Kucoin Vs Poloniex: Search For The Ultimate Cryptocurrency Exchange

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By: Michael Restiano
Updated On: May 25, 2022
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Kucoin Vs Poloniex: As the blockchain world continues to grow, so does its currency. However, with digital money comes a new type of challenge: where do you store your coins? There are many options available to cryptocurrency investors and traders - online wallets, physical wallets, mobile apps, etc.

With all of these choices, it can be difficult to decide which currency wallet to keep your coins in. To make this decision, you must first find an appropriate trading platform to buy and sell your digital assets on.

This article will compare two of the largest cryptocurrency exchanges - Poloniex vs. Kucoin. The goal is to help you decide which one offers a better service for buying/selling/storing your cryptocurrencies. At the conclusion of this article, we will give a verdict and declare the ultimate winner.

The first step to take when deciding where to keep your cryptocurrency is determining what you want out of a platform: Do you prefer advanced analytics and charts to help with your trading decisions? Are you looking for a specific coin that isn't available on your preferred Exchange? Do you want to be able to easily deposit and withdraw from your account?

Each of these questions will help determine the best wallet for you. Unfortunately, it is very difficult to make a choice as there are pros and cons for both platforms depending on what you value most in online currency exchange.

What Is Kucoin?

Kucoin is a cryptocurrency exchange platform launched in September of 2017. There are over 60 cryptocurrency pairs currently available for trading, and Kucoin offers an extremely wide variety of coins, including NEO, Dash, Dragonchain, and Everex, just to name a few.

What Is Kucoin?

The Pros For This Platform Include:

  1. Two-factor authentication will help prevent unauthorized withdrawals from your account.
  2. The ability to set alerts for when a currency reaches a certain value.
  3. A clean, user-friendly interface that is simple to use.
  4. More than 60 available cryptocurrencies can all be traded on the platform - this includes many newer and lesser-known coins and tokens.
  5. There are several different withdrawal options: bank transfer, credit card, cryptocurrencies, and a Kucoin voucher.
  6. Withdrawals typically show up in your bank account or credit card statement within a few hours of initiating the transaction.

The Cons For This Platform Include:

  1. Customer support is not readily available to answer questions - you can typically expect a response within 24 hours, but it may take longer depending on the severity of the issue.
  2. There are currently no other cryptocurrency wallets that can be used simultaneously with your Kucoin wallet.
  3. Significantly fewer trading pairs than other large exchanges such as Poloniex.

How Does Kucoin Work?

Kucoin aims to provide fast, secure transactions with minimal fees. The platform is easy to use and has built-in mechanisms that help users avoid transaction confirmation delays.

When you sign up for Kucoin, you are automatically given two digital wallets - one for cryptocurrencies and the other for fiat currencies. You are then able to deposit or withdraw funds from either wallet.

In addition, you can also set up a two-factor authentication method to help ensure your security and safety when making trades on the platform.

A unique feature of this cryptocurrency exchange is a daily bonus that is given to users who hold Kucoin Shares (KCS) in their accounts.

How To Create A Kucoin Account Online?

  1. Go to Kucoin's website (kucoin.com) and select Register at the top of the page.
  2. Enter your email address, password, first name, last name, country of residence, and mobile number.
  3. After you create an account, click on "Account" at the top right corner to access your wallet. Make sure to enable two-factor authentication to secure your account.
  4. It's not necessary to verify your account in order to start trading - if you wish, you may skip this step.

How To Deposit Funds At Kucoin?

  1. Go to your Kucoin account at kucoin.com and click on "Assets" at the top of the page.
  2. Click on ''Deposit'' under ''Token''. Copy the deposit address or scan it using your wallet app (e.g., Bitcoin, Ethereum, Neo) that is compatible with Kucoin. Go back to your wallet and paste or enter the deposit address. You can send a token from your wallet to the Kucoin platform by entering the number of funds you want to transfer along with the address.
  3. After your tokens have been transferred, they will be available for trading in a few minutes.

