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Breaking News: Major Win For Memecoins: SEC Affirms They Typically Do Not Qualify As Securities

Will Binance’s Zero-Fee Trading Help Bitcoin And Ethereum Prices

Scott Matherson
Scott Matherson
1 year ago
3 mins read
Bitcoin Binance

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Binance, the world’s largest crypto exchange, recently added the BTC/FDUSD and ETH/FDUSD trading pairs to its zero-fee trading program. Binance recently listed FDUSD, a 1:1 USD stablecoin on the BNB smart chain issued by Hong Kong-based licensed trust company, First Digital. With the new zero-fee trading program, users can buy and sell supported cryptocurrencies using FDUSD without paying transaction fees. 

Binance Introduces Zero-Fee Trading Program

The zero-fee trading program is part of Binance’s efforts to increase trading volumes between stablecoin pairs. The company currently has a zero-fee bitcoin trading & BUSD zero maker fee promotion for supported stablecoins. With its latest move, Binance is adding FDUSD to the fray of supported stablecoins on both spot & margin trading pairs.

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#Binance adds #BTC / $FDUSD and $ETH / $FDUSD trading pairs and updates the zero-fee Bitcoin Trading Program.

Find out more ⤵️https://t.co/g6Elnd77d9

— Binance (@binance) August 3, 2023

Taker fees are paid when the trade order is executed, while maker fees are paid when users make limit orders. According to the announcement on its blog, starting August 8, users will be able to enjoy zero maker and taker fees on the BTC/FDUSD spot and margin trading pairs. 

Users will also enjoy zero maker fees on all FDUSD spot and margin trading pairs, but takers will continue to pay standard fees based on the existing trading structure. 

The Potential Impact On Prices

Binance’s announcement to waive trading fees could significantly impact the prices of Bitcoin and Ethereum. As the world’s largest crypto exchange, Binance wields a lot of influence over the crypto market. In the past, Binance’s fee reductions and zero-fee promotions have preceded price pumps and increases in trading volume for the included cryptocurrencies, even if they are only temporary.

Bitcoin, on its own, seems to have found a footing just below $30,000, but the influx of new money and traders could support a higher price push for Bitcoin. The same goes for Ethereum, which is currently ranging around $1,800.

Bitcoin (BTC) price chart from Tradingview.com (Binance)

BTC price could benefit from zero fees on Binance | Source: BTCUSD on Tradingview.com

With no trading fees, investors can also move money in and out of stablecoins freely to take advantage of arbitrage opportunities across exchanges or trade pairs. 

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In March, Binance’s decided to implement zero maker and taker fees on the BTC-TUSD. As a result, the TUSD stablecoin surged 10x in trading volume, surpassing $1 billion in less than 24 hours. During this time period, the BTC-TUSD pair on Binance alone exceeded $700 million in trading volume. 

It is unclear when the zero-fee trading promotion will end on the BTC/FDUSD and ETH/FDUSD trading pairs, but it is expected to increase the volume of FDUSD being traded on the exchange.

Featured image from iStock, chart from Tradingview.com
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Scott Matherson
Scott Matherson

Scott Matherson

Scott Matherson is a prominent crypto writer at NewsBTC with a knack for capturing the pulse of the market, covering pivotal shifts, technological advancements, and regulatory changes with precision. Having witnessed the evolving landscape of the crypto world firsthand, Scott is able to dissect complex crypto topics and present them in an accessible and engaging manner. Scott's dedication to clarity and accuracy has made him an indispensable asset, helping to demystify the complex world of cryptocurrency for countless readers.

Read more

Scott’s experience spans a number of industries outside of crypto including banking and investment. He has brought his vast experience from these industries into crypto, which allows him to understand even the most complex topics and break them down in a way that is easy for readers from all works of life to understand. Scott’s pieces have helped to break down cryptocurrency processes and how they work, as well as the underlying groundbreaking technology that makes them so important to everyday life.

With years of experience in the crypto market, Scott began to focus on his true passion: writing. During this time, Scott has been able to author countless influential pieces that have drawn in millions of readers and have shaped public opinion across various important topics. His repertoire spans hundreds of articles on various sectors in the crypto industry, including decentralized finance (DeFi), decentralized exchanges (DEXes), Staking, Liquid Staking, emerging technologies, and non-fungible tokens (NFTs), among others.

Scott’s influence is not just limited to the countless discussions that his publications have sparked but also as a consultant for major projects in the space. He has consulted on issues ranging from crypto regulations to new technology deployment. Scott’s expertise also spans community building and contributes to a number of causes to further the development of the crypto industry.

Scott is an advocate for sustainable practices within the crypto industry and has championed discussions around green blockchain solutions. His ability to keep in line with market trends has made his work a favorite among crypto investors.
In his personal life, Scott is an avid traveler and his exposure to the world and various way of life has helped him to understand how important technologies like the blockchain and cryptocurrencies are. This has been key in his understanding of its global impact, as well as his ability to connect socio-economic developments to technological trends around the globe like no one else.

Scott is known for his work in community education to help people understand crypto technology and how its existence impacts their lives. He is a well-respected figure in his community, known for his work in helping to enlighten and inspire the next generation as they channel their energies into pressing issues. His work is a testament to his dedication and commitment to education and innovation, as well as the promotion of ethical practices in the rapidly developing world of cryptocurrencies.

Scott stands steady in the frontlines of the crypto revolution and is committed to helping to shape a future that promotes the development of technology in an ethical manner that translates to the benefit of all in the society.

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Reason to trust

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The highest standards in reporting and publishing
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