I’m a firm believer that information is the key to financial freedom. On the Stilt Blog, I write about the complex topics — like finance, immigration, and technology — to help immigrants make the most of their lives in the U.S. Our content and brand have been featured in Forbes, TechCrunch, VentureBeat, and more.
See all posts Frank GogolKucoin vs. Binance: What’s the Difference?
Updated on October 12, 2023
Written by
Written by
Reviewed by
Rohit Mittal
Reviewed by
Rohit Mittal
Rohit Mittal is the co-founder and CEO of Stilt. Rohit has extensive experience in credit risk analytics and data science. He spent years building credit risk and fraud models for top U.S. banks. In his current role, he defines the overall business strategy, leads debt and capital fundraising efforts, leads product development, and leads other customer-related aspects for the company. Stilt is backed by Y Combinator and has raised a total of $275M in debt and equity funding to date.
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At a Glance: Kucoin and Binance are similar cryptocurrency exchanges with a wide range of altcoins and comparable fee structures. Kucoin offers aggressive tiered fees and dividends, while Binance has no deposit fees and offers better taker fees for futures trading. Both platforms have extensive asset choices and strong security measures. Kucoin has faster customer service, automated trading, and a robust lending platform, while Binance supports third-party trading bots and provides lending directly from the platform. Choose the platform that aligns with your trading style and needs.
Cryptocurrency is a very appealing investment because there is such a wide variety of available strategies. Are you going to buy and hold? Are you interested in crypto lending? Is margin trading for you?
Depending on your trading strategy, you will need certain features from your crypto exchange. With so many exchanges out there, how do you choose which one is right for you?
Kucoin and Binance are two well-established crypto exchanges. Even though they use a similar business strategy and have a similar fee structure there are slight differences between the platforms. You will most probably find either Kucoin or Binance will suit your specific needs slightly better.
Below we dive deeper into the details of Kucoin vs Binance so you can see which exchange will be the best choice for you.
Kucoin vs. Binance Overview
Both Kucoin and Binance have a similar business strategy. They are cryptocurrency exchanges that offer access to hundreds of altcoins that are otherwise hard to purchase. They have a similar fee structure, starting at 0.1% and reducing this fee as you move up the trading tiers.
Kucoin vs Binance each have a native cryptocurrency and users are rewarded for holding this coin. They also provide similar services, including a futures market, crypto lending, a P2P marketplace, trading bots, and margin trading.
Kucoin vs. Binance
Now, let’s take a look at the differences between these two crypto exchange platforms.
What is Kucoin?
Kucoin is based in Hong Kong. Originally from China, the crypto exchange had to move after the government crackdown on cryptocurrencies.
Kucoin’s business model centers around having a wide variety of crypto assets that you can use. With a good safety record and a competitive fee structure, it is a solid option if you are looking for a crypto exchange to use.
What is Binance?
Binance is based in Hong Kong. Its business model is very similar to Kucoin, providing access and easy trading across a multitude of crypto assets.
For the lower membership tiers, Binance does not require an ID. If you don’t need to access the higher level of membership, you can maintain your anonymity on Binance.
With over 13 million users, Binance is a very popular cryptocurrency exchange platform.
What’s the Difference?
Kucoin and Binance use a similar business strategy and have a similar fee structure. Most traders would find the range of assets, level of security, and customer support services comparable between the two platforms.
There are however slight differences between the platforms, and you might find either Kucoin or Binance will suit your needs slightly better.
Fees Comparison
Kucoin and Binance fees both start at 0.1%. This fee percentage decreases as you move up to a higher trading tier.
KuCoin Fees
Kucoin has a more aggressive tier structure, with very competitive fees for higher-tiered users. If you are going to trade large volumes and level up through the tiers, Kucoin is a clear winner. Kucoin also offers dividends of 50% of the exchange earnings on its token.
