In this article we want to show Binance’s trading fee structure to everyone who is new to the trading platform and we want to show how you can lower those costs significantly.
Binance is the world’s largest crypto trading and service platform, and that is for a reason. The company is constantly expanding its offering, which now ranges from trading and various investment options to its own credit card.
One of the latest innovations is that Binance no longer only allows you to trade cryptocurrencies, but also to buy cryptocurrencies with fiat money or cash them out in fiat money.
This is new, as Binance previously did not support bank transfers for years. Now, users can even make SEPA transfers for free. This means that it is no longer necessary to already be in possession of cryptocurrencies to get started on Binance.
But now let’s get to the core of this article – Binance’s fee structures and how you can save on fees when trading on Binance.
Several Ways To Save Trading Fees On Binance
Fees on Binance are primarily incurred through trades. Here we must first distinguish between Binance’ spot markets and Binance’ derivatives (futures).
Binance Spot Market Fees
Let’s look at the spot market first. This is the area ,where cryptocurrencies are bought or sold normally. Here, Binance has a very simple fee structure where it does not differentiate between Maker and Taker. However, you have to distinguish between limit and market orders, because the latter are significantly more expensive than limit orders at Binance as well.
Spot Market – Limit Order Fees
Limit orders are orders that are executed at a fixed price. Everyone pays 0.1% for their limit trade, regardless of whether they were the one who entered their quote into the order book (maker) or the one who took an order out (taker).
Spot Market – Market Order Fees
If you want to buy or sell immediately, i.e. at the push of a button, at the current market price (which changes slightly every second), you pay a whopping 0.5%.
Binance Futures Trading Fees
For its derivatives, Binance differentiates between maker and taker and charges different fees for both trade partners. The maker pays 0.02% of his position while the taker pays double, i.e. 0.04%.
Save 20% on all your trading fees
The first and most effective way to save on Binance fees is to sign up using the coupon on the left. Click on the coupon, sign up for a new account at Binance, and get 20% off all your trading fees. In the Spot Market, this would be 20% of the 0.1% you save on each trade for limit orders.
You can also just click here and get the 20% in a new account.
Instead of 0.1% you pay only 0.085% on each trade. For market orders you pay only 0.425% instead of 0.5%. For futures, as a maker you pay only 0.017% and as a taker only 0.034%. All this can add up quite a bit, depending on how active you are on the platform or with which positions you trade. So it’s worth taking the discount with you.
Use BNB as Base Currency
Binance has its own cryptocurrency, as you probably know. BNB is a token with high market capitalization after all, thanks to Binance’s popularity. The platform naturally wants to support its own token to increase its market value in the long run. It does so in a number of ways.
One of them is that users who use BNB as the base currency in their account pay a whopping 25% less trading fees in the spot market. In futures trading, lower fees are also charged, but only 10% there.
When BNB is in a bull trend against BTC and/or USD, using the coin as the base currency for all trades is very beneficial.
The fee savings via the 20% coupon and the BNB fee savings can also be combined. So those who use both will pay the least.
Use “Post-Only” Setting (Futures)
This refers to Binance Futures Trading, where you have advanced order settings such as “post-only”. This means that you want to make sure that you will be Maker and not Taker in this trade.
Without “post-only” the trading engine would automatically check if there is already a matching order in the orderbook, and if so, it would make the existing one a match with yours, making you the Taker.
But with “post-only” you make sure your order will be placed in the orderbook, although there might be matching orders from others. This ensures you will also be a Maker and only pay the Maker fees, which is half of Taker fees!
Pros and cons of Binance Exchange
Beginners friendly – The Binance website is very easy for beginners to use. The platform is so simple for beginners that even intermediate traders can use the system.
Trading fees – The site charges 0.1% from takers and makers in spot markets, as explained above.
Mobile App – The mobile app has full functional android and IOS apps packed with features such as 24 hour live chat support for beginners. With the help of this app, you can monitor your account, send notifications when a trade is done, view and manage multiple trade histories.
With the help of this app you can also transfer your funds to another account if you want to. The mobile software is very user friendly, no complex installation is required. The program was designed by professionals in the business and provides you all the features you need without requiring much technical knowledge.
Ecosystem – The Binance trading platform has its own ecosystem of services such as exchange, brokerage, interest account, staking account and even loans.
The platform is designed to provide you the best experience possible in trading. The company also has an integrated platform for trading in different blockchains, which will enable traders to execute trades on multiple exchanges.
In addition, the software is very user friendly and allows traders to trade in a virtual environment where they have complete control over their trading operations. Furthermore, the software provides you with tools such as live forex quotes, charts, graphs and other tools which are designed for traders. such features are not available anywhere else.
The Binance trading platform has many third-party providers that work with the Binance software to provide you with tools, such as trading signals and indicators. These third-party tools are developed by professional traders who are in tune with the latest trends and news on the market. The Binance software is very user friendly and also provides traders with the opportunity to do their research right away without having to download any additional software.
The Binance platform supports trading against several base currencies, such as BTC, ETH, BNB and USDT. Therefore, traders are assured that they are not only trading on one but two different trading markets, which offer the highest liquidity and accessibility.
Moreover, the platform is also supported by the largest trading community which is a direct result of years of experience.
Ease of Use – The platform allows traders to quickly and easily execute trades using their browsers. This feature is a big plus for the new trader as he/she doesn’t have to download any software like MetaTrader to their computers and can trade immediately in the market. Finally, Binance also provides traders with expert advisors and a community section for traders to share their thoughts, tips and information.
No Demo account – The only thing that is really missing is a demo account wherein a trader could learn the basics of the platform before risking their real money. This way, he/she could familiarize him/herself with the trading platform while at the same time gaining maximum benefit from it.