The profitability of cryptocurrency and traditional currency trades largely depends on the fees that cryptocurrency exchanges charge. Whether you are a beginner or an active trader, understanding which exchanges offer the lowest fees can have a significant impact on your overall profitability. This article is dedicated to the crypto exchanges with the lowest fees. Also, manage your money smartly with Rates.fm, a service where you can find useful content about the best payment systems, including PayPal and Stripe, banks, and investment solutions.
What Fees Can Cryptocurrency Exchanges Charge?
All cryptocurrency exchanges charge traders for the various services they provide. Some are limited to trading fees or withdrawal fees, while others require traders to pay for the entire service package. Before you start trading, you need to familiarize yourself with all types of fees and commissions.
1. Trading fee.
A trading fee is a fee that a trader pays for transactions. These funds allow platforms to maintain their work and develop. The cost of trading on cryptocurrency exchanges is set by each platform individually.
2. Taker and maker market fee.
Another key point for trading on a cryptocurrency exchange is the seller and buyer (taker and maker) fee. The essence of the fee is the transaction costs that inevitably arise during the process of placing and subsequent execution of an order.
3. Deposit and withdrawal fee.
In addition to the trading fee, there is also a fee for depositing and/or withdrawing funds. The presence of such a fee and its size varies depending on the selected exchange. Some platforms do not charge this type of fee at all. The fee may be charged depending on the type of deposit, or it may be charged for replenishing the account, regardless of the account features.
4. Additional fees.
In addition to the fees already listed, some exchanges may have other types. For example, a loan fee on cryptocurrency exchanges that offer margin trading. Other additional fees may include staking fees and position liquidation fees.
Let’s take a look at how you can manage your money wisely using crypto exchanges with low fees. You can learn even more about the best payment systems for crypto and fiat on Rates.fm
Cryptocurrency Exchanges With Low Fees
Crypto exchanges with low fees do exist. If you are looking for budget options, we recommend paying attention to the following exchanges:
Bybit
Bybit is a cryptocurrency exchange that offers traders low trading fees. The platform has built a cost-effective commission structure, thanks to which it has become one of the most convenient platforms that allows you to trade on the spot without leverage with zero commission. For trading with leverage, the fees are also among the lowest in the market.
The exchange also offers discounts to makers, the essence of which is to stimulate more active activity in creating a market offer.
Binance supports trading over 300 cryptocurrencies, is available in 180 countries, and is considered one of the most profitable options for trading cryptocurrencies. Trading fees on this platform are among the most profitable in the industry. For Bitcoin pairs, the fee is 0% (BTC/USD, BTC/USDT, BTC/USDC, BTC/BUSD).
Benefits of trading on the Binance US platform:
- 0% fee for crypto-to-crypto or crypto-to-fiat conversions;
- 0% fee when using the OTC (Over-the-Counter) portal;
- 0.5% fee for buy and sell orders placed on the Buy Crypto page.
In addition to low trading fees, traders can get a discount for using Binance Coin, the platform’s native coin that can be used to pay trading fees.
BitMEX
BitMEX offers traders some of the lowest fees in the market. When trading a spot on the platform, a trader can expect a taker fee of 0.075% or lower. For makers, fees will not exceed 0.02%.
If a trader demonstrates large volumes of sales, then he can receive a discount on the taker fee. In addition, a trader does not need to worry about paying for deposits or withdrawals in Bitcoin. In these cases, it is only necessary to pay the Bitcoin network fee.
HTX
HTX is a cryptocurrency exchange that offers some of the lowest trading fees. The platform charges a fee to all traders, regardless of whether they are makers or takers. The base fee is 0.2%. For Huobi token (HT) holders, there is a discount on the trading fee, which decreases in direct proportion to how the number of coins in the exchange wallet increases.
The platform also offers a tiered system that allows you to save on trading fees. The higher the trader’s tier, the lower the trading fee.
Traders can also take advantage of a 30% discount on cryptocurrency trading on the spot market. In addition, there is a percentage rate for leveraged trading. At the same time, the trader does not have to worry about additional fees for processing HT. The platform supports margin trading of Bitcoin (BTC) and Litecoin (LTC) with a leverage of 1:5.
Kraken
The Kraken exchange is not only one of the oldest and most reliable but also provides very competitive trading conditions. Commissions are calculated depending on the trading volume over a 30-day period. They can be 0.25%-0.40%. The minimum trading volume on the spot is up to $10,000, on futures – up to $100,000. At this level, the commissions are higher than the presented competitors, but with an increase in trading volume, they decrease significantly. Therefore, this crypto exchange can be recommended for those who work with medium-high volumes. A good reputation and strict regulatory oversight are also additional advantages for calmly trading large amounts on this platform.
OKX
The OKX platform charges most traders a trading fee of 0.10% per trade, while makers are charged 0.08%. These are some of the lowest trading fees in the cryptocurrency market. The following factors can affect the size of the fee:
- A trader’s primary or secondary account;
- Total asset balance;
- A maker or taker trader.
In addition, higher trading volumes or larger stakes in the OKEx platform’s native currency can reduce the fee.
Conclusion
There is a wide range of cryptocurrency exchanges for traders with any experience and level of knowledge. The conditions of the platforms are distinctive in the size of commissions and fees, which can be a problem for achieving success in making a profit. The higher the trading fees, the less the investor earns, this is logical and understandable to every participant in the trades. Manage your money smartly with Rates.fm, a service with useful content about currency finance rates, American and European banks, and cryptocurrencies. The service is available 24/7 to users from around the world, from Houston to Bangkok.