Who is a taker and how does their selection affect trading results

There are two main types of participants on cryptocurrency exchanges: those who prefer immediate execution of their trades and those willing to wait patiently for a favorable price. The first are called takers. The difference between these approaches lies not only in speed but also in the amount of fees traders pay and how they impact the market. Understanding these differences is critical for optimizing trading results.

Who is a Taker: The Trader Choosing Speed

A taker is a trader who prioritizes instant order execution. When a market participant quickly closes a position or urgently opens a new one, they typically act as a taker. These traders place orders at current market prices, automatically matching with existing limit orders in the order book. In other words, a taker “takes” the available liquidity provided by makers.

Why does a trader become a taker? The reasons vary: the need to quickly close a losing position, the desire to lock in profits immediately, or urgency in volatile market conditions. The main characteristic of a taker is acting swiftly and accepting market conditions as they are. For this urgency, they pay a price—in the form of higher trading fees compared to makers.

Maker vs. Taker: Who Pays Less

A maker takes the opposite position. Instead of taking available liquidity, a maker provides it. They place a limit order at a price that does not yet match existing offers and wait for a taker to match their order. This approach requires patience but is rewarded with lower fees.

The key difference lies in the fee structure. On most crypto platforms:

• Maker pays approximately 0.02% of the trade amount
• Taker pays approximately 0.055% of the trade amount

This system incentivizes participants to provide liquidity, narrowing the spreads between bid and ask prices, which improves trading conditions for everyone.

How Fees Affect Actual Profit

Theory differs from practice. Let’s consider a specific example on a perpetual BTCUSDT contract:

Trading scenario:

• Position size: 2 BTC
• Entry price: 60,000 USDT
• Exit price: 61,000 USDT
• Theoretical profit (excluding fees): 2 × (61,000 – 60,000) = 2,000 USDT

Scenario 1: Trader uses only maker orders

Opening fee: 2 × 60,000 × 0.02% = 24 USDT
Closing fee: 2 × 61,000 × 0.02% = 24.4 USDT
Actual profit: 2,000 – 24 – 24.4 = 1,951.6 USDT

Scenario 2: Trader uses taker orders

Opening fee: 2 × 60,000 × 0.055% = 66 USDT
Closing fee: 2 × 61,000 × 0.055% = 67.1 USDT
Actual profit: 2,000 – 66 – 67.1 = 1,866.9 USDT

The difference is nearly 85 USDT—a significant loss of profit due to choosing a more expensive execution method. Over a year of active trading, this difference can amount to hundreds or thousands of dollars.

When Does a Taker’s Price Make Sense?

Despite higher fees, sometimes becoming a taker is necessary. If the market moves quickly against you, waiting for a maker order to fill can be risky. The loss from a slow exit can far outweigh the saved fee. Professional traders use taker orders to control risks at critical moments, while maker orders are used for planned, less urgent operations.

Choosing between these approaches is a balance between cost and certainty of execution. Makers benefit from lower fees but sacrifice speed. Takers pay higher fees for the confidence of immediate execution.

Recommendations for Optimizing Trading Costs

To reduce fee expenses, professional traders employ the following tactics:

1. Place limit orders below the best bid (for buying) or above the best ask (for selling). This increases the likelihood of being a maker and having your order filled.

2. Use Post-Only orders if supported by the platform. They ensure you remain a maker; if an order could execute immediately, it is automatically canceled.

3. Plan your exits in advance. If you know when you will exit a position, place a maker order beforehand rather than rushing to use a taker order.

4. Combine strategies. Use maker orders for the main part of your position and taker orders only for critical risk management moments.

The main takeaway: understanding who a taker is and why they pay more is not just a technical detail but a key element of financial optimization. Every percentage saved on fees directly impacts your overall trading profit. A conscious choice between these two approaches is a sign of an experienced trader.