Binance debuts zero-fee trading with Bitcoin and Ethereum using FDUSD. A strategic pivot after limiting no-cost trades earlier this year, signaling adaptation amid market shifts.
The world-renowned crypto exchange, Binance, has launched a tempting offer for its users: no-cost trades for BTC and Ethereum when linked with the FDUSD stablecoin. This announcement surfaces after Exchange halted its no-cost trading for most pairs, saving only TrueUSD (TUSD) back in March, which shook the prices of BTC and Ethereum.
Binance Unveils Zero-Fee BTC/FDUSD Trading: What Traders Need To Know
Binance’s Play with FDUSD The big reveal came on August 3rd. Binance clarified that from 08:00 UTC on August 4, users could enjoy zero charges for both maker and taker when trading BTC/FDUSD, encompassing spot and margin transactions. For ETH/FDUSD trades, only the maker would be spared from fees, with taker charges depending on the trader’s VIP status. Interestingly, trades in BTC/FDUSD won’t contribute to VIP level volume evaluations or any related Liquidity Providers initiatives, ensuring users receive a seamless trading journey.
Earlier in the year, Binance discontinued its no-fee offer for BTC and its promotion for zero-maker fees on BUSD. They then transitioned their attention to the lesser-known stablecoin, TrueUSD (TUSD), sidelining Tether (USDT) from the no-fee policy. This strategy shift dramatically affected Binance’s standing, with its market presence shrinking by over 50% and trading volumes dwindling.
TronToday Media recently underscored Exchange market share shrinkage to a 12-month low, settling at 53.7%, amid these adjustments and regulatory challenges.
What’s the Implication for the Crypto World? Supported by the renowned First Digital custodian and trust entity based in Hong Kong, FDUSD, the First Digital USD, has a present market cap of $257 million. While this figure might seem trifling next to giants like USDT, TUSD, BUSD, and USTC, Binance growing interest could substantially enhance its worth.
Despite the twists and turns, Exchange remains the go-to hub for Bitcoin enthusiasts. Its BTC/TUSD and BTC/USDT trading pairs are industry leaders, capturing 14.80% and 6.88% of total trade volumes, respectively.To wrap it up, the ramifications of Binance’s newest strategy on the wider cryptocurrency sphere remain to be seen. Yet, it underscores the platform’s continual evolution to maintain its apex position in crypto trade.