With cryptocurrencies becoming increasingly popular, many would-be traders are trying to find a low-cost place where they can trade a variety of crypto assets. One potential choice for cryptocurrency trading is Okcoin, an exchange that offers a variety of features that could work well for beginners as well as advanced traders.
Read our Okcoin review to decide whether it’s the right exchange for you.
What is Okcoin?
Okcoin was founded in 2013 by Mingxing Xu. It is one of the world’s largest regulated digital asset exchanges, operating in more than 100 countries. Okcoin is headquartered in San Francisco and is used by millions of people to trade cryptocurrencies. Major investors for Okcoin include Giant Network, PreAngel, VenturesLab, Ceyuan Ventures, and Mandra Capital.
Okcoin’s stated mission is to make crypto investing and trading easily accessible to anyone around the world. In addition to offering an easy-to-use platform, the company strives to create tools that can be used by beginners, as well as provide features that appeal to active cryptocurrency traders.
|Mobile app||iOS, Android|
|Buy/deposit methods||ACH transfer, card payment, Apple Pay|
|Sell/withdrawal methods||ACH transfer|
|FDIC insured||Yes, for U.S. dollar amounts|
|Best for...||High-volume cryptocurrency traders|
What does Okcoin offer?
Okcoin offers access to more than 20 cryptocurrency pairs and is available in many countries around the world, including the U.S. You can buy, sell, and trade cryptocurrencies on Okcoin, using your desktop or laptop, or via iPhone or Android app.
Available tokens include:
- Bitcoin (BTC)
- Ethereum (ETH)
- Litecoin (LTC)
- Dogecoin (DOGE)
- Polkadot (DOT)
There are several other tokens available, including Tether (USDT) and other stablecoins and altcoins. However, Okcoin doesn’t offer as wide a variety of tokens as other exchanges, including Coinbase and Binance.US.
Okcoin is geared more toward frequent traders, with fees based on your 30-day average trading volume. If your trading volume is less than $100,000 per month, you pay the highest fees. However, even those fees only range between .10% and .20%, depending on whether you’re a maker or a taker. Additionally, you might have to pay another fee based on your payment source.
With Okcoin, you can buy cryptocurrencies using fiat currency, and you can also trade various pairs. Before signing up, make sure the tokens or the pairs you're interested in are supported on Okcoin.
Okcoin also features articles on cryptocurrency for beginners, which allows you to learn more about the implications of upgrades, crypto news, and blockchain technology.
In addition to allowing you to use your funding source and trading account, Okcoin also offers margin trading. This allows you to borrow money to leverage your position and potentially see bigger gains. However, you should be careful when trading on margin, as leverage might also magnify your losses.
One of the most interesting features offered by Okcoin is its “Earn” program, which offers up to 17% APY on your crypto (as of Aug. 24, 2021), depending on the cryptocurrency involved. With Earn, you can stake different cryptocurrencies, earning rewards in crypto and receiving additional coins in return for holding your funds in crypto.
In some cases, Okcoin offers you the chance to earn other cryptocurrencies for staking. Staking involves locking up a portion of your crypto assets, which then help validate the transactions on a particular blockchain. In return, you earn a percentage of rewards over time.
For example, Okcoin might allow you to stake Stacks (STX) and receive Bitcoin as a reward. You could also earn extra yield in Compound (COMP) by allowing your supply of USD Coin (USDC) to be used in a borrowing pool.
Other features for advanced traders
Okcoin also has an over-the-counter desk that allows you to trade quickly, without going through the exchange. However, you need to be a high-volume trader to access this feature.
You can also take advantage of its Pro platform, which offers access to different types of orders and allows you to complete more complex trades.
OKcoin uses security features like multi-factor authentication, SSL encryption, and AES encryption to protect its users. In addition to offering these features, Okcoin stores most crypto assets offline in cold storage. It also conducts regular platform audits, implementing measures suggested by cybersecurity experts when needed.
Who is Okcoin best for?
Okcoin offers some features, such as Earn, that can be attractive to those with a lower risk tolerance, and those who are looking for yield. It also offers some helpful educational tools for beginners learning how to buy Bitcoin and other cryptocurrencies. But for the most part, this crypto trading platform is likely to work best for active traders with a relatively high risk tolerance.
