Which exchange does the trading bot use?

Kraken, via the official Kraken API. The bot is built specifically around Kraken integration for execution, order management, and reconciliation.

Can I start without risking real money?

Yes. Paper mode runs the full bot — the same signals, cost rules, sizing, and audit trail — against live market data without live funds. The paper-to-live gate must be cleared before any live order is ever placed.

What API permissions does the Kraken API key need?

The least privilege required to trade: permission to query balances and to place and cancel orders. Withdrawal permission must be left disabled. A withdrawals-disabled key cannot move funds off the exchange even if it is compromised.

Do you store my Kraken withdrawal access or password?

No. We never ask for a withdrawal-enabled key and never request your Kraken password. The API secret is encrypted at rest and treated as write-only — you paste it once and the platform never displays it back.

What happens if my API key is compromised?

Because the key has withdrawals disabled, an attacker cannot move funds off Kraken. You revoke the key in your Kraken account and paste a replacement; the bot resumes the moment the new key is in place.

How does the bot avoid placing the same order twice?

Through idempotent order handling. Each order carries a unique reference, so a retry after a timed-out or uncertain response is recognised by the exchange as the same order, not a new one — preventing accidental double exposure.

What is order reconciliation?

On reconnect, the bot compares its own view of open orders and positions against what Kraken actually reports and corrects itself to match. The exchange is always the source of truth; any discrepancy is logged.

Which order types does the bot use?

It chooses deliberately: market orders where getting filled matters most, limit orders where price protects the cost-cleared edge, and stop-based orders for protective exits. Partial fills are tracked as first-class events.

Does the crypto trading bot guarantee profitable trades?

No. No bot guarantees profit. Great Dane Pro enforces discipline, cost rules, and risk limits; market outcomes are never guaranteed and total loss of capital is possible.

Is every action recorded?

Yes. There is a full audit trail of orders, signals, fills, rejections, limit hits, and kill-switch events — including the trades the bot chose not to take and why.

What happens when the kill switch fires mid-trade?

Execution halts immediately, in-flight intentions are stood down, the event is logged, and live mode stays blocked until you review the audit trail and deliberately resume. Recovery is a reviewable step, not an automatic restart.

How do I go from a tested strategy to live trading?

Validate it in the backtesting lab, run it in paper mode to confirm behaviour, connect a withdrawals-disabled live key, then clear the paper-to-live confirmation gate. Each step is intentional and separate by design.

Pillar 3 · Kraken Bot

Kraken API Trading Bot

Execute validated strategies on the Kraken API — with a paper-to-live gate you cannot skip. This is the execution engine: scoped API keys with withdrawals disabled, order types and fills, idempotent order handling, position reconciliation, and the confirmation gate that stands between a tested strategy and real money. The bot enforces your rules; it never promises a result.

Start paper trading Explore the features See pricing

No profit promises. Paper trading by default. Read the risk disclaimer before using live mode.

Why it matters

Execution that still respects discipline

A crypto trading bot is only an asset if it enforces the rules you set when you were calm. Automation removes the human delay between signal and order — which is exactly why it must also remove the human temptation to override the plan. This pillar covers connecting to and trading through the Kraken API: order types and fills, API keys and least-privilege permissions, paper-versus-live modes, idempotent execution, reconciliation, and the gate that refuses to let a strategy skip straight to live money. Strategy validation lives in the backtesting pillar; the limits the bot obeys are defined in the risk pillar. This pillar is where a proven, cost-cleared strategy finally meets the order book — under supervision, with every action recorded.

Connecting safely

Least-privilege keys, with withdrawals disabled

The single most important step in connecting any trading bot is scoping the API key correctly. Great Dane Pro asks for the least privilege required to read balances and place or cancel orders — and nothing more. You create the key inside your own Kraken account, grant only trade and query permissions, and leave withdrawal permission switched off. A key that cannot move funds off the exchange cannot drain your account even in a worst-case compromise. We never ask for, store, or need a withdrawal-enabled key. We do not display Kraken account passwords, and the secret half of an API key is treated as a write-only credential: you paste it once, it is encrypted at rest, and the platform never shows it back to you. If a key is ever lost or exposed, you revoke it on Kraken and issue a new one — the bot keeps working the moment you paste the replacement.

Paper versus live

Paper mode runs the full bot — without live funds

Paper mode is not a watered-down demo. It runs the complete execution path — signal evaluation, the cost-beating rule, order construction, the risk limits, and the audit trail — against live market data, but it routes orders to a simulated book instead of Kraken. You see exactly how the bot would behave with real money: which signals it would act on, which it would reject, how positions would be sized, and where stops would sit. The only difference between paper and live is whether real capital is on the line. That symmetry is deliberate: it means the behaviour you trust in paper is the behaviour you get in live, with no surprise change in logic when you flip the switch.

