Kraken is a US based cryptocurrency exchange that operates worldwide. It offers trading of different cryptocurrencies and some fiat currencies, as well as leveraged margin trading on selected pairs with short-term financing rates. Kraken also settles trades in Euros, USDs, British Pounds and Japanese Yen (JPY).
In this article, we will explore whether Kraken is as safe as Coinbase as a platform to exchange cryptocurrency.
Coinbase has been very vigilant about its security since its inception in 2012. In fact, to date there has not been a successful direct attack on the platform. Safety is never 100% guaranteed, but as crypto exchanges go, Coinbase has built a reputation as one of the safest options out there.
In contrast, Kraken has experienced a security threat, back in 2016 when hackers were able to compromise some of its accounts. The reported attack only amounted to a few hundred dollars in theft, and didn’t appear to amount to anything further. Since this isolated incident Kraken has taken security extremely seriously. In fact, the cybersecurity team at the company, known as Kraken Security Labs, unearthed a vulnerability in the Trezor hardware wallet, providing a service to the entire crypto industry in the process.
All things considered, my verdict is that both exchanges provide first-rate security to traders. You likely can’t go wrong with either Kraken or Coinbase when it comes to security.