Beaxy Listing Fee Breakdown
The one-time listing fee for an on-chain asset is $11,716.29 and for a custom blockchain it is $17,788.29. If a company doesn’t have their own market maker, we can connect them to one; we need to ensure that each asset that we list is tradable.
Recently, we shared an update about our listing fee in our Discord server. Following this announcement we received some questions and thought it would be best if we defined this listing fee in greater detail, as we believe in transparency towards our investors, the community, the companies that want to be listed, and everyone else.
For pretty much their entire existence, cryptocurrency exchanges have been called shady, unfair, and all kinds of negative things. One of our primary goals is to reverse this sentiment, and breaking down our listing fee is part of that initiative.
In this article we share information about:
- The listing department
- The reason why we have a listing fee
- Costs and explanation of our listing fee
- The payment of the listing fee
The Listing Department
Before we explain the listing fee, we would like to introduce what our listing department is tasked with.
The listing department is responsible for:
- Creating an on-boarding infrastructure (listing applications form, frameworks of reviewing them, processes to reach out to companies, etc.)
- Reviewing incoming listing applications (aspects like development, community, transparency, legal, etc.)
- Market research
- Coordination of listings
- Relationship management
The Reason Why We Have A Listing Fee
Simply put, there are costs involved when implementing a new asset. Costs for our employees at the listing, development, and legal departments, server costs, maintenance costs, node set up costs, etc.
The main goal of the listing department is to be successful, not to be profitable. “Successful” means that we list all assets that pass our listing criteria — to the best of our ability — while keeping our listing fee at the lowest possible price for the applicants.
After speaking with many companies, we learned that their experience with listing fees hasn’t been great, and they crave for a listing fee that’s fair and transparent. We believe we have delivered both.
Costs And Explanation Of Our Listing Fee
We have a separate listing fee for on-chain assets and custom blockchains. An “on-chain” asset refers to a company that’s built on top of a preexisting blockchain, for example the ERC20 standard means it is built on top of Ethereum. A custom blockchain, in this case, is Ethereum.
The one-time listing fee for an on-chain asset is $11,716.29.
A custom blockchain will yield a listing fee of $17,788.29.
Our costs per department are as follows:
Listing Department Costs
To determine the Listing Department cost per listed asset on Beaxy we have calculated the total (yearly) operational cost for our Listing Department and divided it by our (yearly) effective hours; resulting in an hourly rate for our Listing Department. We then looked at how many hours the Listing Department spends on one listing on average, and multiplied that by our hourly rate, resulting in a one-time fee of $4,864.29 for both on-chain and custom assets.
Development Department Costs
The development department is in charge of:
- Implementing listings on the exchange
- Implementing market makers of companies
- Auditing smart contracts for on-chain assets
- Maintenance (updating nodes, keeping them online, etc.)
The difference in work when implementing a custom blockchain versus an on-chain asset is extensive, and that’s why the price for a custom blockchain is higher than the price for an on-chain asset. In this image, you can see the difference in work for an on-chain asset versus a custom blockchain.
The development cost per company for an on-chain asset is $2,252.00 . The cost for a custom blockchain is $8,324.00, both of which are a one-time fee.
Legal Department Costs
Beaxy has an office in the US (Chicago) and is serving US Customers. We have to follow regulation which results in legal work for our in-house legal team for all of our listings.
The legal department is in charge of:
- Writing all the contracts (NDAs, Listing agreements, etc.)
- Make sure all our listed companies are compliant
- Review all paperwork (legal opinions/memorandums)
- Determine if an asset is a security or utility (Howey Test)
- Make sure we operate within the law
The cost for the legal department (for both on-chain asset and custom blockchain) is $4,600.00 per company, and is a one-time fee.
The Listing Fee Payment
Companies can contribute the listing fee is a variety of ways. For instance, BTC, ETH, US dollars, or a company’s native token are all accepted. We can receive the payment in a number of ways so that it is as easy as possible for a company to contribute. Additionally companies that elect to pay their listing fee in $BXY, which creates additional utility for our token, will receive a discount of 20%. The listing fee is calculated in US dollars and will be divided by the US dollar price of $BXY at that time to calculate the amount of $BXY required in order to be listed.
Conclusion
The one-time listing fee for an on-chain asset is $11,716.29. For a custom blockchain it is $17,788.29. The reason the price difference is that the developers have significantly more work when implementing a custom blockchain.
If a company doesn’t have their own market maker, we can connect them to one; we need to ensure that each asset that we list is tradable.
At Beaxy, there is no such thing as ‘pay-to-play.’ All companies are required to follow our listing process, which begins when the the listing application is complete. After that, we can start our review process and determine if an asset fits the listing criteria. When the listing department comes to a conclusion, they will reach out to the applicant.
We always try to keep our costs to a minimum and only ask the actual costs that occur during the listing process. We will always internally re-evaluate the listing fees in order for them to stay fair, and if there are any changes we will make it known.
If you are a company that is interested in being listed on Beaxy, you can find our listing application here:
Beaxy Listing Application — Formstack
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