Fierce rivalry and aggressive marketing strategies among crypto exchanges have culminated in one exchange actually offering to pay traders to trade
Coinmate has implemented negative fees for traders who pass a monthly volume of €3,000,000 (three million euros). Traders will automatically be paid 0.05 per cent on further trades if they are on the ‘market maker’ side of the transaction.
The economics might seem contradictory, but the exchange will still get paid by the ‘market taker’ side of the transaction. Coinmate says it wants to “attract high-volume institutional traders,” with this move.
As increasing numbers of crypto exchanges spring up, the trend is to lower fees across the board.
Olga Bersheva, communications director, Coinmate, comments: “‘We justify paying customers to trade because we want to reward those who trade more and drive the market forward.”