Fees are one of the most consequential factors when choosing a crypto exchange, and one of the most frequently misunderstood. The headline trading fee is only part of what you actually pay. Spreads, withdrawal fees, funding rates, and conversion markups can easily double or triple the visible cost of a transaction. This guide breaks down every type of fee, what it actually costs in practice, and how to minimise it.
Trading fees — maker vs taker
The most common fee you will encounter is the spot trading fee, charged as a percentage of each trade. Most major exchanges use a maker-taker model, where the fee depends on how your order interacts with the order book.
Maker fee: You place a limit order that is not immediately filled. Your order sits in the order book waiting for a counterparty. You are “making” liquidity. Exchanges reward this with lower fees, typically between 0.08–0.10% on major platforms.
Taker fee: You place a market order that is filled immediately against existing orders in the book. You are “taking” liquidity. This costs slightly more, typically 0.10% on major platforms.
In practice, most beginners are takers. When you click “buy Bitcoin at market price,” you are paying the taker fee. The difference between maker and taker fees is small on individual trades but adds up significantly at volume.
Volume tiers: All major exchanges reduce fees as your 30-day trading volume increases. At very high volumes, fees can drop below 0.02% maker / 0.04% taker. For most retail users, you will be at the base tier.
Native token discounts: Most exchanges offer a fee discount if you hold and use their native token to pay fees. Binance reduces fees to ~0.075% with BNB. Bitget charges 0.08% with BGB. These discounts are worth using if you are trading regularly.
| Exchange | Maker | Taker | With token discount |
|---|---|---|---|
| Binance | 0.10% | 0.10% | 0.075% (BNB) |
| Bitget | 0.10% | 0.10% | 0.08% (BGB) |
| KuCoin | 0.10% | 0.10% | 0.08% (KCS) |
| Coinbase Advanced | 0.40% | 0.60% | — |
Withdrawal fees — the hidden cost most people ignore
Withdrawal fees are charged when you move crypto from an exchange to an external wallet. Unlike trading fees, which are percentages, withdrawal fees are usually fixed amounts denominated in the asset you are withdrawing.
The critical variable is the network you choose to withdraw on. Every blockchain has different transaction fees based on network congestion and validator economics. The same asset for example USDT, can be withdrawn on multiple networks at very different costs:
- Withdrawing USDT on Ethereum (ERC-20): typically $5–$15 in fees depending on gas
- Withdrawing USDT on Tron (TRC-20): typically $1 or less
- Withdrawing USDT on BNB Chain (BEP-20): typically $0.50–$1
Always check which network the recipient wallet supports before choosing a withdrawal network. Sending to the wrong network can result in permanently lost funds.
For Bitcoin and Ethereum withdrawals, fees are network-based and fluctuate with demand. During periods of high network congestion like major market events, NFT mints, and token launches, fees spike significantly. During quiet periods they are much lower.
Deposit fees: Most exchanges charge no fee for crypto deposits. Fiat deposits via bank transfer are usually free or low cost. Card deposits typically carry a 1.5–3% processing fee which is expensive for large amounts.
The spread — what it actually costs you
The spread is the gap between the price you can buy at and the price you can sell at simultaneously. On a liquid exchange, this gap is tiny, a fraction of a percent. On a less liquid exchange, or on simplified “buy/sell” interfaces designed for beginners, the spread can be 0.5–2%.
This matters because even if an exchange advertises 0% trading fees, the spread is the real fee. An exchange that charges 0% commission but shows you a buy price of $70,500 and a sell price of $69,500 when Bitcoin trades at $70,000 is effectively charging you 0.7% more than most exchanges charge explicitly.
The simplest way to check: look at the bid-ask spread on the trading pair you want to buy. The difference between the best buy price and best sell price in the order book is your real execution cost. On Binance for BTC/USDT this is typically $1–$2 on a $70,000 price. On smaller exchanges or simplified interfaces it can be hundreds of dollars.
Futures and derivatives fees
If you trade perpetual futures or other derivatives, the fee structure is different from spot trading.
Futures trading fees are lower than spot on most platforms, typically 0.02% maker / 0.04–0.06% taker. This sounds cheap, but futures allow leverage, which multiplies both gains and losses, and fees.
Funding rates are the fee that matters most in futures and most beginners overlook it entirely. Perpetual futures contracts stay in line with spot prices through a mechanism called the funding rate which is a periodic payment between long and short holders. When more people are long (bullish), longs pay shorts. When more people are short (bearish), shorts pay longs.
Funding rates are typically charged every 8 hours. They can be 0.01% per payment (0.03% per day, ~11% annualised) during calm markets, or spike to 0.1%+ per payment (0.3% per day, over 100% annualised) during extreme market conditions. Holding a leveraged long position during a strongly bullish period can cost you more in funding than you make in price appreciation.
Futures trading is significantly riskier than spot trading and not appropriate for most beginners.
How fees add up in practice — real examples
Example 1 — Buying $1,000 of Bitcoin on Binance:
- Taker fee: 0.10% = $1.00
- Spread on BTC/USDT: approximately $0.10
- Total cost: ~$1.10 (0.11%)
Example 2 — Same trade on a simplified buy/sell interface with 0% advertised fee:
- Spread: 1% = $10.00
- Total cost: ~$10 (1%)
Example 3 — Active trader doing $10,000/day in volume over a year:
- At 0.10% taker: $3,650/year in fees
- At 0.075% with native token discount: $2,737/year
- Saving by using native token: $913/year
Example 4 — Withdrawing $5,000 USDT:
- Via Ethereum: ~$10–15 (0.2–0.3%)
- Via Tron: ~$1 (0.02%)
- Cost of choosing the wrong network: $14 wasted, or potentially funds lost if sent to incompatible address
How to minimise fees
Use limit orders where possible. They get the maker fee rather than the taker fee, saving 0.02–0.05% per trade. Over time this is meaningful.
Hold and use the exchange’s native token for fee discounts. On Binance and Bitget this reduces fees by 20–25% with no other action required.
Choose the right withdrawal network. Always select the cheapest network your destination wallet supports. Check before you withdraw, not after.
Avoid card deposits for large amounts. A 2% card deposit fee on a $10,000 purchase costs $200. A bank transfer typically costs $0 or a flat few dollars.
Compare spreads not just advertised fees. The platform with the lowest headline fee is not always the cheapest in practice.
Frequently asked questions
What is the cheapest crypto exchange by fees? For spot trading, Binance and Bitget both charge 0.10% base taker fees, dropping to 0.075–0.08% with native token discounts. For futures, Binance charges 0.02%/0.04% maker/taker. Most major exchanges are competitive at the base level, the differences emerge at volume tiers and through spread quality.
Are DEX fees lower than CEX fees? It depends on the network. On Ethereum mainnet, DEX fees (gas + pool fees) can be $5–$50 per swap. On Layer 2 networks like Arbitrum or Base, DEX fees can be $0.01–$0.10. Uniswap pool fees are typically 0.05–0.30% depending on the pool, comparable to CEX spot fees. The difference is gas costs and the absence of withdrawal fees since you always control your own wallet.
Do exchanges charge fees on crypto deposits? Almost no major exchange charges fees on crypto deposits. You pay the network gas fee to send, but the exchange does not add its own fee on top.
What is a funding rate? A periodic payment between long and short holders in perpetual futures markets that keeps the contract price in line with spot. If you are long during a bull market, you pay the funding rate every 8 hours. If you are short during a bear market, you receive it. It can become a significant cost during trending markets.
This article is for informational purposes only and does not constitute financial advice.
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