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.
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.
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:
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
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2023, 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.