Kraken vs Strike — Head-to-Head Custody Comparison

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

Verdict

Quick Verdict

Kraken scores 7.6 vs Strike's 5.7. Kraken leads in 6 of 8 categories.

Kraken is better suited for Active traders, Security-conscious exchange users, International users. Strike is better suited for Lightning Network users, Fee-conscious buyers, International remittance users.

7.6

GoodCustody Score

Kraken

5.7

Below AverageCustody Score

Strike

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Kraken	Strike	Winner
Security	20%	8.5	6.5	Kraken
Insurance	15%	5.5	3.0	Kraken
Regulatory	15%	8.0	6.5	Kraken
Fee Transparency	10%	8.0	7.0	Kraken
Track Record	15%	9.0	6.0	Kraken
Withdrawal Flexibility	10%	8.5	9.0	Strike
Reporting & Audit	10%	8.0	4.0	Kraken
Counterparty Diversification	5%	2.0	2.0	Tie
Overall Score	100%	7.6	5.7	Kraken

Visual

Score Radar

Visual overlay of Kraken and Strike across all categories.

KrakenStrike

Deep Dive

Category-by-Category Analysis

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

Security (8.5 vs 6.5)

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.

Strike uses Exchange-managed custody key management with Not disclosed in cold storage and regular penetration testing. Compliance: N/A. Incident history: No incidents.

Insurance (5.5 vs 3.0)

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

Strike offers Not publicly disclosed via N/A. Regulated US money transmitter. Custodial for Bitcoin held on platform.

Regulatory (8.0 vs 6.5)

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.

Strike holds FinCEN MSB, State money transmitter licenses and is not a qualified custodian operating in United States. US-regulated. Focus on payments and Lightning Network.

Fee Transparency (8.0 vs 7.0)

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.

Strike charges None in annual custody fees with ~0.0-0.99% (variable spread) per transaction. Among lowest Bitcoin buying fees. Free Lightning withdrawals.

Track Record (9.0 vs 6.0)

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.

Strike was founded in 2020 and is headquartered in Chicago, IL. AUM: Not publicly disclosed. Incident history: No incidents.

Withdrawal Flexibility (8.5 vs 9.0)

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

Strike withdrawal fees: Free via Lightning / Network fees on-chain. Minimum account: No minimum. Supported assets: Bitcoin only.

Reporting & Audit (8.0 vs 4.0)

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

Strike: SOC compliance is N/A. Not classified as a qualified custodian.

Counterparty Diversification (2.0 vs 2.0)

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

Strike is a exchange custody provider. Key management: Bitcoin purchase and Lightning Network payment app..

Fees

Fee Comparison

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

Fee Type	Kraken	Strike
Setup Fee	Free	Free
Annual Custody	None	None
Transaction	0.16-0.26% maker/taker	~0.0-0.99% (variable spread)
Withdrawal	Network fees + small flat fee	Free via Lightning / Network fees on-chain

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

Strike: Among lowest Bitcoin buying fees. Free Lightning withdrawals.

Features

Feature Comparison

Checklist of features across both providers.

Feature	Kraken	Strike
13+ year track record	✓	✗
24/7 customer support	✓	✗
95%+ cold storage	✓	✗
Bitcoin payment rails	✗	✓
Clean mobile app	✗	✓
Futures and margin trading	✓	✗
Instant Bitcoin purchases	✗	✓
International transfers	✗	✓
Lightning Network native	✗	✓
Near-zero buying fees	✗	✓
Proof of reserves	✓	✗
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

Strike is better if you…

✓Are a lightning network users
✓Are a fee-conscious buyers
✓Are a international remittance users
✓Are a bitcoin payment users
✓Want: Lowest Bitcoin buying fees
✓Want: Lightning Network integration
✓Want: Instant purchases

FAQ

Frequently Asked Questions

Is Kraken or Strike better for Bitcoin custody?

Kraken scores 7.6 vs 5.7 in our weighted Custody Score. Kraken leads in 6 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 Strike suits Lightning Network users and Fee-conscious buyers.

What is the difference between Kraken and Strike?

Kraken is a exchange custody provider, while Strike is a exchange custody provider. Kraken excels in Track Record, whereas Strike is strongest in Withdrawal Flexibility.

How do Kraken and Strike fees compare?

Kraken charges None annual custody fees with 0.16-0.26% maker/taker transaction fees. Strike charges None annual custody fees with ~0.0-0.99% (variable spread) transaction fees.

Which is more secure, Kraken or Strike?

Kraken scores 8.5/10 for security while Strike scores 6.5/10. Kraken uses Exchange hot/cold wallet system key management, and Strike uses Exchange-managed custody.