Comment by alberth
4 months ago
Coinbase charges 100bps (1%) between trader & maker fee.
Just last quarter, Coinbase had:
Revenue: $2.2B
Net Income: $1.3B
https://help.coinbase.com/en/exchange/trading-and-funding/ex...
https://s27.q4cdn.com/397450999/files/doc_financials/2024/q4...
Note that Coinbase (like most exchanges) charges retail clients outrageously high fees (orders of magnitude more than you would pay at a competitive FX or equity broker), but institutional and whales that trade a lot very small fees.
Yet another way crypto moves money from poor suckers to insiders.
You just described volume-based discounts.
What’s so wrong with that?
It’s the same reason why buying a single soda at a convenience store cost more (per unit) than buying a large pack at Costco.
Try to become an insider at one of these exchanges even with a couple million dollars. See how it goes.
This is like Coke ONLY giving discounts to Costco instead of anywhere else so that Costco can reap the rewards. Walmart, Target, they can all pay full price.
The convenience store spends more money to package individual items. A crypto transaction is the difference of a keystroke. They are not comparable on many fronts.
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