Taker and Maker: How Order Choice Affects Your Profit

In cryptocurrency trading, understanding the differences between a taker and a maker directly impacts the size of your overall profit. These two types of orders determine not only the execution speed but also the fees you will pay for each trade. Let’s break down how each works and which choice is optimal for your trading strategy.

What is a Taker Order: Prioritizing Speed Over Price

When you want to execute an order immediately, you act as a taker. This type of order matches existing orders in the order book — the taker literally “takes” the available liquidity from the market. If you need to quickly open or close a position, you agree to be filled at the current market price, even if it’s slightly worse than the best available quote.

The convenience of speed comes at a cost. For this urgency, you pay a higher fee (the taker fee), which compensates the market maker who provided the liquidity. A market order is a typical example of a taker order, although a limit order can also be filled as a taker if it matches an existing order in the book.

Maker Order: Patience for Fee Savings

The opposite approach is acting as a maker. When you place a limit order waiting for it to match with a future taker order, you add liquidity to the market. Makers do not take existing liquidity; they create it, expanding opportunities for other participants to trade.

In exchange for this contribution to market liquidity, you receive a reward in the form of a reduced fee (the maker fee). Makers pay significantly less, but patience is required — your order may be filled later than you expected. Additionally, makers influence the bid-ask spread, narrowing the difference between the best buy and sell prices, which benefits the entire market.

Comparison Table: Taker vs Maker

Note: The listed fees are current for trading perpetual contracts and futures on most platforms. Specific fee structures depend on the exchange’s conditions.

Practical Example: How Fees Eat Into Profits

Imagine two traders opening the same position on BTCUSDT:

• Contract size: 2 BTC
• Entry price: $60,000 USDT
• Exit price: $61,000 USDT (profit before fees: $2,000 USDT)

Scenario 1: Maker-preferring trader

This trader uses limit orders and waits for their order to match with a taker. When opening the position, they pay 2 × 60,000 × 0.02% = $12 USDT; when closing, they pay 2 × 61,000 × 0.02% = $12.20 USDT. Total profit after fees: $2,000 − $12 − $12.20 = $1,975.80 USDT.

Scenario 2: Taker-preferring trader

This trader always acts quickly — opening with market orders without waiting for a suitable price. When opening, they pay 2 × 60,000 × 0.06% = $72 USDT; when closing, they pay 2 × 61,000 × 0.06% = $73.20 USDT. Total profit: $2,000 − $72 − $73.20 = $1,854.80 USDT.

Difference in profit between the two approaches: $121 USDT per trade. Over a year, with regular trading, this can amount to a significant sum. Choosing between a taker and a maker is a trade-off between convenience and keeping more money in your pocket.

How to Open a Maker Position: Step-by-Step

If you decide to save on fees, here’s what you should do:

1. Use a limit order. Open the order placement form and select “limit” instead of “market.”

2. Choose the “Post-Only” mode. Some platforms offer this option, which guarantees your order will add liquidity rather than take it away. If your order would be filled as a taker, it will be canceled.

3. Set the price strategically. Don’t place your order exactly at the best bid/ask:

   • For buying (long): set the price below the best ask
   • For selling (short): set the price above the best bid

This increases the chances that your order will wait to be matched with a taker. Remember: if a limit order is filled instantly, it will be classified as a taker, and you will pay the higher fee.

Why It Matters: Key Takeaways for Traders

Knowing the difference between a taker and a maker is not just theoretical — it’s a tool for optimizing your trading. Beginners often only use market orders for simplicity, not realizing they pay an extra tax in the form of higher fees.

Experienced traders, on the other hand, balance between the two approaches: they act as takers only when necessary (e.g., during sharp market moves), and otherwise patiently place limit orders as makers. The choice between maker and taker depends on your trading style — scalping requires speed, while position trading can be optimized through fee savings. The key is to make informed decisions, considering these costs in your profitability calculations.