What Are Maker And Taker Fees - Crypto Trading Course - Day 1/5

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Mastering Crypto Exchanges

All exchanges can be used for both trading and investing. However, we will be trading mainly on GDAX and Bitfinex due to their interface and lower fees, volume and the ability to convert into fiat.

Crypto Exchanges Links & Fees Overview

To do:
Let's make an account with at least the first 3 exchanges:

Coinbase/GDAX, Binance, and Bitfinex.

You'll notice that some exchanges take longer to get approved and you might prefer one over another. Also depending on your country, one may not work for you.

It never hurts to have accounts at multiple exchanges as you are guaranteed to run into some issues (such as deposit/withdrawal limits reached) at some point. When that happens it's nice to have an active account somewhere else to quickly use that.

FAQ's
Why are Coinbase and GDAX listed as one?
These are from the same company. Coinbase is NOT an exchange for trading GDAX is the actual exchange used for placing maker and taker orders.

What are maker and taker fees?
It's fairly simple.

Basically, if you want to buy or sell something there are 2 things you can do.

Either you (1) look at the order book (we'll discuss this in the next chapter, but simply explained it's a list of prices and amounts people are willing to buy/sell at) and you see what price people are willing to buy or sell some underlying asset (In this case crypto) and you agree to make a trade at that listed price. In this case, you are a "taker", since you would be removing (taking) volume from the order book.

The other option (2) would be to place to add to the order book (make), create volume. To do this you set a price and order size you wish to buy/sell an asset.

1. Taker – removing something from the order book

2. Maker – adding something to the order book

As a Maker, you are increasing the amount that can be bought or sold on the market. Increasing the size of the orderbook is good for an exchange and in general, it's participants. Hence, why Maker fees are less. #daytrading #cryptotrading #crypto

[kbfeminutsi]

SKIP TO 6:01 FOR THE ACTUAL EXPLANATION

[JackSwatman]

reminds me of selling ebony on the RuneScape grand exchange :')

[daanyaal]

Would you know what that transaction fees is on gdax compared to kraken, take for say i payed $30 to buy bitcoin how much would it be on both?

[anthonydheysum]

For one trade (Buy or Sell) would I be charged both the maker fee and taker fee? Thanks in advance.

[ronnieredneck]

Brother thank you for your video but you gotta do a time stamp if your gonna talk for 6 minutes before giving the information you listed the video as. I actually never got to learn from you because I just couldn't deal with all that dialog. Blessings brother.

[remybuitenhuis]

these fees are huge. I lost 140 dollar which includes 120 in fees.

[chriskahlenborn]

Sorry but you talk for so long before you get to a point where is your definition of explanation is not really simple