Coinsetter Blames Bitcoin Compliance Costs for New Account Fees

New York bitcoin exchange Coinsetter has instituted a new $65-per-month account fee, a move it says is aimed at offsetting its compliance costs.

AccessTimeIconNov 25, 2015 at 7:31 p.m. UTC
Updated Aug 18, 2021 at 4:24 p.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

New York-based bitcoin exchange Coinsetter has instituted a new $65-per-month account fee, a move it says is aimed at offsetting its compliance costs.

In an email addressed to users and circulated on social media, Coinsetter told users that it was instituting the fee in a bid to "compensate for the increasing costs of holding bitcoin accounts in a US-based setting". The new fee is scheduled to go into effect on 1st December.

  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    The last regression video of the year 3.67.0
  • When reached for comment, the exchange confirmed the new fee and that proceeds would be used to defray compliance costs.

    "The cost of maintaining smaller accounts is too expensive in the current environment," CEO Jaron Lukasiewicz told CoinDesk, acknowledging that the move would likely cost Coinsetter its retail customer base:

    "This fee is necessary for us to compensate for the increasing costs of holding bitcoin accounts in a US-based setting, and we anticipate that most retail traders will withdraw their funds and move to another exchange.”

    Accounts will be charged $65 on 1st December, but the exchange said that it would offer refunds to customers that choose to withdraw their balances next month.

    Coinsetter said it informed users yesterday of the policy change.

    The exchange framed the account fee as part of a broader shift toward an institutional trader-based customer makeup.

    Exchange chart via Shutterstock

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.