Phemex, a cryptocurrency exchange, has launched a premium membership program that allows zero-fee spot trading starting from May 15th, 2020.
Users will be able to trade as much as they want without incurring additional fees as long as they purchase a Premium membership.. Moreover, all current users of the exchange will receive a 7-day Premium membership trial.
Phemex exchange is the first one in the derivatives and spot market to offer zero-fee trading on demand, according to a press release shared with CryptoPotato. However, in order to enjoy the lack of fees, users need to purchase a Premium membership.
Typically, margin trading exchanges tend to offer zero-fee trading to large traders that meet certain deposit and volume thresholds. Through its Premium membership, however, Phemex allows all members to take advantage of feeless transactions.
Speaking on the matter was Jack Tao, CEO at Phemex, who said:
“Phemex’s vision is in line with the Blockchain’s mission to facilitate financial transactions. We wish to usher in what we’ve dubbed the Era of Zero. By offering a low-cost monthly membership in exchange for zero-fee spot trading privileges, we empower individuals with all the advantages of our service in a cost-saving manner. As a company, our goal is to transition into a more comprehensive financial service provider, one that always puts its customer’s needs first. We believe that our new Membership Spot Trading program perfectly exemplifies this philosophy.”
Commission-free stock trading isn’t something new in legacy markets. There are quite a few brokerages that allow it for their traders and one of the most popular options is Robinhood.
Interestingly enough, it’s also a crypto-friendly app that recently closed a $280 million funding round led by Sequoia Capital.
Phemex is a cryptocurrency exchange for both spot and derivatives trading and it was founded by former executives at Morgan Stanley. As such, it’s probably not a surprise that they are looking to introduce more features that legacy traders are used to, including zero-fee trading. The exchange also plans to include S&P 500 stocks, interest rates, FOREX, commodities, energy assets, and metals.
According to CoinMarketCap, Phemex has a turnover of around $180 million or 20,000 BTC, most of which is coming from the BTC/USD trading contract.