TL;DR– It’s risky, but you can use KuCoin without doing know-your-customer (KYC) verification. Remember that if something goes wrong, you’ll have fewer protections as a non-verified member of KuCoin.
Check out my piece on how to trade on KuCoin with no verification. To summarize the article:
- All you need is an email address to sign up on the KuCoin exchange homepage
- You won’t have bank account support. You’ll need to do a crypto transfer to fund your KuCoin account
- Set up two-factor authentication and your trading password
Why use KuCoin
KuCoin is attractive because it has so many alternative crypto assets that aren’t listed on Coinbase, FTX, or Gemini. KuCoin has scores of exotic altcoins, margin trading where you can short cryptocurrencies and use leverage, set stop losses and take profits, and much more.
See my guide for how to trade crypto if you live in New York.
Can I use KuCoin if I live in New York?
Yes, but only without verification. You’ll have lower withdrawal and deposit limits, and limited leverage on futures trading, and you’ll be out of luck if you need support with something or something went wrong.
New York residents have to play by a different set of rules. Not all cryptocurrency exchanges are available in new york- just a select few.
The reason is because New York lawmakers required exchanges to have a BitLicense, which is essentially a stamp of approval from the government for exchanges to operate in New York. The set of criteria that exchanges have to meet to get the BitLicense involve FDIC insurance on crypo assets, platform security, and other consumer protections.
The good news is that for the exchanges that do operate legally in New York, there are protections like FDIC insurance up to $250,000 so you are covered if a hack or anything bad happens. You’ve got the law on your side- so if you get screwed by an exchange, you can likely sue and win. (Not financial advice).
Your other option for getting funds out of your KuCoin account is using a Bitcoin ATM. Bitcoin ATMs allow you to send funds to an account you have with the Bitcoin ATM, then cash out those funds. Keep in mind Bitcoin ATMs charge steeper fees.
No bank transfer with KuCoin
Keep in mind that in order to do crypto trading on KuCoin, you’ll have to move your crypto into KuCoin from another exchange that’s actually linked to your bank account. Once you’ve cleaned up and made profits on KuCoin or otherwise want to cash out, you’ll need to send your digital assets back to your home exchange where you can do a bank transfer.