How To Withdraw Funds At Kucoin?

  1. Go to your Kucoin account at kucoin.com and click on "Assets" at the top of the page.
  2. Click on ''Withdraw'' under ''Token''. Enter your withdrawal address and the number of tokens you want to transfer along with an optional message. Click on Submit.
  3. After your transaction is processed, it may take a few minutes for the funds to appear in your wallet or cryptocurrency exchange account (e.g., Bitcoin, Ethereum, Neo).

What Are The Security measures of Kucoin?

As a registered company, Kucoin follows the laws of the SEC and other regulations to protect users' assets. To ensure transaction security, Kucoin stores 98% of all cryptocurrency in cold wallets - 2% is stored in hot wallets for daily transactions.

What Are The Security Measures Of Kucoin?

Kucoin uses an elastic multi-stage wallet strategy, ensuring that 80-90% of funds are stored in cold wallets while the remaining is in the hot wallet. The mechanisms behind this strategy are that even if there was a security breach, hackers would not be able to steal funds stored in other cold wallets.

All private keys are encrypted with layers of cryptographic functions and cannot be decoded - even Kucoin cannot access them. Additionally, 2-Factor Authentication (2FA) and other advanced security measures are implemented.

What Types Of Orders Does Kucoin Offer?

Kucoin offers four major types of orders, i.e., Limit Order, Market Order, Stop-Limit Order, and Take-Profit Limit Order to buy or sell at the best available price.

Limit Order is an order placed for the purchase or sale of an asset at a price specified in advance. Once the market reaches the set price, it will trigger your order so you can get the best available price. For example, if you had placed a buy order of 10,000 tokens for 1.7 BTC, the order will remain open until it is filled or you cancel it.

Market Order is an order to buy or sell cryptocurrency at the best available price on the market. It is executed immediately after your order is placed. For example, if you had placed a market order to buy 10,000 tokens, your order would be executed immediately at the best available price.

Stop-Limit Order is an advanced type of order where you can set two prices - the first one for buying or selling cryptocurrency when the value reaches a particular value (e.g., the current price, the highest price it has reached since you placed your order) and a higher or lower value at which your order will be executed (e.g., stop loss).

For example, if you had placed a sell limit order of 10,000 tokens for 1 BTC when the market reached its highest point in the last 24 hours, your order would be executed when the market declines to a set point.

Take-Profit Limit Order is an advanced type of order where you can set two prices - the first one for buying or selling cryptocurrency when the value reaches a particular value (e.g., the current price, the highest price it has reached since you placed your order) and a higher or lower value at which your order will be executed (e.g., take profit).

For example, if you had placed a buy limit order of 10,000 tokens at 1 BTC when the market reached its lowest point in the last 24 hours, your order would be executed when the market rises to a set point.

Kucoin does not charge any fees on Limit Orders but charges a 0.1% fee for Market Orders, Stop-Limit orders, and Take-Profit Limit Orders.

How Long Do Orders Take To Execute?

It depends on the type of order you place:

Limit Order:

This has a fixed price and will be executed on the open market when the market reaches your order's price. If you buy something, then your order might sit there until somebody is willing to sell that coin for a low enough price to meet yours, or if it is a cryptocurrency with lower liquidity until enough people have bought and sold it to meet your order's price.

If you sell something, then the market will have to raise enough for somebody to be willing to buy at a price high enough that meets or exceeds yours. There is no guarantee that this will happen within any timeframe. It might happen in an hour, a day, a month, or not at all!

Market Order:

This has an unpredictable price and will be executed on the open market at whatever price your buy or sell order fills for. You can specify whether you want to receive your cryptocurrency in a wallet address that is provided by Kucoin (this is recommended) or leave it in your account balance.

Stop-Limit Order:

Like Limit Order, this is executed on the open market when the market reaches your specified price.

