Every buy and sell on Binance spot trading generates a fee. At 0.1% per trade, it might seem negligible, but if you trade frequently, it adds up fast. With a monthly trading volume of 100,000 USDT, that's 100 USDT in fees — roughly $100 per month.
This article covers every available method for cutting your trading costs to the absolute minimum.
What Are Binance's Default Fees?
Let's start with the baseline. Without any discounts, Binance's spot trading fees are:
- Maker (limit order that goes on the book): 0.1%
- Taker (market order that fills immediately): 0.1%
Maker means you place a limit order and wait for someone to fill it. Taker means you place a market order that fills against existing orders.
A 0.1% rate isn't high by industry standards, but lower is always better.
Method 1: Use BNB to Pay Trading Fees
This is the simplest and most straightforward way to reduce fees.
Enabling BNB deduction gives you a 25% discount, dropping the rate from 0.1% to 0.075%.
Log in through the Binance official site or the Binance App, then follow these steps:
App: Tap "More" in the bottom right → "Fee Rate" → toggle on "Use BNB for Fee Deduction"
Web: Click the user icon in the top right → "Dashboard" → find the BNB deduction option → enable
Once enabled, you need to hold some BNB in your account. The system will automatically deduct fees from your BNB balance with each trade. If your BNB runs out, it automatically switches back to deducting fees in the trading currency.
How much BNB do you need? Not much. If your daily trading fees are about 1 USDT, you only need the equivalent in BNB (a few dollars' worth). It's a good idea to buy and hold 10–20 USDT worth of BNB as a buffer.
Method 2: Use a Referral Code When Registering
If you haven't signed up for Binance yet, registering through a referral link gives you additional fee cashback. For example, registering through this link provides a permanent trading fee discount.
Referral rebates stack with BNB deduction, resulting in an even lower effective rate.
Already registered without a referral code? Unfortunately, it can't be added after the fact. But don't worry — BNB deduction and the other methods below still help reduce your rate.
Method 3: Upgrade Your VIP Level
Binance has a VIP tier system — the higher your level, the lower your fees.
| VIP Level | 30-Day Volume | Maker Fee | Taker Fee |
|---|---|---|---|
| Regular | < 1M USDT | 0.1% | 0.1% |
| VIP 1 | ≥ 1M | 0.09% | 0.1% |
| VIP 2 | ≥ 5M | 0.08% | 0.1% |
| VIP 3 | ≥ 20M | 0.07% | 0.08% |
(These figures are approximate references; actual rates may be adjusted — check the Binance website for current rates)
For most regular users, reaching VIP 1 already requires substantial trading volume. But if you're an active trader, the fee reduction from VIP tiers is very real.
Additionally, holding BNB contributes to your VIP level. At the same trading volume, holding more BNB may bump you to a higher tier.
Method 4: Use Limit Orders (Be a Maker)
As mentioned above, Maker fees are typically lower than Taker fees. At higher VIP levels, the gap between Maker and Taker rates becomes more pronounced.
Place a limit order at a price that won't immediately fill, and your order will sit on the order book as a Maker.
Practical tip: If you want to buy BTC and the current price is 70,000 USDT, place a limit buy at 69,999. As long as 69,999 isn't the current best ask price, your order goes on the book as a Maker. It typically fills within seconds, and you save the Taker premium on fees.
Method 5: Use Certain Trading Pairs
Some trading pairs may have lower fees than others. During promotional campaigns, Binance sometimes offers zero-fee trading on specific pairs.
For example, the BTC/USDT pair occasionally features zero Maker fees. Keep an eye on Binance announcements to catch these promotions.
The Bottom Line After Stacking All Discounts
Let's calculate what a regular user's actual rate looks like with all available optimizations:
Base rate: 0.1%
With BNB deduction: 0.1% x 0.75 = 0.075%
With an additional 20% referral rebate: 0.075% x 0.8 = 0.06%
That's a drop from the default 0.1% to 0.06% — a 40% reduction.
At a monthly volume of 100,000 USDT:
- Default fees: 100 USDT
- Optimized fees: 60 USDT
- Monthly savings: 40 USDT
- Annual savings: 480 USDT
Higher-volume traders save even more.
Extra Fee-Saving Tips
Reduce Unnecessary Trades
This sounds obvious, but many people constantly chase rallies and panic-sell dips, generating massive unnecessary fees. Every round trip (buy + sell) incurs fees twice. If you make 10 round trips a day, your fees might exceed your profits.
Be Careful with Convert/Swap
Binance's Convert feature doesn't show an explicit fee, but it charges through the exchange rate spread. While convenient, for large amounts, spot trading typically costs less.
Use Convert for small amounts (no need to worry about order book mechanics); for larger transactions, go through spot trading.
Think Carefully About Leverage
This isn't directly about fees, but worth mentioning: futures trading has a different fee structure, and frequent position opening/closing costs more in fees. If your goal is simply low-fee buying and selling, spot trading is the most cost-effective option.
How to Check Your Current Fee Rate
Want to know your actual rate?
App: Tap user icon → "Fee Rate" Web: Click user icon → "Dashboard" → "Trading Fees"
The page will display your current VIP level, Maker/Taker rates, BNB deduction status, and all other relevant details.
How to See How Much You've Spent on Fees
Curious about your total fee expenditure? You can find the fee breakdown for each trade in your trade history. Add them up, and the number might surprise you — which is exactly why it's worth investing time in fee optimization.
Getting your fees right won't make you rich overnight, but it works just like reducing costs in a business — every cent saved goes straight to your bottom line. For long-term traders especially, fee optimization compounds over time, and the longer you trade, the more significant the impact.