When trading virtual currencies on Binance, understanding how the fees are calculated is crucial for optimizing trading costs. Many friends have been trading cryptocurrencies for years but know little about the specific calculation methods for fees. This article will explain in detail the fee collection rules for Binance spot and futures trading.

I. Spot Trading Fee Calculation

1. Basic Fee Rate:

For regular users, the fee rate for Binance spot trading is 0.1%. This means that whether buying or selling digital currency, a fee of 0.1% of the transaction amount must be paid.

2. Calculation Method:

Purchase Fee: Multiply the amount of assets you purchase by the trading fee rate. For example, if you buy 10 ETH at a price of 4000 USDT each, the purchase fee would be 10 ETH × 0.1% = 0.01 ETH. Note that this is not the USDT deducted, but the 0.01 ETH deducted.

Sale Fee: Multiply the amount of assets you sell by the trading fee rate. For example, if you sell 10 ETH at a price of 4000 USDT each, the sale fee would be (10 ETH × 4000 USDT) × 0.1% = 40 USDT. Here, the fee is charged in USDT.

II. Futures Trading Fee Calculation

1. Basic Fee Rate: The trading fees for Binance futures contracts vary based on the type of trade and the trader's identity (Maker/Taker). Generally, the fees for Makers (limit orders) are lower, while Takers (market orders) have higher fees. The specific rates may vary based on contract type, leverage, VIP level, and other factors.

2. Calculation Method

Position Value: First, you need to calculate the value of your futures position. This is usually obtained by multiplying your opening capital by the leverage level. For example, if you use 500 USDT as capital and choose 100x leverage, your position value would be 50,000 USDT.

Fees: Calculate the fees based on your position value and trading fee rate. The unilateral fee rate for regular users is 0.02% (Maker) or 0.05% (Taker), so your trading fee would be the position value multiplied by the corresponding rate. For example, as a Maker, your fee would be 50,000 USDT × 0.02% = 10 USDT; as a Taker, your fee would be 50,000 USDT × 0.05% = 20 USDT.

It is worth noting that the fees for market orders are 1.5 times those of limit orders, so it is advisable to avoid using market orders directly unless in special circumstances.

III. Strategies to Save on Fees

1. Use BNB to offset fees: Go to the VIP privilege settings in the top left corner of the Binance homepage to enable BNB discounts. BNB must be transferred to the corresponding spot and futures accounts, where spot trading enjoys a 25% discount and futures trading enjoys a 10% discount.

2. Use FDUSD trading pairs: Most spot trades can use FDUSD trading pairs, where limit orders have no fees, and only market orders incur fees.

3. Increase Account VIP Level: The trading fees on Binance are related to the user's VIP level. The higher the level, the lower the fee rate. Users can increase their VIP level and thereby reduce fees by increasing trading volume and holding a certain amount of BNB.

4. Register on Binance and enter invitation code: B497684E to permanently save 20% on spot fees. Or, enter invitation code: btcyusheng when opening a futures account to enjoy futures rebates.

Mastering these techniques can help you effectively reduce costs and improve trading efficiency on Binance. Savvy traders are always looking for ways to save costs, and understanding and utilizing Binance's fee rules is undoubtedly a key step. By reasonably planning trading strategies and taking advantage of platform discounts, you can be more competitive in the cryptocurrency market. Don't forget to check the fees before each trade; this small action may bring unexpected long-term benefits.