Take-Profit Limit Order:

Like Stop-Limit Order, this is executed on the open market when it reaches your specified price. However, by taking Profit Limit Order, you are also specifying a second price at which to execute your order.

This way, you can sit back and watch as the market rises, knowing that your order will execute at a certain point to lock in your profits. Kucoin works around the clock and has an average response time of 1 hour.

How To Buy Crypto At Kucoin?

  1. Sign up on Kucoin and verify your email address. This will activate the account.
  2. Once you have completed step one, please complete step two by going to Assets > Deposit. Here, you can find a cryptocurrency address of which the details were emailed to you when creating an account with Kucoin. This is where you will send the cryptocurrency that you wish to exchange into another type of cryptocurrency. If you are unsure of how to complete this step, please refer to the video tutorial included in this guide for further assistance.
  3. Once your funds have been deposited successfully, please go to Exchange> KuCoin Shares. Scroll down until you find either BTC or ETH. If you deposited either of these cryptocurrencies, please ensure you click on the appropriate tab.
  4. On the right-hand side of your screen, you will see a buy section with your current balance and a chart. Here, there is a box that says BUY KCS. This is where you select the price at which you wish to purchase the currency. It is important to note that this box does not appear if you have selected the tab which corresponds to a different cryptocurrency other than BTC or ETH! If you wish to purchase a different coin, please select either BTC or ETH and locate the corresponding buy section.
  5. If you wish to sell your current cryptocurrency for a different one, please click the tab which corresponds to the cryptocurrency you wish to sell. Once there, select either BTC or ETH and locate the corresponding SELL KCS section.
  6. At the bottom of your screen, you will see a box with MAX, BUY, and LAST. These indicate how much cryptocurrency you are willing to purchase at a maximum per order; this is the maximum amount of the cryptocurrency that will be added to your balance once this order is executed.

How Is The Customer Support Service Of Kucoin?

Kucoin provides customer support through the following methods:

  • 24/7 email support
  • FAQs and knowledge database articles
  • Ticket submission system
  • Twitter account @kucoincom, which they respond to within a few minutes.

You can also submit a ticket through their website for more assistance. They provide easy-to-follow guides on how to use the website and provide a knowledge base that provides answers to a variety of questions.

However, they also have a more convenient solution to this issue: you can attach images directly to your ticket. This saves you from having to wait for an email response or checking back on their site every day to see whether your ticket has been answered.

What Does The Kucoin Platform Look Like?

Kucoin provides a clean and simple interface for its users. They have descriptions on every section of the page, which makes it easy to navigate through.

The tabs are clearly laid out across the top of the webpage, making it easy to switch between currencies or markets that you are interested in.

On the right-hand side of the screen will be the most recent and biggest gainers and losers. On the left-hand side of the screen, you can find a list of all their trading pairs and which ones are running promotions or have special discounts available.

What Is Poloniex?

Poloniex is one of the oldest and most reputable cryptocurrency exchanges on the market. It was founded in 2014 and has grown exponentially since then to become a leader in 24-hour volume across all key markets.

What Is Poloniex?

The Pros For This Platform Include:

  1. A user-friendly interface that makes trading easy for beginners.
  2. Lower fees than many other platforms - generally 0.10% per trade.
  3. Customer support is available 24/7 via email and support tickets to resolve issues.
  4. More than 90 available cryptocurrencies are to be traded on the platform, although not as many newer or lesser-known coins.

The Cons For This Platform Include:

  1. Little-to-no mobile app functionality
  2. The lack of advanced trading tools for experienced traders
  3. Significant downtime - the website was down roughly 50% of the time between December 2017 and January 2018, according to news sources.

How Does Poloniex Work?

Poloniex is a traditional cryptocurrency exchange that allows users to withdraw and deposit cryptocurrencies from their accounts.

In addition, if you have Poloniex margin trading enabled on your account, you can borrow funds at 0.02% interest daily (you can also make deposits using this method). The process of creating a margin account is relatively easy and involves providing personal information such as an ID or passport.

