Bitcoin Forum

How do you react when you come across a project saying that it is not charging any fee, e.g. a swap or a DEX which does not collect any fees. Do you take it as an advantage or it does not look serious enough to you?

Few projects claim to have this implemented in their project and i haven't invest a penny on any of them but i am just curious about how they will manage to stay alive when there is nothing they are generating income from, many projects are dead because of funds issue

What if there is a short promo period at the beginning without fee and then the project introduces some. Or better settle the rules from the beginning?

It depends on the situation if they are charging for 0% fee on their DEX for the first month or for a certain length of time. I will take it as an advantage, usually, they are using it as a form of promotional. I have seen a few DEX doing this before, so it is not surprising to me. But if they are aiming to be 0% DEX, I will just take it as bullshit.
unless they have a way to get revenue to maintain their DEX without using DEX fee as their base which is absolutely unreasonable for them to do that.

It is impossible to keep project functioning without taking a fee. Even the simplest decentralised exchange Forkdelta has launched a funding method, because the operational costs are above 1k USD per month, so it is very unrealistic.

if that's possible, why not?
Is not a lot of people who want this, cheap and fast costs are things that everyone wants. if there is a platform that can offer both of these things it will definitely be extraordinary.

In EOS Dapps this app is always there. EOS transactions only use CPU and RAM for the first transaction. Subsequent transactions do not charge any fees.

If there are absolutly no other ways of monetasation - scam

yes you're right, but still I'm not 100% free. we have to pay even if it's just once.
and I don't think there will be a really big platform, you know how they can work if it's not profitable?. but if there is a platform like that, I want to try it someday.

First thing to do normally is to ask why they are not charging any fee. I'm pretty sure they have a support system in place for curious people like you and me. Ask more if you are still in doubt if they can actually sustain a fee-less platform. If you can't immediately get a response from support, then there's the website to read more about their business (whitepaper for example).

It's not possible for a dex working with ethereum tokens to never charge a cent. The network itself will need a fee to confirm the transactions and send/receive eth/tokens. So, what i'm trying to say here is that fees is a need when interacting with tokens that work in the ethereum network. The dex must have fees, the cex could operate for free, that's what i know. just my two cents.

that's a bullshit, of course the project still need fee for running the ecosystem normally even they claimed it's a free and we don't collect any fee.
blockchain still need fee for pay the minner to process transaction.

I rather doubt the 0% fee, maybe it's fraud, currently the average exchange rate is now 0.001 and that too is standard. because Almost all exchange fees are the same witdrawnya if you choose the cheap one is troublesome, if you ask me because it's currently a little longer even in the confirmation process so if you don't need a few hours just for one confirmation.

like your statement, in the platform user still need to pay the fee even it's cheap and low cost.
because some ecosystem in blockchain can't running the service without fee from user.

I would never even consider using something with 0% fee's as there is a high likely hood, it being a scam to get as many people in as possible. I could be wrong though.

dApps running on Lightning is another story, since lightning fees is extremely low already, so that wouldn't concern me at all.
Stakenet who's building the worlds first Lightning DEX, and Multi Currency Lightning Wallet dApps, will use the fee's involved to buy-back XSN on the open markets, creating constant demand for the coin itself.

Do your own research though :)

I don't know if they are scam or not because i haven't use any dapps that have zero transaction fee, if you have seen one just be extra careful i believe that nothing is for free in this life, one way or the other they are giving out a favour and getting it back in other way

Already EOS transfers charge very little. But if you think that there is necessarily zero fee, there are free CPU platforms for EOS. With a little effort you can overcome this issue also. I think EOS's DAPPS would be enough for you.

And about big platform... The EOS platform is still very new. In the future, better and bigger DAPPS will be developed.

Obviously its scam, there are few projects in the past that have zero transaction fee and end up kicking the bucket, low transaction fee is reasonable same as fast transaction fee but not sending coins with 0% rate, its sounds exactly like a scam project

I don't think there is anything wrong with it, it could be there own competitive advantage, there are some projects that started and dash money to people to use their platform, PayPal is one that comes to mind. The most important thing to check is if there are legit and won't disappear with your money

If a project say that they don't charge any fee then they might mean that they won't charge any fees for a specified period of time or they might have a subscription package or they might even have another way that they use to generate their income.

I should remind you that a swap process is much different than DEX. DEX used blockchain as the main role and any transaction will be broadcasting directly to the network and to call that DEX doesn't collect any fees doesn't make sense although if the DEX still able to do that without collecting the fees from the buy and sell order activities but the network still needs the fees from the sender of the transaction.
I can say swap has the different method and this is an instant changer from A coin to B coin.
If that runs in the zero cost blockchain or platform like DAG and that makes sense if swap method cost zero fees.
Im taking it as an advantage.

You are right here.

I also am with that statement. There is a lot of costs that hinder the transactions and DAG solves it somewhat.

That would bring in more investments. I am with that idea.

It looks rather suspicious. It is possible that this is an attempt at fraud. And where did you come across this, can you give an example?

if this likened some company of course this is not normal because, every project still need funded for growth and pay the development must be make people pay the fee for using the services.

in paypal case that called money burn, where company giving new user some cash to user for gain new user

Every case is different. However, in present security conditions i would be suspicious. It's your decision but think twice, really.

Without collecting fees you can't secure the stabillity of ecosystem. Fees motovate miners and other people that verify transactions. Without these everyone could cheat and that is not good right?

I see it like it is impossible. If they do not use the fee for the transaction so they profit? So I'm not serious if there are such projects, let alone emerging recently.
It should be important to set the speed of the transaction and give profit to a project from that fee instead of none. Instead makes others feel weird to hear her.

If we talk about free, yes, of course, that is an advantage. Because we don't need to pay any fees other than transaction fees from the network. But the problem is whether the DEX will survive or not with the zero-fee method. Most developers make it just a futures promo to attract users. Personally I do not mind if there is a fee, but not excessive. And as long as the fee is used for the development of the DEX for the better.