Maker and Taker in Trading: How Order Choice Affects Your Profit

What are maker and taker? These are two key types of market participants operating based on fundamentally different strategies. Understanding the differences between these approaches is critical for optimizing trading operations, especially when it comes to commission fees and the final trading outcome. Each order choice directly impacts not only the fee amount but also the overall market structure.

Who are the maker and taker: main differences

The concept of maker and taker is built on the interaction between two types of traders. A maker is a market participant who places a limit order into the order book and waits for it to be matched with another trader’s order. By doing so, the maker adds liquidity to the market, providing others the opportunity to execute a trade.

A taker, on the other hand, acts oppositely: they immediately execute a market order or a limit order that matches an existing order in the order book. Thus, the taker extracts liquidity created by makers. If the maker is a patient participant willing to wait for a favorable price, the taker prioritizes execution speed.

The main difference lies in the approach to timing and price: the maker offers a price, and the taker accepts it. This difference determines the structure of commissions and the attractiveness of each approach for different trading styles.

Commissions and their impact on trading results

Trading platforms aim to attract makers because they provide market stability and depth. Therefore, makers receive reduced commission rates, typically in the range of 0.01–0.02% of the trade amount, depending on the contract type (spot, futures, or perpetual contracts).

Takers pay a higher fee—about 0.055–0.06%—since they utilize already existing liquidity and do not add to it. This difference may seem minor in percentage terms, but at large trading volumes, it significantly affects overall profit.

Let’s consider a practical example. Suppose a trader opens a position of 2 BTC at a price of 60,000 USDT and closes it at 61,000 USDT. Before fees, the profit is 2,000 USDT.

If maker orders are used (fee 0.01%):

• Opening: 2 × 60,000 × 0.01% = 12 USDT
• Closing: 2 × 61,000 × 0.01% = 12.2 USDT
• Total profit: 2,000 − 12 − 12.2 = 1,975.8 USDT

If taker orders are used (fee 0.06%):

• Opening: 2 × 60,000 × 0.06% = 72 USDT
• Closing: 2 × 61,000 × 0.06% = 73.2 USDT
• Total profit: 2,000 − 72 − 73.2 = 1,854.8 USDT

A difference of 121 USDT may not seem huge in a single trade, but if the trader makes dozens of trades, the savings become substantial. The maker strategy offers a clear advantage for long-term trading with many operations.

How to choose the right strategy

Choosing between maker and taker depends on your trading style and goals. If you prefer quick entries and exits, active position management, and don’t want to risk missing opportunities, the taker strategy is justified despite higher fees. This approach is often used by scalpers and short-term traders.

However, if you plan to make regular trades and are willing to spend time placing orders at optimal prices, the maker strategy will bring significant savings on commissions. For long-term trading, this can mean a difference of hundreds or even thousands of dollars in profit over the year.

Important: if you place a maker limit order that is executed immediately, the system automatically classifies this operation as a taker order with the corresponding higher fee. This can happen if the price moves quickly in your favor.

To ensure maker status, use the passive order function (Post-Only), which cancels your order if it can be executed immediately. This protects you from unexpected taker fees.

When opening a position with a maker strategy for long positions, place your price below the best bid in the market. For short positions, place it above the best ask. This approach guarantees that your order remains in the book and waits until another trader matches your price.

Maker and taker are not just terminology—they represent two different trading philosophies. Understanding their essence and impact on the final result will help you make informed decisions that optimize both your strategy and your profit.