As the world's leading cryptocurrency trading platform, Binance provides a wide range of trading services and functions. Although Binance's transaction fees are relatively reasonable in the industry, reducing transaction costs is still an important consideration for users who trade frequently. This article will detail how to use Binance's various preferential policies and strategies to reduce transaction fees and achieve the goal of saving money.
1. Overview of Binance Fee Structure
Before diving into money-saving strategies, it is important to understand Binance’s fee structure. Binance’s fees mainly include the following:
1. Spot transaction fee
Binance’s spot trading fees are divided into two parts:
● Maker Fee: When a user places an order on the order book and the order is not executed immediately, the user is called a “maker”.
● Taker Fee: When a user immediately executes other users’ orders with a market order or a limit order, the user is called a “taker”.
2. Contract transaction fee
Contract transaction fees are divided into:
● Futures contract fees: including delivery contract and perpetual contract fees, usually divided into maker and taker fees.
● Leveraged trading fees: In leveraged trading, the fees are usually higher because the trading volume is larger.
3. Withdrawal Fee
Withdrawal fees vary depending on the currency being withdrawn. Withdrawal fees are generally fixed and do not vary with transaction volume or user level.
2. Take advantage of Binance’s fee discount policy
Binance offers a variety of ways to reduce transaction fees:
1. Use Binance Coin (BNB) to pay transaction fees
Binance users can choose to use BNB (Binance Coin) to pay transaction fees. Using BNB to pay transaction fees can enjoy a fee discount. Usually, the discount rate for using BNB to pay transaction fees is 25%, but this ratio will be adjusted according to Binance's policies.
Steps:
1. Buy BNB: Buy BNB on Binance. You can buy it through spot trading or by recharging with fiat currency.
2. Set up BNB payment: Log in to your Binance account, go to "Account Settings" -> "Fee Settings" -> "Fees Discount", and select to use BNB to pay the fees.
2. Participate in the Binance VIP Program
Binance's VIP program is divided into different levels based on the user's 24-hour trading volume and BNB holdings. The higher the VIP level, the greater the fee discount.
Steps:
1. Increase trading volume: Increase trading volume and improve VIP level. Binance's VIP levels include VIP0 to VIP9, VIP0 is for ordinary users, and VIP9 is for special users.
2. Hold BNB: Hold more BNB to increase your VIP level.
3. Check the discount table: Check the discount rates for each level of transaction fees on the VIP page of Binance.com.
3. Participate in limited-time promotions
Binance regularly offers promotions that often provide additional fee discounts or rewards. For example, Binance may offer fee discounts during holidays or platform anniversaries.
Steps:
1. Follow event announcements: Check Binance’s official website and social media regularly to learn about the latest promotions.
2. Participate in activities: Complete transactions or other requirements according to the activity rules to obtain discounts or rewards.
3. Choose the right trading strategy
1. Use limit orders and stop orders
Limit orders (Maker orders) usually have lower fees than market orders (Taker orders). By placing orders on the order book, you can reduce transaction costs.
Steps:
1. Choose a limit order: Choose a "limit order" instead of a "market order" when trading.
2. Set a stop-loss order: By setting a stop-loss order, you can automatically execute a trade when the price reaches a certain level, avoiding unnecessary costs caused by market fluctuations.
2. Optimize transaction frequency
Reducing frequent small transactions can effectively reduce handling fee expenses. Try to merge transactions to reduce the number of transactions, which will help save handling fees.
Steps:
1. Plan trading strategies: Develop longer-term trading plans based on market trends and your own investment strategies.
2. Set an appropriate order volume: avoid frequent small transactions, and try to make larger transactions at appropriate times.
The above combined with the characteristics of the exchange can reduce the expenditure of transaction fees accordingly.
If you want to directly reduce the handling fee expenditure, you can fill in the invitation code when registering to reduce most of the handling fees.