Binance is earning only $20,00 per day on transaction fees charge??

d3nz

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Quote from: dentolas on October 24, 2019, 01:40:14 AM

Binance is my favourite exchange and the only one where I leave a few coins with open orders. Their fees are very user friendly in comparison with other exchanges.
I've used hitBTC for example, and the fees were really high... so high, that I've quickly stopped using it...
don't know about Huobi, never used it, but everyone says it is a good exchange

Yeah. It's not a big deal since their service ans transaction were realtime and didn't get any issue doing trades or making a withdraw or deposit and i feel my funds are secured.

Big difference with other exchanges that has high fees, stuck confirmation, and delay on making a withdrawal even though the traneaction is already completed.

magneto

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Quote from: putukin on October 23, 2019, 12:50:40 PM

In my opinion, it is better to pay more fees and get more security, knowing that your money will be safe. I agree with you that Binance seems to be the most secure exchange now. CZ is doing well

You shouldn't be keeping any balances on any exchange in the first place.

Just because someone is well known isn't a guarantee that they will continue to uphold security anyways. But of course track record is a key indicator.

I think you're missing the point here - Binance's security has nothing to do with whether or not they charge higher withdrawal fees. They can clearly at least reduce the fees by letting the user choose their own fee level. Even at 10k sats per withdrawal, they'd still be making a very sizable profit.

dentolas

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Binance is my favourite exchange and the only one where I leave a few coins with open orders. Their fees are very user friendly in comparison with other exchanges.
I've used hitBTC for example, and the fees were really high... so high, that I've quickly stopped using it...
don't know about Huobi, never used it, but everyone says it is a good exchange

zhekinsp

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Quote from: xiboothrezi on October 23, 2019, 01:58:02 PM

Big or small is relative. Transaction fees determined by an exchange must have been adjusted to operational needs and various factors that affect the convenience of the user. The managerial team would understand more, if they make the wrong calculation the company could get a deficit, whereas that doesn't happen right?

Exchanges needs funds to operate so if they only collect the fee for miners then how they will be able to provide better service so giving them a small amount is worthy and they have least withdrawal fee compared to other,for example in yobit 0.0012BTC as withdrawal fee irrespective of how small or big we are withdrawing.

xiboothrezi

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Big or small is relative. Transaction fees determined by an exchange must have been adjusted to operational needs and various factors that affect the convenience of the user. The managerial team would understand more, if they make the wrong calculation the company could get a deficit, whereas that doesn't happen right?

Quote from: Theb on October 23, 2019, 11:36:55 AM

Obviously fees from transaction fees aren't there only source of revenue so as other companies do. They also have IEOs and other projects that they can have revenue with. But do not expect that the 7.2 million is gained whole as they also have operating cost involved from salaries of their employees to fixed costs such as rents and server operations. With that kind of expenses you know why some exchanges downsize or worst don't even last it's because their income isn't fixed while their expenses remains the same.

This is an important point. There are many sources of income that can make money, especially for global exchange such as binance which has a very good reputation. Not only from transaction fees, but also from various events and cooperation carried out.

putukin

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Quote from: Wysi on October 22, 2019, 12:14:39 PM

Quote from: s92225 on October 22, 2019, 12:07:31 PM

Yea... and just for context, 20k a day is a revenue of 7.3 million a year. That's nothing for any medium sized company much less for one of the largest crypto exchanges in the world.

You may not be happy that you aren't getting 1:1 trades, but i wouldn't exactly call this overcharging. If you can find a more trustworthy exchange with better exchange rates, then go there. If you find that hard to do, then they're not overcharging...

Any thoughts on OKEX / Huobi fees?

I have been a binance user from the day I learn about trading and trust me there is no other exchange which is more secure than binance and it's reliable as well. It doesn't matter about the transaction as far as it served the purpose.

No idea about the other two exchanges which you have listed but usually transaction fees are much higher on other exchanges compared to binance.

In my opinion, it is better to pay more fees and get more security, knowing that your money will be safe. I agree with you that Binance seems to be the most secure exchange now. CZ is doing well

cotton ball

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Quote from: ufaiz50 on October 23, 2019, 12:13:42 PM

Quote from: s92225 on October 22, 2019, 12:07:31 PM

Yea... and just for context, 20k a day is a revenue of 7.3 million a year. That's nothing for any medium sized company much less for one of the largest crypto exchanges in the world.

