The Binance.US exchange eradicated spot trading fees on Bitcoin. Exchange users can exchange bitcoins for US dollars tether and other stable coins without extra fees.
The exchange Binance.US, the US subsidiary of Binance, highlighted it is waiving fees on spot Bitcoin trading for all of its customers.
Binance.US’s new decision effectively allows customers to exchange spot bitcoins for US dollars, Tether, USD Coin, and Binance USD, or vice versa, without paying spot trading fees.
Binance.US published it in a press release, and on social networks, many US media outlets revealed the news to the public.
Binance.US explained that it offers, perhaps, some of the lowest trading fees in the crypto space and charged a 0.1% spot trading fee on less than $50,000 of the trading volume. The entity says it will now not charge any fee per transaction at all.
The entity also expressed that they see this decision as an opportunity to improve the way fees are approached in the industry, increase accessibility to digital assets, and boost the market and customers in such a difficult time.
According to The Wall Street Journal, it is the latest sign of how entities, both traditional brokerage houses, and digital startups, offer discounts or get rid of fees to awaken the interest of individual investors.
To compensate for lesser transaction fees, some brokerages took action to migrate customers’ uninvested cash from brokerage accounts to banking products. Others have directed customer orders to e-commerce entities called market makers in a procedure described as pay-per-order flow.
Binance.US, revealed in September 2019, is one of the most prominent exchanges by trading volume, according to data provided by CoinGecko. In April 2022, the entity achieved over $200 million in a seed round valued at $4.5 billion.
On the other hand, this event comes as Bitcoin and major cryptocurrencies are in a clearly rude market, and various exchanges, including Binance.US rivals Coinbase and Gemini, had to implement measures to fire part of their staff and face the difficulties generated by this period. It is unclear at the moment if Binance will also go in that direction or if it will keep maintaining the same plant with the same staff.
It is worth noting that investors impacted by the Terra Crashdown threatened to file a legal complaint against Binance.US for misleading information to sell the coin before its fall.
By: Jenson Nuñez