Trading Fees & Rebates

Last Modified: September 26, 2016
Overview

Gemini’s real-time, dynamic maker-taker fee & rebate schedule promises a superior trading experience that allows individual and institutional traders to receive up to a 15 bps (0.15%) rebate on all liquidity-making trades and be charged only a 15 bps (0.15%) fee on all liquidity-taking trades. Traders may be subject to different fees and rebates when trading on each of Gemini’s three order books: BTC/USD, ETH/USD, and ETH/BTC. These rates are based on activity on the relevant order matching engine only and apply to trades executed on both the continuous order book and the auction order book.

Dynamic Fee Schedule

Fees and rebates will be based on your gross trading volume and liquidity-making buy/sell ratio over the previous thirty (30) calendar day window. Your fee rate will be reassessed every twenty-four (24) hours and adjusted accordingly. Once the real-time fee system is activated for your account, you can always look at your activity feed (on the top right side of your dashboard) to view your current fee rate. Your volume on each order matching engine is accumulated independently of the others.

Real-Time Fee Calculation

We calculate fees and rebates as a fraction of the notional value of each trade (i.e., price × size). We use units of basis points (“bps”), which represent 1/100th of a percent of notional value. For example, a fee of 25 bps means that 0.25% of the dollar value of the trade will be kept by our exchange, either deducted from the gross proceeds of a trade or charged to the account at the time a trade is executed. Any fees and rebates will be applied in real-time at the time a trade is executed.

Maker vs. Taker

Every trade involves two orders: one that provides liquidity to the order book and another that removes liquidity from the order book. For a buy or sell order to provide liquidity, it must first be posted on the order book. This means that it doesn’t fill immediately since it doesn’t match with an existing order; instead it must wait on the order book until another order matches it. This kind of order (either buy or sell) adds liquidity to the marketplace and is called liquidity-making — the customer who places it is referred to as a maker. On the other hand, an order (either buy or sell) that immediately matches with an existing order on the order book, removes liquidity from the marketplace and is called liquidity-taking — the customer who places it is referred to as a taker. Because liquidity-making orders do not fill immediately and, therefore, bear more market risk, we believe in offering greater incentives to makers.

Maker Fee Schedule

Maker@4x
The base fee for all liquidity-making trades for each of the three trading order matching engines is 25 bps; however, fees are reduced based on the following independent criteria:

  • Trading Volume Discount: Fees are reduced based on your gross trading volume on each respective order matching engine over a trailing thirty (30) calendar day window.
  • Buy/Sell Ratio Discount: Fees are also reduced based on the ratio of your liquidity-making purchases and your liquidity-making sales (measured in BTC for BTC/USD, and in ETH for ETH/USD and ETH/BTC) over a trailing thirty (30) calendar day window.

Note: All trades executed in Gemini’s daily Auction receive the liquidity-making fee rate. Furthermore, they are included in your gross trading volume on the respective order matching engine and may therefore serve to reduce your liquidity-making fees.

30-Day Gross Trading Volume (BTC) 30-Day Gross Trading Volume (ETH) Maker Discount

(bps)

< 1,000 < 20,000 0
≥ 1,000 ≥ 20,000 5
≥ 2,000 ≥ 40,000 10
≥ 3,000 ≥ 60,000 15
≥ 5,000 ≥ 100,000 20
≥ 10,000 ≥ 200,000 25
30-Day Liquidity-Making Buy/Sell Ratio Maker Discount (bps)
worse than 35/65 (or 65/35) 0
35/65 (or 65/35) or better 0
40/60 (or 60/40) or better 10
45/55 (or 55/45) or better 15

 

Taker Fee Schedule

Taker@4x
The base fee for all liquidity-taking trades for each of the three trading books is 25 bps; however, fees are reduced based on the following independent criteria:

  • Trading Volume Discount: Fees are reduced based on your gross trading volume on each respective order matching engine over a trailing thirty (30) calendar day window.

Note: All trades executed in Gemini’s daily Auction are included in your gross trading volume on the respective order matching engine and may therefore serve to reduce your liquidity-taking fees.

30-Day Gross Trading Volume (BTC) 30-Day Gross Trading Volume (ETH) Taker Discount

(bps)

< 1,000 < 20,000 0
≥ 1,000 ≥ 20,000 0
≥ 2,000 ≥ 40,000 0
≥ 3,000 ≥ 60,000 0
≥ 5,000 ≥ 100,000 0
≥ 10,000 ≥ 200,000 10

 

Fee Discount and Rebate Examples

1) Alice trades 8,000 BTC of gross volume over thirty (30) calendar days on the BTC/USD order matching engine. Of those trades, 5,000 BTC are from liquidity-taking orders. Of her remaining 3,000 BTC of trades, she bought 1,750 BTC and sold 1,250 BTC, making her buy/sell ratio 58/42. As a result, her gross trading volume discount is 20 bps on the maker side and 0 bps on the taker side, and her liquidity-making buy/sell ratio discount is 10 bps on the maker side, so her fee for liquidity-making trades is subsequently reduced from the base fee of 25 bps to a rebate of 5 bps. She does not receive a discount on the taker side, so her fee for liquidity-taking trades remains the base fee of 25 bps.