A unique feature of the Poloniex platform is that you can use your wallet on any computer - no installation is necessary.

How To Create A Poloniex Account Online?

  1. Go to Poloniex's website (poloniex.com) and select Sign In at the top right corner. Click on "Create an Account" or "Sign In." Enter your username, password, first name, last name, and email address. Select ''Create Account''.
  2. Verify your email by clicking on the link sent to you from Poloniex. After you create an account, click on Wallets at the top left corner. Select ''New Wallet'' or ''Deposit'' under ''Funding''.
  3. Select a wallet to deposit. Go back to Wallets at the top of the page and select your wallet. Click on "Withdraw" under "Actions," enter your withdrawal address, amount, letter, or number designation and click on Submit. Enter your two-factor authentication code sent to you from Poloniex via SMS message or Google Authenticator application. After the authentication code is entered, click on "Withdraw Funds."

How To Deposit Funds At Poloniex?

Go to your Poloniex account at poloniex.com and click on "Balances" at the top of the page. Scroll down to select your token wallet (e.g., Bitcoin, Ethereum, Litecoin). Go to "Withdraw" under "Wallet Address." Enter the address where Click on "Max" to send all funds available or enter the number of funds you want to transfer. Click on "Withdraw Funds."

How To Withdraw Funds At Poloniex?

Go to your Poloniex account at poloniex.com and click on "Balances" at the top of the page. Scroll down to select your token wallet (e.g., Bitcoin, Ethereum, Litecoin). Go to "Withdraw" under "Wallet Address." Enter the address where Click on "Max" to send all funds available or enter the number of funds you want to transfer. Click on "Withdraw Funds."

It is more secure to keep your cryptocurrency in a wallet outside an exchange platform, e.g., Bitcoin, Ethereum, and Neo provided by certain wallets (e.g., Coinomi, Nano, Trezor).

What Are The Security Measures Of Poloniex?

Poloniex is a US-based cryptocurrency exchange that follows all regulations to protect customers' assets. It has great verification requirements for a high level of security. 2FA and other advanced measures are implemented to secure users' assets.

What Are The Security Measures Of Poloniex?

They also have expert monitoring and security staff that monitor and protect the site 24 hours a day, 7 days a week. It is more secure to keep your cryptocurrency in a wallet outside an exchange platform, e.g., Bitcoin, Ethereum, and Neo provided by certain wallets (e.g., Coinomi, Nano, Trezor).

What Types Of Orders Does Poloniex Offer?

Poloniex offers the following types of orders:

Market Order

It is executed immediately at whatever rate is available to you (buying or selling). You can specify whether you want to receive your cryptocurrency in a wallet address that is provided by Poloniex or leave it in your account balance.

Limit Order

This lets you set a price that you're willing to buy or sell at and won't execute unless it reaches your target price.

Stop-Limit Order

It lets you set a combination of limit prices at which you want to buy or sell cryptocurrency and will work even if the market moves past them. This way, you can sit back and watch as the market rises, knowing that your order will execute at a certain point to lock in your profits.

How To Buy Crypto At Poloniex?

When it comes to buying crypto at Poloniex, if you already have cryptocurrencies deposited on the Exchange, simply follow these steps:

  1. On any page of the website, locate and click on Balances > Deposits & Withdrawals.
  2. You will be directed to a list of your current balances, and you can find cryptocurrency deposits by clicking on the appropriate tab.
  3. Once you have located your Deposit, click on Deposit to bring up the following screen: Please ensure that you select the coin that corresponds to your deposit address! If you do not follow this step, your Deposit will not be processed.
  4. On the next page, you will see a field where you can enter the address provided to you on Kucoin along with how much of your cryptocurrency you wish to withdraw. Please ensure that you have selected the correct tab corresponding to the cryptocurrency being withdrawn! If not, this Withdrawal may not be processed.
  5. On the next page, you will see that your Withdrawal has been added to the list on the right-hand side of your screen. You can click on Withdrawal to begin processing your request or Cancel if it is no longer necessary.
  6. Additionally, many exchanges also provide a mobile app for Android and iOS users. These apps are often faster, more intuitive, and have a better user interface than a web-based version.
  7. Ensure that you have selected the cryptocurrency tab corresponding to your Deposit
  8. Enter the address provided by Kucoin along with how much of your Deposit you wish to withdraw and press Withdrawal.

