They call themselves “the people’s exchange” off the back of this model and it’s certainly a novel way of setting up the business.
Up to 50% of trading fees are paid as a dividend of sorts to the owners of the Kucoin issued KCS. That means that by owning these coins, you not only have the potential capital growth of the coin, but can can earn a passive income along the way. As the exchange grows in volume, the dividend will increase – and so will the value of KCS. To see how much you’ll make each day on your KCS, check out the Kucoin Shares Calculator.
40% of the fees collected as paid through a three level referral system. This means that you can earn a percentage of the trades not only from those that you directly refer but from those that they refer and those that you’ve referred refer as well.Given how good the referral program is, it’s worth joining up even if you don’t plan on doing much trading yourself – if you have a friend who you think will. Join up (it’s free and takes about 5 minutes) and then send your referral link to them.Referrals are paid for 12 months.The company keeps the remaining 10%
So how do you get started?
Kucoin Sign Up and Registration
Signing up to Kucoin can be completed in under three minutes, with no ID requirements and lengthy verification delays that are common with other exchanges.
Begin by enetering your email address and your chosen password and you should receive a confirmation email within seconds (check your spam folder, as that’s where my email ended up).
Following confirmation it’s a pretty easy process to set up your 2FA and then you’re ready. Well, not quite as you’ll need to deposit coins in order to make a trade.
Making a Deposit
Kucoin does not accept fiat so you will need to purchase coins from a site such as Coinbase and then transfer them over. (If your transferring from Coinbase, the cheapest way is to first send your coins to GDAX and then transfer them – there are no fees to do it that way).
Read our post about getting started if you need some help.
Markets and Trading View
Kucoin has a very user-friendly interface. In the overview (below) you can choose trading pairs for any of BTC, ETH, NEO, USDT and KCS.
Although they don’t accept fiat, you can see the prices quoted in one of seven currencies.
Once you’ve chosen a trading pair (and you can save your favourites to make this process quicker), you’ll end up at the full trading screen, complete with candles and order book where you can place market or limit orders.
At 0.1% Kucoin’s fees are amongst the lowest of any exchange.
In addition to exchange fees, Kucoin charge withdrawal fees for most cryptocurrencies (eg 0.0005 for BTC, and 0.001 for LTC) while some, including GAS and NEO are free.
Importantly, as mentioned above, 90% of Kucoin’s fees are actually returned to the users, with 50% being paid as a dividend to those owning KCS, and 40% via the referral system.
Although relatively new, Kucoin has set itself an impressive goal to be amongst the top 10 trading platforms in the world by mid 2019.
With their continually expanding cryptocurrency list and volume, coupled with their referral and profit share program, it’s not an unbelievable goal at all.