BitRss.com latest World Crypto News

Search and discover the latest Cryptocurrency updated Stories in Categories

24-7 World Cryptocurrency News about Blockchain, Technology and much more, only from Top Leading Sources

Crypto Exchanges Are ‘Over-Earning’ From Retail Investors, Expect Trading Fees To Fall: Bernstein Analyst

Crypto Exchanges Are ‘Over-Earning’ From Retail Investors, Expect Trading Fees To Fall: Bernstein Analyst
Research firm AllianceBernstein is concluding that crypto trading fees on exchanges are too high, but believes the charges will fall over time.
In an interview with CNBC, Bernstein analyst Harshita Rawat states that, by tracking the value of fees accrued by traditional stock market exchanges, it can be deduced that trading fees in the sector decreased over the last twenty years. Rawat predicts that the same phenomenon will occur in the crypto trading sector.

“Right now, retail crypto trading, if you look at the fees there, I do believe that’s it’s over-earning as an industry. If you look at stock brokerages, how the commissions there came down in the last two decades, I do think that we are going to see that with retail crypto trading… So crypto is here to stay, but the trading fees will compress over time.”
The Bernstein analyst cites the example of cryptocurrency exchange Coinbase which she says is making bank from the trading fees charged to its retail users.
“Retail crypto trading is their [Coinbase] bread and butter and we believe they are over-earning…
The fact that 90% plus of their revenue comes from retail-crypto trading means that it needs to be valued as an exchange or brokerage.”
Bernstein has initiated coverage on the Coinbase (COIN) stock and assigned a $250 price target. At time of writing, COIN is trading at $265.
Rawat points out that even as crypto trading fees fall, the cryptocurrency markets will record increased trading volumes and a higher market cap over the long run.
“Over the long term, the crypto market cap should continue to grow and trading volume should also be somewhat elevated because of the 24/7 architecture of trading the assets… In the near term though, it’s going to be volatile.”

Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Follow us on Twitter , Facebook and Telegram

Surf The Daily Hodl Mix


Check Latest News Headlines

.dh_responsive {
padding: 0px 20px 0px 20px;
}
@media (max-width: 980px) {
.dh_responsive {
padding: 0px;
}
}




googletag.cmd.push(function() { googletag.display('div-gpt-ad-1597129173244-0'); });



Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/raigvi/Natalya Yudina
The post Crypto Exchanges Are ‘Over-Earning’ From Retail Investors, Expect Trading Fees To Fall: Bernstein Analyst appeared first on The Daily Hodl .

BitRss.com shares this Contents always with License.

Thank you for Share!

   
Tumblr
LinkedIn
Reddit
VK

WhatsApp
Telegram

Search about Crypto News


BITRSS | CRYPTOCURRENCY WORLD NEWS

The latest Top News, only from Leading exponents of BlockChain, Bitcoin and different Accredited Crypto Currency Sources.

Since 2015, our Mission was to Share, up-to-date, those News and Information we believe to represent in an Ethical and sincere manner the current Crypto Currencies World: everything you are looking for, in one place!

We have always tried to give priority to the News; for this reason we have designed BitRss.com simple and intuitive, usable by all Devices, fast and effective.


| LEARN MORE ABOUT |

Today Most Popular News