You're almost there! Please wait a few minutes for your Withdrawal to be processed, and keep an eye on Kucoin for the corresponding cryptocurrency to appear in your account. Once it has been deposited successfully, you can then purchase KCS or any other coin available at that Exchange.

How Is The Customer Support Service Of Poloniex?

In contrast to Kucoin, Poloniex provides customer support through the following methods:

  • 24/7 email support
  • Ticket submission system. They require a longer wait time as their site states customers can expect responses within 72 hours. On Reddit, there are many stories from customers who have waited weeks for a response from ticket submissions.
  • Twitter account @PoloniexSucks, has many complaints from customers who have experienced long waits (weeks) for responses to support tickets. Also, using this Twitter address will likely not provide any response as it is meant to be an open forum to discuss issues with the Poloniex customer support team and upper management.
  • Reddit forum r/Poloniex where customers post their issues and concerns and wait for a response from staff members. Unfortunately, there is not much visibility on the progress of these tickets as they are usually quite old, and it can be difficult to determine who is working on them. However, one thing you may notice is that many customers have had their issues escalated to a supervisor who can help them with their problem.
  • You may also find the most updated information on Poloniex's status and maintenance here: https://status.poloniex.com/.

What Does The Poloniex Platform Look Like?

Poloniex provides a fairly simple interface for its users by using a tabbed system and drop-down menus to navigate through the site.

The tabs are clearly visible across the top of the webpage, making it easy to switch between currencies or markets that you are interested in. Underneath the profile picture on the right-hand side of your screen, you can find information such as your current balance, withdrawal history, and orders. On the left-hand side of the screen are your trading pairs with information on which ones are running promotions or have discounts available.

What Factors Need To Be Considered Before Choosing A Crypto Exchange?

Fiat Currencies:

A fiat currency exchange is one that allows you to utilize traditional payment methods such as credit cards, wire transfers, and others. Such platforms often offer a variety of additional features when compared with their crypto counterparts, which can make them attractive when considering your options.

Limits:

How much can you deposit and withdraw? Some exchanges require a minimum limit which may be a turn-off for those who do not want to make a contribution of that size.

Fees:

There are different fees associated with every Exchange, and they vary from one platform to the next. Some charge per transaction, while others levy a flat fee per month. It is important to understand these fees before you begin trading.

Customer Support:

Is there a quick way to resolve issues, or do you need to wait for days? This can be an important factor when considering your choice of platform.

What Factors Need To Be Considered Before Choosing A Crypto Exchange?

Payments Methods:

Can you deposit via credit card, wire transfer, cash, etc.? Having more options is generally better when it comes to cryptocurrency exchanges because they cater to a wider audience.

Security:

Does the website offer additional security protocols such as two-factor authentication and others? These methods can be key in protecting your assets and account information.

Language:

Is the site user-friendly and easy to navigate even if you do not speak the native language? This is important for those who want to use the platform but do not understand the native tongue.

Liquidity:

How liquid is an exchange? Liquidity is an important factor to consider, especially when you wish to trade large volumes and do not want to move the market with your trades.

Now we have learned a lot about both the exchanges; now, let us understand what cryptocurrencies are and why they are gaining so much popularity.

What Are Cryptocurrencies?

A cryptocurrency is a decentralized digital currency that is secured by cryptography. Cryptography refers to the use of codes and ciphers to encrypt messages.