You may not be happy that you aren't getting 1:1 trades, but i wouldn't exactly call this overcharging. If you can find a more trustworthy exchange with better exchange rates, then go there. If you find that hard to do, then they're not overcharging...

Any thoughts on OKEX / Huobi fees?

You forgot to add the letter "k" to binary daily income, anyways from where did you get this data? . Here is a list of OKEX fees that list their fees https://www.okex.com/pages/products/fees.html. I would rather stay on the binance exchanger, even though the fee in my opinion is rather decent, but the volume of transactions is large.

Binance is bigger exchange market so far than Kucoin, gate and Bittrex. Binance exchange market have many big investor buy or hold altcoin assets on binance exchange, binance owner very happey with many investor trusted with binance than other exchange market because have many altcoin listed in Binance, they intrested with exchange available with thousand altcoin kind in exchange listed.

ufaiz50

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Quote from: s92225 on October 22, 2019, 12:07:31 PM

Yea... and just for context, 20k a day is a revenue of 7.3 million a year. That's nothing for any medium sized company much less for one of the largest crypto exchanges in the world.

You may not be happy that you aren't getting 1:1 trades, but i wouldn't exactly call this overcharging. If you can find a more trustworthy exchange with better exchange rates, then go there. If you find that hard to do, then they're not overcharging...

Any thoughts on OKEX / Huobi fees?

You forgot to add the letter "k" to binary daily income, anyways from where did you get this data? . Here is a list of OKEX fees that list their fees https://www.okex.com/pages/products/fees.html. I would rather stay on the binance exchanger, even though the fee in my opinion is rather decent, but the volume of transactions is large.

Theb

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Quote from: zhekinsp on October 22, 2019, 03:08:37 PM

Quote from: Theb on October 22, 2019, 02:56:07 PM

~snip~

But likely they made huge profits from the BNB token since the last year since it is one of the best doing crypto in terms of price so just added this to OP's statement of they are only making 7.2 million per year,they made lot more than what we think actually.

Obviously fees from transaction fees aren't there only source of revenue so as other companies do. They also have IEOs and other projects that they can have revenue with. But do not expect that the 7.2 million is gained whole as they also have operating cost involved from salaries of their employees to fixed costs such as rents and server operations. With that kind of expenses you know why some exchanges downsize or worst don't even last it's because their income isn't fixed while their expenses remains the same.

mazdafunsun

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In my view this is a very good income , they certainly have a good profit. They cant be burning 20k a day in their salaries and other expenses. Building a multi million business from nothing is a huge success in anyway you look.
In addition think of other revenues which they get - ads on their platforms and listing fees.

worldofcoins

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Quote from: zhekinsp on October 22, 2019, 03:08:37 PM

Quote from: Theb on October 22, 2019, 02:56:07 PM

Quote from: zhekinsp on October 22, 2019, 02:14:44 PM

..

Market cap of a cryptocurrency cannot be considered as a revenue for the project team itself since it's taking up the overall supply of the token multiplied to its current price. If I remembered it correctly 40% of the total supply of BNB was allocated to the team of Binance and not Binance as a company, meaning the employees are the ones sharing the profit and not the company itself which means its not a revenue for Binance. Additionally I know that they are burning the coins allocated to the team which I think they have done several times already and they will keep doing that until their own supply is all burned, this completely eliminates any rumors that they kept almost half of it just for profit.

But likely they made huge profits from the BNB token since the last year since it is one of the best doing crypto in terms of price so just added this to OP's statement of they are only making 7.2 million per year,they made lot more than what we think actually.

Having your own tokens takes your earnings to another level, Using the money you've gathered by selling off those tokens and using it to generate new businesses.
Does Binance have any other business other than their Exchange?

ReiMomo

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Quote from: JC btc on October 23, 2019, 09:21:32 AM

Quote from: microsurfer on October 23, 2019, 08:07:38 AM

20k per day is not bad in my opinion. But yes, i tought that binance is earning much more

Yes for sure they are earning more that that, imagine how many users are trading, withdrawing on their platform everyday, and trading fee is 0.1% if you are not using BNB as a fee, so for sure they are earning $100k-1M everyday, it is possible. Especially in listing, as they do have the highest listing fee .

Good for them. In that way, they can be able to get rich without doing nothing and only by collecting charges or fees in their traders or investors. Imagine every day how many transactions they can have. I think they are earning more rather than the investors only by those charges. I didn't have doubts about them since they are a very well known exchange site. Traders' choice is Binance and the majority of traders using Binance and that is worth it to them.

