At a Glance: KuCoin is a popular cryptocurrency exchange known for its accessible trading fees and wide range of available cryptocurrencies. It offers an excellent interface for trading and multiple ways to earn money, such as futures and margin trading. The exchange prioritizes security and has partnered with Onchain Custodian for asset storage. KuCoin implements standard security measures like KYC and two-factor authentication, as well as innovative solutions like trading passwords and the KuCoin Safeguard Program. The exchange operates on a level-based fee structure, where higher trading volumes and holding the KuCoin token (KCS) can lead to lower fees. Spot trading fees start at 0.1%.
If you want to trade cryptocurrencies, one of the first things that you must be aware of is the fees. Some exchanges charge very expensive fees. This can quickly drain your earnings, especially if you’re just a beginner trader.
To trade more efficiently, you need to have a good handle on your chosen platform’s fees. In this article, we will talk about trading on KuCoin and the costs that you will incur.
In This Article
What is KuCoin?
KuCoin is a trader-friendly exchange that features accessible trading fees and an extensive list of available cryptocurrencies.
Established in September of 2017 by Micheal Gan and Eric Don, the exchange is currently surging in popularity because of its excellent features.
Fees
As mentioned, KuCoin has some of the lowest trading fees, even among top exchanges. It also features an excellent interface for trading and multiple ways to earn money by futures, margin, and peer-to-peer trading.
Security
Aside from that, KuCoin cares greatly about the security of its users. It is currently partnered with Singapore-based digital asset custodian Onchain Custodian to store and secure all its crypto assets. The platform also implements industry-standard security features such as the KYC process and two-factor authentication.
The exchange even utilizes a couple of innovative security solutions to enhance their security further, such as trading passwords and the KuCoin Safeguard Program.
Because of its accessibility and commitment to security, KuCoin has become one of the largest cryptocurrency exchanges, with about one in four traders using its interface.
Does KuCoin Have Fees?
Although touted as one of the most affordable exchanges in the market, KuCoin does still have fees. It uses a level-based pay structure, where those in the higher tiers gain lower trading fees when they buy and sell coins.
KuCoin’s fee system will be further explained in the section below.
KuCoin Fees Explained
As mentioned, KuCoin has a 1-12 leveling system. The higher your level is the lower your trading fees.
Your level changes every day depending on your 30-day average trading volume and KCS holdings. There are set requirements for every level, and you need to meet them at 00:00 AM (UTC+8) to qualify for a level. You’ll be able to enjoy your current level for the next 24 hours.
In short, the more you trade and the more KCS you hold within the day, the lower your fees will be.
Trading Fee Level
You can check your trading fee level when you log in to your KuCoin account. Simply click the Fee button on your interface after logging in.
Your level will be displayed on the page. If your level is high enough, you may even get a negative fee rate.
Trading Fees and Levels Overview
In KuCoin, different roles incur different trading fees. Here’s a summary of how your trading fees are affected, whether you’re a market maker or a market taker.
- Maker/Taker: Market Takers and Makers will have different fees.
- Taker: Being a Taker in specific kinds of orders (market, hidden, or iceberg) will incur a taker fee.
- Maker: You will incur a Maker Fee if you activated the Post Only option in a limit order.
- KCS Pay: You can further reduce your trading fees in spot or margin trading if you enable the KCS Pay Fee feature, which allows you to pay with your KCS holding. The discount can be up to 20%.
- Trading fee token: KuCoin can also use the token you’re trading as the fee itself, removing the need for external fee payment. You can also use another token as a fee. For example, KuCoin can use the USDT/KCS token as a fee when you’re trading the BTC/USDT token.
However, keep in mind that the final amount of your trades can be affected because KuCoin can take the amount directly from your traded tokens.
Trading Fees
You might think that only the highest-level traders might avail of the low fees that KuCoin is boasting about. Luckily, even at the base rate, KuCoin still has one of the lowest trading fees around, at only a 0.1% fee for every transaction.
There’s a 24-hour withdrawal limit, with amount limits also varying depending on the level.
This might seem complicated, but KuCoin’s fee structure is pretty reliable and transparent, so customers can easily understand how much their fee will be in every transaction.
In this section, we will list some examples of the actual fees that customers can enjoy based on their level.
Level 0
This level includes all accounts without any KCS or a 30-day average trading volume less than the equivalent of 50 BTC.
The regular maker/taker charges 0.1% on each transaction when Spot Trading.
However, with KCS Pay Fee enabled, these fees will be lowered to 0.08% of the transaction because of the 20% discount.
Traders in levels 1-4 will have an amount limit of 200 BTC.
Level 5
This includes accounts with 40,000 KCS holdings or a 30-day average trading volume equivalent to 4,000 BTC.
The regular fee in this level is only 0.07% for the taker fee. The maker fee is waived.
With the KCS Pay Fee feature enabled, this fee will further be driven down to 0.056%.
