How much is the Bitget contract fee

Understanding Bitget's tiered maker and taker fee structure and additional fees is essential for optimizing trading returns and avoiding unexpected expenses.

Nov 12, 2024 at 02:34 am

Understanding Bitget Contract Fees: A Comprehensive Guide

Introduction

Bitget, a leading cryptocurrency derivatives exchange, offers a robust trading platform with competitive fees. Understanding these fees is crucial for traders to optimize their returns and avoid surprises when executing trades. This comprehensive guide delves into the various contract fees charged by Bitget and provides detailed explanations to assist traders in making informed decisions.

Tiered Maker and Taker Fee Structure

Bitget employs a tiered maker and taker fee structure based on trading volume. Makers, who add liquidity to the order book by placing limit orders, receive lower fees than takers, who remove liquidity by executing market orders. Fee tiers are as follows:

• Tier 1: 0.02% for both makers and takers
• Tier 2: 0.015% for makers, 0.025% for takers
• Tier 3: 0.01% for makers, 0.02% for takers
• Tier 4: 0.005% for makers, 0.015% for takers

The trading volume requirement for each tier varies depending on the market and trading pair. Traders can view their current fee tier in the "Fee Rates" section of their trading account.

Additional Fees

In addition to maker and taker fees, Bitget charges several other fees:

• Funding Fee: A periodic fee charged to maintain a leveraged position overnight. The funding rate is positive or negative and varies depending on market conditions.
• Close Fee: A small fee charged when closing a trade manually or using a stop loss or take profit order. The close fee is typically a fraction of the maker or taker fee.
• Withdrawal Fee: A fee charged when withdrawing funds from the Bitget platform to an external wallet. The withdrawal fee varies depending on the withdrawal method and cryptocurrency being withdrawn.
• Deposit Fee: While Bitget generally does not charge a fee for deposits, certain deposit methods, such as credit card deposits, may incur a small fee from the payment provider.

How to Calculate Contract Fees

The actual contract fee charged by Bitget depends on several factors, including the trading volume, fee tier, and type of trade. Here's how to calculate the contract fee:

• Maker Fee: Fee Tier Percentage (Contract Value Leverage)
• Taker Fee: Fee Tier Percentage (Contract Value Leverage)
• Funding Fee: Funding Rate Percentage (Contract Value Leverage * Time Held)
• Close Fee: Close Fee Percentage (Contract Value Leverage)
• Withdrawal Fee: Fixed Fee Per Withdrawal

Example Calculation

Consider a trader who executes a long contract on BTCUSDT with a contract value of $10,000 and leverage of 10. The trader is in Tier 2 and has a funding rate of 0.01% per 8 hours.

• Maker Fee: 0.015% * ($10,000 * 10) = $1.5
• Funding Fee: 0.01% * ($10,000 * 10 * 8) = $0.8
• Close Fee: 0.001% * ($10,000 * 10) = $1

In this example, the trader would pay a total of $2.5 in contract fees, including the maker fee, funding fee, and close fee.

Minimizing Contract Fees

Traders can minimize contract fees by adhering to the following strategies:

• Increasing Trading Volume: Higher trading volume qualifies traders for lower fee tiers.
• Using Limit Orders: Placing limit orders as a maker instead of executing market orders as a taker can significantly reduce fees.
• Managing Leveraged Positions: Monitoring funding rates and adjusting positions accordingly can minimize funding fee expenses.
• Optimizing Order Execution: Using advanced order types, such as OCO or Stop Market orders, can help traders avoid unnecessary trading fees.
• Utilizing Promotions and Discounts: Bitget occasionally runs promotions and offers discounts on contract fees for eligible traders.