Prime

USDC

On January 30 Crypto exchange Coinbase announced a new fee structure affecting large-scale conversions from USDC to USD. The changes, set to impact institutional clients handling significant transaction volumes, mark a shift in the exchange’s fee policy. 
In an <a href="https://help.coinbase.com/en/exchange/trading-and-funding/exchange-fees">announcement</a> published on its website, the exchange noted that institutional clients who make USDC to USD net conversions over $75 million “per rolling 30-day period” will be charged different fees based on the amount converted. 
The new plan includes a 0.1% fee for conversions between $75 million and $150 million and a 0.15% fee for transactions ranging from $150 million to $500 million. Converting USDC to USD for amounts exceeding $500 million will result in a 0.2% charge, according to the announcement. 
<h2 id="exemptions-and-special-conditions-in-coinbase-s-fee-policy">Exemptions and Special Conditions in Coinbase’s Fee Policy</h2> 
 On the other hand, Coinbase Prime customers holding assets exceeding $500 million on the platform, or maintaining an average of $100 million in USD/USDC throughout a calendar month will be exempt from USDC Conversion Fees, according to the company’s statement. 
Participants in the Coinbase Exchange Liquidity Program, specifically those who have achieved Tier 1 or Tier 2 status, will also enjoy an exemption from USDC conversion fees as long as they fulfill their monthly eligibility requirements. 
“Coinbase is committed to innovating our product offerings and listening to user feedback to ensure we deliver the premium experience that our customers expect while also driving our business goals,” a company spokesperson said. 
<h2 id="differing-reactions">Differing Reactions</h2> 
 Social media reactions to <a href="https://cryptonews.com/news/coinbase-grapples-with-regulatory-challenges-analysts-forecast-volatility-ahead.htm">Coinbase</a>’s move have been mixed. 
Gabor Gurbacs, Director of Digital Asset Strategy at Van Eck, criticized the decision in an X post, noting that the fees could block off-ramps for large traders and market makers. 
I would think there is some disagreement between Coinbase and circle! But, i am speculating. Also, if the bigger players want to enter which they are, why not get away with a little fee since they are one of the only places to purchase crypto. 
Smart business move by Coinbase.… 
— Nanu_Elias (@NahidElias) <a href="https://twitter.com/NahidElias/status/1752323677679395191?ref_src=twsrc%5Etfw">January 30, 2024</a> 
“Wouldn’t this reduce institutional volume a lot?” Gurbacs wrote in the post. “Curious what drove this decision. Seems like odd timing after IPO announcement.” 
In reply to Gurbacs, user <a href="https://twitter.com/NahidElias">@NahidElias</a> speculated that there could be an ongoing disagreement between <a href="https://cryptonews.com/news/why-the-sec-case-against-coinbase-could-spark-a-massive-altcoin-rally.htm">Coinbase</a> and Circle, and asked why Coinbase shouldn’t be allowed to “get away with a little fee”, given that they are one of the few places to purchase crypto. 
“Smart business move by Coinbase,” he wrote. “Hopefully they continue to charge the large guys and reduce their fees for the smaller guys. Atm buying and selling crypto on Coinbase is more expensive then $hood [Robinhood].” 
Circle serves as the issuer of USDC, a stablecoin surpassed in market capitalization only by Tether’s USDT.

Coinbase to Impose Fees on USDC to USD Conversions Exceeding $75 Million

İçindekiler

Cryptonews.com

30 Oca 2024 tarihli diğer yazılar

XSOLLA Founder Shurick Agapitov Releases New Book Once Upon Tomorrow, A Visionary Take on The Met...

5 Altcoins You Should Keep an Eye on in February

DePIN: Cryptocurrency Dynex (DNX): What it is, history, uses and outlook

Cardano (ADA) Sees Uptrend Amidst Market Optimism

Theta Token Price Forecast: Will the THETA Price Reach $2 Mark?

BRICS: JP Morgan Predicts Future Gold Price

Güncel kripto para haberleri için ücretsiz bültenimize abone olun!