Coinbase, one of the leading cryptocurrency exchange has reduced its annual management fee charged on investors. The exchange made the revelation in a blog post on August 13. In the announcement, Coinbase said it is reducing the annual management fee from 2% to 1%. The changes will apply to both new and existing users.
Attracting investors
The exchange went on and said the motive behind the reduction of the fee is to attract more investors into the sector. In particular, the exchange says it is targeting many of the investors who are already familiar with its lower-fee index fund are being used in other assets.
Coinbase Index Fund
Coinbase launched the Index Fund in June mainly targeting institutional and wealth investors. The service is currently available to accredited investors in the United States. To qualify, an investor has to have a net worth of $1 million. Investors with an annual salary of more than $200,000 are also eligible. The minimum that can be invested under the program is $250,000 while the maximum is $20 million. According to Brian Armstrong, the CEO of Coinabase, the idea of the Index Fund first came up in March and mainly targeted “the S&P 500 index equivalent.”
Coinbase adds Ethereum Classic [ETC]
In other news, Coinbase has announced the addition of Ethereum Classic [ETC] to its platform. The exchange indicated that it had added the crypto to its trading pairs last week. Coinbase first announced plans to list Ethereum Classic [ETC] on its platform in June. In a statement, the exchange said it has plans to add five more digital currencies on its platform. The cryptocurrencies being targeted are Cardano [ADA], Basic Attention Token [BAT], Ox [ZRX], Stellar Lumens [XLM] and Zcash [ZEC].
Currently ETC is listed on the company’s advanced listing platform and is set to be launched on the primary platform. The primary platform is said to offer a bigger and interactive audience. Apart from Coinbase, Robinhood, a crypto trading app recently added Ethereum Classic to its platform. Following the listing, the cryptocurrency’s rose to highs of $20 and its market cap rose to more than $2 billion.
