#CryptoFees101

The Three Fee Traps That Silently Drain Your Crypto Profits - Crypto Fees 101

Understanding crypto fees isn't optional—it's the difference between keeping your gains and watching them disappear into the digital void.

Maker vs. Taker Fees: The Trading Dance

Here's how this plays out in practice: If Bitcoin trades at $100,000 and I place a limit order to buy at $99,900, I'm a "maker" adding liquidity. On Binance, this costs just 0.1%. But if I hit the "buy with Market price" button at $100,000, I'm a "taker" paying 0.15%. On a $1,000 trade, that's the difference between $1 and $1.50—small amounts that compound quickly.

Gas Fees: The Ethereum Tax

Ethereum's gas fees fluctuate wildly based on network demand. During the NFT boom in 2021, I watched simple ERC-20 token transfers cost $80. Today, a basic ETH send might cost $8 during peak hours but drop to $2 on weekends. Complex DeFi operations like yield farming can easily hit $100-200 per transaction.