Investing

Bybit Zero Fees, Zero Excuses: 3 Ways to Build a Consistent Trading Habit

Beginner
Investing
8 Apr 2024

Exorbitant fees heighten the entry barrier to crypto trading, limiting your capacity and ultimately reducing your profit margin. Imagine you could have saved $10 on each trading transaction and grown these savings using the compounding strategy. How much would you have had by now? (Not to mention if you’re trading actively.) That’s exactly why we want to help you unlock this unlimited potential and build a consistent trading habit to grow your wealth sustainably.

Instead of waiting for the “perfect time” or the “perfect market conditions” to take action, we ask — Why wait? “Time in the market beats timing the market.” — Ken Fisher

Key Takeaways:

  • Starting small and staying consistent is one of the most effective ways to build wealth over time. 

  • Having a strategic approach to staying alert and capitalizing on seasonal opportunities can help accelerate your wealth without getting bogged down by trading fees. 

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How Much Wealth You Would Have Accumulated From Zero Fees?

High trading fees can eat into a trader's profits and losses. Assuming you make several trades daily, these fees can add up quickly, reducing your overall profit margins. And did you know that zero trading fees can help you save a substantial amount of money and, at the same time, give you the freedom to accelerate your wealth?

Bybit Fees at a Glance

Maker Fee

Taker Fee

Spot & Margin

0.1%

0.1%

Derivatives (Perpetual, Futures)

0.01%

0.06%

Options

0.03%

0.03%

P2P Trading

0.00%

0.00%

Note: The Bybit trading fees listed above are implied to traders with non-VIP status on Bybit.

Zero Fees on Spot Market

Let's say you pay a 0.1% trading fee per trade on the Spot market for $20,000 worth of BTC over 100 trades. This means you'll be paying $20 in trading fees over the course of these trades. With zero trading fees, however, you would have entirely saved the incurred $20 fees. Yet the trading fee is just one of several costs associated with crypto trading. 

(Fees included) Spot Market Fees:

Trading Fee = Filled Order Quantity × Trading Fee Rate

Take the BTC/USDT trading pair as an example. If the current price of BTC is $40,000, traders can buy or sell 0.5 BTC for 20,000 USDT.

  • Trader A buys 0.5 BTC using a Market Order with USDT.

  • Trader B buys 20,000 USDT using a Limit Order with BTC.

    • Taker’s Fee for Trader A = 0.5 × 0.10% = 0.0005 BTC

    • Maker’s Fee for Trader B = 20,000 × 0.10% = 20 USDT

After the order is filled:

Trader A buys 0.5 BTC with a Market Order, so Trader A pays a taker’s fee of 0.0005 BTC. Therefore, Trader A will receive 0.4995 BTC.

Trader B buys 20,000 USDT with a Limit Order, and 0.1% of the maker’s fee is incurred. Therefore, Trader B will receive 19,980 USDT.

Compared with other exchanges, Bybit’s trading fees are among the most competitive, with trading fees as low as 0.01%, which is well below the industry average.

Learn more: Crypto Fees Comparison Across Major Exchanges

The Compounding Effect 

"My life has been a product of compound interest." — Warren Buffett

The “compounding effect” is the principle of reaping huge rewards from a series of small, smart choices. In crypto trading, this strategy can significantly impact the overall profitability of a trading strategy.

Let’s say you’ve decided to invest the money you’ve saved on the zero trading fees, based on the last 100 transactions totaling 2,000 USDT in Bybit Savings, and generated a net return of 50% APR from your first investment.

Using the compounding formula in the statement, you can calculate the amount you'll get by the end of the week. Referencing the values below:

  • P = 2,000 USDT (your initial investment)
  • i = 50% (the APR)
  • n = 7 days (the duration)

Daily yield = Principal + [the amount of the coin you've staked × (APR for the staked coin/365)] 

2,000 USDT + (2000 USDT × 50%/365) = 2,002.74 USDT

Assuming you reinvest the gains and continue to generate a 50% APR, your investment would grow exponentially. By day two, you would have:

2,002.74 USDT + (2,002.74 USDT × 50%/365) = 2,005.48 USDT

By day three, you would have:

2,005.48 USDT + (2,005.48 USDT × 50%/365) = 2,008.28 USDT

… and so on, with your account balance continuing to grow over time.