The gate you cannot skip

The paper-to-live confirmation gate

Nothing goes live until you explicitly clear the paper-to-live gate. A strategy cannot promote itself; a backtest result cannot promote it; a good run in paper cannot promote it. Going live is an intentional, separate action that requires connecting a live, withdrawals-disabled key and confirming you understand that real capital is now at risk. The gate restates the total-loss risk and your sole responsibility at the moment of the decision — not buried in fine print. While the kill switch is engaged, the gate stays shut: live mode is blocked outright. This is by design. The friction is the feature, because the most expensive trades are usually the ones taken in a hurry.

Order types and fills

The right order for the job

The bot chooses order types deliberately rather than blindly firing market orders. Market orders prioritise certainty of execution and are used where getting filled matters more than the exact price; limit orders prioritise price and are used where paying a worse price would erode the cost-cleared edge. Where a strategy defines protective exits, the bot expresses them as stop-based orders so a position is never left naked. Partial fills are handled as first-class events: the bot tracks filled versus requested quantity, updates the position accordingly, and never assumes an order completed just because it was sent. Every fill, partial fill, and cancellation is timestamped in the audit trail so the realised cost of execution is visible, not hidden.

Idempotency and reconciliation

Sent once, counted once — in plain terms

Networks drop. Requests time out. A naive bot that retries after a timeout can place the same order twice and double your exposure. Great Dane Pro avoids this with idempotent order handling: each order carries a unique reference, so if a request is retried after an uncertain response, the exchange recognises it as the same order rather than a new one. In plain terms — the bot is built so that "I am not sure my order went through" can never become "I accidentally bought twice." Reconciliation is the companion discipline: on reconnect, the bot compares its own view of open orders and positions against what Kraken actually reports, and corrects its internal state to match the exchange. The exchange is always the source of truth. If reality and the bot ever disagree, the bot defers to reality and logs the discrepancy.

Reliability

Rate limits, reconnection, and recovery

The bot respects Kraken rate limits and backs off automatically so it stays compliant and never gets throttled or locked out at the worst possible moment. Connections are monitored; if a session drops, the bot reconnects, reconciles its state against the exchange, and resumes only once it knows the true position. When the kill switch fires mid-trade, execution halts immediately, in-flight intentions are stood down, and the event is recorded. Recovery after a halt is a deliberate, reviewable step — you inspect what happened in the audit trail before resuming, rather than letting the machine restart itself into a market it does not understand. No bot guarantees profit. This one enforces discipline, respects cost rules, and records everything; outcomes are never guaranteed.

Transparency

A full audit trail of orders, signals, and rejections

Every order, signal, fill, rejection, limit hit, and kill-switch event is recorded in a full audit trail, so you can see exactly what the machine did and why before you trust it with capital. Crucially, the trail records the trades the bot did not take as well as the ones it did: when a signal fails the cost-beating rule or trips a risk limit, the rejection is logged with its reason. Most automated systems show you only their wins; this one shows you its discipline. The audit trail is the same record you review after a kill-switch event and the same evidence you use to decide whether the bot has earned a live key. To explore the controls and dashboards around it, see the features overview, and compare plans on the pricing page before you connect anything live.

Articles & guides

The complete Kraken API Trading Bot cluster — 12 in-depth, no-hype guides. Explanatory articles set the concepts; step-by-step how-tos put them into practice.

Guides & explainers

Article Paper Mode vs Live Mode on a Kraken Bot Same strategy, same signals — the difference is whether orders touch real funds, and a confirmation gate the bot will not let you skip. Read more → Article Order Types on Kraken and When the Bot Uses Them Market, limit, and stop orders each have a job — here is what they do on the Kraken API and why a disciplined bot reaches for each. Read more → Article Kraken API Rate Limits and Reconnection Reliable execution means respecting limits and recovering from drops — here is how a disciplined bot handles Kraken API rate limits and reconnection. Read more → Article Common Kraken API Trading Bot Mistakes Most bot trouble starts at setup, not in the market — here are the common Kraken API trading bot mistakes and the disciplined way to avoid each. Read more → Article Manual Trading vs a Crypto Trading Bot A bot does not get tired, greedy, or bored — but it only does what it is told. Here is how manual trading and a crypto trading bot really compare. Read more → Article Limit vs Stop-Loss-Limit Orders on Kraken A limit order waits for your price; a stop-loss-limit waits for a trigger, then becomes one. Here is the difference on the Kraken API and the gap it can leave. Read more →

