Roger Ver’s Bitcoin.com has launched a cryptocurrency exchange with a promotional negative fee, meaning users get an intrinsic discount on their trades, September 2, 2019. The head of the exchange, Danish Chaudhary, believes this will be key to getting more users and amassing adoption. Bitcoin.com is a wallet and product site that aims to create merchant adoption for Bitcoin Cash (BCH).
Negative Fee as a USP
The entire value proposition of Bitcoin Cash is that it requires a fraction of the fee that Bitcoin does to execute a transaction. Bitcoin.com is using that same consumer psychology on their exchange to grow their user base.
Bitcoin.com is headquartered from the Caribbean and already has 11,000 users on their exchange. Users can trade crypto with four base pairs: BTC, BCH, ETH, and USDT. Other cryptocurrencies on the exchange include Stellar Lumens, Dash, and ZCash among others. They plan to launch over 50 cryptocurrencies in the near future.
As expected, the exchange will launch trading for SLP tokens built on top of the Bitcoin Cash network. Currently, not many of these tokens have significant liquidity on exchanges, and this could be a major step towards that.
Those who pre-registered before today’s launch would have been automatically registered for a reward pool disbursing $10,000 in prizes.
The real benefit of this exchange, however, continues to be the negative fee. But this negative fee is not a permanent phenomenon. As a promotional offer, the exchange is allowing customers to trade with 0.3 percent negative rate. The details of this, such as time period and for whom this is promotion is given, are unclear. Further, for three months, all users who pre-registered will get a 25 percent discount on trading fees.
Bitcoin.com and Roger Ver have been on the bad side of the Bitcoin community since the Bitcoin Cash hard fork in August 2017. While he has done a lot for the adoption of Bitcoin Cash, Ver and his company have been accused of misinforming investors and creating a lot of confusion for new people to the space.
Despite the loss of his personal goodwill in the Bitcoin community, he is still widely seen as one of the more important figures in Bitcoin’s history, helping establish some of the first Bitcoin businesses and spreading awareness through conferences.