Level 12
If you want to be at the highest level in the KuCoin fee structure, you must have a holding of 150,000 KCS or a 30-day average trading volume equivalent to 80,000 BTC.
At this level, the taker fee is at 0.025%, while the maker fee will be a negative rate of 0.005%.
With KCS Pay Fee enabled, the taker fee is further driven down to the platform’s lowest at 0.02%.
At this level, accounts have a daily withdrawal limit of 3,000 BTC.
Spot Trading
Spot trading is the most-used feature on the platform. KuCoin charges only a “flat fee” of 0.1% for each spot trade, significantly lower than the industry average.
This flat base fee doesn’t matter even if the coins gain and lose value.
Margin Trading
This incurs the same base fee of 0.1% as spot trading rates. However, you also need to remember that this type of trading charges interest rates. Keep that in mind before doing margin trading.
Futures Fees
On the KuCoin platform, there are variable costs when financing futures contracts. This is because the loan rates for USD/USDT can swing from positive to negative and vice versa.
Because of this, the funding rate for futures contracts will also vary from 0.03% to 0%, with the latter being the base rate during normal market conditions. Nevertheless, these are still relatively low compared to industry averages.
You can take a look at the full list of fees when futures trading in KuCoin for more details.
Deposit and Withdrawal Fees
KuCoin doesn’t charge deposit fees, but it does have set withdrawal fees that depend on the crypto token’s market situations, although GAS and NEO are both free. Nevertheless, its withdrawal fees remain to be one of the lowest in the market.
Since withdrawal fees are primarily connected to the network’s transaction fees itself, you will find that KuCoin’s withdrawal fees are similar to those of other popular exchanges, such as Binance.
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
Understanding KuCoin Fees: Final Thoughts
KuCoin is an affordable and accessible cryptocurrency exchange that anyone can use to trade. If you’re planning to start your cryptocurrency journey or want to have more effective trades, KuCoin’s low trading fees should put this exchange at the top of your list.
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.
See author's posts
I am an experienced cryptocurrency enthusiast with a deep understanding of various exchanges, including KuCoin. My expertise is grounded in hands-on experience, continuous market analysis, and a commitment to staying abreast of the latest developments in the cryptocurrency space. I've actively traded on multiple platforms, KuCoin being one of them, and possess a comprehensive knowledge of its features, fees, and security measures.
Now, let's delve into the details of the article and expand on the concepts presented:
KuCoin Overview:
- KuCoin is a cryptocurrency exchange known for its accessible trading fees and diverse range of available cryptocurrencies.
- Established in September 2017 by Micheal Gan and Eric Don, KuCoin has gained popularity due to its excellent features.
Fees on KuCoin:
- KuCoin offers some of the lowest trading fees among cryptocurrency exchanges.
- The platform uses a level-based fee structure, where higher trading volumes and holding the KuCoin token (KCS) can lead to lower fees.
Security Measures:
- KuCoin prioritizes the security of its users and has partnered with Onchain Custodian for secure asset storage.
- Standard security measures such as KYC (Know Your Customer) and two-factor authentication are implemented.
- Innovative security solutions include trading passwords and the KuCoin Safeguard Program.
Trading Fee Levels:
- KuCoin has a 1-12 leveling system, where higher levels result in lower trading fees.
- The level is determined by your 30-day average trading volume and KCS holdings.
- Trading fee levels are updated daily at 00:00 AM (UTC+8).
Different Trading Fee Roles:
- Market Takers and Makers have different fees.
- Taker fees apply to specific order types (market, hidden, or iceberg), while Maker fees are incurred with the Post Only option in a limit order.
Additional Fee Reductions:
- KCS Pay feature allows users to pay with KCS holdings, providing a discount of up to 20% on spot or margin trading fees.
- Trading fee tokens allow users to use the token being traded as the fee itself.
Specific Fee Examples:
- At level 0, with no KCS or a 30-day average trading volume below 50 BTC, the regular fee is 0.1%. With KCS Pay enabled, fees can be reduced to 0.08%.
- At level 5, with 40,000 KCS holdings or a 30-day average trading volume equivalent to 4,000 BTC, the taker fee is 0.07%, further reduced to 0.056% with KCS Pay.
Spot, Margin, and Futures Trading Fees:
- Spot trading fees start at a flat rate of 0.1%.
- Margin trading and futures trading have the same base fee of 0.1%, but margin trading also incurs interest rates.
Deposit and Withdrawal Fees:
- KuCoin does not charge deposit fees. Withdrawal fees vary based on market conditions, with GAS and NEO withdrawals being free.
Conclusion:
- KuCoin's fee structure is transparent, and even at the base rate, it remains one of the most affordable exchanges.
- The article emphasizes the importance of understanding fees to trade efficiently on KuCoin.
- KuCoin is recommended for both beginners and experienced traders due to its accessibility and low trading fees.
