Sebastian Sinclair
Coinbase Pro Is Increasing Its Fees – And Users Aren’t Happy
Coinbase Pro – the cryptocurrency exchange’s platform for professional and institutional traders – is set to increase its fees from early next week.
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On Oct. 7 at 22:00 UTC, Coinbase will usher in higher rates for new tiers of accounts transacting under $10,000, and between $10,000 and $50,000, according to a company blog post on Thursday. The new rates are as follows:
Currently, all accounts trading under $100,000 are charged 0.25 percent (takers) and 0.15 percent (makers).
Volume will continue to be calculated based on accounts’ trailing 30 day volume, Coinbase says.
While Coinbase attempted to explain the increase as “slight” and as a response “to client needs,” a tweet by popular macro crypto analyst Alex Krüger points out that a hefty 150-percent increase in fees is coming for low-volume accounts trading under $10,000.
The changes, however, will favor high-volume customers, with accounts transacting over $50,000 or more either seeing a small reduction in fees or no change at all.
According to comments on Coinbase’s blog announcement, the planned fee hike has angered many retail traders, who argue the move is a mistake that could drive clients away in a down period for the crypto markets.
Market commentator and trader Joe McCann tweeted that the very reason Coinbase is raising fees is likely to keep profits rolling in at a time when trading volumes are low.
Disclosure: The author holds no cryptocurrency at the time of writing
Saturday, 26 December 2020