The recent announcement from Crypto.com disclosed that the popular exchange has decided to cut its fees, along with CRO staking awards, in order to provide more accessibility to its users.
With this move, the crypto platform is offering new users the opportunity to enter the crypto sector while keeping their risk levels low.
The platform outlined in a blog post that it is planning on reducing its trading fee by almost 80% and it also intends on making some changes to the CRO token.
Similar to trading other financial assets, there are fees involved in crypto trading and conversion. Service providers charge these fees, which enables them to generate revenue from the transfer and conversion services.
However, Crypto.com has decided to facilitate its clients and it aims to accomplish this goal by cutting down the fee it charges, thereby allowing more people to participate in the crypto market.
The 80% reduction in trading and conversion fee is undoubtedly significant because it will have a direct impact on their profit.
But, the company has decided to make such a move in order to attract more clients to its platform.
According to Crypto.com, reducing its fee will help users in getting access to different crypto assets at a more affordable price.
This fee reduction is applicable, not just in the case of derivatives trading, but in spot trading as well. The feel will now be 0.034% for the former and 0.075% for the latter.
Moreover, the company has also decided to remove the minimum trading requirement from its platform, which means that users will be able to benefit from 0% market fees.
But, it is important to note that this would require them to stake 50,000 CRO tokens.
Benefits of staking CRO
Acquiring the native CRO token introduced by Crypto.com and staking it can enable users to enjoy more benefits when using the platform.
They will be able to unlock even more benefits in terms of fees, depending on the number of CRO tokens they decide to stake.
For instance, users who decide to stake around 100,000 CRO tokens would be able to get paid via negative market fees through all tiers.
In addition, liquidity providers can also enjoy benefits from negative trading fees and improved capital efficiency.
The negative market-maker fee is applicable across all market-making tiers involved in spot trading, depending on the receiving currency.
But, in the case of derivatives trading, USDC is used by the platform for settling negative market fees. It should also be noted that newcomers will no longer be able to earn the usual 10% per year as before.
Instead, Crypto.com has introduced a new reward scheme that allows the new users to rake in about 8% per year.
Crypto.com is not the only platform to have decided to change its fee structure. Binance has also introduced a zero trading fee for Bitcoin in order to cater to its clients.
These measures are being taken to garner more users, given the falling trading volumes in the market due to the crypto winter.