Binance US, the US-based division of the world’s largest crypto exchange, announced a new pricing model that offers zero fees for four bitcoin trading pairs including BTC/USD, BTC/USDT, BTC/USDC and BTC/BUSD. Is. The crypto giant has become the first US exchange to offer such a service to its users.
- According to Brian Schröder, CEO of Binance US, eliminating such trading fees is going to revolutionize the way the industry accesses trading fees and increase access to cryptocurrencies.
- Shares of Coinbase and Robinhood are down around 10% and 1% after the news. Their share prices are down more than 85% and 90% respectively from ATH.
- As major competitors to Binance US, both exchanges have recently announced workforce cuts, with Coinbase cutting 18% of its workforce and Robinhood slashing 9% of its workforce.
- The announcement from Binance US comes at a time when trading volumes on exchanges have dropped significantly amid a widespread market downturn. The company reportedly said that “there is no better time than now to introduce zero fees” as the industry struggles to find a way out of the overall slowdown.
- The cut in fees for trading bitcoin against USD-pegged stablecoins is meant to cut a portion of the company’s major revenue stream.
- The US-based giant outlined the new measure as a test case for such a zero-fee model, noting that, if received positively by users, the company could in the future look at other assets and assets. will apply the same policies to the couple. Binance US said the lost revenue – relatively slim – will not affect the company much as it has more than 100 other listed tokens that require trading fees.
- After raising $200 million in April from a mix of VCs and crypto-native firms, the exchange reached a valuation of $4.5 billion.
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