Binance Fees
Binance offers no deposit fees and withdrawal fees depend on the asset. The Binance token is used to pay for fees on the platform. If you think you are going to be a small trader and remain at the low tiers, Binance’s fee structure is better than Kucoin’s.
If you are going to use the futures market, Binance is a clear winner. It has a better taker fee than Kucoin.
Assets Comparison
Both platforms advertise access to hundreds of altcoins that are otherwise hard to purchase. It should therefore come as no surprise that both Kucoin and Binance have a wide choice of assets.
Binance offers up to 242 altcoins. Kucoin supports 179 altcoins. Although Binance wins through sheer volume, it is unlikely that the average crypto trader will find Kucoin’s selection lacking.
When trading, Binance offers the ability to trade through its token and Tether. Kucoin offers trading with its token and Tether, but also NEO and BTC Cash.
The ability to trade in other tokens makes Kucoin more flexible. But Binance’s fee structure on trades made with its token is competitive.
When comparing assets, you should consider your trading style and choose the platform that matches your needs.
Authentication Comparison
Both platforms support two-factor authentication. They have a good security history and have never been hacked.
Binance, with its larger user base, has reported several phishing attempts. This is not a reflection on the platform. Rather, it is a reminder to users to always double-check that they are visiting the right website. Do not enter your password and information if you suspect a scam. Make sure you enable two-factor authentication every time you are given the chance to.
Customer Service Comparison
Kucoin has incredibly fast customer service. There’s a 24-hour telegram support chat with a quick response rate.
Binance offers customer service through tickets. Although there is a longer waiting time with tickets, the customer service you receive from Binance is still better than most other crypto exchanges.
The real differentiating factor between Kucoin and Binance is how Kucoin has automated trading and lending. Kucoin offers all its users a free trading bot. The bot functions across the regular trading market and on the futures market.
Although Binance does support third-party trading bots, it does not offer a native, free bot.
Kucoin also has a more robust crypto lending platform. It has created a marketplace that connects lenders and borrowers who agree on an interest rate and a time. Kucoin ensures the marketplace, adding reliability and some level of regulation to the process.
While Binance does offer crypto lending, you can only lend from Binance itself.
Read More
- How to Make Money with Cryptocurrency
- How to Withdraw from Binance
- How to Transfer From Coinbase to Coinbase Pro
- How to Transfer from Coinbase to Binance
- How Does Cryptocurrency Gain Value?
Final Thoughts
Kucoin and Binance are two well-established crypto exchanges. They use a similar business strategy and have a similar fee structure. Most traders would find the range of assets, level of security, and customer support services comparable between the two platforms.
There are slight differences between the platforms, and you might find either Kucoin or Binance will suit your needs slightly better.
When Binance is the Better Choice
If you have an interest in obscure altcoins, Binance might be better for you. They offer more crypto assets than Kucoin does. If you are going to be a small volume trader, Binance’s fee structure is more competitive.
When KuCoin is the Better Choice
On the flip side, if you are going to trade large volumes and level up through the tiers, Kucoin is a clear winner. If automated customer service and trading bots are your thing, Kucoin is a good fit. If you don’t mind waiting for a real person to reply to your service ticket, Binance is for you. If your strategy trading depends on crypto lending, Kucoin’s lending marketplace will be a differentiating factor. Remember, no matter which exchange you choose, you still pay tax on your cryptocurrency gains.
There’s no clear winner between these two exchanges. They are both really good and reliable platforms. You should look at the interface of both and see what seems better for you.
Read More
- How to Make Money with Cryptocurrency
- How to Withdraw from Binance
- How to Transfer From Coinbase to Coinbase Pro
- How to Transfer from Coinbase to Binance
- How Does Cryptocurrency Gain Value?
- How to Read Crypto Charts
Frank Gogol
I’m a firm believer that information is the key to financial freedom. On the Stilt Blog, I write about the complex topics — like finance, immigration, and technology — to help immigrants make the most of their lives in the U.S. Our content and brand have been featured in Forbes, TechCrunch, VentureBeat, and more.