Since American investors are not currently allowed to access the Binance cryptocurrency exchange, they may be looking for alternatives to Binance.
Most of these alternatives trade only a few coins and do not offer the wide selection of altcoins that are available on Binance.
The Hong Kong-based exchange Kucoin is an exception to this rule. More than 200 different coins can be traded on Kucoin, so it is not tricky for American traders to trade less well-known currencies.
One advantage of trading cheaper and less well-known coins is that they can sometimes rise quickly in value. Buying new coins that are rapidly increasing in value can be risky, but the potential profits are very high.
Those that live in the United States should make sure that there are no state laws that would interfere with them trading coins on Kucoin.
Is Kucoin as large as Binance?
No, it is a much smaller exchange. While Kucoin traders do trade tens of millions of dollars worth of cryptocurrency each day, the exchange is still small compared to Binance.
Each day, more than a billion dollars worth of coins are traded on Binance, which is the world’s largest cryptocurrency exchange.
The trading volume is still high enough for Kucoin to be an excellent trading platform, however. Enough trading occurs that one can easily trade even the smaller coins.
Does Kucoin offer its own coin?
Like Binance and some other exchanges, Kucoin has its own cryptocurrency. This coin is known as KuCoin Shares (KCS), which are technically a cryptocurrency and not actual shares in the company. Those who possess KuCoin Shares receive dividends for holding coins.
Are Kucoin’s trading fees as low as to those on Binance?
Not really. While Kucoin’s trading fees are reasonably low (0.1%, with many exchanges charging 0.25% or more), Binance offers even lower trading fees.
On Kucoin, the trading fee is the same for all traders unless they are trading a very high volume of coins. On Binance, on the other hand, a smaller trader can pay fees below the maximum of 0.1%.
Binance will offer lower (0.075%) trading fees to those who pay trading fees in Binance coin instead of in Bitcoin. Very high volume traders can pay much lower fees on both exchanges.
Kucoin also offers better withdrawal fees than other cryptocurrency exchanges. Withdrawal fees are similar to and probably slightly better than those on Binance.
The fee for withdrawing Bitcoin is the same (0.0005 BTC) on both exchanges. The cost is a fixed amount and not a percentage, so larger withdrawals are cheaper than smaller withdrawals.
The cost of withdrawing Ether is also the same, 0.01 ETH for both exchanges. Withdrawal fees for other coins can differ between the two exchanges…
Continue reading the article and learn more about Kucoin on Daisy Linden’s blog.