Q1. Why is there a fee to modify the existing market maker’s (offer to buy)? If I make an offer to buy BTC, then I decide to change the terms of the offer (make it higher or lower), why is there a fee?
Q2. Does bisq plan to reduce or remove the fee completely?
Thanks
A1: Editing offers isn’t really possible yet, so you need to make a new offer and pay fee on it. You can see more in this topic https://forum.bisq.io/t/petition-to-be-able-to-modify-distance-from-market-witout-loosing-trading-fee/3030/2 . As you can see fee is calculated based on the offer’s distance from the market price, so that offerbook doesn’t get filled with bad offers. This is important because offerbook is distributed between all peers, which makes it’s size important.
A2: Fee is already negligible and it is not calculated based on the trade amount, which makes it very small for an average trade. Fees play a crucial part in protecting the network from spam. Removing it would create a DoS vulnerability. Besides, arbitrator fees gives incentives for arbitrators to do their job.
Is there any progress with Editing offers? I just created offer and price went up so my offer will not fill up anytime soon. I would like to adjust but seems theres no way of doing it. I don’t want to loose my maker fee either. Any advice?
Unfortunately this isn’t possible to implement, because of risk of spam.
In future you can make an offer that is fixed to with a certain percentage to the market price.
I would not say not possible, it just requires more conceptual though how to do it without adding too much risk to Bisq P2P network. There is an open bounty task. Anyone welcome to work on that.
I really want Bisq to be a big and liquid market. Its important to create a liquid market. Therefore, it is extremely important to allow cancellation or modification of an offer without penalty in order to create liquidity. We want to encourage a lot of offers regardless of how far from the market price the offers are. If the market makers are punished for cancelling or modifying an offer, there will be fewer market makers and/or fewer offers. For example, LocalBitcoins does not punish market makers. You can make an order, then modify it, then cancel it and you don’t pay for it. This is basic economics. So, allow free cancellation or modification of the offers to encourage market makers.
Can you read above? It’s there for spam protection. Bisq trading Fees have dropped a lot in the newer release, so less painful, and you can pause/deactivate offers if not happy with the current market price.
I understand the request for that and we have it on a high priority. But you need to understand the difference of a decentralized exchange based on a P2P and a centralized server based model. To add an entry to a database has nearly zero costs, to broadcast the the P2P network adds costs to all Bisq users. That is why we need to take care to not make wrong decisions here and open risks for spamming the network. But I agree that this is a serious problem for professional market makers and hope we can find a solution without adding risk.