.S. users have more limitations since they cannot pass the KYC verification process. As a result, their accounts won’t be as secure as international accounts. KuCoin does not guarantee protection from fraud and hacking of unverified accounts.
Opening a KuCoin Account
Opening a KuCoin account is very simple. Users must enter the KuCoin website, click ‘sign-up,’ and fill in your email. KuCoin will send a verification code that you can use to set up your password. Alternatively, you can sign up using a phone number.
Once you are ultimately signed up, you will be prompted to set up your security settings, including identity verification when logging in or dealing with transactions, setting a trading password, and creating anti-phishing safety phrases. With all these security settings in place, you’re ready for crypto trading.
Cryptocurrencies Available on KuCoin
KuCoin offers one of the broadest selections of more than 700 cryptocurrencies users can buy, sell, and trade, including:
- Bitcoin (BTC)
- Ethereum (ETH)
- XRP (XRP)
- Cardano (ADA)
- Solana (SOL)
- Dogecoin (DOGE)
- Polkadot (DOT)
- Poly gon (MATIC)
Fees
With a pretty competitive fee structure, KuCoin offers some notable discounts based on the average monthly holdings of the platform’s native token, KCS, or on the previous month’s trading volume. Additional discounts are obtainable if paying in KCS.
Like many other crypto exchanges, KuCoin employs a maker/taker fee model, where fees differ based on whether your order is a maker or a taker.
There are also different trading levels, so the maker and taker fee levels change according to the coin’s classification on KuCoin. Middling cryptocurrencies on the platform are divided among Class A, Class B, and Class C.
What Makes KuCoin a Good Choice
KuCoin has some of the cheapest fees in the industry and facilitates trading in an enormous variety of cryptocurrencies. Unlike many other platforms, KuCoin grants U.S. users access to margin accounts for crypto trading and gives a 20% discount on trading fees when using its native token, KuCoin Token (KCS).
Fee Calculation Mechanism of Kucoin
Types of Fees on Kucoin
Trading fees (maker and taker fees)
A market maker provides liquidity to a trade while an existing market taker withdraws it. Typically, the market taker’s fee is higher than the market maker’s.
A Kucoin trading fee tier depends on two factors: the amount of KCS tokens one has and the trading volumes of spots or futures in the past 30 days.
As a new account holder, you default to trading level 0. This means starting with a fixed 0.1% transaction fee on spot trading, whether you are a maker or taker.
In futures trading, you are charged 0.02% as a maker and 0.06% as a taker.
In the meantime, the more your account attracts more KCS tokens or your spot/futures trading volumes rise, the more your level advances to reduced fees.
Withdrawal and deposit fees
KuCoin does not charge for depositing crypto, but there is a small ‘Network’ fee to withdraw from its Centralized Exchange.
KuCoin Withdrawal Fees
When you move your crypto assets from the KuCoin wallet to another wallet, you will be charged some withdrawal fees.
They change according to the asset and may differ at any given time according to changes in the market and network. However, the NEO has no withdrawal fees.
KuCoin Deposit Fees
As mentioned, KuCoin does not charge fees when crypto assets are deposited into the platform.
If you want to buy crypto with fiat currencies, KuCoin supports various purchase options, including Fast Trade, P2P, and Third-party payment services.
Each path to buying cryptocurrencies has a transaction fee ranging from 3% to 7%.
How Fees Are Calculated
Explanation of the maker-taker model
In this case, maker orders that provide liquidity have fees different from taker orders, which remove liquidity.
If an order is executed immediately, you are a Taker and will pay a taker fee. If an order is not matched immediately, you are a Maker and pay a maker fee.
If an instantly partially matched order is placed, you are charged a Taker fee for that part. The remaining order is matched later as a Maker order, incurring a fee.
Examples:
Taker Fee
Assume that:
- You want to buy 3 BTC at $30,000
- Your 30-day trading volume is $100,000
- The exchange fee schedule provides:
- Maker fee: 0.15%
- Taker fee: 0.25%
Total order cost: 3 * $30,000 = $90,000
You place a market order, and it’s immediately filled.
Total taker fee: $90,000 * 0.25% = $225
Maker Fee
Assume:
- You want to buy 100 BTC at $20,000
- Your 30-day trading volume is $10,000,000
- The exchange fee schedule provides:
- Maker fee: 0.02%
- Taker fee: 0.10%
Total order cost: 100 * $20,000 = $2,000,000
BTC/USD is trading at $30,000, so you place a buy limit order at $20,000.
Your order “rests” on the order book. The market drops, and your order gets filled.
Total maker fee: $2,000,000 * 0.02% = $400
The maker fee is lower to encourage liquidity. However, maker orders might take some time to be filled, or they may never get filled in case the market turns thin.
Read More: How to Get Bitget Cashback Up to 30% on Trading Fees with Royal Flush TradingÂ
Ways to Reduce Fees on Kucoin
Kucoin Membership and VIP Programs
Regular users begin with basic features, such as VIP levels; however, they are granted benefits such as reduced trading fees, higher withdrawal limits, exclusive promotions, and dedicated customer support. Moving through the VIP levels is determined by your trading volume and the number of KuCoin Shares one has.
Members of the higher tiers and institutional investors also enjoy additional benefits, including higher leverage on margin trading, priority access to IEOs, and personal account management.
Using KSC for Fee Discounts
KuCoin Token is the cryptocurrency of the KuCoin exchange, which has a profit-sharing model. The exchange initiated 200 million KCS tokens, which will burn until only 100 million KCS tokens are remaining.
In the KuCoin model, users share daily profit by staking KCS on the exchange. It is a primary profit whereby success comes from trade volume and transactions. The more people trade, the more fees are collected, hence higher earnings for the users staking KCS.
Users can also use KCS to pay the fees and enjoy a 20% discount. There are 13 trading fee levels, ranging from 0 to 12, and your level is determined by your minimum KCS holding or spot/futures trading volume in BTC.
Applying Kucoin Cashback Code
Royal Cashback recently launched the Cashback Trading Code program, which provides the best, unbeatable codes for enjoying trading rebates and cashback on your trading fees on the Kucoin exchange.
With the Kucoin Cashback Code, you can get up to 30% cashback on a total trading fee.
How to get Kucoin Cashback Code
Here is the step-by-step guide to creating a Kucoin account and getting up to 30% Cashback on Trading Fees:
Step 1: Click link https://www.kucoin.com/r/af/QBAE69JW or use code: QBAE69JW
Step 2: Enter your Email or Phone Number to create an account. Please make sure the Referral Code section matches our code QBAE69JW.
Step 3: Enter the 6-digit verification code sent to your Email or Phone Number
Step 4: Create a strong password to protect your assets. Please note that Royal Trading Cashback will never ask you for this information.
Step 5: Follow Kucoin’s instructions to verify your account.
Step 6: Once all steps are completed, submit the FORM and contact the Telegram Group for verification.
Conclusion
KuCoin provides one of the most versatile and user-friendly cryptocurrency exchanges, with features for both a first-timer and a professional. It has a competitive fee structure, high diversity in its listing, and further benefiting features like staking and lending that make it just right for a person willing to trade in crypto.
However, jurisdictional limitations are an essential area of awareness for users, who should consider their comfort level with the regulatory environment within their local jurisdiction. With KuCoin membership programs, fee discounts, and cashback codes, users can maximise their trading experience to drive better financial outcomes.
FAQs
Which accounts should KCS be in to pay the trading fees?
Your KCS should be in the Funding Account or Trading Account or in KCS Staking.
Is crypto cashback taxable?
Crypto cashback will be subject to income tax on receipt, and selling the asset will give rise to capital gains tax.
