Bittrex and Kraken are easily two of the most preferred and highly-rated cryptocurrency trading platforms for users to exchange altcoins today. These two platforms are excellent choices for those who are well-versed in navigating more straightforward trading platforms such as Coinbase but are looking to broaden their portfolios.
This guide will provide you with an in-depth insight into the pros and cons of both Bittrex and Kraken with their unique features, which can ultimately make your decision-making process a lot easier.
Cryptocurrencies
Both platforms likely offer the cryptocurrencies that you’re after. Kraken has the big ones such as Bitcoin, Ethereum, Litecoin, Tether, Monero, Ripple, and at least a dozen more. Bittrex, however, offers upwards of 250 cryptocurrency pairings; though the platform does not allow fiat currency funding and only allows Bitcoin, Ethereum, and Tether.
Reliability
Bittrex and Kraken are both based in the United States so they adhere to the set standards and regulations.
Operating out of San Francisco, Kraken has been endorsed and funded by numerous expert investors such as Blockchain Capital. Since its introduction in 2013, the platform’s client base has been on a steady rise as well.
Established in 2014 by a team of experts in development and security with a track record that includes big names such as Amazon and Microsoft, the Seattle-based trading platform Bittrex has been dubbed as the most exceptional way to exchange cryptocurrencies over and over again.
Funding Options
Kraken runs on a system of verification tiers, from Tier 0 through Tier 4. Tier 1 users are only allowed to deposit and withdraw cryptocurrency but can also exchange fiat currency such as the U.S. dollar in addition to cryptocurrencies. Becoming a Tier 1 user requires you provide personal information such as full name, birthdate, country of residence, and your contact information.
Becoming a Tier 2 user also requires you to input an address. In order to become a Tier 3 user, the platform requires you to supply proof of residence as well as a copy of a valid ID. Both Tier 2 and Tier 3 users are able to use bank transfers for their transactions if their location allows it. For instance, only Tier 3 users in the United States can move funds via bank transfers.
As opposed to Kraken, Bittrex users are only allowed to exchange among different cryptocurrency pairings and cannot use fiat currency on the platform. If you opt for Bittrex, it may be a good idea to buy Bitcoin, Ether, or Tether on a different trading platform and transfer your coins to Bittrex.
Exchange Fees
Kraken has a set fee program which varies depending on users’ exchange volume within a month and whether they’re a maker or a taker. The fee for a maker for a majority of cryptocurrencies is between 0.00% and 0.16% while takers get charged an amount in the range of 0.10% and 0.26%. Bittrex, on the other hand, has a set commission fee of 0.25% for all exchanges.
Where exchange fees are concerned, Kraken has the upper hand, but if your exchange volume is low and you’re simply looking for fast buys, then Bittrex is 0.01% cheaper.
Transaction Restrictions
Granted you have provided evidence of a source of funds, Kraken allows deposits and withdrawals of a maximum of $25,000 each day.
Bittrex does not limit how much users can deposit at all and ups their withdrawal allowance as their verification level goes up. Users with basic accounts are permitted to withdraw a maximum of 3 bitcoins a day if the two-factor verification feature is on. Users with advanced accounts, on the other hand, can withdraw up to 100 BTC per day.
User-Interface
Kraken offers users three straightforward options to exchange cryptocurrency: simple, intermediate, and advanced. Each tab comes with its own set of sub-settings to limit orders, conditional closes, and so on.
Bittrex is not as convenient as Kraken right off the bat. The platform gives you the option to either choose a market on the main page or a particular coin through your wallet. While Bittrex offers more technical insight as well as settings such as limiting orders or setting conditionals, compared to Kraken, Bittrex falls short in terms of the variety of advanced settings it provides.
Kraken is a better option for seasoned investors who are in need of pro exchange options, whereas those who pay close attention to analytics while trading should consider Bittrex.
Safety
Kraken holds a significant portion of cryptocurrency funds offline in wallets with encryptions as well as retains entire reserves to circumvent the possibility of a bank run. Bittrex, too, keeps up to 90% of all assets offline, relying on a multi-step wallet approach in addition to implementing two-factor verification, providing alerts via email, and detecting IP addresses when users sign in.
User Support
Both platforms offer exceptional user support and assistance to facilitate the problems users and new investors may encounter. Kraken has a thorough FAQ page as well as a training manual for beginners and those who are new to the cryptocurrency game. Bittrex also offers an FAQ section in addition to frequent updates, announcements, and a page where users can report glitches. Both platforms have had minor customer support shortcomings such as instances of responding to users late, but overall they both strive to offer their users the best experience possible.
The Verdict
It is not a surprise that Bittrex and Kraken are two of the most successful and reputable trading platforms in the game today. Either one is an excellent choice for cryptocurrency trading.
If you are interested in a platform where you can use fiat currency to exchange a large selection of altcoins all in one place, you should opt for Kraken.
However, if you are after a more abundant variety of cryptocurrency pairs and all-encompassing user support, then Bittrex is the one for you.
Featured Image: bitcoinnoobs.com
Posted on May 5, 2023