Bitstamp Drops Inactivity Fee Following Massive Backlash From Community

Bitstamp Community Exchange Fees Trading

Author

Ruholamin Haqshanas

Author

Ruholamin Haqshanas

About Author

Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...

Author Profile

Share

Copied

Last updated: 

June 25, 2023

Why Trust Cryptonews

Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews

Luxembourg-based crypto exchange Bitstamp has abandoned plans to charge a monthly fee on inactive users with low balances after massive backlash from the community.

The exchange announced today that they are scrapping the idea, saying: 

“After listening to our community’s response, we’ve changed course. There will be no inactivity fee.” 

Bitstamp announced last week that, starting August 1, they would charge non-US customers who had balances of less than EUR 200 a 10-euro monthly fee if they hadn’t been active for the last 12 months.

The inactivity fee was met by a wave of criticism from the community members.

“This is so disappointing BitStamp. It’s actually pathetic. You’re charging the lowest holders approx 5% of their account balance so they are “forced” to trade or stake with you!!?? How is this even legal,” one popular Twitter user asked.

“Inactivity fee is the lamest thing I have ever seen,” another user said, who also claimed they will stop using the platform.

Nevertheless, this is not the only instance where a crypto service had to change course after backlash from the community recently.

In mid-June, Solana (SOL)-based borrowing and lending service Solend had to scrap plans to take over the protocol’s largest account after the crypto community criticized the idea, noting that it contradicts the “decentralized” nature of crypto.

____

Learn more: 
– Inactivity Fee on Bitstamp
– Bitstamp Clarifies Inactivity Fee Policy

– Coinbase Ranks Top Among Crypto Exchanges, ‘Oligopoly’ Seen on Horizon
– 7 in 10 Retail and Institutional Investors Plan to Buy More Crypto, Bitstamp Survey Finds