Although fees should be just one of several considerations made when selecting the right cryptocurrency exchange for you, it can be one of the most important — since, the lower your fees, the higher your profits usually are.
Generally, the industry standard for cryptocurrency exchanges is around 0.25 percent for both market makers and market takers — though there are several well-reputed platforms that charge less than this while still offering an excellent range of features.
Whether you are a new investor or trading veteran, there is always room for improvement — and reducing your trading fees is often one of the surest ways to maximize your cryptocurrency trading profits.
With a plethora of exchanges promising the lowest fees, it is often hard to determine which are genuinely worth using and which are full of empty promises. To help you choose a winning exchange that is best for you, we have scoured the internet to find five of the best low fee exchanges available.
Renowned for its legitimate trading volume and the large variety of cryptocurrency trade pairs it offers, Binance has quickly found itself the most popular cryptocurrency exchange platform — despite launching in just 2017.
In addition to its impressive liquidity, Binance also features very relaxed KYC requirements, allowing users to withdraw as much as two bitcoins per day after providing minimal personal information.
By default, Binance trading fees start at 0.1 percent for market makers and market takers. However, this can be reduced to as little as 0.02 percent and 0.04 percent respectively for traders that reach VIP 8 status by trading more than 150,000 BTC per month and holding over 11,000 Binance Coin (BNB).
As it stands, paying Binance trading fees in BNB attracts a 25 percent discount. However, this discount is halved every year and will be reduced to 12.5 percent in July 2019, and 6.25 percent in July 2020.
Despite being a brand new exchange platform, StormGain has all the features needed to distinguish itself from the competition and become a leader in the space.
For one, StormGain has some of the lowest trading fees in the business — with just a 0.15 percent trading fee for most of its instruments. Couple this with its extremely low daily rate for swaps and completely free deposits and withdrawals, and it’s clear that StormGain isn’t playing around.
Unlike some of the other options on this list, StormGain offers these fees without requiring users to hold any exchange tokens or reach extraordinary monthly trade volumes.
Besides its extremely low trading fees, StormGain also benefits from several features that make it an attractive alternative to other platforms — particularly for lower volume and new cryptocurrency traders.
One of these features is trading with multipliers, allowing traders to multiply their exposure to the market. Offering a multiplier of up to 100x, users are given the opportunity to vastly grow their investment while risking only the principal amount.
StormGain allows users to do all of this in complete privacy by completely doing away with KYC requirements and intrusive verification steps.
Featuring incredible liquidity for Bitcoin, Ethereum, and EOS, Huobi Global is one of the most popular exchanges for those looking to trade against Tether (USDT). Beyond this, Huobi Global also features a large range of altcoin trade pairs — many of which also have impressive trading volume and low spreads.
Founded in China and based in Singapore, Huobi Global is known for its high-speed matching engine, extremely user-friendly user interface, and easy on-ramp for retail investors through its fiat-to-crypto trading zone.
Similar to Binance, Huobi Global features a tiered fee structure with the potential for further discounts by achieving higher trade volumes — starting when users exceed 5 million USDT in 30-day trade volume.
On Huobi Global, the base trading fee is 0.2 percent for both maker and taker trades — but these are reduced significantly for high volume traders. Beyond this, Huobi also allows users to further reduce their trading fees by purchasing VIP member using Huobi Tokens (HT), with six different VIP levels offering up to an additional 50 percent fee discount.
Since its launch in 2014, HitBTC has maintained a relatively strong position as an exchange, regularly finding itself placed in the top 20 exchanges by reported trade volume.
Though it may not necessarily be the “world’s most advanced Bitcoin exchange” as it claims, HitBTC is still a solid option for many cryptocurrency traders. With its advanced order matching system, multiple account security layers and powerful API, HitBTC is a certainly worth a look.
Like many other modern cryptocurrency exchanges, HitBTC operates on a tiered fee schedule — which sees users rewarded with lower trading fees after achieving a certain trade volume per 30 days. Currently, base (tier 0) trading fees are 0.1 percent for makers and 0.2 percent for takers, reducing -0.01 percent and 0.055 percent respectively for tier 15 traders.
However, very poor customer support and reports of the exchange freezing user accounts may deter some users from an otherwise competent exchange.
As one of the most well-reputed names in the business, Bitfinex has stood the test of time and remained one of the leading cryptocurrency exchange platforms for more than six years.
The exchange is best known for its high liquidity crypto-fiat trade pairs, allowing users to trade against four different fiat currencies, including USD, EUR, and GBP. Beyond this, the exchange also offers dozens of crypto-crypto trade pairs — though fiat trading is its clear standout feature.
In addition to its impressive volume, Bitfinex is also one of just a handful of cryptocurrency margin trading exchanges — allowing users to trade with up to 3.3x leverage.
For most users, Bitfinex charges a 0.1 percent maker and 0.2 percent taker fee, with further reductions possible when trading in excess of $500,000 per 30-day period.
Like an increasing number of exchange platforms, Bitfinex also gives users the opportunity to reduce their trading fees by holding fixed amounts of the native exchange token — Unus Sed LEO. As it stands, holders of more than 5,000 USDT worth of LEO receive a 25 percent fee discount.
Which Exchange Is Best for You?
Overall, of the hundreds of exchange platforms available, these are the ones that offer a full-feature set while still keeping fees low.
Ultimately, you will need to make the decision for yourself by choosing which trading platform offers the best mix of features you are looking for. Although low trading fees is certainly a desirable feature, it is certainly not the only one that should be considered.
Whether you choose StormGain, HitBTC or another platform as your exchange of choice, it is important to do your research before trading at any platform, as many benefits often come with hidden caveats.
Did we miss any from our list? Are there any other up and coming exchanges platforms that are worth a look? Let us know your thoughts in the comments below!
[Full Disclosure: StormGain is a partner exchange of BeInCrypto.]