KuCoin is one of the most popular and widely-used crypto exchanges available to crypto enthusiasts. The exchange was host to over 25% of all active cryptocurrency investors at one point in time during the year 2022.
I have personally tried KuCoin and understand what the hype is all about. KuCoin is secure and gives users the peace of mind they need when dealing with volatile cryptocurrencies. The last thing you want while investing in Bitcoin or any other cryptocurrency is a complicated exchange that makes it hard for you to pocket your earnings.
Are you thinking of joining KuCoin, or are you already a user? One crucial bit of information that you'll need to know before joining the exchange is how to withdraw money from KuCoin and the limits in place.
In this article, I look at KuCoin’s withdrawal limits and the options available to users of the exchange. Once you have this information, you can seamlessly plan your trades and withdrawals.
Related: KuCoin Review
Understanding Withdrawal Limits on KuCoin
Withdrawal limits have long been a hallmark of all cryptocurrency exchanges. Most established cryptocurrency exchanges maintain withdrawal limits to ensure security. Cold storage wallets secure funds offline for improved security, which is why limited funds are available for immediate withdrawal.
Additionally, withdrawal limits are available for operational stability to monitor liquidity and hold the significance of protecting user funds in case of a security breach. Withdrawal limits also monitor the flow of assets and prevent extreme withdrawals during periods of speculation and volatility.
How Withdrawal Limits Work on KuCoin
In my opinion, the best ways to withdraw your money from KuCoin are to use the P2P platform or transfer your money to an exchange that allows crypto to fiat transfers/withdrawals. KuCoin itself does not offer crypto to fiat trades. However, you can see my guide that explains how to easily withdraw your money from KuCoin.
KuCoin has daily withdrawal limits, you can’t exceed the daily limit by any means and will have to wait for 24 hours to withdraw again.
KuCoin allows users to withdraw crypto without stringent KYC (Know Your Customer) verification measures. However, the exchange offers higher withdrawal limits for customers with KYC verification.
Types of Withdrawal Limits on KuCoin
During my experience with KuCoin, I found the withdrawal limits relatively simple and easy to understand. The limits are marked and refreshed on a daily basis. So, if you meet the daily limit requirements — you can easily complete your withdrawal the next day.
Let’s take a look at the different withdrawal limits on KuCoin:
Level-Based Withdrawal Limit
As mentioned above, KuCoin has varying withdrawal limits for customers with different levels of verification. Customers with basic verification status can withdraw 1 BTC max during 24 hours. Basic verification status does not require additional identification details above what is provided during the sign up procedure. We’ll get into greater detail on the verification process later.
Moving on, customers with advanced verification status are granted a daily withdrawal limit of 200 BTC. The advanced verification status is achieved by providing your full legal name, ID number, and basic personal information with pictures of your ID (front and back).
Lastly, KuCoin has an Institutional Account for businesses and corporate firms requiring excessive verification and documentation. The institutional account requires corporate documents, company registration certification, a portrait of self, personal ID numbers, and power of attorney. The daily withdrawal limit for an institutional account is set at 500 BTC.
How Withdrawal Limits May Vary
During my time on KuCoin, I realized that withdrawal limits do vary but are influenced primarily by verification status. Unlike other exchanges, KuCoin does not have measures in place to set withdrawal limits on the basis of account activity, trading volume, or security settings.
The aforementioned policies do make trading on the platform easier, as customers and investors are aware of just how much they can withdraw on a daily basis. Since KuCoin is not based in the United States, it does not have KYC measures for US customers and users. Hence, customers and traders from the United States will have to make do with the basic daily withdrawal limit of 1 BTC.
Factors Affecting Withdrawal Limits
As a regular user of KuCoin, I've discovered that there are several factors that may affect the daily withdrawal limits for their customers. Let's take a closer look at some of these factors:
Account Verification and KYC Procedures
KuCoin is known for their tiered verification system, where they segment users according to their Know Your Customer (KYC) status. The more complete and advanced a user's KYC verification is the higher their daily withdrawal limit.
This improvement, in turn, allows customers to have better control over their accounts and makes their experience on the platform more convenient.
