What is the Maker/Taker Model?

The maker/taker fee model charges different rates based on whether your order adds or removes liquidity from the order book:

  • Maker: Adds liquidity (usually pays less)
  • Taker: Removes liquidity (usually pays more)

Understanding Makers

What Makes You a Maker

You’re a maker when you place an order that doesn’t immediately execute:

  • Limit buy below current price
  • Limit sell above current price
  • Any order that “makes” liquidity

Why Makers Pay Less

Makers benefit exchanges by:

  • Adding depth to order books
  • Providing liquidity for others
  • Reducing spread between bid/ask
  • Making the market more efficient

Understanding Takers

What Makes You a Taker

You’re a taker when your order executes immediately:

  • Market orders (always taker)
  • Limit buy at or above current price
  • Limit sell at or below current price
  • Any order that “takes” existing liquidity

Why Takers Pay More

Takers:

  • Remove liquidity from the market
  • Need immediate execution
  • Create urgency/demand
  • Willing to pay premium for speed

Fee Examples

Major Exchange Fees

ExchangeMaker FeeTaker Fee
Binance0.10%0.10%
Coinbase0.40%0.60%
Kraken0.16%0.26%
OKX0.08%0.10%
MEXC0.00%0.10%
Bybit0.10%0.10%

Cost Comparison

On a $10,000 trade on Kraken:

  • Maker: $10,000 × 0.16% = $16
  • Taker: $10,000 × 0.26% = $26
  • Savings: $10 (38% less)

Over 100 trades: $1,000 saved by using limit orders

Becoming a Consistent Maker

Strategy 1: Post-Only Orders

  • Ensures order goes to book
  • Cancels if it would take
  • Guarantees maker fee

Strategy 2: Price Away from Market

  • Set limit slightly away from current price
  • More likely to be maker
  • May need to wait for fill

Strategy 3: Avoid Round Numbers

  • Heavy competition at $70,000, $80,000
  • Place at $69,950 or $80,050
  • Better chance of being maker

When to Be a Taker

Despite higher fees, taker orders make sense when:

  • Speed matters more than cost
  • Market moving quickly
  • Position sizing is urgent
  • Fees are minimal (like Binance 0.10%)

Volume Discounts

Most exchanges reduce both maker and taker fees with volume:

Binance VIP Levels

LevelVolume/MonthMakerTaker
RegularUnder $1M0.10%0.10%
VIP 1$1M+0.09%0.10%
VIP 2$5M+0.08%0.10%
VIP 3$20M+0.07%0.09%

Pro Tips

  1. Always check your fee - Before placing orders
  2. Use fee calculators - See exchange fees pages
  3. Consider token discounts - BNB, KCS, etc.
  4. Stack discounts - Volume + token + maker
  5. Track savings - Monitor how much you save