KuCoin is one of the most famous cryptocurrency exchanges in the world and has its headquarters in Seychelles.
Launched in September 2017, KuCoin now has an 18-20 million user base in 207 countries and regions.
In this article, we have written about our personal experience with KuCoin after using many top cryptocurrency exchanges, such as Binance, Coinbase, Crypto.com, FTX, Gate.io, and Kraken.
At the end of this article, you will come to know whether is KuCoin safe, secure, and legal to use.
The Journey of KuCoin
Talking about the journey of KuCoin, it has come a long way since its launch.
- Just a few years after the launch, KuCoin was named one of the Best Crypto Exchanges in 2021 by Forbes.
- The year 2022 is also an incredible year for KuCoin as it was named the Best Crypto App for enthusiasts by The Ascent and they raised an investment of over $150 million through a pre-Series B round in the month of May. With total investments, KuCoin now stands at a valuation of $10 billion.
- With over 700 digital assets available on KuCoin, it provides services, such as spot trading, margin trading, P2P fiat trading, futures trading, staking, and lending.
- At the time of writing this article, KuCoin ranked #6 in the CoinMarketCap in terms of the trading volume.
- To sum up the KuCoin journey, it took birth during the new bull run of cryptocurrencies in September-December 2017 and continues to grow even amidst the bear market in 2022.
Several Layers of Security
Having used all of the top cryptocurrency exchanges, we could say KuCoin is definitely one step ahead of all of its competitors in terms of security. Let’s see why.
- It is mandatory to set the Trading password to withdraw cryptocurrencies in KuCoin. If you want, you can reset the Trading password at any time.
- By default, KuCoin has an anti-software tampering feature and withdrawal safety phrase to prevent any external software tampering.
- At the time of withdrawal, users need to enter their Trading password, email/ SMS verification code, and 2FA authentication code.
- KuCoin also has the important Restrict Login IP feature and they recommend their users to enable it when they have greater than 0.1 BTC. This feature logs out the account whenever the IP id changes. To enable this Restrict Login IP, go to the Account Security page by clicking the Profile Icon.
- To prevent your account from being anti-phishing, KuCoin has three features: Email safety phrase, Login safety phrase, and withdrawal safety phrase. Users can turn on this feature at any time.
- Account login intimation to your email wherever you or someone else login to your account.
- If you think your KuCoin account is logged in somewhere without your knowledge, you must rush to the KuCoin Account Security page and enable the Freeze Account feature. By doing so, you can easily escape from any malicious login attempts as this security feature of KuCoin freezes all trades and withdrawals.
- Recent log-in entries and trusted device details can be viewed easily on the User Profile page. To go to the User Profile page, you need to click on the “Profile Icon”.
With these points, everyone knows the answer to the question “Is KuCoin Safe?”.
More Reasons to Use KuCoin
- Apart from the list of security features, KuCoin has a unique contest to get free Bitcoin (BTC) and it is not a referral or affiliate program. This program is a boon for all content creators out there.
- Love privacy? KuCoin got you. To use KuCoin, there is no need to complete the KYC process! This means you can buy and sell cryptocurrencies without KYC. However, Verified users have more perks than Unverified users.
- Large withdrawals in KuCoin may be manually processed to ensure the security of your assets.
- Funds will be refunded manually to your account in case of the gas consumed exceeds the gas available in the transaction and/ or withdrawal failed during execution.
- User-friendly easy-to-use interface.
Is KuCoin Insolvent?
Recently, there has been a rumor floating around over the Internet that KuCoin is insolvent. A Twitter profile named “Otteroooo” put a thread stating that KuCoin held a large amount of wLuna and due to the Luna crash the CEX goes insolvent.
In response to Otteroooo’s claim, Johnny Lyu, CEO of KuCoin said that it is a FUD and KuCoin has not any exposure to wLuna. Further, he says “Having a LUNC wallet does not necessarily mean KuCoin as a company is holding lots of LUNC tokens, and I’m sure the difference is obvious”.
It is notable that most funds in KuCoin wallets belong to individual users, not KuCoin. Hence, according to the CEO of KuCoin, the company is not in the insolvent state.
Final Words: Is KuCoin Safe?
Yes, KuCoin is completely safe to use since it has all essential security features, such as anti-phishing, anti-software tampering, Restrict Login IP, Freeze Account, and secured withdrawals.
Most importantly, unlike Coinbase and Crypto.com, KuCoin does not hold customers’ funds on their behalf. Users have the freedom to withdraw their cryptocurrencies at any time. Hence, the National Council on Identity Theft Protection of the United States of America has given a green signal for KuCoin.
Though KuCoin got hacked at its earlier stage, it is now safe and secured with more security features and an insurance fund.
KuCoin has many great security features as mentioned in this article. Hence, KuCoin is safe to use.
However, to remain safe in all cases, one should implement all of the security features that KuCoin offers.
All of these features can be accessed easily on the “Account Security” page of each KuCoin user.
1. Is KuCoin a decentralized exchange?
No, KuCoin is a centralized exchange like other cryptocurrency exchanges, such as Binance, Coinbase, Crypto.com, FTX, etc.
A centralized exchange (CEX) is an organization that acts as an intermediate or third person to conduct transactions. All decisions in CEX are taken at the discretion of one particular organization whereas, in DEX, it is taken by a group of users who own the governance token.
2. Is KuCoin allowing US residents?
Yes, US residents can trade in KuCoin. According to the KuCoin KYC countries list, users of the United States and China were not able to get verified.
However, residents of the US (including New York and Connecticut) and all locations in the world still use KuCoin and trade without KYC verification.
3. Is KuCoin legal in India?
Yes, KuCoin is legal in India. According to KuCoin CEO Johnny Lyu, India is a key market for KuCoin and has millions of Indian users.
KuCoin loves Indian users and has been rewarding Indian users with the KuCoin India Volunteer program.