Security Measures and Risk Management Protocols
In addition to the KYC procedures, KuCoin places great emphasis on protecting user assets and data. Their security measures and risk management protocols ensure that transactions are safe and secure. KuCoin stores all assets in separate cold and hot storage wallets. Cold storage wallets store crypto assets offline to ensure optimal security.
Additionally, KuCoin has comprehensive insurance to cover losses from a breach. Over $280 million assets were compromised during a data breach in 2020, which KuCoin was able to recover through their insurance.
These protocols may impact withdrawal limits as well, as more stringent security measures may require lower default withdrawal limits to minimize the risk of fraudulent activity.
Compliance with Regulatory Requirements
Being a reputable cryptocurrency exchange, KuCoin complies with all the necessary regulatory requirements. The Markets in Crypto Act or the MiCA was recently passed by the European Union. The Act placed a whole new set of regulations on crypto exchanges, including the need for disclosures, withdrawal limits, and customer safety.
These requirements may dictate how much a user can withdraw daily and might set withdrawal limits to ensure proper compliance. This ensures that users operate within the legal framework while benefiting from the services offered by KuCoin.
Trading Volume and Account Activity
While trading volume and account activity are often considered when accounting for daily withdrawal limits on crypto exchanges, KuCoin has no such measures in place. As mentioned, KuCoin has tiered limits based on verification status and not on possible account activity.
The factors mentioned above come together to shape the withdrawal limits on KuCoin. KuCoin is able to create a structure for its withdrawal limits that protects user assets and allows for flexibility in the day-to-day management of user accounts.
KuCoin's Approach to Balancing User Convenience and Security Measures
KuCoin strikes a balance between offering its customers convenience and maintaining robust security measures. The tiered verification system allows customers to increase their withdrawal limits by verifying their identity and providing more detailed information.
This approach encourages user trust in the platform, ensuring that the exchange continues to provide a safe, user-friendly environment for trading cryptocurrencies.
How to Check and Increase Withdrawal Limits
As I have mentioned earlier, the daily withdrawal limits on KuCoin are tied to your verification status. In fact, such is the emphasis on verification and KYC status that the exchange provides better leverage on daily trading and an increased daily trading limit to customers with KYC verification.
As a customer, if you want to increase your daily withdrawal limit, you should look to provide advanced-level KYC verification.
Steps for Advanced KYC Verification
Advanced KYC verification provides a better daily withdrawal limit with multiple other benefits. The steps you can take to get advanced KYC verification on your account include:
Step 1: Open the KYC Page
Once you log in to your KuCoin account, you will see an icon for KYC Verification on the drop-down menu. Click on Start Verification to initiate the process.
Step 2: Provide Basic Information
Next, you will be asked to provide basic personal information on the portal. You will have to type in your legal first name, last name, current residence, and ID number. Once you've added the information, click submit. The basic information will be approved in a few hours, so wait until then.
Step 3: Start Advanced Verification
Once you get approval on the basic verification, you can start advanced verification. Advanced verifications are done over the app, so you will have to download KuCoin’s mobile app. However, if you don't have an app, you can take the manual process over to the website, which takes around 3 to 10 days to complete.
Step 4: Upload Pictures and Supporting Documents
The last step in the verification process is to upload an image that supports the identity document previously entered on the platform. Users are asked to submit an image of the front and back sides of their ID documents.
KuCoin has an additional step in place for advanced verification that requires users to take a picture while holding their identity document in one hand and a hand-written custom code sent to them in their other hand. The additional step completes the verification process and secures your identity.
The results of the verification process will be available to you within a few days. Similar processes are also required for institutional verification, where the results take at least a week to come.
KuCoin is a market leader when it comes to providing a safe avenue for customers to buy, trade, and sell cryptocurrencies. Ever since the introduction of KYC measures in 2018, the exchange has tied its daily withdrawal limits to the level of verification on individual and institutional accounts.
As a customer, I always recommend users and traders know the daily withdrawal limits in place within the crypto exchange they use. Follow the information in this article to keep a close eye on how much you can withdraw and how to increase this limit.