Onramp vs Kraken — Head-to-Head Custody Comparison

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

Verdict

Quick Verdict

Onramp scores 8.7 vs Kraken's 7.6. Onramp leads in 5 of 8 categories.

Onramp is better suited for Family offices, RIAs, HNW individuals. Kraken is better suited for Active traders, Security-conscious exchange users, International users.

8.7

Very GoodCustody Score

Onramp

7.6

GoodCustody Score

Kraken

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Onramp	Kraken	Winner
Security	20%	9.5	8.5	Onramp
Insurance	15%	9.0	5.5	Onramp
Regulatory	15%	8.5	8.0	Onramp
Fee Transparency	10%	7.5	8.0	Kraken
Track Record	15%	8.0	9.0	Kraken
Withdrawal Flexibility	10%	8.5	8.5	Tie
Reporting & Audit	10%	8.5	8.0	Onramp
Counterparty Diversification	5%	10.0	2.0	Onramp
Overall Score	100%	8.7	7.6	Onramp

Visual

Score Radar

Visual overlay of Onramp and Kraken across all categories.

OnrampKraken

Deep Dive

Category-by-Category Analysis

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

Security (9.5 vs 8.5)

Onramp uses Multi-institution distributed key management with Varies by underlying custodian in cold storage and regular penetration testing. Compliance: Via underlying custodians (SOC 1 & SOC 2). Incident history: No incidents.

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.

Insurance (9.0 vs 5.5)

Onramp offers Aggregate coverage across multiple custodian insurance policies via Multiple (via underlying custodians). Each underlying custodian maintains their own insurance. Combined coverage exceeds single-custodian limits.

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

Regulatory (8.5 vs 8.0)

Onramp holds State money transmitter licenses and is a qualified custodian operating in United States. Regulated through underlying custodian partnerships with qualified custodians

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.

Fee Transparency (7.5 vs 8.0)

Onramp charges Contact for pricing in annual custody fees with 0.50% per trade (brokerage) per transaction. Also offers Onramp Finance: lowest-cost Bitcoin brokerage at 50bps, 5% APY on cash, 1.5% cashback card

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.

Track Record (8.0 vs 9.0)

Onramp was founded in 2021 and is headquartered in Austin, TX. AUM: $1B+. Incident history: No incidents.

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.

Withdrawal Flexibility (8.5 vs 8.5)

Onramp withdrawal fees: Contact for pricing. Minimum account: $100,000. Supported assets: Bitcoin.

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

Reporting & Audit (8.5 vs 8.0)

Onramp: SOC compliance is Via underlying custodians (SOC 1 & SOC 2). As a qualified custodian, it meets SEC reporting requirements.

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

Counterparty Diversification (10.0 vs 2.0)

Onramp is a multi-institution custody provider. Key management: Multi-institution distributed custody — keys and assets spread across multiple independent regulated custodians (BitGo, Coinbase, Fidelity, etc.).

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

Fees

Fee Comparison

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

Fee Type	Onramp	Kraken
Setup Fee	Contact for pricing	Free
Annual Custody	Contact for pricing	None
Transaction	0.50% per trade (brokerage)	0.16-0.26% maker/taker
Withdrawal	Contact for pricing	Network fees + small flat fee

Onramp: Also offers Onramp Finance: lowest-cost Bitcoin brokerage at 50bps, 5% APY on cash, 1.5% cashback card

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

Features

Feature Comparison

Checklist of features across both providers.

Feature	Onramp	Kraken
1.5% cashback card	✓	✗
13+ year track record	✗	✓
24/7 customer support	✗	✓
5% APY on cash balances	✓	✗
95%+ cold storage	✗	✓
Bitcoin brokerage services (Onramp Finance)	✓	✗
Futures and margin trading	✗	✓
Institutional-grade security and compliance	✓	✗
Multi-Institution Custody across multiple regulated custodians	✓	✗
No single point of failure	✓	✗
Proof of reserves	✗	✓
Staking services	✗	✓
White-glove onboarding for institutions	✓	✗

Recommendation

Who Should Choose Which?

Onramp is better if you…

✓Are a family offices
✓Are a rias
✓Are a hnw individuals
✓Are a institutions
✓Want: Only provider offering true multi-institution custody — no single point of failure
✓Want: Aggregated insurance coverage exceeds any single custodian
✓Want: $1B+ in assets under custody demonstrates institutional trust

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

FAQ

Frequently Asked Questions

Is Onramp or Kraken better for Bitcoin custody?

Onramp scores 8.7 vs 7.6 in our weighted Custody Score. Onramp leads in 5 of 8 scoring categories. However, the best choice depends on your specific needs: Onramp is best for Family offices and RIAs, while Kraken suits Active traders and Security-conscious exchange users.

What is the difference between Onramp and Kraken?

Onramp is a multi-institution custody provider, while Kraken is a exchange custody provider. Onramp excels in Counterparty Diversification, whereas Kraken is strongest in Track Record.

How do Onramp and Kraken fees compare?

Onramp charges Contact for pricing annual custody fees with 0.50% per trade (brokerage) transaction fees. Kraken charges None annual custody fees with 0.16-0.26% maker/taker transaction fees.

Which is more secure, Onramp or Kraken?

Onramp scores 9.5/10 for security while Kraken scores 8.5/10. Onramp uses Multi-institution distributed key management, and Kraken uses Exchange hot/cold wallet system.