Swan Bitcoin vs Binance.US

Question

I learned about Swan on a podcast and set up recurring weekly buys. Super simple to use and I love supporting a smaller bitcoin only service. The bitcoin education and their outreach is great too. Fees are 0.99% which seems pretty reasonable. However, I just saw that Binance.US now has no fees when trading bitcoin.

How can Swan Bitcoin compete with 0% fees? Why should I keep my recurring buys with Swan when I could save 0.99% per purchase if I go with Binance?

Honestly curious. Does Binance make up the difference on the spread or do fees on the other coins on their platform make up the difference?

Withdrawal fees are free on Swan and 0.0002 BTC on Binance.US, which is $4.60 fee at current prices. So, as long as I am withdrawing more than $460 from Binance at a time, the withdrawal fee will be less than 1% and theoretically it seems I’d save money using recurring (free) bitcoin buys on Binance… Am I looking at this incorrectly?

Thanks!

Answer 1

It's mostly a matter of trust - Do you trust Swan or Binance or anyone else to send you your coins when you want them? Some would say Swan is more trustworthy than Binance, and hence worth the premium. Personally, I have never had any problems with Binance. With one caveat, when withdrawing coins from Binance the fee is pretty hefty, and for no good reason at that. So if you're not buying lots, the withdrawal fee alone may end up being much higher than the 1% from Swan, assuming they don't charge anything.

All in all it's about total cost and trust. The choice is yours.

Answer 2

The fees are just hidden in the price of the bitcoin purchase.  Feeless is just a marketing strategy.

Answer 3

Binance is a shitcoin casino that happens to trade Bitcoin. Swan is a place to buy Bitcoin and created by bitcoiners for bitcoiners

Answer 4

So you admit that you get value from Swann but then you don't want to return some of that value in the form of low rate.
Your probably the same guy that doesn't tip and wonders why he gets shit service.
Let's do some math....you buy 10k worth of BTC a year in weekly DCA....that's only 2 bux a week for basically concierge service.

Answer 5

Swan can’t compete with Binance *but* some users just like smaller exchanges better. Personally I’m where the lowest fees are and that is FTX International for me. No on ramp fee, no withdrawal fee and very low trading fees on BTC (0,01%). Binance has a flat €1 on ramp fee which keeps me away.

Answer 6

Dollar Cost Averaging is the best way to invest in Bitcoin in our honest opinions.

Answer 7

Just use whatever has the best economic outcome for you, it’s a free market.
I wouldn’t give too much about the values someone is preaching as CEO, I have seen too many 180 degree turns, especially in this industry.
And if you want to make it as a point, CZ makes a better job at promoting and spreading BTC while building bridges with various businesses and people