JC btc

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Quote from: microsurfer on October 23, 2019, 08:07:38 AM

20k per day is not bad in my opinion. But yes, i tought that binance is earning much more

Yes for sure they are earning more that that, imagine how many users are trading, withdrawing on their platform everyday, and trading fee is 0.1% if you are not using BNB as a fee, so for sure they are earning $100k-1M everyday, it is possible. Especially in listing, as they do have the highest listing fee .

o_e_l_e_o

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Quote from: squatter on October 22, 2019, 04:11:33 PM

Keep in mind, we need to account for their consolidation transactions, like this one. Last hour, they processed 26 such transactions and the hour before that they processed 47.

I accept that. But even if we overestimate and say they are processing 50 such transactions an hour every hour non stop, and we accept the fee of the transaction you have linked as average even though the vast majority of consolidation transactions have total fees far below that, we are still only talking about 0.6 BTC per day. 3 BTC or 2.4 BTC, either way, they are taking in a lot of money by overcharging on withdrawal fees.

Quote from: squatter on October 22, 2019, 04:11:33 PM

We should also account for the current low fee environment. At the height of the 2017 bull market, they were paying insane fees for their consolidation transactions. Over 1,000 satoshis per byte sometimes.

Agreed again. But surely this is an argument for variable fees then? And there is no need to pay over 1,000 sats a byte, especially not for a consolidation transaction. Even during the absolute highest fee peak (December 22nd/23rd 2017, if I remember correctly), that fee would have been overkill. They have more than enough in their hot wallet that they could set a fee of 10% of that and wait a day or two.

So yeah, I agree that the initial figure is probably an overestimate, but regardless of how you cut it, Binance are making a nice profit from overcharging for withdrawals. And if I recall correctly, Binance actually have one of the lower bitcoin withdrawal fees. (Someone correct me if I'm wrong here - I don't use centralized exchanges).

microsurfer

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20k per day is not bad in my opinion. But yes, i tought that binance is earning much more

Herbert2020

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the revenue of a huge altcoin exchange such as Binance is ridiculously higher than what you can even begin to imagine because their revenue is not at all from their trading fees or things like that so they don't care about paying such transaction fees.
for starters they are in full control of the altcoin market and with that they can pump and dump any altcoin they want which is generating them hundreds of thousands of dollars per pump. not to mention that they have a centralized coin that they are creating with no cost and selling it at a high price!

Tipstar

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Binance has many other sources for it's revenue and trading fees is just one of them.

In this recent article, https://www.binance.com/en/blog/391462665575727104/9th-BNB-Burn-Q3-2019-Recap-from-CZ

Binance said they burned BNB worth $36,700,000 in a quarter. Binance uses 20% of it's profit to burn BNB, that makes the profit of Binance around $183,500,000 per quarter i.e. more than $2M in a day.

I still don't believe that exactly is the profit of the exchange from the fees. Though they have one of the lowest fees and even further discount through BNB, their volume is very high.
What's your source?

Lizzylove1

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But $20k profit for binance exchange is a bit small considering that it's the largest exchange by volume, maybe this could be due to the situation of the market. If Binance makes $20k, how much then does smaller exchanges make? They have a load of staff to take care of.

lionheart78

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Quote from: Kyraishi on October 22, 2019, 03:21:32 PM

I'd assume a large amount of their profits from the exchange mostly come from the launchpad and the IEO's they hold, they charge huge fees and usually sell out on their platform.

That is the best way to say it. Not mentioning their manipulated pump and dump of these token that use their IEO launchpad. They made huge money on these price manipulation. Aside from that they also have listing fees for both their DEX and Centralized exchange.

SaShiRaJaVu

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Quote from: s92225 on October 22, 2019, 12:07:31 PM

Yea... and just for context, 20k a day is a revenue of 7.3 million a year. That's nothing for any medium sized company much less for one of the largest crypto exchanges in the world.

You may not be happy that you aren't getting 1:1 trades, but i wouldn't exactly call this overcharging. If you can find a more trustworthy exchange with better exchange rates, then go there. If you find that hard to do, then they're not overcharging...

If you look at the reported volume per day they have a volume of $797,280,406 and the amount of fees they get with every trade per day is much higher than any other ventures in the market and on top of that they are charging a withdrawal fees for every individual of 0.0005BTC while the transaction fees is really low in bitcoin and majority of the exchanges are following these practices even now and no one is questioning these encourages them to continue that fees, personally i am not trading with Binance nor any centralized exchanges as all of my trading are done through P2P exchanges.

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