On Feb. 19. 2020, Switcheo, the first decentralized crypto exchange on the Neo blockchain, which also now allows trading of EOS and ETH tokens, announced that negative trading fees would return this Wednesday, Feb. 19, 2020, at 4 PM SGT.
A negative maker fee means that traders will earn money for the execution of each maker trade on the platform. Basically, traders will receive a fee rebate in SWTH, which will be credited to a distinct digital vault and can be traded or withdrawn after six months.
Under this Negative Fee program, users can unlock negative maker fees starting from Tier 1 with at least 300,000 SWTH locked up in Switcheo Chest and a 30-day trading volume of at least 100,000 USD.
This follows Switcheo referrals and affiliate rewards, which earlier gave affiliates 50% off all fees from the referred. The best part is the 25% off fees were offered to the referrals who signed up with their unique code.
Switcheo Looking to Add Support and Improvement for the Exchange
Switcheo also recently announced an equity investment by Neo Eco Fund, underscoring Neo’s strong community commitment through its EcoBoost initiative.
Along with continually investing in the Switcheo exchange, Neo is also dedicated to supporting the Switcheo native token (SWTH) by bankrolling the redemption of SWTH tokens for GAS tokens to further boost confidence in SWTH.
Likewise, Switcheo will expand its support for the Neo ecosystem by permitting trading fees on Switcheo Exchange to be paid via GAS in its place of SWTH tokens.
This way, Switcheo will burn SWTH tokens off the market manually from fees collected every three months. The new mechanism on the exchange will likely offer traders increased transparency, as expert trackers will no longer be used to monitor burnt SWTH tokens.
Negative Trading Fees are Crucial in the Crypto Industry
The key reason for introducing negative trading fees is to offer an incentive to users who can bring more liquidity to the crypto exchange in question.
Along with Switcheo, other crypto exchanges have used negative trading fees to appeal to users while showcasing there are also many different ways to tackle cryptocurrency trading in this day and age.
For instance, over 10,000 users on Bitcoin.com Exchange pre-registered for benefits, including 25% discounted trading for three months.
Pre-registered users are also eligible to win one of five $1,000 Bitcoin Cash (BCH) airdrops and other exclusive prizes totaling over $10,000 when they make their first trade on the exchange.