By the end of the week (day 7), you would have: 

2,016.55 USDT + 2,016.55 USDT × 50%/365 = 2,019.32 USDT

This means that by the end of the week, your investment would have generated a gain of 2,019.32 USDT. Over time, the compounding effect will lead to exponential growth in your account balance. 

Learn more: How Bybit Savings Works?

*Note: The above scenario is just an example. Bybit Earn users need to compound their earnings manually.

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3 Ways to Build a Consistent Trading Habit

Start early and invest regularly — the more you invest, the more you save

Time is essential to growing our assets. Starting early and investing regularly helps to develop a consistent habit, lower opportunity costs and diversify your portfolio, reducing loss risks due to market volatility. 

For example, dollar-cost averaging (DCA) effectively accumulates wealth with a more sustainable and systematic approach as you regularly invest a fixed amount of money, regardless of market condition, to average out opportunity costs. DCA allows you to buy more cryptocurrency when prices are low, and less crypto when prices are high.

Learn more: 

Stay alert — seize all trading offers and opportunities 

Staying informed about the latest news, trends and developments in the crypto market is integral to keeping on top of market changes and taking advantage of trading opportunities. In fact, setting up alerts and subscribing to a platform’s newsletter is a great way to stay ahead of the game. 

For example, Bybit offers great deals and promotions. You only need to sign up to be looped in on these exciting news items.

  • Convert Crypto for Zero Fees

Looking to exchange or convert one crypto for another instantly? Now you can do it at zero fees and slippage with Bybit Convert

Convert Crypto Now

  • Trade USDC Futures for Up to 50% Fee Rebate

Upgrade to our Unified Trading Account, and trade USDC Futures to enjoy trading fee or UTA interest rebates

*Available till Aug 31, 2024, 10AM UTC!

Trade Now 

  • Trade P2P with Zero Fees

If you're looking for a community-driven approach to buying and selling crypto, our P2P platform covers you! With zero fees you'll enjoy greater savings as a buyer or seller. 

Trade P2P Now

  • Trade USDC Spot Pairs with Zero Fees

Between Aug 14 and Aug 29, 2024, 20 new USDC Spot pairs will be listed on Bybit, which can be traded via Spot Grid Bots. To celebrate the USDC Spot pair listings, you can now trade all USDC Spot pairs with zero fees till further notice.

Trade USDC Spot Pairs

  • Join as VIP

You can enjoy various benefits such as reduced fees as a VIP trader with Bybit. From Aug 15, 2024, 12PM (noon) UTC, a new VIP level has been introduced, Pro 6, for Spot, Derivatives (Perpetuals and Futures), and Options Trading, offering lower Taker Fees. Additionally, Derivatives Taker Fees have been reduced for Pro 3, 4 and 5.

Check the updated VIP trading fee structure

  • Use Bybit Referral Program

Bybit Referral Program is an excellent way to save money on trading fees. Refer friends to Bybit and receive up to 30% in commissions whenever your referee completes a trade on Bybit.

  • Join Bybit Exclusive Campaigns and visit the Rewards Hub

Be sure to keep an eye on these exclusive campaigns with This Week in Bybit every Monday. Complete simple tasks to earn additional trading bonuses and coupons.

Be participatory — stay communicative for all spectrums of possibilities

Take the initiative to stay connected within the crypto realm. Whenever there’s a discussion about a crypto listing or new project launch, simply staying on top of the crypto buzz helps you glean insights on the next trading opportunities. 

Conclusion

Seize every opportunity to maximize your wealth. Zero trading fees are rare, and when they do happen, it’s prime time for all trading actions. Learn how to get started with Bybit trading.

Disclaimer: This content is purely for educational purposes only. Traders and investors should seek professional advice before committing to any investment. This content will be translated into local languages. If there are any translation inaccuracies, this content version shall prevail.