binance-futures-fee-calculator
A simple trading fee calculator for Binance futures market order that finds out how much fee you'll actually pay depending on the size of your order in USDT and current state of order book.
How to use
Step 1:
install node js (LTS) https://nodejs.org/en/
Step 2:
restart computer
Step 3:
npm install -g @angular/cli
npm install @angular/compiler-cli@latest
npm install @angular/language-service@latest
npm install @angular/cli@latest
npm install @angular-devkit/build-angular
npm install -g typescript@latest
npm install -s node-binance-api
npm install body-parser cors express helmet morgan
Step 4:
cd to backend folder
node src
Step 5:
cd to web calculator folder
ng serve --open
Problem statement
When a user executes a market order, a user pays trading fee. Besides that, there is also a hidden fee called spread. Let's assume a senerio with no trading fees:
OrderBook Price Quantity (XMR) Sell offer - 214.42 0.65 Sell offer - 214.38 8.00 Sell offer - 214.35 0.25 Mid price - 214.34 Buy offer - 214.33 1.00 Buy offer - 214.32 0.04 Buy offer - 214.18 9.50
When a user sell 10XMR via market order, he/she is accepting best offers on the order book. Hence, he/she ends up selling 1XMR at $214.33, 0.04XMR at $214.18 and 8.96XMR at $214.27.
According to the mid price, he/she has this much worth of XMR
214.34 x 10 = $2143.40
But after selling the XMR, he/she gets
(214.33 x 1) + (214.32 x 0.04) + (214.18 x 8.96) = $2141.96
Percentage amount lost due to spread is:
(2141.96 - 2143.40) x 100 / 2143.40 = -0.06718298031%
Assumption
This calculator does not take into account of your influence on the price of trading asset due to your large order. For example: You bought $100,000 worth of XMR which pushes the mid price of XMR up by 0.05%.
This calculator also assumed that trading fees are charged by Binance right after you completed the trade. Hence, the trading fee does not lower the amount of crypto you can buy or sell. Instead, you will have negative unrealised profit right after the trade completed.
Notes
- I'm not entirely sure if the implementation is correct, any feedback and criticism is welcomed.
- Shamelessly copied alot of codes from w3school, stackoverflow and fiddle js.
To do's
- Market depth can be displayed as a chart.
- Make an animation of how the spread and fee percentage is calculated.
Reference
https://academy.binance.com/en/articles/bid-ask-spread-and-slippage-explained