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How can I reduce my trading fees on Binance Futures?

Maximize Binance Futures savings by using BNB for 25% fee discounts, increasing trading volume for lower tiers, and referring traders to earn rebates.

Aug 10, 2025 at 04:42 am

Understanding Binance Futures Fee Structure

To effectively reduce trading fees on Binance Futures, it's essential to first understand how the platform structures its fee model. Binance Futures operates on a maker-taker fee system, where fees vary based on whether you add liquidity to the order book (maker) or remove it (taker). Makers typically receive lower fees or even rebates, while takers pay higher fees. The standard taker fee is 0.04%, and the maker fee is 0.02%. These rates can be significantly reduced through various strategies.

Your fee tier is determined by your 30-day trading volume and your BNB balance held in your futures wallet. Binance uses a tiered system where higher trading volumes and larger BNB holdings unlock lower fee rates. For example, users in VIP 1 tier with over $10 million in 30-day volume may enjoy a taker fee as low as 0.02% and a maker fee of 0.00%. Understanding this structure allows traders to plan their activities to qualify for better rates.

Using BNB to Pay Fees for Discounts

One of the most direct ways to reduce fees is by using BNB (Binance Coin) to cover trading fees. If you choose BNB as your fee payment method in the futures settings, you receive a 25% discount on both maker and taker fees. This discount applies automatically as long as you have sufficient BNB in your futures wallet.

To enable this:

  • Navigate to your Binance Futures account settings.
  • Select "Fee Discount".
  • Choose "Use BNB to pay for fees".
  • Ensure your futures wallet holds enough BNB to cover anticipated fees.

For example, if the standard taker fee is 0.04%, using BNB reduces it to 0.03%. Similarly, a 0.02% maker fee drops to 0.015%. Over time, especially for high-frequency traders, this reduction compounds significantly. It's crucial to monitor your BNB balance regularly to avoid automatic fee payment in other assets at full rate.

Increasing Trading Volume for Tier Upgrades

Binance assigns users to fee tiers based on their 30-day cumulative trading volume and BNB holdings. To move into lower-fee tiers, increasing your trading volume is a viable strategy. The platform updates these tiers daily, so consistent trading can lead to rapid improvements in fee status.

To maximize volume impact:

  • Focus on high-liquidity pairs such as BTC/USDT or ETH/USDT, where slippage is minimal and order execution is faster.
  • Use limit orders to act as a maker, which not only lowers fees but also contributes to volume without incurring higher taker costs.
  • Consider coordinated trading plans with trusted partners (without violating Binance’s anti-collusion policies) to boost volume organically.

Higher tiers also offer additional benefits such as increased API call limits and priority customer support. Monitoring your current tier via the "Fee Rate" section in your futures dashboard helps track progress.

Leveraging Referral Programs and Fee Sharing

Binance offers a referral program that allows users to earn a portion of the trading fees generated by referred traders. This feature can indirectly reduce your net fees. When someone signs up using your referral link and trades on Binance Futures, you can earn up to 20% or 40% of their fees, depending on the program tier.

To set up referral earnings:

  • Go to the "Referral" section in your Binance account.
  • Copy your unique referral ID or link.
  • Share it with potential traders.
  • Ensure the referred users enable fee sharing in their settings.

You can also join affiliate programs or partner with existing trading communities to expand your referral base. The earned rebates are paid in BNB and can be used to offset your own trading fees. This creates a sustainable cost-reduction loop, especially for active community contributors.

Optimizing Order Types and Execution Strategy

Your choice of order type directly impacts the fees you incur. By prioritizing limit orders over market orders, you position yourself as a maker, benefiting from lower fee rates. Market orders always act as takers, triggering higher fees.

To optimize execution:

  • Always place limit orders slightly away from the current market price to ensure they rest on the order book.
  • Use post-only orders to guarantee your order won’t execute immediately as a taker.
  • Enable "Reduce Only" when closing positions to prevent accidental opening of new ones, which could lead to unnecessary fees.

Additionally, avoid frequent position adjustments that result in multiple taker orders. Consolidate entries and exits where possible. Using stop-limit orders instead of stop-market orders also helps control execution price and fee type.

Managing Leverage and Position Size Efficiently

While leverage doesn’t directly affect trading fees, it influences how often you need to open or close positions. Using appropriate leverage reduces the need for frequent rebalancing, which in turn lowers the total number of transactions and cumulative fees.

To manage leverage wisely:

  • Avoid maximum leverage unless justified by a high-conviction strategy.
  • Use lower leverage for longer-term positions to minimize liquidation risk and reduce churn.
  • Adjust position size to match your risk tolerance, avoiding over-trading small movements.

Smaller, more frequent trades increase fee burden disproportionately. By sizing positions appropriately and using leverage conservatively, you reduce the frequency of trades and associated costs.

Frequently Asked Questions

Can I change my fee payment currency after placing a trade?

No, the fee payment method (BNB or other assets) is applied at the time of trade execution. You must set your preferred method in advance under "Fee Discount Settings". Any changes only affect future trades.

Do referral rebates count toward my trading volume for fee tiers?

No, referral rebates are separate from your personal trading volume. Your fee tier is based solely on your own 30-day futures trading volume and BNB holdings. Referral earnings are a rebate, not a volume contributor.

Is there a minimum BNB balance required to get the fee discount?

There is no fixed minimum, but you must have sufficient BNB in your futures wallet to cover the fee at the time of trade. If BNB is insufficient, the fee will be charged in the settlement asset (e.g., USDT) at the full rate without discount.

Can I lose my VIP tier status?

Yes, VIP tiers are recalculated daily based on your trailing 30-day volume. If your trading activity decreases, your volume may fall below the threshold, causing a downgrade. Maintaining consistent volume is necessary to retain lower fee rates.

Disclaimer:info@kdj.com

The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!

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