Kraken vs Swan Bitcoin — Head-to-Head Custody Comparison

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

Verdict

Quick Verdict

Kraken scores 7.6 vs Swan Bitcoin's 6.7. Kraken leads in 4 of 8 categories.

Kraken is better suited for Active traders, Security-conscious exchange users, International users. Swan Bitcoin is better suited for Bitcoin savers (DCA), IRA investors, Bitcoin education seekers.

7.6

GoodCustody Score

Kraken

6.7

FairCustody Score

Swan Bitcoin

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Kraken	Swan Bitcoin	Winner
Security	20%	8.5	7.0	Kraken
Insurance	15%	5.5	5.5	Tie
Regulatory	15%	8.0	7.0	Kraken
Fee Transparency	10%	8.0	8.0	Tie
Track Record	15%	9.0	6.5	Kraken
Withdrawal Flexibility	10%	8.5	8.5	Tie
Reporting & Audit	10%	8.0	6.0	Kraken
Counterparty Diversification	5%	2.0	3.5	Swan Bitcoin
Overall Score	100%	7.6	6.7	Kraken

Visual

Score Radar

Visual overlay of Kraken and Swan Bitcoin across all categories.

KrakenSwan Bitcoin

Deep Dive

Category-by-Category Analysis

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

Security (8.5 vs 7.0)

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.

Swan Bitcoin uses Fortress Trust / BitGo custody key management with Majority cold (via partners) in cold storage and regular penetration testing. Compliance: Via partners. Incident history: No incidents.

Insurance (5.5 vs 5.5)

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

Swan Bitcoin offers Via Fortress Trust / BitGo custody partners via Via custody partners. Custody through regulated partners with their own insurance.

Regulatory (8.0 vs 7.0)

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.

Swan Bitcoin holds FinCEN MSB, State licenses via partners and is not a qualified custodian operating in United States. US-based. Custody through Fortress Trust (regulated trust company).

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.

Swan Bitcoin charges None (exchange) / 0.39% (IRA) in annual custody fees with 0.99% (instant) / 0.49% (auto-DCA) per transaction. Automated DCA with competitive fees. IRA available. Free auto-withdrawal to own wallet.

Track Record (9.0 vs 6.5)

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.

Swan Bitcoin was founded in 2019 and is headquartered in Los Angeles, CA. AUM: Not publicly disclosed. Incident history: No incidents.

Withdrawal Flexibility (8.5 vs 8.5)

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

Swan Bitcoin withdrawal fees: Free auto-withdrawals. Minimum account: $10 minimum. Supported assets: Bitcoin only.

Reporting & Audit (8.0 vs 6.0)

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

Swan Bitcoin: SOC compliance is Via partners. Not classified as a qualified custodian.

Counterparty Diversification (2.0 vs 3.5)

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

Swan Bitcoin is a exchange custody provider. Key management: Bitcoin savings platform with Fortress Trust / BitGo custody partnership..

Fees

Fee Comparison

Side-by-side fee breakdown for Kraken and Swan Bitcoin.

Fee Type	Kraken	Swan Bitcoin
Setup Fee	Free	Free
Annual Custody	None	None (exchange) / 0.39% (IRA)
Transaction	0.16-0.26% maker/taker	0.99% (instant) / 0.49% (auto-DCA)
Withdrawal	Network fees + small flat fee	Free auto-withdrawals

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

Swan Bitcoin: Automated DCA with competitive fees. IRA available. Free auto-withdrawal to own wallet.

Features

Feature Comparison

Checklist of features across both providers.

Feature	Kraken	Swan Bitcoin
13+ year track record	✓	✗
24/7 customer support	✓	✗
95%+ cold storage	✓	✗
Advisor services	✗	✓
Automated DCA	✗	✓
BitGo custody	✗	✓
Bitcoin IRA	✗	✓
Bitcoin education	✗	✓
Free auto-withdrawal to own wallet	✗	✓
Futures and margin trading	✓	✗
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

Swan Bitcoin is better if you…

✓Are a bitcoin savers (dca)
✓Are a ira investors
✓Are a bitcoin education seekers
✓Are a long-term accumulators
✓Want: Best Bitcoin DCA platform
✓Want: Free auto-withdrawal to own wallet
✓Want: Bitcoin IRA offering

FAQ

Frequently Asked Questions

Is Kraken or Swan Bitcoin better for Bitcoin custody?

Kraken scores 7.6 vs 6.7 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 Swan Bitcoin suits Bitcoin savers (DCA) and IRA investors.

What is the difference between Kraken and Swan Bitcoin?

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

How do Kraken and Swan Bitcoin fees compare?

Kraken charges None annual custody fees with 0.16-0.26% maker/taker transaction fees. Swan Bitcoin charges None (exchange) / 0.39% (IRA) annual custody fees with 0.99% (instant) / 0.49% (auto-DCA) transaction fees.

Which is more secure, Kraken or Swan Bitcoin?

Kraken scores 8.5/10 for security while Swan Bitcoin scores 7.0/10. Kraken uses Exchange hot/cold wallet system key management, and Swan Bitcoin uses Fortress Trust / BitGo custody.