💸 CryptoFees101: What are the types of crypto fees and how to reduce them
Fees are a part of every crypto transaction. Understanding where they come from can help save money.
1. Types of fees
• Trading Fee
— Charged when buying/selling cryptocurrency on an exchange.
— On Binance: from 0.1%, with a discount for paying with BNB.
• Network Fees
— Payment to miners or validators for processing the transaction (depends on the network — Ethereum, BNB Chain, etc.).
— Not controlled by the exchange.
• Withdrawal Fee
— A fixed fee for transferring assets from the exchange to an external wallet.
2. Maker vs Taker
• Maker — creates an order that adds liquidity (usually lower fee).
• Taker — executes an existing order (often higher fee).
3. How to reduce costs?
• Paying fees in BNB = -25%
• Trading during low activity hours = less congestion, cheaper network fees
• Using L2 (e.g., Arbitrum, Optimism) for withdrawals
🧠 Tip: Before every transaction, check what fee is expected. It’s a small thing that can lead to significant savings in the long run.
