KuCoin Introduces Dormancy Fees for Inactive Non-KYC and Non-KYB Accounts

21/05/2025 11:45:02

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Dear KuCoin Users,

As part of our commitment to enhancing platform security and user asset protection, KuCoin is introducing dormancy fees for inactive non-KYC and non-KYB accounts ("Dormancy Fees"). This strategic measure reinforces our dedication to maintaining the highest standards of asset security and ensuring a secure trading environment. For ease of reference, the terms Know Your Customer (KYC) and Know Your Business (KYB) will hereinafter be collectively referred to as "KYC/KYB".

Purpose of Dormancy Fees

As the cryptocurrency market continues to evolve, KuCoin prioritizes the security of user assets above all else. Our analysis has shown that inactive non-KYC/B accounts present elevated security risks, especially concerning ownership traceability and account protection. By implementing this policy, we aim to strengthen our security framework while encouraging users to complete the KYC/KYB verification process and take advantage of the enhanced features and protection that KYC/KYB verification provides.

Scope of the Dormancy Fees

This dormancy fee policy is selectively applied only to non-KYC/KYB users who have received a direct notification from KuCoin. Users who have completed their KYC/KYB verification are automatically exempt from the Dormancy Fees. To protect your assets and avoid additional charges, we urge unverified users to complete the KYC/KYB process at their earliest convenience.
 
However, if you are currently residing in the Restricted Locations (as stipulated in our Terms of Use) such as the United States and the mainland of China, you will not be permitted to complete KYC/KYB verification. We strongly recommend that you withdraw your assets as soon as possible and close your account to avoid incurring dormancy fees.

Fee Structure

  • Account Assessment: We evaluate Main and Sub accounts separately, calculating fees based on account types and currency holdings.
  • Specific Fee Logic :
    • When m*p < 2 USDT: full balance charge applies.
    • When m*p ≥ 2 USDT: Fee = 2 USDT + n%*m, where:
      • m = Token amount in your account (per token asset)
      • p = currency price at snapshot time (00:00 GMT+8, 15th of each month)
      • n% = 0.5%
Illustration: Dormant Account A
Spot Account
Token Amount (m)
Snapshot Value (p1) (in USDT)
Amount After 1st Fee (in USDT)
Snapshot Value (p2) (in USDT)
Amount After 2nd Fee (in USDT)
BTC
0.02
63000
  • m*p1 = 0.02*63000>2u
  • Fee = 2/p+n%*m = 2/63,000+0.5%*0.02 = 0.000131746,
  • Remaining = 0.02-0.000131746 = 0.019868254
50000
  • m*p1 = 0.019868254*50000>2u
  • Fee = 2/p+n%*m = 2/50000+0.5%*0.019868254 = 0.000139341
  • Remaining = 0.019868254- 0.000139341 = 0.019728913
USDT
4
1
  • m*p1 = 4*1>2u
  • Fee = 2/p+n%*m = 2/1+0.5%*4 = 2.02
  • Remaining = 4-2.02 = 1.98
1
  • m*p2 = 1.98*1<2u
  • Fee = Full amount charged
  • Remaining = 0
XRP
1
0.5
  • m*p1 = 1*0.5<2u
  • Fee = Full amount charged
  • Remaining = 0
0.7
  • Not Applicable
 
Fee Collection Schedule
Our platform adheres to a structured monthly fee collection process, scheduled on the 15th of each month, in alignment with our platform's processing timeline. For completeness, the initial fee collection is set to commence on July 15, 2025 (UTC +8) (or as otherwise communicated by the platform from time to time).
 
Simple Steps to Avoid Dormancy Fees
To prevent incurring dormancy fees, we recommend taking one of the following actions by the 15th of the month (UTC +8) following receipt of platform notifications:
 
Assets Transfer : Move your assets out of the non-KYC/KYB account. For instance, you may move them to another KuCoin account that has completed KYC/KYB verification.
 
KYC/KYB Verification : Complete the simple verification process for your current account.

By completing your KYC/KYB verification, you not only avoid Dormancy Fees but also gain access to enhanced security features, higher withdrawal limits, and a more comprehensive trading experience. Take action today to secure your digital assets and enjoy the full benefits of your KuCoin account.
 
However, if you are currently residing in the Restricted Locations (as defined above), such as the United States and the mainland of China, you will not be permitted to complete KYC/KYB verification. We strongly recommend that you withdraw your assets as soon as possible and close your account to avoid incurring dormancy fees.
 
Notification Process for Dormancy Fees
If your account is identified as subject to a Dormancy Fee, you will receive a notification from the platform prior to the deduction. If you did not provide an email address during registration, the first notification will be sent via SMS, and subsequent notifications will be communicated through email and/or in-site messaging. To ensure you receive all important information promptly, please make sure your account is linked to a valid email address.
 
This announcement is binding upon the targeted recipients and is made in accordance and in furtherance of Articles 1(1), 10 and 70 of our Terms of Use, which outlines our right to implement and notify users of such fees for inactive Non-KYC/KYB accounts in our platform.
 
We appreciate your understanding and cooperation as we take these necessary steps to enhance platform security and protect their assets.
 
Thank you for your trust and support in KuCoin!
 
The KuCoin Team