Currently ranked 14th on CoinMarketCap, Kraken is one of the most widely recognized cryptocurrencies exchanges out there. Thanks to its extremely wide variety of cryptocurrencies, it’s to go-to solutions for numerous international traders.
When it was first launched in 2011, Kraken was the first crypto exchange to have trading prices and volumes displayed in the Bloomberg Terminal, as well as the first exchange of its kind to pass a crypto-based verifiable proof-of-reserves audit.
The exchange is one of the best places to trade Ethereum. In this guide, we will detail how to trade Ethereum on Kraken.
Before anything, it’s important to note that even though some exchanges, Kraken included, offer an account “wallet,” it’s still advisable that you get your own Ethereum wallet (even consider getting a hardware wallet if you’re serious about keeping your funds safe).
How to buy ETH on Kraken?
The first step any trader must undergo in order to buy Ethereum on Kraken is creating a new Kraken account and get it verified. Look for the “Sign Up” button on the upper-right part of Kraken’s main window, and enter your email, username, and password. As expected, a confirmation email will be sent to your email shortly. You can either click the confirmation link or copy the verification code on the activation page to activate your new Kraken account.
The verification process
At this point, you still can’t start trading, as you also need to verify your identity. Click the “Get Verified” link and make sure to select a specific tier from the list according to how much you want to deposit or trade. A Tier 2 verification should be enough to get you started, if you are not planning on trading more than $25,000.
The Tier 1 requires you to enter your surname, first name, date of birth, and telephone number while Tier 2 requires a bit more information such as your street and house numbers, the state and city you live in, as well as the postal code. The third and most comprehensive verification is Tier 3. It’s necessary if you want to deposit and withdraw in funds to and from your bank account. This requires a bit more commitment and work on your part, since you have to provide a series of documents in JPEG, JPG, and PNG format.
The verification usually takes a couple of days, so patience is recommended. You’ll receive an email when the verification process has been completed. You can also manually check the status of the verification by accessing the “Get Verified” section once more.
Once your account is verified, you are ready to trade ETH. The Kraken account features a built-in wallet. By clicking the “Deposit” button from the “Funding” section, you can select your preferred currency. You can select one from the provided deposit methods to make the transaction. A thing to note here is the fact that it might take a few days for bank deposits to process.
By accessing the “Trade” section, you can start trading various currencies for ETH. Of course, you first have to have money in your Kraken account. Click “New Order” on the “Trade” page and select the cryptocurrency pair from the drop-down menu from the top toolbar.
Kraken supports ETH to USD and EUR, with a big lead in favor of the dollar. At the time of this writing, the ETH/USD pair has a 24-hour volume of $36,738,046, while ETH/EUR of $33,546,921. All that’s left to do now is fill in the desired amount of EUR or USD you want to use in order to buy ETH. Click the “Buy ETH with <currency>” button and then hit the “Submit Order” button to confirm the order.
It’s worth noting that Kraken also supports crypto-to-crypto trading, thus, you can use any of the supported cryptos to buy ETH.
Transferring ETH to your ETH wallet
Next step requires you to transfer the newly acquired ETH from your Kraken account to your Ethereum-enabled wallet. Access the “Funding” section once more, and select “Withdraw.” Select “Ether (ETH)” from the left side menu. Click the “Add address” button, and fill in all the required information within the form.
The name of your wallet should go in the “Description” field, and the public account address of your wallet should go in the “Ether address” field. Make sure to double check that your Ether wallet address is correct before clicking the “Save Address” button since we would like to remind you that there’s no way of recovering your funds if you accidentally send them to another address.
You will be taken back to the original form within the “Withdraw” section, where you can then select your wallet from the drop-down “Address” menu. Enter the amount of Ethereum’s ETH coins you want to withdraw to your Ethereum wallet, and click the confirmation button.
It’s important to get acquainted with all the elements of Kraken before you buy and trade Ethereum on Kraken. We recommend that you take the time to read all the information provided in the Help Center, especially the Kraken Trading Guide.