Poloniex Extends No-Fee USDC Trading
The decision by Poloniex not to charge fees on use of USDC on its platform is to show its continuos participation in the stablecoin. Throughout November, fees were not charged on trades in USDC at all. According to an e-mail from Poloniex, this amounted to over $500,000 in trading fees not charged by them.
Poloniex have now decided to extend the fee holiday through December on BTC/USDC, a pair that is undoubtedly hot given the price situation with Bitcoin. Some are trying to exit and some are trying to enter, and a newfound easy way to do this is to acquire stablecoins with fiat and then use them on various exchanges, Poloniex and USDC being just one of many options.
However, charging zero fees in USDC contrasts starkly with recent moves by Tether, which, following the decision by Bitfinex to establish stablecoin neutrality, was forced to offer direct redemption of USDT. Such redemption will cost fees so exorbitant that the author is wondering whether Tether is intentionally trying to put themselves out of business when upstarts like Circle and itBit are offering a lack of fees for conversion, and Circle is going the extra mile here by offering a total 60-day window of essentially free trading with USDC.
People looking to make an entry into crypto have the opportunity in Paxos Standard and USDC, which make it easy for those with traditional bank accounts and means to buy crypto tokens which can then be traded on various cryptocurrency exchanges.