Choice Between Maker and Taker: How It Affects Your Trading Costs

In cryptocurrency trading, success depends not only on accurately predicting price movements but also on understanding how to interact with the market. Maker and taker strategies are two fundamentally different approaches to executing trades, which directly affect commission costs and ultimately your profit.

Who is a Taker: Prioritizing Speed Over Price

A taker is a trader who doesn’t want to wait. When a trader places a taker order, they buy or sell at a price already offered by other market participants (at prices available in the order book). This means the taker immediately “removes” liquidity from the market by executing the trade at the moment the order is placed.

This approach is ideal for those who value speed: traders can quickly open and close positions without worrying about whether a counterparty will be found. However, this speed comes at a cost — takers pay higher trading fees. For perpetual contracts, this can be around 0.055% per trade, whereas maker fees are only about 0.02%.

Maker: Patience as the Foundation of Cheap Trading

If the taker is in a hurry, the maker is willing to wait. The maker places a limit order at a price that suits them and adds this order to the order book. The order remains there until another trader (the taker) matches it and executes the trade.

The maker’s role is critical for market stability: they provide liquidity, narrow the spreads between bid and ask prices, and make trading more convenient for all participants. As a reward for providing liquidity, makers receive a reduced fee — typically 0.02% per trade. This is significantly lower than what takers pay, making this approach economically advantageous for active traders.

Practical Comparison: How Fees Affect Profitability

Let’s consider a specific example. Imagine a perpetual contract for BTCUSDT:

• Position size: 2 BTC
• Entry price: 60,000 USDT
• Exit price: 61,000 USDT
• Profit before fees: 2 × (61,000 − 60,000) = 2,000 USDT

Scenario 1: Trader uses only maker orders

Fee at opening: 2 × 60,000 × 0.02% = 24 USDT

Fee at closing: 2 × 61,000 × 0.02% = 24.4 USDT

Total profit: 2000 − 24 − 24.4 = 1951.6 USDT

Scenario 2: Trader uses only taker orders

Fee at opening: 2 × 60,000 × 0.055% = 66 USDT

Fee at closing: 2 × 61,000 × 0.055% = 67.1 USDT

Total profit: 2000 − 66 − 67.1 = 1866.9 USDT

Profit difference: 1951.6 − 1866.9 = 84.7 USDT in favor of the maker

This example clearly demonstrates how using maker orders can increase your profit by approximately 4.6% compared to taker orders for the same trading position.

Maker and Taker: Comparative Table

How to Properly Place a Maker Order

If you want to work with maker orders and gain a fee advantage, follow these recommendations:

1. Use limit orders. Only limit orders can be classified as maker orders.

2. Set a strategic price. For long positions (buy), specify a price below the best available bid; for short positions (sell), above the best available ask. This increases the likelihood of matching with another order.

3. Consider using a passive order (Post-Only). This option ensures your order is not executed immediately and remains in the order book automatically.

4. Be patient. Unlike taker orders, maker orders require patience — it may take some time for your order to match with another trader’s request.

Conclusion: Choose the Strategy That Fits Your Trading Style

Choosing between maker and taker is a balance between speed and savings. If you’re an active trader willing to wait a bit, maker orders can significantly reduce your trading costs and increase your net profit. If you prioritize maximum execution speed, taker orders are the right choice despite higher fees.

Understanding the dynamics of makers and takers will help you make more informed decisions about your trade structure and optimize your trading strategy according to your goals and preferences.