P2P platform fees are advertised as zero on most exchanges, but that's the platform's fee — not your total cost. The breakdown matters when you're sizing trades.
Platform fee
Binance, Bybit, OKX, KuCoin, Bitget — all zero platform fees on retail P2P trades. The platform earns from spot trading fees afterwards.
Some venues charge 0.1-0.2% only on the merchant side (taker pays nothing); this is invisible to you as a buyer.
Merchant spread
The merchant prices in their own margin. On USDT/INR, this is typically 30-100 bps over the underlying USDINR rate. You pay this as part of the per-USDT price.
1% TDS
TDS is deducted on the value of the trade above thresholds. Recoverable through ITR, but creates a cash-flow drag — particularly on high-turnover trading.
Network fee on subsequent withdrawal
If you're moving USDT off the exchange, factor in the chain network fee. TRC-20 USDT transfers are typically $1-2 per withdrawal; ERC-20 has been $5-30 depending on Ethereum gas.
Key takeaways
- P2P platform fees are usually zero on retail.
- Real cost = merchant spread (30-100 bps) + 1% TDS + network fees on withdrawal.
- TDS is recoverable but creates working-capital drag.
- Pick the right network for withdrawal — TRC-20 is cheapest for USDT.
