Crypto Exchange Identifies a New Source of Revenue – The Inactivity Fee

    Bloomberg News reports that Bitstamp, the crypto exchange, is planning a monthly inactivity fee for a few users. This comes as a downturn in the trading volume, which is weighing heavy on the market.




    The New Strategy for Revenue

    It has been decided that the charges will be 10 Euros, equivalent to $10.27 monthly. Those accounts will attract the charge that has not been active for over a year. The norm will be effective on August 1st, as stated by Bitstamp in its company blog.

    In the company blog, Bitstamp said that if there are inactive accounts, the cost must be borne. It also said that to extend excellent services to the customers, although it was a hard decision, it will be introduced, and the inactivity fee will come into force. If a user wants to avert the charges, he can withdraw, deposit, or enroll for any staking service, which is, in one way, a means to earn rewards for certain types of cryptocurrencies they hold.

    Bloomberg News also reports that there are various ways the cryptocurrency exchanges have been exploring ways to decrease their dependence on trading revenues. Trading revenues tend to drop when there is a downturn in the market.



    Coinbase Global Inc, the largest crypto exchange in the United States, has warned that the trading volume will be lower in the second quarter compared to the first quarter. FTX US, another crypto exchange set up by Sam Bankman-Fried, expanded into equity trading, diversifying revenue sources while simultaneously capturing a broader group comprising retail investors.

    Etoro, a crypto platform that offers crypto trading and stocks, also charges an inactivity fee. It applies to users who have not been active for a year, as revealed on the company website. The charges will no longer be effective when users log in again.

    Set up in 2011, Bitstamp is a Luxembourg-based crypto exchange that is the oldest and the most active. As of July 6th, 2022, the company’s trading volume in the last 24 hours was found to surpass $173 million, as per data revealed by Coingecko.



    RELATED ARTICLES

    Mero share

    Mero Share: Everything You Wanted to Know about It

    If you have kept track of Nepal's stock market, you must have seen that it...
    FATCA Reporting

    FATCA Reporting in 2024: Navigating the Latest Regulatory Landscape

    Introduction The acronym FATCA stands for Foreign Account Tax Compliance Act, created in 2010 or so...
    Ways to Get Money

    9 Ways to Get Money Before You Get Paid

    Nearly everyone has found themselves in a situation where they need money, but payday is...
    Best Life Insurance

    Financial Stability and Customer Satisfaction: Evaluating the Best Life Insurance Companies in Canada

    Life insurance is crucial for financial stability and peace of mind in Canada. It is...
    Investing for Retirement

    Goldco Precious Metals IRA Review: A Deep Dive into Investing for Retirement in March 2024

    In the ever-evolving landscape of retirement planning, diversifying your portfolio by incorporating precious metals like...
    Investing

    Investing in Commodities: Tips to Make It Work for You

    Commodities are like the building blocks of our world. These physical goods are essential in...
    Mero share

    Mero Share: Everything You Wanted to Know about It

    If you have kept track of Nepal's stock market, you must have seen that it...
    thesparkshop.inproductearbuds-for-gaming-low-latency-gaming-wireless-bluetooth-earbuds

    thesparkshop.in:product/earbuds-for-gaming-low-latency-gaming-wireless-bluetooth-earbuds: Learn More

    In the world of gaming, every millisecond counts. Whether in the thick of war or...
    sdmoviespoint2

    Binge-Worthy SDMoviesPoint2: Paradise for Movie Maniacs

    One website that provides free downloads of films and TV series in various languages and categories...
    Vegamovies in

    Tips and Tricks for Safe Viewing Movies On Vegamovies In

    Movie buffs are familiar with torrent websites that stream entertaining content, such as movies and...
    Igor Yusufov

    Igor Yusufov: The Minister and Reformer Who Found Ways to Cope with Large-Scale Challenges

    Igor Yusufov convinced the government and businesses to allocate substantial funds to his homeland’s energy...