Is Kraken futures available in the UK?

UK residents cannot access Kraken Futures due to FCA restrictions on crypto derivatives, but can still use Kraken’s spot trading and staking services legally.

Jul 25, 2025 at 07:35 am

Understanding Kraken Futures and UK Regulations

Kraken Futures is a platform offered by Kraken, a well-established cryptocurrency exchange, that allows users to trade perpetual futures contracts on various digital assets. In the UK, financial services and trading platforms are regulated by the Financial Conduct Authority (FCA). As of current regulatory guidance, Kraken Futures is not authorized to offer leveraged crypto derivatives—including futures—to retail clients in the UK. The FCA has explicitly banned the sale of crypto derivative products to retail investors due to concerns about market volatility and investor protection. This means that if you are a UK-based retail trader, you cannot legally access Kraken Futures for leveraged trading.

Differentiating Between Kraken Spot and Kraken Futures

It's essential to distinguish between Kraken’s spot trading platform and Kraken Futures. The standard Kraken exchange (spot) remains available in the UK for buying, selling, and holding cryptocurrencies like Bitcoin, Ethereum, and others. However, Kraken Futures—a separate entity under the Kraken brand—operates under different licensing and is subject to stricter international compliance. While UK residents can still use Kraken for spot trading, they are blocked from accessing the futures section of the platform. This restriction appears automatically when logging in from a UK IP address or when the account is registered with UK residency details.

How to Check Your Kraken Futures Access in the UK

To verify whether you can access Kraken Futures from the UK:

• Log in to your Kraken account using your credentials.
• Navigate to the trading dashboard and look for a tab labeled “Futures” or “Kraken Futures”.
• If you’re based in the UK, this tab will either be missing or will display a message stating: “Futures trading is not available in your region.”
• You can also check your account’s country settings under “Account Settings > Personal Information” to confirm your registered location.
  

  If you attempt to open a futures position while in the UK, the system will prevent the trade and may prompt you to contact support if you believe there’s an error in your location data.

  Workarounds and Legal Risks for UK Users

  
  Some UK users may consider using a Virtual Private Network (VPN) or creating an account under a different jurisdiction to access Kraken Futures. However, this is strongly discouraged:
• Using a VPN to bypass geo-restrictions violates Kraken’s Terms of Service and could result in permanent account suspension.
• Providing false residency information constitutes fraud, which may lead to legal consequences under UK financial regulations.
• Even if a trade is executed, profits from unauthorized derivatives trading may not be protected under the FCA’s compensation schemes.
  

  Kraken actively monitors IP addresses, KYC documents, and transaction patterns to detect and block non-compliant access. Any attempt to circumvent these controls risks both financial and legal penalties.

  Alternatives for UK-Based Crypto Traders

  
  UK residents seeking exposure to crypto price movements without futures can explore:
• Spot trading on Kraken: Buy and hold assets like BTC, ETH, SOL directly without leverage.
• Staking and yield products: Kraken offers staking for select coins (e.g., ETH, ADA), which is fully compliant in the UK.
• Non-leveraged ETFs or ETPs: Some UK brokers offer crypto-backed exchange-traded products that track price changes without margin.
• Other FCA-compliant platforms: Certain exchanges like eToro (UK) offer crypto CFDs with leverage capped at 2:1—well below Kraken Futures’ 50x—but remain within legal boundaries.
  

  These options allow UK users to remain within regulatory compliance while still participating in the crypto market.

  How Kraken Verifies Your Location

  
  Kraken uses multiple methods to confirm user location:
• IP geolocation: Your current internet connection’s location is checked upon login.
• KYC documentation: Proof of address (e.g., utility bill or bank statement) must match your declared country.
• Bank account details: If you deposit or withdraw via bank transfer, the SWIFT/BIC code indicates your country of residence.
• Mobile number and SIM card location: For two-factor authentication, your phone number’s country code is cross-referenced.
  

  If any of these signals conflict—for example, a UK address but a German IP address—Kraken may temporarily restrict access until verification is resolved. Maintaining consistent location data across all account elements is crucial to avoid service interruptions.

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  Frequently Asked Questions

  Can I use Kraken Futures in the UK if I’m a professional trader?
  
  Yes, if you qualify as a professional client under FCA rules, you may be eligible for Kraken Futures access. You must apply for professional status via Kraken’s support team and provide evidence such as trading history, portfolio size, and knowledge assessments. Approval is not automatic and requires FCA-compliant documentation.

  What happens if I move from the UK to a country where Kraken Futures is allowed?
  
  You must update your residency status in your Kraken account and submit new proof of address from the eligible country. After verification, Kraken will grant access to Futures. Do not attempt to trade before completing this process—it may trigger compliance alerts.

  Is Kraken Futures available in any part of the UK, like Scotland or Northern Ireland?
  
  No. The FCA ban on crypto derivatives applies uniformly across all UK jurisdictions, including England, Scotland, Wales, and Northern Ireland. There are no regional exceptions.

  Can I transfer funds from my Kraken spot account to Kraken Futures if I’m not in the UK?
  
  Yes, once you’re verified in an eligible country, you can transfer funds between Kraken spot and Kraken Futures wallets. Navigate to “Transfer Funds” > Select “Kraken Futures” as destination, enter the amount, and confirm. Transfers typically settle within minutes.