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bitFlyer has slashed its maker and taker fees in a bid to take on the leading US regulated exchanges. The company’s Lightning platform, which is licensed to operate in the US, will officially become the cheapest exchange to trade on from next month. The new fee structure starts at 0.1% for trades of up to $50,000 based on 30-day volume, and drops lower still for high volume traders.
bitFlyer Declares Its Desire to Lure Institutional Traders
Although designed for both retail and institutional traders, it is the latter who will be the greatest beneficiaries of bitFlyer’s fee reduction. The move places the exchange ahead of other US heavyweights such as Kraken, Gemini, and Coinbase Pro.
“At bitFlyer USA, we always look to add more value to our customers, and the simplest way to do that is to lower fees,” explained Joel Edgerton, COO and US head of bitFlyer. “It has long been our goal to increase crypto adoption through making bitFlyer the cost-effective, safe alternative for US retail and institutional traders.”
The starting tier for taker fees on bitFlyer, at 0.1%, is more than three times cheaper than Gemini and five times cheaper than Coinbase Pro. Maker fees stack up similarly, with the 0.2% charged by bitFlyer five times lower than that of Coinbase Pro. US traders who turn over high volume desire competitive maker and taker fees in order to produce a profit. When bitFlyer’s new fee structure goes live on November 4, the exchange will become the cheapest regulated platform of its kind in the US.
Lightning Strikes Fees Down
Lightning is the name of bitFlyer’s pro exchange for trading digital assets such as BTC, ETH, and BCH. Its trading engine has been designed to execute trades lightning fast, which is vital for implementing HFT strategies. The platform has also been designed with security paramount; more than 80% of BTC is stored offline in cold wallets and multisig is in place.
In addition to BTC spot trading, the exchange supports FX, futures trading, and altcoin spot trading with up to 4x leverage. bitFlyer USA has been gradually ramping up its presence within the US market, having been formed as a subsidiary of its Japanese parent company. bitFlyer remains a dominant force in the Asian market, and its new fee structure will give it the muscle to outcompete the established US exchanges.
US retail investors now have a wide range of ways to buy bitcoin, including Cash App and PayPal. Active traders who desire more dynamic ways of swapping digital assets, however, can be found on exchanges, where the best can profit from even moderate moves in the price of BTC, ETH and other cryptocurrencies. Exchanges such as Binance US, Gemini, and bitFlyer provide a regulated and purpose-built environment in which to trade at high volume and frequency. And from November 4, bitFlyer will be able to claim the mantle of cheapest crypto exchange in the US.
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