Adrian Reid breaks down Binance trading fees and how to cut them. The key: return to a base currency like USDT or Bitcoin between trades instead of swapping directly between altcoins, which stacks fees on top of each other.
All right, so the question is, when I'm trading on Binance and I'm going from coin to coin, what is the fee? I want to be clear here, you've got to be careful to trade what the system tells you to trade. So we're trading systematically, we follow the rules. So we're not saying, okay, I'm holding eth, but now I want to hold Ada, so I convert my eth to Ada and I'm holding Ada. Now I want to hold Solana, so I convert my ADA to Solana and and so you convert that, convert that, convert that, convert that. That'll be a real mess and you will have lots of strange fees, wide spreads, and you'll get killed. What the systems do is they trade. So if it's a system that trades against the US dollar tether, you buy an asset against tether and then you'll sell it back to tether, then you'll buy a different one against tether and then you'll sell it back to tether when you close a position, and so on. Always coming back to the base currency tether, if it's bitcoin. So like the Bitcoin builder system, when you buy, let's say you buy eth from the Bitcoin builder system, you buy eth with bitcoin, then you sell eth and you go back to Bitcoin, you buy ADA with bitcoin, then you sell it back to bitcoin, and so on. Always coming back to the base currency, which is bitcoin. The fees that you then get are the commissions on finance, which are very low.
The there's sometimes, or there's other types of fees where you're transferring coins between people, where you're swapping coins and whatever. You don't need to worry about those because you're not doing that. You're always coming back to the base currency, which will always be either US dollar tether or bitcoin. There is a commission, but it's very low.
