The Big Reveal on Cryptocurrency Trading Fees!
Hello everyone, today we are going to talk about the issue of trading fees in the cryptocurrency world. As someone who has been in the cryptocurrency space for many years, I can tell you that trading fees can be quite a headache.
Spot Trading Fees 📊
First, let's take a look at the trading fees for spot trading. The fee rate for market orders is 0.1%, which is one thousandth. It's simple to calculate: just multiply the trading amount by the fee rate.
You might think this fee rate is reasonable, especially compared to the stock market, where the fee rates for A-shares are generally around 0.02%, and some can even go as low as 0.01%. This means that cryptocurrency trading fees are suddenly ten times more expensive! Adding in the exchange rate differences, the absolute price can be seven times higher!
Contract Trading Fees 📉
If you think the spot trading fees are already high, then the fees for contract trading are simply despairing! On top of the spot fees, you also have to multiply by the leverage factor! The calculation for unilateral fees is: market order 0.05%, limit order 0.02%. For example, if you use 100 as your principal with 100x leverage to open a position, the fee will be 100×100×0.05%=5 yuan, which is 5% of your principal. This is just the opening fee; if you add the closing fee, the total fees can account for as much as 10% of your principal! Now you know why some people say that contract trading fees are ridiculously high?
Summary 📝
In summary, the trading fees in the cryptocurrency space are indeed not low, especially compared to the stock market. I hope this article can help everyone, and I wish you all smooth trading in the cryptocurrency world!