Binance users support 0-fee trading despite CZ’s wash trading concerns

Both traditional and crypto investors consider transaction fees to be one of the most important liabilities when it comes to investing in exchanges. So it’s no wonder that Binance founder and CEO Changpeng CZ Zhao asked investors about their interest in trading on free cryptocurrency exchanges. Despite the inherent risks pointed out by entrepreneurs, the answer was certainly yes.

Binance is the largest cryptocurrency exchange, ten times more than its closest competing FTX in terms of trading volume. Known for implementing features based on community feedback, Zhao contacted via Twitter to assess investor sentiment regarding the complete elimination of transaction fees.

0 Commission transaction @binance Create some issues, clothes trade, VIP tiers, and more.thread

Do you still want it? 1/4.

CZ Binance (@cz_binance) July 8, 2022

While 0-fee trading may seem ideal for investors, CZ has pointed out some of the issues that may arise in the process. One of them is the clothes transaction. A clothes transaction in which a user makes a series of buys and sells to manipulate market activities can be used to raise Binance’s VIP tier.

In addition, CZ said Binance would need to implement a number of safeguards, including detection tools to identify fraudulent transactions, in order to bring zero-fee transactions to the masses. Each VIP tier is associated with certain trading benefits, such as reduced transaction fees.As a result, professional poker player Brian Rast Asked “Then why do you need a VIP tier when there is no charge?”

At the time of writing, more than 30,600 investors voted for CZ polls, and about 65.5% tended to trade without fees. CZ is open to implementing changes regardless of the challenges posed by the new system.

“Let’s see what the polls are saying. Listen to the users.”

Related: Binance gets VASP registration of Spanish subsidiary from Bank of Spain

Binance continues to expand its roots around the world as it steadily obtains registration and operational licenses from regulatory agencies.

MoonTechSpain, a Spanish subsidiary of Binance, was registered as a VASP by the Central Bank of Spain on Thursday, while maintaining its expansion. CZ believes this development is due to Binance’s intent to protect its users.

Effective regulation is essential for the widespread adoption of cryptocurrencies. With a large investment in compliance and the introduction of AMLD 5 and 6 compliant tools and policies, the platform is the industry’s safest and most reliable. I tried to keep it a thing. “