Best 5 Bitcoin Exchanges with the lowest fees
Users at bitcoin exchange platforms have to pay certain types of fees in order to use the services of the site. The most common fee types include charging the deposits and withdrawal from the exchange’s account and applying fees on the trading activity.
Different type of fees on bitcoin exchanges
The fees are usually depending on the type of transfer in terms of deposits and withdrawals. Bank wire transfers, credit card top ups and using alternative payment providers often costs money even before starting the trading activity on the bitcoin exchange platform. On the other hand, cryptocurrency deposits and withdrawals are usually free of charges, you only have to pay for the transaction fee on the blockchain that is payable to the miners.
A couple of exchanges, however, make it free to deposit or withdraw the funds from the exchange. In these cases, only the miner fee is due in case of cryptocurrency payouts, as this fee is not set by or payable to the platform, it is rather needed in order to verify the transactions on the blockchain.
The other common fee type is the trading fee that is payable as a percentage on each transaction made on the platform. The trading fees usually range between 0.1% to 0.25%, but it can be up to 1% of the trading amount that is charged for making orders on the exchange.
Some bitcoin broker offers different conditions for market makers and price taker. A market maker is a trader who is placing an order into the order book, while the price taker is the trader who is rather taking an order out of the order book. The maker fees are always lower compared to taker fees as in that case the users give liquidity to the market that benefits the trading community, thus appreciated by the bitcoin broker.
On certain bitcoin exchanges you do not have to pay any trading fees at all. In the case of the no trading fee model, your order’s trading costs are solely dependent on the spread offered by the platform. There are no additional fees applicable to the trades.
Top 5 bitcoin exchanges with the lowest fees
Overall cheapest bitcoin exchanges are those which do not have any deposit or withdrawal fee so you can send your bitcoins to and from the exchange without being charged. The no trading fee model can make the regular trading activity cheaper if the spread is tight enough for the bid and ask prices on bitcoin. Each of the exchange has its own benefits and drawbacks in terms of the fees.
Lowest fee for credit card deposits and withdrawals
Generally speaking not much bitcoin exchange accept credit card deposits and withdrawals in the market. The main reason behind this is that credit card transfers can be easily asked for refunds, which can make the life of the exchanges difficult.
Cex.io has probably the lowest fee schedule in terms of credit card deposits and withdrawals.They charge 3.50% on credit card deposits and 1.20% on withdrawals to credit cards.
Lowest fee for bank wire deposits and withdrawals
Bank wire deposits and withdrawals are the most common methods on the cryptocurrency exchange market to add funds to and remove funds from the exchanges. The fees may vary widely depending on the location of the exchange. The US bank wire transfers are cheaper for US customers, while the SEPA transfers are more favorable to European users.
Coinbase let its users deposit funds to their account free of charge if using bank wire transfers. Withdrawal to bank accounts cost only 0.15 EUR or 0.15 USD on the exchange.
Kraken also does not charge any fee on bank wire deposits. The withdrawals from the account through bank wire costs 0.09 EUR or 5 USD depending on the currency in use.
Lowest fee for alternative payment provider deposits and withdrawals
Although the most popular alternative payment provider is probably PayPal on the market, there is very few bitcoin exchange which accepts funds from PayPal due to their return policy. However there are couple of other payment providers on the market which makes trading on bitcoin exchanges easy.
YoBit lets its users use a wide range of different payment provider. Deposits coming from PerfectMoney wallet in USD or from Payeer wallet in RUB are completely free. On the withdrawal side, clients can withdraw the funds from the platform to Perfect Money, Payeer, Qiwi wallets, or you can even top up your AdvCash bitcoin debit card from the trading proceeds gained on Yobit.
Lowest fee for maker-taker fee schedule
The maker-taker fee schedule is suitable for those traders mostly who add liquidity to the market. A couple of exchanges apply discounts for the higher amount of trading volumes. The usual 30 day trading volume where the lowest discount level can be reached is from $50k-$100k daily volume. Up on reaching high enough trading volume on the exchange, you can even trade bitcoins for free.
Bitfinex provides taker fees between 0.1% and 0.2% while maker fees from 0.1% to zero if the trading volume in the last 30 days reaches $25M. The discount on maker fees are applicable from $500k.
LakeBTC charges 0.2% regardless of the trading volume. The maker fees are 0.15% discount applies from 500 BTC volume if that is reached in the past calendar month.
GDAX offers zero percent maker fee regardless of the amount of asset traded on the exchange. The taker fee is between 0.1% and 0.25%. A 15% rebate is applied on the taker fees if the trading volume reaches 20% of the exchange volume in the past 30 days.
Lowest fee for trading fees
The average trading fee on the market is around 0.2%. The trading fee range between 0.1% and 1.5%. The lower trading fee can be associated with higher deposit and withdrawal fees.
HitBTC applies a flat rate of 0.1% on all executed trades which is probably one of the lowest rate on the market.
P2P bitcoin exchanges, such as LocalBitcoins and Paxful charges 1% commission on each transaction, but that is applicable to the sellers only. These commissions are built in the prices offered by the sellers. There are no further trading fee on these exchanges