Kraken to reduce trade fees

Kraken announced it is reducing trade fees and moving to a maker taker model that will be activated in a couple of weeks, from 1st August.

According to company, this ‘maker-taker model’ feature will ensure a reduced fee for the market-makers who offer liquidity to the market-takers. This decision comes as a result of high public demand, explaining that its customers have been asking for a lower fee system. This ‘maker-taker model’ will give the clients a simpler and reduced fee structure.

The maker fee is applicable to situations where the trader provides liquidity to the order book by ordering a buying limit below the market price or a selling limit above market price. The fee will only be paid to the maker (maker fee) when such orders are taken by new incoming orders.

Accordingly, the taker fee is applicable to situations where the trader removes liquidity from the book by ordering a market/buying limit that is carried straightaway out in response to a previously placed limit order on the book.

Kraken is a San Francisco-based Bitcoin exchange.