Step-by-step how-tos

How-to How to Create and Scope Kraken API Keys Grant only the permissions a bot needs, leave withdrawals disabled, and store the secret safely — least privilege, step by step. Read more → How-to How to Read the Execution Audit Trail Every order, signal, and rejection is logged in order — here is how to read the audit trail and confirm the bot did exactly what it should. Read more → How-to How to Recover the Bot After a Kill Switch When the kill switch fires, trading stops cold — here is the calm, checklist-driven path back to running once you understand why it triggered. Read more → How-to How to Clear the Paper-to-Live Gate Going live is a decision, not a default — here is how to clear the paper-to-live gate the bot puts between a tested strategy and real money. Read more → How-to A Pre-Launch Checklist for a Kraken Bot Before a single live order, walk one checklist — keys, paper proof, risk policy, audit trail, and the gate — so nothing is left to chance. Read more → How-to How a Kraken Bot Handles Partial Fills An order rarely fills all at once — here is how a disciplined trading bot tracks a partial fill, reconciles the remainder, and keeps its risk math intact. Read more →

Frequently asked questions

Which exchange does the trading bot use?: Kraken, via the official Kraken API. The bot is built specifically around Kraken integration for execution, order management, and reconciliation.
Can I start without risking real money?: Yes. Paper mode runs the full bot — the same signals, cost rules, sizing, and audit trail — against live market data without live funds. The paper-to-live gate must be cleared before any live order is ever placed.
What API permissions does the Kraken API key need?: The least privilege required to trade: permission to query balances and to place and cancel orders. Withdrawal permission must be left disabled. A withdrawals-disabled key cannot move funds off the exchange even if it is compromised.
Do you store my Kraken withdrawal access or password?: No. We never ask for a withdrawal-enabled key and never request your Kraken password. The API secret is encrypted at rest and treated as write-only — you paste it once and the platform never displays it back.
What happens if my API key is compromised?: Because the key has withdrawals disabled, an attacker cannot move funds off Kraken. You revoke the key in your Kraken account and paste a replacement; the bot resumes the moment the new key is in place.
How does the bot avoid placing the same order twice?: Through idempotent order handling. Each order carries a unique reference, so a retry after a timed-out or uncertain response is recognised by the exchange as the same order, not a new one — preventing accidental double exposure.
What is order reconciliation?: On reconnect, the bot compares its own view of open orders and positions against what Kraken actually reports and corrects itself to match. The exchange is always the source of truth; any discrepancy is logged.
Which order types does the bot use?: It chooses deliberately: market orders where getting filled matters most, limit orders where price protects the cost-cleared edge, and stop-based orders for protective exits. Partial fills are tracked as first-class events.
Does the crypto trading bot guarantee profitable trades?: No. No bot guarantees profit. Great Dane Pro enforces discipline, cost rules, and risk limits; market outcomes are never guaranteed and total loss of capital is possible.
Is every action recorded?: Yes. There is a full audit trail of orders, signals, fills, rejections, limit hits, and kill-switch events — including the trades the bot chose not to take and why.
What happens when the kill switch fires mid-trade?: Execution halts immediately, in-flight intentions are stood down, the event is logged, and live mode stays blocked until you review the audit trail and deliberately resume. Recovery is a reviewable step, not an automatic restart.
How do I go from a tested strategy to live trading?: Validate it in the backtesting lab, run it in paper mode to confirm behaviour, connect a withdrawals-disabled live key, then clear the paper-to-live confirmation gate. Each step is intentional and separate by design.

Explore the other pillars

Crypto Trading Education Learn more → Backtesting & Walk-Forward Testing Learn more → Risk Management & Bot Safety Learn more → Crypto Signals & Market Discipline Learn more → Trading Tools, Calculators & Dashboards Learn more → Platform Features Overview Learn more → Plans & Pricing Learn more →

Prove it in paper before you risk a cent.

Start in paper mode, validate with walk-forward backtests, and let the risk engine and kill switch hold the line — no real capital at risk until you decide to connect Kraken.

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Important

This is not investment advice.

Great Dane Pro is an education, backtesting, and trading automation platform. Nothing on this site is financial advice. Results are simulated. Backtests do not guarantee future results. Markets can diverge from simulations. Trading cryptocurrencies involves substantial risk including the total loss of capital. Paper trading should come before live trading. Users are responsible for their own trades.

Read the full risk disclaimer →