Kucoin vs NDAX: What Works Better For Canadians in 2024

Security Compliance

Kucoin provides world-class security meaning your coins are in relatively safe hands. It has two-factor authentication, so you can prevent unauthorized access to your account.

Keep in mind, $275 million worth of crypto was stolen from Kucoin by North Korean hackers in 2020. Later, $200 million of the stolen funds was recovered. Still, it doesn’t bode well for Kucoin. If you have funds on the exchange, it’s best to move them to a private crypto wallet. 

NDAX keeps its digital assets in cold storage using Ledger Vault, although they do not state the percentage. Ledger is a big name in the cryptocurrency space, known for making secure hardware wallets. 

When signing up to NDAX, you are forced to enable two-factor authentication. Most crypto exchanges will leave this optional, but we think everybody should do it, so we like this mandatory policy.

Additionally, when you wish to change your details such as your email, address, phone number etc, NDAX requires you to submit a selfie with a handwritten note outlining the request. 

KuCoin uses multiple security layers, including bank-level encryption and dynamic multifactor authentication. However, they do not disclose the exact percentage of funds held in cold storage, which may concern some investors.

NDAX is recognized for its strong security measures, including cold storage via Ledger Vault, mandatory two-factor authentication, whitelisting of wallet addresses, and ongoing server monitoring. They also uniquely provide protection for users’ fiat money in segregated Canadian bank accounts.

Regulatory Compliance

In June, 2021, the Ontario Securities Commission stated that Kucoin was illegally offering its residents securities and derivatives trading, but Kucoin did not respond to this. As a result, Kucoin is still available in Ontario as well as the rest of Canada. You can use Kucoin at full capacity whether it’s a simple buy order at market price or a more advanced order type. Bear in mind, Kucoin does not allow Interac e-Transfer to deposit Canadian dollars to your account. Instead, you will have to use a debit or credit card or a SWIFT transfer with USD.

NDAX is registered as a Money Service Business with FINTRAC and AMF, NDAX is fully compliant with Canadian regulations. 

In June 2022, KuCoin faced a regulatory challenge in Canada when the Ontario Securities Commission (OSC) banned the platform from operating in Ontario and imposed a fine for non-compliance with local regulations. Despite this, many Canadians outside Ontario continue to use KuCoin, underlining the importance of understanding a platform's legal standing and compliance with local regulations before usage.

On the other hand, NDAX is fully compliant with Canadian regulations. It is registered as a Money Service Business with FINTRAC and AMF, ensuring adherence to federal laws and standards.

Customer support

Kucoin offers helpful FAQs and online ticketing service for their customers as well as 24/7 support and a live chat option.

NDAX provides a knowledge centre on its website. Articles here answer some of the most common questions. They also have a live chat function, which is handy when you need a quick answer. You can also email them for support. Confusingly, NDAX lists its phone number on its contact page, which is rare for a crypto exchange to do. We weren’t sure if this meant they had phone support, so we reached out via email to ask. They got back to us a very impressive 20 minutes later to let us know that they only have email support. So that’s that. Still, that’s the fastest response we’ve seen.

KuCoin offers 24/7 customer support via online chat, email, and a detailed Help Center. Although responses may take some time, the support team is generally considered helpful and effective.

NDAX also provides comprehensive customer support, featuring a well-equipped knowledge center, live chat, and email support. They have an impressive response time, often replying within 20 minutes.

Conclusion

Both KuCoin and NDAX are commendable cryptocurrency exchanges, each with their unique strengths. However, KuCoin edges out as the winner due to its broader range of supported cryptocurrencies, global user base, and highly rated mobile and desktop platforms. This makes it more versatile and accommodating for various trading needs and strategies, despite NDAX's remarkable focus on security and compliance with Canadian regulations.

When comparing Kucoin to NDAX, KuCoin stands out for its enhanced transparency through the Proof of Reserves (PoR) system, which verifies that the platform can fully cover all user assets, reinforcing trust in its financial stability. Additionally, KuCoin has stepped up its game in customer service by offering 24/7 support, making it easier for users to get timely assistance compared to many other exchanges. This level of transparency and customer care makes KuCoin a strong contender among its competitors.

We recommend choosing Kucoin over NDAX for your cryptocurrency trading needs. By opting for Kucoin through our referral link, you support us in conducting comprehensive independent analyses of crypto trading options for Canadians.

If you find that neither Kucoin nor NDAX meets your requirements, we encourage you to explore our monthly-updated list of the best exchanges for Canadians to trade crypto. This list provides a range of alternative options that may better suit your specific needs and preferences.