Maker (bps) Taker (bps)
Trading Volume Discount 20 0
Buy/Sell Ratio Discount 10 N/A
Base Fee 25 25
Net Fee +5 25

Alice

2) Bob buys 300,000 ETH over thirty (30) calendar days on the ETH/BTC order matching engine. None of his trades were liquidity-making, so he is ineligible for a liquidity-making buy/sell ratio discount. His high gross trading volume, however, results in a gross trading volume discount of 25 bps on the maker side and 10 bps on the taker side, so his fee for liquidity-making trades is subsequently reduced from the base fee of 25 bps to 0 bps, and his fee for liquidity-taking trades is subsequently reduced from the base fee of 25 bps to 15 bps.

Maker (bps) Taker (bps)
Trading Volume Discount 25 10
Buy/Sell Ratio Discount 0 N/A
Base Fee 25 25
Net Fee 0 15

Bob
3) Eve trades 400,000 ETH of gross volume over thirty (30) calendar days on the ETH/USD order matching engine. Of those trades, 240,000 ETH are from liquidity-taking orders. Of her remaining 160,000 ETH of trades, she bought 72,000 ETH and sold 88,000 ETH, making her buy/sell ratio 45/55. As a result, her gross trading volume discount is 25 bps on the maker side and 10 bps on the taker side, and her liquidity-making buy/sell ratio discount is 15 bps on the maker side, so her fee for liquidity-making trades is subsequently reduced from the base fee of 25 bps and turned into a rebate of 15 bps, and her fee for liquidity-taking trades is subsequently reduced from the base fee of 25 bps to 15 bps.

Maker (bps) Taker (bps)
Trading Volume Discount 25 10
Buy/Sell Ratio Discount 15 N/A
Base Fee 25 25
Net Fee +15 15

Eve

 

Fee Calculations

Fees for all Gemini order types are calculated based on the fee schedule as defined above. Fees are only calculated on the notional value (i.e., price × size) of traded volume. For partially filled orders, only the executed portion is subject to trading fees. Price and fees are denominated as follows:

Order Book Price Denomination Fee Denomination
BTC/USD USD USD
ETH/USD USD USD
ETH/BTC BTC BTC

Sell Orders – For limit and market sell orders, the appropriate fee is deducted from the proceeds of the resulting trade.

Buy Orders – For limit buy orders, the appropriate fee is added to the purchase price as the order fills; for market buy orders, the appropriate fee is deducted from the purchase price of the resulting trade.

NOTE: Fees and account balances are not rounded, even though they may be displayed to you as rounded up or down to the smallest denomination for a given fiat currency or digital asset (e.g., one penny,one satoshi, which is 0.00000001 BTC, or one wei, which is 10^-18 ETH).

 

Fee Calculation Examples

1) Sell Order (Limit): You enter a limit sell order of 10 BTC at a limit price of $100 that fills at an average price of $101 per BTC. Under the base maker or taker fee rate, Gemini will deduct 25 bps from the gross sale proceeds and transfer the net sales proceeds into your account. Note: Your fee may be different if you qualify for any of the discounts discussed above.

Gross Sale Proceeds = 10 × $101 = $1,010 USD
Total Fee = $1,010 × 0.0025 = $2.525 USD, displayed as $2.53 USD
Net Sale Proceeds = $1,010 – $2.525 = $1,007.475 USD, displayed as $1,007.47 USD

2) Sell Order (Market): You enter a market sell order of 10 bitcoin (“BTC”) that fills at an average price of $100 per BTC. Under the base maker or taker fee rate, Gemini will deduct 25 bps from the gross sale proceeds and transfer the net sale proceeds into your account. Note: Your fee may be different if you qualify for any of the discounts discussed above.

Gross Sale Proceeds = 10 × $100 = $1,000 USD
Total Fee = $1,000 × 0.0025 = $2.50 USD
Net Sale Proceeds = $1,000 – $2.50 = $997.50 USD

3) Buy Order (Limit): You enter a limit buy order for $1,000 of BTC at a limit price of $101 that fills at an average price of $100 per BTC. Under the base maker or taker fee rate, Gemini will add 25 bps to the purchase price and transfer the total BTC purchased to your account. Note: Your fee may be different if you qualify for any of the discounts discussed above.

Purchase Price = $1,000 USD
Total Fee = $1,000 × 0.0025 = $2.50 USD
Gross Purchase Price = $1,002.50 USD
Total BTC Purchased = $1,000 / $100 = 10 BTC

4) Buy Order (Market): You enter a market buy order for $10,000 of BTC that fills at an average price of $100 per BTC. Under the base maker or taker fee rate, Gemini will deduct 25 bps from the gross purchase price and transfer the net purchase price of BTC to your account. Note: Your fee may be different if you qualify for any of the discounts discussed above.

Gross Purchase Price = $10,000 USD
Total Fee = $10,000 × (0.0025 / 1.0025) = $24.93765586 USD, displayed as $24.94 USD
Net Purchase Price = $10,000 – $24.93765586 = $9,975.06234414 USD
Total BTC Purchased = $9,975.06234414 / $100 = 99.7506234414 BTC, rounded to 99.75062344 BTC
To Confirm: $9,975.06234414 × 0.0025 = $24.93765586 USD

 

Notice of Changes

Please note: any change to our fee schedule, including adjustments to any of the tiers or rates, will be posted no fewer than three (3) calendar days before changes are to take effect and no changes will be in effect for fewer than thirty (30) calendar days.