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Eterbase Exchange: What Are Negative Trading Fees?

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Eterbase, a European cryptocurrency project with a full-featured exchange and two fashionably featured tokens, has had a successful start thus far in 2019. The project, ran by CEO Robert Auxt, has seen some recent success by recently hitting the $1 million dollars mark in daily trading volume.

One major aspect of Eterbase, that sets them apart from all other exchanges, is the Negative Fee Trades structure obtained through the Eterbase Premium Membership. It is entirely possible to “get paid while you trade” even with a moderate investment.

Let’s take a detailed look at what Eterbase offers with the Negative Fee Trades and see how exclusive this feature differs from other exchanges. 

Negative Trading Fees

Eterbase from the outset has offered Negative Trading Fees, a primary feature benefit for trading under the Premium Membership plan. As you will see, this sets Eterbase apart from other exchanges. This benefit is activated by taking advantage of a tiered based system that’s available to traders of every type.

Users can “lock” either XBASE or XBASE-B tokens to the exchange to activate such benefits. Everyone starts off without any locked tokens and both Maker and Taker fees are set to 0.09% (already a competitive offering for a new exchange).

To activate a premium membership, a locked amount of 1000 XBASE tokens is required for the first tier. At Tier 4, users start to benefit from the Negative Fee Structure. It’s also worth noting that users can unlock their tokens at anytime. 

Every tier after that gives more benefits:

  • Premium Tier 2 will give a reduction of the Maker and Taker fees from 0.09% to 0.08%, an 11% savings. This requires a locked amount of 25,000 XBASE tokens.
  • Premium Tier 3 reduces this amount to 0.07% for both the Maker and Taker fees, a 22% overall savings from the Basic membership plan. This requires a 50,000 token lock. 
  • Premium Tier 4 is where it starts to get interesting and the negative fees come into play. For a locked amount of 100,000 XBASE or XBASE-B tokens, you will get a Taker Fee of 0.06%, a 33% savings from non-premium members. However, for the Maker Fees, you receive a 10% split of the fee amount. You are now getting paid to create trades
  • Premium Tier 5, with a locked amount of 250,000 tokens will gain you an additional 0.01% off the taker fees, bringing it down to 0.05%. The Maker Fee split increases to 15% as well. 
  • Premium Tier 6 with 500,000 locked brings the Taker Fee to 0.04%, now a 55% savings from the original plan. Maker Fees are now at a 20% split.
  • Tier 7 locks up 750,000 tokens with a 25% split and 0.03% Taker fee. 
  • Tier 8 continues the savings at a locked token amount of 1,000,000 tokens with a 0.02% Taker but significantly jumps up the Negative Trading Fees for Makers at 40%!
  • Lastly but most rewarding is Tier 9, which requires an XBASE token lock of 5,000,000 but rewards the user with a whopping 50% split for Makers, making this a very substantial benefit to receive back for trading. In addition, the Taker Fee is reduced to 0.01%, an 88% reduction of fees! 

Real World Examples

Let’s assume that we wanted to create an account on Eterbase and we have $10,000 available for use on the exchange. Being interested in the Negative Trading Fees and Premium Membership, we buy XBASE tokens to place in lock storage. For today’s pricing, we can lock 500,000 XBASE tokens for approximately $1500. This allows us to receive 20% back when trading as a Maker in addition to the 55% normal fees as a Taker. At today’s current offering, the Tier 4 10% split clocks in at a very reasonable $300 lock-in. 

Another example showing the amount of money one can save is illustrated by Eterbase themselves on their website:

Let’s assume that you are a high volume trader, with a Premium 9 Membership (50% trading fee split) on Eterbase. You place 100 x 10 ETH trades during a day that are being matched by a Taker. Assuming a 0.09% taker fee, during a day you will have generated:

100 x 10 ETH x 0.09% (Taker fee) x 50% (fee split) = 0.45 ETH

If you continue to provide this liquidity during a full month you would end up with:

0.45 ETH x 30 = 13.5 ETH..

…On the majority of other exchanges, the fees for the above trades would be roughly 27 ETH. That amounts to a saving of 40.5 ETH per month.”

Eterbase Literally Saves People Money

It’s worth emphasizing how great of a feature the Negative Fee structure is for traders. This structure presents the first time an exchange has offered a consistent, semi-permanent return on trading.

It is rare for any exchange offer any sort of return benefit for trading and Eterbase’s model through its Premium Membership helps stack your savings on top of its already reasonable trading fees.

This is in stark contrast to Coinbase which recently increased its trading fees by over 233% in addition to charging up to 13% in fees depending on the amount. Some exchanges like Binance offer a combined “stake plus volume” model for reduced fees but doesn’t require the stake to be locked which allows a looser structure than perceived.

Eterbase gives a generous offering from its starting fees and with the Negative Fee Structure, it’s easy to see why this is one of the most attractive benefits in the cryptocurrency space via exchange offerings. 

Conclusion 

The Negative Fee approach by Eterbase is unique and highly beneficial to all kinds of users, ranging from the general trader to the avid one. Getting paid to trade helps users reduce costs associated with trading, keeps more money in their portfolio, and gives an incentive to everyone to use the Eterbase brand. 

More Eterbase content on The Daily Chain:

BlockFyre Coin Reviews: Eterbase

Q&A — Robert Auxt, Founder & CEO at Eterbase

Eterbase Launches The Treasury Gateway

Introducing Eterbase Premium Memberships

The Daily Chain
Inform Educate Succeed.

*Disclaimer – Eterbase are our Media Partners and therefore this content is sponsored by them. The fees paid by this project are used to pay for The Daily Chain salaries, dev work, hosting services, travel expenses etc.. that are required to make this company a success and continue to provide the community with great content on a daily basis.

Joseph Walker
Joseph Walker has been a cryptocurrency and blockchain fanatic since 2017. He also has an education in research and writing, along with an application for content strategy. Enjoys humanitarian work and how cryptocurrency can help others in the future.

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