Security Compliance
Newton holds 80% of client assets offline in custodial cold storage with Coinbase and the remaining 20% in hot wallets secured by Fireblocks, with crypto assets covered by an insurance policy. Customer data is stored on Canadian servers with daily offsite backups, and the platform is tested internally every month and externally every year for vulnerabilities. Mandatory two-factor authentication and direct bank integration round out fraud protection.
Kraken keeps about 95% of user funds in cold storage, encrypts all account information, and physically secures its servers under constant surveillance. It has never been hacked since launching in 2013, one of the cleanest security records of any major exchange. Users can enable two-factor authentication, receive email notifications for every withdrawal, and benefit from account timeout protection. Kraken also publishes regular Proof of Reserves audits demonstrating customer funds are fully held.
Newton holds 80% of client assets offline in custodial cold storage with Coinbase and the remaining 20% in hot wallets secured by Fireblocks, with crypto assets covered by an insurance policy. Customer data is stored on Canadian servers with daily offsite backups, and the platform is tested internally every month and externally every year for vulnerabilities. Mandatory two-factor authentication and direct bank integration round out fraud protection.
Kraken keeps about 95% of user funds in cold storage, encrypts all account information, and physically secures its servers under constant surveillance. It has never been hacked since launching in 2013, one of the cleanest security records of any major exchange. Users can enable two-factor authentication, receive email notifications for every withdrawal, and benefit from account timeout protection. Kraken also publishes regular Proof of Reserves audits demonstrating customer funds are fully held. Note that Kraken's client assets are not covered by CIPF, which every user must acknowledge at sign-up.
Newton publishes its custody split: 80% with Coinbase Custody (cold storage, insured) and 20% with Fireblocks (hot wallets), with mandatory 2FA and regular internal and external security audits. Kraken keeps roughly 95% of digital assets in cold storage, has a bug bounty program, and publishes regular Proof of Reserves. Both platforms are highly secure with no fund losses on record.
Regulatory Compliance
Newton is regulated by the Canadian Securities Administrators, FINTRAC, and securities regulators in every province and territory, a major step up from its early days as a FINTRAC-only MSB. It was among the first Canadian exchanges to pursue securities registration, and its affiliation with DV Trading adds institutional market-making depth behind its pricing.
Kraken is one of the most compliant exchanges available to Canadians. It completed the CSA's rigorous pre-registration undertaking process and obtained restricted dealer registration in April 2025, recognized nationally, while it works toward full investment dealer registration and CIRO membership. In the US, the SEC's lawsuit against Kraken was dismissed in early 2025, clearing its regulatory slate as the company prepares for a public listing. Canadians can use the platform with confidence, with one caveat: as a restricted dealer, its client assets aren't covered by CIPF insurance.
Newton is regulated by the Canadian Securities Administrators, FINTRAC, and securities regulators in every province and territory, a major step up from its early days as a FINTRAC-only MSB. It was among the first Canadian exchanges to pursue securities registration, and its affiliation with DV Trading adds institutional market-making depth behind its pricing.
Kraken is one of the most compliant exchanges available to Canadians. It completed the CSA's rigorous pre-registration undertaking process and obtained restricted dealer registration in April 2025, recognized nationally in every province and territory, while it works toward full investment dealer registration and CIRO membership. In the US, the SEC's lawsuit against Kraken was dismissed in early 2025. Canadians in every province can now use the platform with confidence — the old Ontario-only service restriction that existed before April 2025 no longer applies.
Both Newton and Kraken are registered with FINTRAC and operate as CSA Restricted Dealers authorized to serve Canadians in every province and territory. Both are working toward full CIRO investment dealer registration.
Customer support
Newton has FAQs and a knowledge centre on its website, with support handled through online tickets. There's no phone or live chat, and its middling Trustpilot score mostly reflects slow support and ID-verification frustrations rather than fund-safety issues. For simple buy-and-hold users the support model is adequate; anyone who values a human on demand should look at NDAX or Netcoins instead.
Kraken offers 24/7 live chat and email support plus an extensive learning centre with helpful articles and guides. Support quality has historically been a sore point, with tickets sometimes taking a long time to resolve, though the live chat handles routine issues reasonably quickly.
Newton has FAQs and a knowledge centre on its website, with support handled through online tickets. There's no phone or live chat, and its middling Trustpilot score mostly reflects slow support and ID-verification frustrations rather than fund-safety issues. For simple buy-and-hold users the support model is adequate; anyone who values a human on demand should look at NDAX or Netcoins instead. Newton also integrates with Koinly for simplified tax reporting at year end.
Kraken offers 24/7 live chat and email support plus an extensive learning centre with helpful articles and guides. Support quality has historically been a sore point, with tickets sometimes taking a long time to resolve, though the live chat handles routine issues reasonably quickly.
Kraken's 24/7 live chat is a clear advantage over Newton's ticket-only model for users who need real-time help. Newton's Koinly integration partially compensates by reducing the tax-season support burden.
Conclusion
Both Newton and Kraken are strong, well-regulated options for Canadians, and the right choice depends on what you need.
Newton is the stronger pick for Canadians who want a locally focused beginner platform with no commissions, free Interac deposits and withdrawals, 70+ coins, staking on ETH and SOL, Koinly tax integration and a $25 referral bonus. The widening spreads and ticket-only support are genuine weaknesses — active traders will find better value at NDAX's 0.2% flat fee, and anyone who needs real-time support will prefer NDAX or Netcoins.
Kraken is the stronger pick for Canadians who want more coins (200+), pro-grade trading tools, staking across a wider range of assets, and 24/7 live chat. Its restricted dealer registration across all Canadian provinces since April 2025 — including Ontario where it previously had restrictions — makes it one of the most compliant global exchanges operating in Canada. The main caveat is the absence of CIPF coverage on client assets, so long-term holders should withdraw to their own wallet regularly. Use Interac to fund and Kraken Pro for all but the smallest purchases.
We recommend choosing Newton for Canadians who want a locally focused beginner platform with no commissions, and Kraken for active traders who want more coins and pro-grade tools. By using our referral links, you support us in conducting comprehensive independent analyses of crypto trading options for Canadians.
If you find that neither Newton nor Kraken meets your requirements, we encourage you to explore our monthly-updated list of the best exchanges for Canadians to trade crypto.
