A cryptocurrency Network is the blockchain which an asset is on. For example, Dogecoin (DOGE) can be deposited or withdrawn on the Dogecoin network. Some cryptocurrency supported on Kraken, such as ETH, USDC and USDT are offered on multiple networks you can choose from.
Bitcoin (BTC) deposits
USD Coin (USDC) deposits
A cryptocurrency Network is the blockchain which an asset is on. Whereas, a deposit or withdrawal Method is a different way to execute a transaction on the same blockchain (network).
Depositing ETH on the Ethereum network allows you to select another deposit Method.
Most assets supported on Kraken can only be deposited on one network and only via one method. In some cases (for example DAI, USDT and USDC) you can deposit the same asset from your wallets on different networks. In the case of XLM and ETH you can deposit on the same network via different methods.
A deposit or withdrawal Method is a different way to execute a transaction on the same blockchain (network).
For some assets, such as USDC, an alternative method may be available if the asset is also wrapped or pegged on a network.
In relation to Ethereum, a Layer 2 (L2) network is a type of scaling solution that aims to increase the amount of transactions on the Ethereum network, and reduce gas fees.
The Ethereum Layer 1 (L1) network is the Ethereum blockchain itself. This means that it operates directly on the Ethereum blockchain. As the number of users on the network continues to grow, this can lead to slower processing times and higher fees. L2 networks have been designed as a solution to reduce the load on the Ethereum network. This works by offloading some of the transactions to a separate network that is still connected to the Ethereum network, like a side street to reduce the number of cars on a single road.
An example of a L2 scaling solution, supported on Kraken, is the Arbitrum One network.We support various cryptocurrencies on this network such as, Arbitrum (ARB), Dai (DAI), Ethereum (ETH), GMX (GMX), Tether (USDT) and USD Coin (USDC).
Lightning Network:
The Lightning network is a special case of the Multi Network and Single method scenario. Lightning is considered to be an off-chain, Layer 2, solution, meaning that transfers are done via a new network of payment channels anchored in Bitcoin’s blockchain. Find out more about Bitcoin's Lightning Network on our Learn center.
For a guide on deposit BTC to your Kraken account via the Lightning network visit: How do I send bitcoin on the Lightning Network?
Withdrawal fees will vary depending on the network that you choose. You will see the fee calculation for the network you select on the withdrawal page.
You may also review this article for a list of all assets and the associated fees.
Unfortunately, if you use the wrong deposit network your funds will not be credited.
To check this:
1. Check the status of your deposit by navigating to the Transactions section.
2. If the deposit has been stuck on pending for longer the estimated confirmations required please contact our support team.