Although Okcoin may be an easy-to-use platform, it’s important to understand that crypto is still considered a riskier asset class due to its volatility. Additionally, frequent trading is generally riskier than a buy-and-hold approach. When investing in cryptocurrencies, it's essential to be aware of your limits and what you can afford to lose.
Pros and cons of Okcoin
- Earn additional tokens through staking
- Easy to get started
- Relatively low fees
- Available in many countries around the world
- Not available in every U.S. state
- Smaller number of available tokens than other exchanges
- Limited customer support options
Who can open an account with Okcoin?
Okcoin is available in several countries, including the U.S. But it’s not available in every U.S. state. If you live in Hawaii, Indiana, Louisiana, Nevada, New York, or West Virginia, you won’t be able to open an account with this trading service.
If you live in a state where Okcoin is allowed, you can open an account and trade up to $2,000 by providing the following information:
- Full legal name
- Government-issued ID number
For those who want to trade more than $2,000, there are additional requirements. You need to upload a picture of your government-issued ID to trade up to $1 million. On top of that, you need additional proof of your address and other information if you want to access unlimited trading.
Okcoin might be best for someone interested in trading cryptocurrency pairs, as well as trading crypto/fiat pairs.
How much can you earn with Okcoin?
As with any investment, you have the potential to make money with Okcoin. Investing money could be one of the best ways to grow your wealth over time. However, how much you end up earning depends on the tokens you trade, your timeline, risk tolerance, and other factors.
With Okcoin, you could also earn more tokens through staking, in what amounts to up to 17% APY (as of Aug. 24, 2021). But how much you actually earn depends on the token you stake and whether you meet the requirements to hold the cryptocurrency.
It’s important to note that you could also lose money in the crypto market. There’s always the risk of loss anytime you trade. Only use money you can afford to lose.
FAQs about Okcoin
Is Okcoin legitimate?
Yes, Okcoin is a legitimate cryptocurrency exchange. It’s one of the world’s largest regulated digital asset exchanges, operating in more than 100 countries.
Can you lose money on Okcoin?
Yes, it’s possible to lose money on Okcoin. Just as you can lose money with any investment, you also run the risk of loss when you trade cryptocurrencies.
Which fiat currencies does Okcoin support?
Okcoin supports the US dollar (USD), Euro (EUR), Brazilian Real (BRL), and the Singapore dollar (SGD). However, it’s important to note that not every cryptocurrency can be exchanged for each fiat currency. Instead, when trading, it’s important to note which pairs are supported.
Does Okcoin support Bitcoin forks?
Okcoin recently delisted Bitcoin Cash and Bitcoin SV, citing concerns about misinformation and confusion among users.
How to open an Okcoin account
Opening an Okcoin account is fairly straightforward. Once you click on the “Sign Up” button, you can create an account using your email or phone number. You can also connect your Okcoin account to your Google or Telegram account to make it easier to sign in.
After creating your account, you can then provide information confirming your identity, including your name, birthdate, address, and the number on your government-issued ID. You do need to connect a funding source so you can get started buying crypto.
With this basic information, you can trade up to $2,000. If you want to trade more, you need to be able to upload an image of your photo ID and other documentation.
Other platforms to consider
If Okcoin doesn’t seem like the right choice, here are some of the best cryptocurrency exchanges that might work for you instead.
Coinbase offers access to a wider variety of coins, and makes it even easier to fund an account. Coinbase might work better for beginners and those who are more interested in buying and holding cryptocurrency. Coinbase has higher fees, but they could be worth it for the simplicity. Coinbase also has a rewards program, which allows you to earn extra tokens for learning about new altcoins and earn a return for staking.
Learn more by reading our full Coinbase review
Kraken is another cryptocurrency exchange aimed at traders. However, Kraken has a wider variety of cryptocurrency pairs and tokens available, and more funding options than Okcoin. Kraken might be a good choice for advanced traders with a lot of cryptocurrency knowledge and experience.
Learn more by reading our full Kraken review.
Okcoin is one of the oldest and largest cryptocurrency exchanges in the world, available in more than 100 countries and offering access to some of the most popular cryptocurrency tokens. It could be a good choice for advanced traders interested in trading pairs, and it has some features that might appeal to beginners. However, it’s important to do your due diligence and look for a cryptocurrency exchange that works for you.
Disclosure: The author has positions in some of the cryptocurrencies mentioned in this piece, including Bitcoin, Litecoin, Dogecoin, Ethereum, and Polkadot.
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