Bitstamp, a Luxembourg-based crypto exchange, has announced that it will not continue with its plans for charging inactive customers about 5% on their account balance.
Bitstamp Announces an Inactivity Fee
Last week, the exchange announced plans to start charging inactive customers from outside the United States a monthly fee starting August 1st of 10 euros ($10.18). The policy will apply to users who have less than 200 euro ($203.62) in their accounts and have not traded, withdrawn, deposited or staked any crypto assets on the exchange within the last 12 months.
The company advised customers who are not active to trade, withdraw, deposit or stake at least 25 euros ($25.44) by the end of next month in order to avoid being charged. The reason for the exchange’s decision was the administrative cost associated with keeping inactive accounts.
Bitstamp customers reacted strongly to the announcement. Some users suggested that Bitstamp was making a strategic move to stay afloat in the current bear market, while others accused it of being a ripoff.
This is so disappointing BitStamp
It’s really pathetic.
The lowest account holders are being charged a minimum of 5% to their account balance. This is so they feel “forced” by you to trade with or stake with them! ?
This is legal .
July 3, 2022 — Crypto Bitlord (@crypto_bitlord7)
Bitstamp Makes U-turn
Bitstamp released another update after users expressed outrage and said it would no longer charge the inactivity fee.
“Last week we sent out information that we would be introducing a fee to some of our inactive customers. It was effective from August 1. Inactive customers with less than EUR200 account balances would be subject to the fee. We have changed our mind after listening to the community’s responses. The exchange stated in a blog that there will not be an inactivity fee.
Bitstamp apologized for the inconvenience caused by the announcement, but some users were upset and claimed that they had deleted their accounts from the exchange.
too late, I’ve deleted my account already. We users are fortunate that there is plenty of competition in the crypto space. This idea caused a lot of damage to the brand.
— 0xRadim, @0xRadim July 7, 2022
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