On centralized exchanges (CEXs), trading fees aren’t just arbitrary charges. They’re how the whole system keeps running. Every time you place a buy or sell order, it sets off a chain of technical processes: matching engines update, order books recalculate, balances adjust, APIs respond. All of that takes infrastructure, bandwidth, and engineering effort. Fees help pay for it.
Where does the money go? Part of it covers the exchange’s operational costs — servers, support teams, security systems, compliance frameworks, development teams. Another part funds the business model itself. This is how exchanges earn revenue, sustain growth, launch new products, or sponsor staking pools. If you choose to pay fees in BNB or another native token, you’re also supporting that ecosystem, which is why you get a discount.
Now about withdrawal fees. These are not just random penalties. When you move crypto off the exchange, it has to interact with the blockchain. That means paying network fees — like Ethereum gas or Bitcoin miner fees. Exchanges typically pass these on to the user without markup, although some may include a small service fee. It depends on the exchange, the coin, and network congestion.
In short, you’re paying for the architecture you use, whether it’s order routing or blockchain access. It’s not glamorous, but it keeps everything running.
