When trading on Binance, there's a money-saving trick many beginners don't know about — using BNB to pay trading fees gives you a straight 25% discount. Don't underestimate this: if you trade frequently, it can add up to significant savings over a year. Let's walk through how to enable this feature and exactly how much you can save. You can set it up by logging into Binance Official, or directly through the Binance Official APP. iPhone users can refer to the iOS Installation Guide for app installation.
What Does BNB Fee Deduction Mean
BNB is the native token of the Binance exchange, short for Binance Coin. To encourage users to hold BNB, Binance offers a policy: if you choose to pay trading fees with BNB, you get a 25% discount.
Under normal circumstances, Binance's spot trading fee rate is 0.1%. With BNB deduction enabled, the rate drops to 0.075%, meaning each trade's fee is reduced by a quarter.
How Much Can You Actually Save
Let's do the math:
- Monthly trading volume of 10,000 USDT: Normal fee is 10 USDT, with BNB it's 7.5 USDT — save 2.5 USDT per month
- Monthly trading volume of 100,000 USDT: Normal fee is 100 USDT, with BNB it's 75 USDT — save 25 USDT per month
- Monthly trading volume of 500,000 USDT: Normal fee is 500 USDT, with BNB it's 375 USDT — save 125 USDT per month
- Monthly trading volume of 1,000,000 USDT: Normal fee is 1,000 USDT, with BNB it's 750 USDT — save 250 USDT per month
If you're an active trader, the fees saved over a year could be enough to buy a new phone.
How to Enable BNB Fee Deduction
Step 1: Buy Some BNB
First, you need BNB in your account — not a lot, just enough to cover fees. Search for BNB/USDT in spot trading and buy a certain amount of BNB.
How much should you buy? Roughly estimate your monthly fee expenditure and buy that amount of BNB. For example, if you expect about 50 USDT in monthly fees, buying 50-60 USDT worth of BNB should last a month. It's wise to buy a bit extra so you don't run out unexpectedly.
Step 2: Enable BNB Deduction
- Log in to Binance and click the profile icon in the top right
- Go to "Dashboard" or "Account Settings"
- Find the option "Use BNB to Pay Fees (25% Discount)"
- Toggle it on
The process is similar on the app: tap your profile > "Fee" related settings > enable BNB deduction.
Step 3: Confirm It's Working
Once enabled, your trading fees will automatically be deducted from your BNB balance instead of the traded asset. Make a small test trade and check the order details to see if the fee is shown in BNB.
Things to Keep in Mind About BNB Deduction
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Automatic fallback when BNB is insufficient: If your BNB balance isn't enough to cover the fee, the system will automatically deduct from the traded asset instead, but without the discount. Check your BNB balance regularly and top it up in time.
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BNB has its own price fluctuations: BNB's price goes up and down. If BNB's price rises, the BNB you bought earlier not only saved you fees but also earned you a profit. If BNB drops, the fee savings might not offset the BNB loss. However, the amount of BNB used for fee deduction is typically small, so the impact is minimal.
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Also applies to futures trading: BNB deduction isn't limited to spot trading — futures trading fees can also be paid with BNB at the same 25% discount.
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Doesn't apply to Convert: The Convert function is labeled as zero-fee, so BNB deduction doesn't come into play.
What Else Is BNB Good For
Beyond paying fees, holding BNB offers several other benefits in the Binance ecosystem:
- Participate in Launchpad: Binance periodically hosts IEOs for new tokens, and you need to hold BNB to participate
- Boost your VIP level: VIP tier calculations consider not just trading volume but also BNB holdings
- Earn interest: BNB can be deposited into Binance Earn to generate yield
- Payments: Some merchants accept BNB as a payment method
FAQ
Q: What's the minimum amount of BNB needed for fee deduction?
A: There's no minimum holding requirement. As long as your BNB balance is enough to cover a single trade's fee, it works. Even BNB worth just a few cents can be used for deduction.
Q: After enabling BNB deduction, do I have to pay every trade's fee in BNB?
A: No, the system simply prioritizes BNB. If you run out of BNB one day, the system automatically switches back to deducting fees from the traded asset — just without the discount. You don't need to toggle anything manually.
Q: Can BNB deduction and referral commissions stack?
A: Yes, they can stack. BNB deduction reduces the fee rate, while referral commissions rebate a portion of the fees you actually paid. Both can be enjoyed simultaneously, further reducing your trading costs.