In simpler terms, cryptocurrencies can be best described as virtual currencies which are protected with advanced encryption techniques. They do not have a physical form and cannot be held in your hand or kept under your pillow. Instead, they are traded online and serve as a medium for peer-to-peer transactions.

There are many different cryptocurrencies available to invest in today, with each having unique benefits (and disadvantages), which you will need to understand before making your final decision about which ones to buy.

How Do Cryptocurrencies Work?

Cryptocurrencies like Bitcoin and Litecoin work using a technology referred to as the blockchain. The blockchain is a digital ledger in which transactions made in cryptocurrencies are recorded chronologically and publicly.

There are even newer forms of cryptocurrencies, such as Ethereum and Ripple, which use blockchains that allow for smart contracts and decentralized applications (apps contracts). Smart can be referred to as being something that performs a task with minimal or no human input, while decentralized applications are simply apps that are not controlled by any organization or other third party.

How Can You Earn By Cryptocurrencies?

The most common way to earn cryptocurrencies is through exchanging them with other users on cryptocurrency exchanges. Another option is to buy mining equipment and tap into cryptocurrency networks as a miner.

Can You Lose Money By Cryptocurrencies?

Yes, you can definitely lose money with cryptocurrencies. Just like any other investment, there are many factors that determine your success or failure. These include the price of the cryptocurrency you choose, timing your purchase and sale orders, having a good understanding of market trends, and so much more.

Are Cryptocurrencies Safe?

Cryptocurrencies are relatively safe to use, but there is still some degree of risk attached. You can minimize this risk by understanding the risks involved and taking steps to protect yourself against them.

How Do You Pick Which Cryptocurrencies To Buy?

This step is one of the most important because it determines how much profit you will make in your investments. This step also involves researching extensively to understand which cryptocurrencies are the most profitable right now, and this will help you maximize your profits later on.

How Do You Determine When To Buy Cryptocurrencies?

This is determined by supply and demand, along with understanding events that may affect cryptocurrency prices in one way or another. For example, if a cryptocurrency has a unique feature or technology, people are more likely to buy it when they hear about its availability.

Some investors rely on charts and graphs, while others follow discussions in cryptocurrency forums and social media. All these sources can be used to determine which cryptocurrencies will increase and decrease in value over time.

Now that we have covered all the basics of what cryptocurrencies are and how they work, we will now take a look at the top three cryptocurrencies that are gaining popularity and why.

The Top 3 Cryptocurrencies for 2022:

Bitcoin

The first and most popular cryptocurrency in the world is still going strong after nearly a decade since its inception. Its price has been climbing steadily ever since it was released and has recently reached the $20,000 mark for one unit.

Ethereum

This cryptocurrency is most commonly used for ICO (Initial Coin Offering) projects which are similar to IPOs (Initial Public Offerings). The ICO involves selling units of an underlying product or service at a specific price before it is offered to the public, and its value is based on market demand.

Ripple 

This cryptocurrency is most commonly used for P2P (peer-to-peer) transactions involving large banks, mainly to facilitate cross-border transfers of funds. The fees are relatively low when compared to other cryptocurrencies currently trading in the market.

Conclusion

With the growing popularity of cryptocurrencies, there are more companies looking to use them as their base currency for trading. It's quite common these days to find cryptocurrency exchanges offering not only Bitcoin but other alternative currencies as well.

Whether you are a beginner or an experienced trader, it's necessary that you have at least some knowledge about how cryptocurrencies work. The more you know, the better your chances of making a profit in this relatively new market.

Both Kucoin and Poloniex are two of the top cryptocurrency exchanges used by traders to buy and sell cryptocurrencies. While both offer a wide variety of digital coins, Kucoin is more well-known for its low transaction fees, while Poloniex is known for offering alternative coins (altcoins).

In the end, it comes to your preference, investment strategies, and even your cryptocurrency of choice. Depending on your unique needs, it may be better to use both exchanges or just one of them. Either way, you will need to learn the basics in order for you to maximize your returns in this market.

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