As one of the largest and oldest Bitcoin exchanges in the world, Kraken is consistently named one of the best places to buy and sell crypto online, thanks to our excellent service, low fees, versatile funding options and rigorous security standards — but this is only part of the story. it’s been on the forefront of the blockchain revolution since 2011.
How to Use Kraken
Before you can start buying and selling, you’ll need to deposit funds into your Kraken account.
Once your account is funded, you can use this guide to place your first order!
Note: Kraken has numerous trading options and order types. To help keep things simple, this article will review our instant buy option and cover a basic Market or Limit order as well.
Instantly buy crypto on Kraken
The quickest way to buy, sell and convert crypto instantly is using the ‘Buy Crypto’ button at the top of the page. Not all cryptocurrencies will be available via this option. Transactions using the Instant Buy/Sell Services are subject to fees. You are presented with the applicable fees after selecting ‘preview buy’ before entering into the transaction.
Trading on the exchange
1. Select currency pair
First you’ll need to know what assets you would like to exchange, for example buying Bitcoin with your USD, or selling Ether (ETH) for euros. After you know which pairs you’ll be trading, you can select them from the ticker/quote bar near the top left corner while viewing the “Trade” tab.
To find out what each 3 character ticker stands for, see: Cryptocurrencies available on Kraken.
The first currency in a pair represents the base currency, while the second in a pair represents the quote currency.
In a Buy order: you pay the quote currency, and receive the base currency.
In a Sell order: you sell the base currency, and receive quote currency.
From here you can select any of the trading pairs.
2. Fill out order form
After selecting your trading pair, go to the “New Order” page and select the “Simple” form.
Here you’ll see three text boxes and the option to use a market or limit order. Before we input values into these boxes, knowing how a market or limit order works is necessary.
A market order is meant for immediate execution, as it will match with limit orders that are already available on our order books. Market orders will always incur a slightly higher fee known as a taker fee (the second percent beside your 30 day volume). With market orders you can only input the volume you would like to buy or sell and not the price.
Limit orders will execute at the price you’ve set or better, once the market reaches your limit price. They can be subject to maker or taker fees depending on when it executes. If a matching order already exists and it’s executed immediately, then taker fees will occur.
3. Submit order
Once you’ve decided on if you’re looking for a market or limit order, you can select your choice with the buttons to the left of the ”Total” field.
After things look good you just need to press the large buy/sell button and you’ll be brought to an order confirmation screen for a chance to double check your order.
This screen can be avoided if the “Skip order confirmations” box is checked.
Note: the order confirmation page will truncate (not round) the amount of cryptocurrency to spend/receive based on that cryptocurrency’s price precision (rather than the volume precision). The extra volume not shown is still included in the order.
For example, an order for 1.19 Bitcoin (XBT) will only show up as 1.1 XBT, but the remaining 0.09 XBT is still included in the order.
4. Wait for order execution
If a market order is selected, the trade will happen instantly and your balance will change. Funds can be withdrawn or used to trade again right away. You can view successfully executed (closed) market orders on the “Orders” tab.
Limit orders may not be filled right away but you can view their status in the “Orders” tab. In the below example, the XBT/EUR price would have to fall to 25 for the limit buy order to be executed.
If your order has not yet been executed you are able to cancel the order be selecting the red x button under ‘New & Open Orders’.
How to open an account in kraken
Creating a Kraken account is the first step towards accessing the services that Kraken offers.
1. Make sure you are visiting the official Kraken site on https://www.kraken.com.
2. Click on the “Create Account”-button in the upper-right corner.
3. Enter your email address, a username (see username tips & requirements) and a strong password (see password tips & requirements) on the signup form.
Note: the username cannot be changed.
If you receive an error after clicking on the “Sign Up” button, see this guide.
5. You should receive an activation email containing an activation key.
If you do not receive an activation email, please try these troubleshooting steps.
6. Enter your activation key on the account activation form, or alternatively complete activation by clicking the link in the email.
7. Confirm your password, complete the captcha if asked and click the “Activate Account” button.
How to fund an kraken account
Select the Funding tab and you’ll be taken to an overview of your funding options and activity. The page will look like this:
You have the option of depositing fiat currency and/or digital assets/cryptocurrencies.
To deposit, simply click the “Deposit” button for any of the assets and follow the instructions.
it is support funding in the following fiat currencies: USD, EUR, CAD, GBP, CHF, JPY and AUD.
However, the availability of fiat deposit and withdrawal options will depend on your residency and verification level.
If you’re funding your account with cryptocurrencies, select the one you’d like to deposit and generate an address for it.
Afterwards, you can either scan the QR code or copy the address using the select button and input it wherever the source of the funds are located.
Advantages of using kraken
Security. When we talk about money matters, security is paramount. And with Kraken, they encourage the use of 2 Factor authentication. That way cases of fraud are minimal.
The platform can support a large number of users seeking exposure and those with small starting capital.
Their trade fees are reasonable. Compared to Bitcoin exchanges, their withdrawal and trade fees are cheaper.
Transparency. It was the first exchange to carry out proof of reserves audit in the world.
All users are open to Bitcoin trade and cash is credited promptly to all users.
The site is beginner friendly. As a beginner, you can start trading with Kraken with small amounts.
It is a popular site, commonly used by professional traders and intermediate ones.
It operates with a wide variety of cryptocurrencies and fiat currencies.
It has an excellent rank. Kraken is ranked among the top five leading cryptocurrency exchanges in the world.
Disadvantages of using kraken
The customer support system is currently not very responsive. This is as a result of the increased number of users on the site.
The site holds keys to your crypto address or your account.
Arbitrary closure of accounts. Well, this happens when fraud is detected.
Slow connection. At times it takes more than 30 minutes for orders to go through, other times it fails altogether. Such results lead to loss of money and especially for professional traders.
Their account verification is slow compared to sites like Bitstamp and Coinmama.
Withdrawal and deposits can cost up to $15 if you are using SWIFT.
To understand better how to use Kraken, click on the link below: