Let us take an example:
Say that you want to transfer coins from Binance to another cryptocurrency exchange. When you do that, Binance will charge you a withdrawal fee. This fee depends on the coin you are transferring.
Here’s the real problem:
Some of these coins have insanely high fees. For example, if I want to transfer Tronix coins from my Binance account to my Bithumb / Upbit account, I have to pay 57 Tronix as a fee.
Now imagine transferring 150 Tronix. I am literally giving away 1/3rd of my coins — 57 Trons — to Binance as a transfer fee. It is ridiculous, isn’t it?
This has been going on for a long time. In fact, as I look back, I see complaints. Check out this Reddit user asking why does it cost $22 to withdraw Modum:
Here is another user trying to understand why Binance takes 23 QSP (Quantstamp) as a withdrawal fee:
The Answer: Some Coins Have High Withdrawal Fees, And Some Don’t!
I have collected coins with the highest withdrawal fees. The list is below.
You can go through this list to see if the coin you want to transfer is here. If yes, then you can read the rest of the article to see how you can reduce this fee.
Top 21 coins with the highest withdrawal fees are:
- Nucleus Vision – 103.7 NCASH
- Po.et – 91 POE
- FunFair – 90 FUN
- Storm – 81 STORM
- Time New Bank – 73 TNB
- LLToken – 67.8 LLT
- Tronix – 57 TRX
- Ethlend – 56 LEND
- District0x – 48 DNT
- Cindicator – 46 CND
- Etherparty – 45 FUEL
- SingularDTV – 41 SNGLS
- Monetha – 36 MTH
- Chatcoin – 32.5 CHAT
- WePower – 31.7 WPR
- Decentraland – 30 MANA
- QuantStamp – 20 QSP
- Vibe – 16.9 VIBE
- SONM – 18 SNM
- Triggers – 13.5 TRIG
- Chainlink – 8.9 LINK
Note: The fee changes with time. For now, what you see above is the current fee.
If your coin is in the above list, then here is a simple way to avoid the high withdrawal fee. In fact, you have two options:
Option 1: Convert Your Coin To Bitcoin / Ethereum
Trade your current coin to Bitcoin and Ethereum on Binance. Why? Because the transaction fee for Bitcoin and Ethereum is on the lower side.
- Current withdrawal fee for Bitcoin is 0.0005 BTC.
- Current withdrawal fee for Ethereum is 0.01 ETH.
Once converted, transfer BTC / ETH to another exchange, and then convert it back to the original currency you had. There will be a trading fee involved but it is negligible when you look at the bigger picture.
Option 2: Convert Your Coin To Any Coin With Low Withdrawal Fee
Instead of converting to ETH / BTC, you can also convert your coin(s) to another coin that has a lower withdrawal fee. Which are these coins? I am glad you asked.
- Steem – has a 0.01 STEEM fee.
- PIVX – has a 0.02 PIVX fee.
- Cloak – has a 0.02 CLOAK
- Bitcoin Gold – has a 0.001 BTG fee.
- Ethereum Classic – has a 0.01 ETC fee.
- Hshare – has a 0.0001 HSR fee.
- Litecoin – has a 0.01 LTC fee.
- Verge – has a 0.1 XVG fee.
Personally, I would prefer Verge and Steem as they are popular and available on many other cryptocurrency exchanges.
So these are the two ways to save the withdrawal fee on Binance. First, by converting your altcoin into ETH / BTC. And second, by converting it into another coin with a lower withdrawal fee.
The second option will cost you more if you convert the coin back to the coin you originally had. But it is, as mentioned before, cheaper in comparison to the direct conversion — that comes with insanely high fee.
Let us know if this was helpful. And if you know any other way to decrease the fee, feel free to share with us by leaving a comment below.