Kraken vs Bitstamp — Head-to-Head Custody Comparison

An independent, data-driven comparison of Kraken and Bitstamp across security, insurance, fees, regulatory compliance, and more.

Verdict

Quick Verdict

Kraken scores 7.6 vs Bitstamp's 7.5. Kraken leads in 4 of 8 categories.

Kraken is better suited for Active traders, Security-conscious exchange users, International users. Bitstamp is better suited for European investors, Institutional traders, Long-term exchange users.

7.6

GoodCustody Score

Kraken

7.5

GoodCustody Score

Bitstamp

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Kraken	Bitstamp	Winner
Security	20%	8.5	7.5	Kraken
Insurance	15%	5.5	6.5	Bitstamp
Regulatory	15%	8.0	8.5	Bitstamp
Fee Transparency	10%	8.0	8.0	Tie
Track Record	15%	9.0	8.0	Kraken
Withdrawal Flexibility	10%	8.5	8.0	Kraken
Reporting & Audit	10%	8.0	7.5	Kraken
Counterparty Diversification	5%	2.0	3.0	Bitstamp
Overall Score	100%	7.6	7.5	Kraken

Visual

Score Radar

Visual overlay of Kraken and Bitstamp across all categories.

KrakenBitstamp

Deep Dive

Category-by-Category Analysis

A deeper look at how each provider performs in every scoring criterion.

Security (8.5 vs 7.5)

Kraken uses Exchange hot/cold wallet system key management with 95%+ cold storage in cold storage and regular penetration testing. Compliance: SOC 2 Type 2. Incident history: No major security breaches in 13+ years.

Bitstamp uses BitGo custody partnership key management with 95%+ in cold storage and regular penetration testing. Compliance: SOC 2 Type 2. Incident history: 2015 hot wallet breach (19,000 BTC). Fully repaid users..

Insurance (5.5 vs 6.5)

Kraken offers Not explicitly disclosed via N/A. Maintains significant cold storage reserves. Proof of reserves verified.

Bitstamp offers BitGo custody insurance for cold storage via Via BitGo. Cold storage through BitGo with insurance coverage.

Regulatory (8.0 vs 8.5)

Kraken holds FinCEN MSB, State money transmitter licenses, FCA registered (UK), AUSTRAC (Australia) and is not a qualified custodian operating in United States / Global. One of the most compliant global exchanges. Bank partnership for USD.

Bitstamp holds Luxembourg payment institution license, FCA registered (UK), Multiple EU licenses and is not a qualified custodian operating in Luxembourg / EU / Global. Luxembourg-licensed. One of the most established exchanges globally.

Fee Transparency (8.0 vs 8.0)

Kraken charges None in annual custody fees with 0.16-0.26% maker/taker per transaction. Competitive trading fees. Free ACH deposits. Proof of reserves audited.

Bitstamp charges None in annual custody fees with 0.0-0.4% tiered per transaction. Competitive tiered fee structure. One of Europe's most established exchanges.

Track Record (9.0 vs 8.0)

Kraken was founded in 2011 and is headquartered in San Francisco, CA. AUM: $20B+ in quarterly trading volume. Incident history: No major security breaches in 13+ years.

Bitstamp was founded in 2011 and is headquartered in Luxembourg. AUM: $5B+ trading volume. Incident history: 2015 hot wallet breach (19,000 BTC). Fully repaid users..

Withdrawal Flexibility (8.5 vs 8.0)

Kraken withdrawal fees: Network fees + small flat fee. Minimum account: No minimum. Supported assets: Bitcoin, Ethereum, 200+ cryptocurrencies.

Bitstamp withdrawal fees: Network fees. Minimum account: $10 minimum. Supported assets: Bitcoin, Ethereum, 80+ cryptocurrencies.

Reporting & Audit (8.0 vs 7.5)

Kraken: SOC compliance is SOC 2 Type 2. Not classified as a qualified custodian.

Bitstamp: SOC compliance is SOC 2 Type 2. Not classified as a qualified custodian.

Counterparty Diversification (2.0 vs 3.0)

Kraken is a exchange custody provider. Key management: Exchange-managed hot/cold wallet system with proof of reserves..

Bitstamp is a exchange custody provider. Key management: Exchange-managed custody with BitGo partnership for cold storage..

Fees

Fee Comparison

Side-by-side fee breakdown for Kraken and Bitstamp.

Fee Type	Kraken	Bitstamp
Setup Fee	Free	Free
Annual Custody	None	None
Transaction	0.16-0.26% maker/taker	0.0-0.4% tiered
Withdrawal	Network fees + small flat fee	Network fees

Kraken: Competitive trading fees. Free ACH deposits. Proof of reserves audited.

Bitstamp: Competitive tiered fee structure. One of Europe's most established exchanges.

Features

Feature Comparison

Checklist of features across both providers.

Feature	Kraken	Bitstamp
13+ year track record	✓	✓
24/7 customer support	✓	✗
95%+ cold storage	✓	✗
BitGo custody partnership	✗	✓
Futures and margin trading	✓	✗
Institutional API	✗	✓
Low trading fees	✗	✓
Luxembourg banking license	✗	✓
Proof of reserves	✓	✗
SEPA/SWIFT support	✗	✓
Staking services	✓	✗

Recommendation

Who Should Choose Which?

Kraken is better if you…

✓Are a active traders
✓Are a security-conscious exchange users
✓Are a international users
✓Are a stakers
✓Want: 13+ year track record with zero major breaches
✓Want: Proof of reserves — verified by third party
✓Want: 95%+ assets in cold storage

Bitstamp is better if you…

✓Are a european investors
✓Are a institutional traders
✓Are a long-term exchange users
✓Are a fiat gateway seekers
✓Want: 13+ year track record — among oldest exchanges
✓Want: Luxembourg banking license
✓Want: Competitive fee structure

FAQ

Frequently Asked Questions

Is Kraken or Bitstamp better for Bitcoin custody?

Kraken scores 7.6 vs 7.5 in our weighted Custody Score. Kraken leads in 4 of 8 scoring categories. However, the best choice depends on your specific needs: Kraken is best for Active traders and Security-conscious exchange users, while Bitstamp suits European investors and Institutional traders.

What is the difference between Kraken and Bitstamp?

Kraken is a exchange custody provider, while Bitstamp is a exchange custody provider. Kraken excels in Track Record, whereas Bitstamp is strongest in Regulatory.

How do Kraken and Bitstamp fees compare?

Kraken charges None annual custody fees with 0.16-0.26% maker/taker transaction fees. Bitstamp charges None annual custody fees with 0.0-0.4% tiered transaction fees.

Which is more secure, Kraken or Bitstamp?

Kraken scores 8.5/10 for security while Bitstamp scores 7.5/10. Kraken uses Exchange hot/cold wallet system key management, and Bitstamp uses BitGo custody partnership.