Introduction to Kucoin
Kucoin is a cryptocurrency exchange with several trading options for its users. Its six million users are involved in trading options including spot, margin, futures, peer-to-peer trading, lending, and staking.
What is Kucoin?
Kucoin, launched in 2017, is a secure global crypto exchange that lets users buy, sell and store a variety of cryptocurrencies like BTC, SHIB, DOGE, ETH, and KCS. It started in China but due to the favorable regulatory environment, Kucoin relocated to Hong Kong.
As of the time of writing, the Kucoin token—Kucoin shares (KSC)—is ranked sixty-one according to CoinMarketCap ranking and has a live market cap of $1,596,697,412.
Kucoin's native token (KCS) can be bought with just an email address since a coin verification process is optional. However, the account verification process needs to be done for users to access Kucoin's advanced features.
With Kucoin, you can store your crypto assets directly on the exchange or connect a third-party wallet and trade from there.
How does Kucoin Work?
Kucoin, like any exchange, has been developed for crypto enthusiasts to seamlessly buy, sell and securely store cryptocurrencies.
You can use Kucoin for one or more of the following:
- Spot grid trading
- Margin trading
- Staking
- Lending
- Peer-to-Peer (P2P) trading
Spot Grid Trading on Kucoin
A spot grid trading is a trading strategy that profits from the market fluctuations by positioning buy and sell orders. And it does so automatically.
Simply, the system is prompted to buy coins when the price is low and sell coins when the price is high. It uses a combination of market trends it gets through analytics and certain artificial intelligence (AI) parameters based on the user's historical data.
Users can, however, manually customize parameters. For example, as a user, you can specify the minimum price for buying and the maximum price for selling your coins.
To participate in this strategy you need to:
- Go to Kucoin and create an account
- Go back to Kucoin's homepage and click the “Trading Bot” Option
- Login to continue
- Select “Spot Grid” and click the “Create” button to enter the grid bot creation page
- Select the trading pair then enter an amount for your investment. You can also use the base currency by clicking the switch to increase the investment amount
- By default, you can use the AI parameters for your spot grid trading or customized parameters. However, letting the bot do it for you is probably better as it takes away guesswork and emotion
