If you are seeking to list on exchanges like Kraken, it might also be good timing to understand that you might need some help from an experienced third party. A party, that partners with trading platforms and can guide you through often an uneasy listing process. An entity, that can advise you where to list first and tailor a strategic listing plan for your token project.
Empirica offers token projects support in planning their listings. We will guide you step by step in launching your markets and making them liquid from day one.
Facts about Kraken exchange
Kraken was founded in 2011 and launched in September 2013. Today it is one of the major centralized cryptocurrency exchanges in the world. According to the information provided by Coingecko, as of September 2022, Kraken is the 8th largest crypto exchange based on daily trading volume. On the official website of the platform, it is revealed that today, investors and traders who prefer this US-registered platform can get access to 90+ coins and over 200 pairs.
The Kraken team unites two thousand employees who are based in 60 countries. Around 90% of them work remotely as Kraken believes this business model makes people happy.
Listing on Kraken
Kraken is known as a very reliable and well-trusted crypto exchange that attracts the attention of wide circles of traders from different corners of the world. The platform has a team that is responsible for researching token projects which can be approved for listing.
If your project has its own coin and you are interested in offering your token to Kraken users, you can contact the platform’s team via email and provide all the details of your project for review. The team asks to make the description as detailed as possible for conducting a proper analysis.
At the moment, the platform offers 211 coins that are available in 658 pairs.
Kraken’s score metrics
When choosing a venue for listing, it is essential to check its reputation and general rank in comparison to other exchanges. A good choice is to check how CoinGecko, CoinMarketCap, and Nomics rate the exchange.
CoinGecko uses Trust Score, a rating algorithm evaluating the legitimacy of an exchange’s trading volume. Trust Score is calculated on a range of metrics such as liquidity, the scale of operations, cybersecurity score, and more. Kraken’s Trust Score is 10. Only 10 exchanges out of more than 500 cryptocurrency platforms have a Trust Score of 10.
CoinMarketCap’s Exchange Score is based on the following factors:
- Web Traffic
- Average Liquidity & Volume
- the Confidence that the volume reported by an exchange is legitimate. Weights are assigned to the above-mentioned factors and a score from 0.0 to 10.0 is given to the Spot Exchange.
Kraken’s Exchange Score is a high 7.8.
Nomics’ metric is called Impact Score – and represents an exchange’s influence on the price of cryptocurrencies it trades. The score is a combination of web traffic, volume, and other factors.
Kraken’s Impact Score is 7.69.
The second Nomics metric, called Transparency Rating is A (full transparency). Nomics explains the purpose of these scores as rating cryptocurrency exchanges by their willingness to provide auditable history.
CryptoCompare has established the notion of Top-Tier volume whereby investors can segment the market into higher and lower-risk volumes (A is the best and E is the worst grade).
Here’s the current CyptoCompare’s classification of Kraken in comparison with other exchanges:
Listing on Kraken with our help
We can help you prepare for listing your token and managing liquidity on Kraken and other exchanges. The usual process looks like this:
- We set up a call to understand the phase of your project. The following points will be discussed:
- Are you already listed on DEXes or CEXes?
- What is the tokenomy of your project?
- Do you have a listing strategy for your token?
- We discuss the best possible liquidity strategy for your project.
- If we agree to set up a partnership, we introduce you to verified managers of one or more exchanges (listing support).
- After your project gets listed on an exchange, we help you build your markets on platforms.
Why do I need a market maker?
Managing a token startup is a real challenge. As a cryptocurrency project, you need to focus on building your products and services and leave liquidity to market makers.
A market maker will help you:
- deepen the liquidity on your token’s books and make them more stable – which helps mitigate the price fluctuations of your coin
- lower spreads between bids and asks so that the prices get fairer for investors; that reduces the cost of entering and exiting positions and encourages investors to trade your coin
In the 24/7 cryptocurrency markets, well-managed assets are supported by algorithmic market makers. They provide liquidity through market-making services, supported by fully automated software algorithms. Empirica’s liquidity products are reputable top-notch algorithmic market-making solutions.
SCHEDULE AN APPOINTMENT WITH US TO DISCUSS THE LISTINGS AND BUILDING THE LIQUIDITY OF YOUR MARKETS
WHERE IS KRAKEN LOCATED?
Kraken is registered in San Francisco, US.
WHAT IS KRAKEN’S DAILY TRADING VOLUME?
According to Coingecko, as of September 30, 2022, the 24h volume on Kraken was around $557 million.
IN WHAT COUNTRIES IS KRAKEN AVAILABLE?
The platform is available to all residents of the US, except for traders who are based in Washington and New York. In general, the exchange provides its services to users in around 200 countries. The exceptions are such countries as Afghanistan, Central African Republic, Congo-Brazzaville, Eritrea, Congo-Kinshasa, Guinea-Bissau, Cuba, Lebanon, Iran, Mali, Iraq, Namibia, Libya, Somalia, North Korea, South Sudan, Syria, Sudan, Tajikistan, and Yemen.
WHAT IS A CENTRALIZED EXCHANGE (CEX)?
It is a digital asset marketplace using a similar business model to traditional asset platforms like stock exchanges.
Centralized crypto venues typically keep limit order books, which are lists of open buy and sell orders, consisting of volumes and prices. They match up buyers and sellers and announce current market prices based on the last price an asset sells for.
WHAT IS TOKEN LIQUIDITY?
This term refers to the ease with which tokens can be swapped for other cryptocurrencies (other crypto assets or government-issued fiat currencies).
WHO ARE MARKET MAKERS?
A market maker is a company or individual that regularly buys and sells financial assets at a publicly quoted price to provide liquidity to the financial or digital asset markets. Their role is to satisfy market demand. Market making is also used as a profit generation trading strategy by hedge funds.