Kraken’s $80 stablecoin fee gap exposes hidden costs

Converting $10,000 of the dollar stablecoin USDC into euros can incur a $100 or $20 trading fee at Kraken, before execution and withdrawal costs. The $80 difference comes from standard Instant Buy/Sell pricing versus the eligible entry-tier USDC/EUR order book, using the exchange’s fee schedule checked Oct. 20. At $200, the same 80-basis-point gap is worth $1.60. A fixed bank payout charge then takes a much larger share of the transfer, leaving less room for the stablecoin route to compete with a money-transfer company. The Bank for International Settlements published Working Paper 1385 on Oct. 19.

Source: CryptoSlate