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. Related Reading: MicroStrategy’s Michael Saylor Says Spot ETF Approvals Have No Bearing On Bitcoin Strategy #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. 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. Related Reading: Here’s Where The Price Of LUNC Will Land This August, According To This Algorithm 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
