Liquidity Fee
Last updated
Last updated
It is a common volume-based fee that traders pay for execution whenever they open or close a trade, but with a unique advantage. Unlike other platforms where volume-driven fee you pay are your direct cost, DXS’s Liquidity Fee benefits you. It grows your stake in .
A Liquidity Fee is charged by default, but traders can switch to to avoid execution fees unless they exceed specific profit thresholds as detailed below.
Therefore, a Liquidity Fee applies in two cases: (1) when a trader opts to bypass scalping limits, or (2) to top traders who have exceeded specific profit thresholds, as detailed in our guidelines.
This fee mechanism ensures that most DXS traders continue to enjoy our ‘zero slippage, zero execution fee’ policy. The Liquidity Fee is a contribution to the liquidity pool, which cannot be withdrawn but generates daily returns, functioning like a typical liquidity stake. You can learn more about .
DXS enhances trading by offering unique features such as a clutter-free interface, no slippage, narrow spreads, instant execution of trades, no delay to set stops/targets, and notably fewer clicks to do risk management. These advantages lead to a higher success rate among traders, as seen in real-time at . However, like any brokerage, DXS depends on incoming liquidity to outpace outflows, necessitating that top traders contribute to the liquidity pool.
The liquidity fee functions like a conventional trading (aka execution) fee on spot exchanges, applied over total amount both when opening and closing a position. Traders are explicitly notified each time a fee is assessed during the position confirmation process. You have the option to delay execution until the next Monday when the fee rate resets.
It's important to mention that DXS does not impose an execution fee on all traders, unlike most of its competitors. Instead, a liquidity fee, which acts as a type of execution fee, is levied on certain traders. This fee is then transformed into a yielding asset for the trader and hence should not be seen as a cost to the trader, except for scalpers. Scalpers liquidity fee is a direct cost, more details below.
A liquidity fee is activated when the following two conditions are met concurrently:
Your total all-time net profit exceeds $5,000, and
Your weekly net profit surpasses $2,400.
The liquidity fee rate increases with your profits, structured in tiers:
0.05% for weekly net profits above $2,400,
0.07% or tier 1 + 0.02% for weekly profits above $4,800,
0.10% or tier 2 + 0.03% for weekly profits above $7,200,
0.14% or tier 3 + 0.04% for weekly profits above $9,600,
0.19% or tier 4 + 0.05% for weekly profits above $12,000,
and so on…
Every Monday at 00:00 UTC, the tier resets to zero unless: a) you are qualified as "scalper" as or b) your all-time net profit exceeds $30,000. If it does, the liquidity fee tier resets to 1. For every additional $5,000 in all-time net profit, the tier increases by 1, up to a maximum of tier 3. For example, if your all-time net profit is $100,000 or $40,000, you start at tier 3 every Monday.