BTC China users can now avail cheaper services doing Bitcoin trading as it announced on February 24, 2014, that is has lowered the trading commission fee from 0.3% to 0.1% for all users. According to the new release, BTC China says that this new fee is applicable to all trades executed after this time, regardless of when the order is placed.
Additionally, BTC China declares that for market-makers who place limit orders that add to market liquidity, they will be exempt from the trading commission. The release makes it clear that traders will additionally get a 0.1% market-maker rebate. Thus, with the new offer, BTC China is all set to attract new customers.
This is not the first time that BTC China has brought in such a lucrative offer for traders; earlier, in January this year, it brought a similar offer wherein it reduced fees for withdrawals into Chinese Yuan from 1% to 0.5%. Apart from the discount on charges, BTC China has also continued its ‘maker-taker’ fee model.
Maker-Taker offer is available for traders who are placing limit orders at prices set by them; however, they will still be exempt from all fees and at the same time they will get a 0.1% rebate. BTC China expects that with the model wherein traders get higher liquidity, it will be able to fetch new customers.
Evidently, BTC China was poised to become one of the largest Bitcoin trading services provider; however, a time came when in December last year, the People’s Bank of China (PBOC) placed a series of new restrictions on deposits to and withdrawals from Bitcoin exchanges via banks and third-party payment processors – this caused havoc and the company merely survived the onslaught.
It looks BTC China is trying to capitalize the market and for that it is bringing such offers wherein new customers flock in. As has been mentioned above, such offers are not new to BTC China; for instance, it reduced trading fees to 0% in September 2013 which it raised later on to 0.3% in December.
In fact, BTC China could still reduce the trading fee to zero; however, according to CEO Bobby Lee it is known the PBOC would react fiercely as it did earlier. It is quite evident that rivals Huobi and OKCoin have maintained mostly 0% fee models even since the new restrictions and in such a situation, the claim that Bobby Lee makes does not seem to be correct.
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