$BTC
✍️ The simplified report on the image titled "Crypto Fees 101" explains the types of fees that a trader may encounter in the world of cryptocurrencies, which are as follows:
1. Trading Fees - Maker vs Taker:
- Maker Fees: Charged when adding liquidity (like limit orders).
- Taker Fees: Charged when removing liquidity (like market orders).
- Tip: Using BNB to pay fees on the Binance platform offers discounts.
2. Network Fees - Blockchain Fees:
- Ethereum Network Fees (Gas): Increase during network congestion.
- Cheaper alternatives: Such as BNB Chain or Layer 2 solutions.
- Tip: Use platforms with high liquidity to reduce the impact of price spreads.
3. Withdrawal Fees:
- Charged by platforms, not by the blockchain itself.
- Converting to lower-fee currencies like XRP or LTC can reduce costs.
4. Spread Costs:
- The difference between the buy price and the sell price is a hidden cost.
- Tip: Use platforms with high liquidity to minimize this cost.