How to calculate Upbit contract fees

How to Calculate Upbit Contract Fees

1. Understand the Fee Structure

Upbit's contract fee structure is based on a maker-taker model, where makers (users who add liquidity to the order book) pay lower fees than takers (users who remove liquidity). The fee structure also varies depending on the contract type and the user's VIP level.

2. Calculate the Base Fee

The base fee is the standard fee charged for each contract trade. It is calculated as a percentage of the contract value and is determined by the contract type. For example, the base fee for perpetual contracts is 0.03%.

3. Calculate the Maker Rebate

Makers receive a rebate on their trading fees. The rebate is calculated as a percentage of the base fee and is also determined by the contract type. For example, the maker rebate for perpetual contracts is 0.015%.

4. Calculate the Taker Fee

Takers pay a higher fee than makers. The taker fee is calculated as a percentage of the base fee and is also determined by the contract type. For example, the taker fee for perpetual contracts is 0.06%.

5. Calculate the VIP Discount

Upbit offers a VIP program that provides discounts on trading fees. The VIP discount is calculated as a percentage of the base fee and is determined by the user's VIP level. For example, VIP Level 1 users receive a 5% discount on trading fees.

6. Calculate the Total Fee

The total fee is the sum of the base fee, the maker rebate (if applicable), and the taker fee (if applicable). The total fee is also subject to the VIP discount (if applicable).

Example:

Let's say you are a VIP Level 1 user and you want to buy a perpetual contract worth $1,000. The base fee for perpetual contracts is 0.03%. Your VIP discount is 5%.

Calculation:

• Base Fee = $1,000 x 0.03% = $0.30
• Maker Rebate = $0.30 x 0.015% = $0.0045
• Taker Fee = NA (since you are not a taker)
• VIP Discount = $0.30 x 5% = $0.015
• Total Fee = $0.30 - $0.0045 - $0.015 = $0.2805

Therefore, the total fee for this trade would be $0.2805.