The decline in trading volume amid the fall of the cryptocurrency market forces centralized exchanges to introduce new fees. Thus, Luxembourg cryptocurrency exchange Bitstamp began to charge inactive customers a fee.
According to the company’s blog, the inactivity fee will apply to customers with balances under $200 who have not traded, made deposits or staked on the platform in the past 12 months. Such users will be charged €10.
The new rule will take effect on August 1 and will not apply to users from the United States.
The inactivity fee will not affect most Bitstamp customers,” said a Bitstamp spokesperson.
No one likes commissions (and neither do we!), but keeping inactive accounts on the registries is a cost, and in order for us to continue to provide great service to all of our customers, we made this difficult decision.
Most exchanges make money on commissions for trading volumes, which have plummeted along with the price of cryptocurrency since the beginning of the year. Data from The Block shows that they fell from $2.2 trillion in May 2021 to about $622 billion in June 2022.
Cryptocurrency exchanges, which have relied heavily on trading fees as their primary source of revenue, are looking to expand their revenue sources to support their businesses.
For example, Coinbase is testing a new subscription service called Coinbase One, while other exchanges such as Kraken have introduced a new staking tool.