Impact of Crypto Regulation on Market Volatility: Does Regulation Reduce or Increase Volatility?
The Intricate Dance Between Crypto Regulation and Market Volatility: A Deep Dive into Regulatory Impacts
Cryptocurrency markets, since the inception of Bitcoin in 2009, have been characterized by periods of extraordinary growth and equally dramatic crashes, establishing a reputation for pronounced volatility. This inherent volatility, often several times greater than traditional financial markets, presents both opportunities for high returns and significant risks for investors. As the cryptocurrency market capitalization has surged, reaching trillions of dollars at its peak and attracting participation from institutional investors and retail users alike, the clamor for regulatory oversight has grown louder. Governments and financial regulatory bodies worldwide are grappling with how to integrate these novel digital assets into existing financial frameworks, aiming to mitigate risks, protect consumers, and prevent illicit activities. However, the impact of cryptocurrency regulation on market volatility is far from straightforward; it is a complex interplay of factors that can either dampen or amplify price fluctuations.
The fundamental question at the heart of this discussion is whether the introduction of regulatory frameworks reduces or increases volatility in cryptocurrency markets. Intuitively, one might expect that regulation, by establishing clear rules of the game, enhancing market transparency, and fostering investor protection, should lead to a more stable and predictable market environment, thus reducing volatility. This perspective aligns with the traditional role of financial regulation in established markets, where oversight is designed to prevent market manipulation, insider trading, and systemic risks, all of which contribute to price stability. For instance, in the stock market, regulations like the Securities Exchange Act of 1934 in the United States, and similar frameworks in other jurisdictions, have been instrumental in building investor confidence and reducing extreme volatility episodes compared to the pre-regulation era. The argument for regulation reducing volatility in crypto markets rests on the premise that it can address many of the factors contributing to its current instability, such as market opacity, lack of investor protection, and the prevalence of manipulative practices.
Conversely, it is also conceivable that certain types of regulation, or the manner in which they are implemented, could inadvertently increase volatility, at least in the short to medium term. The cryptocurrency market, being nascent and technologically driven, reacts sensitively to regulatory news and pronouncements. Uncertainty surrounding future regulatory landscapes, especially when regulations are perceived as overly restrictive or unclear, can trigger market sell-offs and heightened volatility. Furthermore, the global and decentralized nature of cryptocurrencies poses unique challenges for regulators, and attempts to impose geographically limited regulations might lead to regulatory arbitrage, market fragmentation, and potentially, increased volatility as market participants seek out less regulated or unregulated jurisdictions. The diverse approaches to cryptocurrency regulation across different countries also introduce complexity and uncertainty, further contributing to potential volatility. Therefore, understanding the nuanced relationship between crypto regulation and market volatility requires a detailed examination of both the theoretical underpinnings and empirical evidence, considering the specific types of regulations, their implementation, and the dynamic nature of the cryptocurrency market itself.
Theoretical Mechanisms: How Regulation Aims to Tame Crypto Volatility
The theoretical rationale for cryptocurrency regulation aiming to reduce market volatility is deeply rooted in established principles of financial market theory and regulatory economics. One of the primary mechanisms through which regulation is expected to stabilize crypto markets is by enhancing investor confidence and participation. The current cryptocurrency market is often perceived as risky and opaque, particularly by institutional investors and a significant segment of the retail investor population. This perception stems from various factors, including the history of market manipulations, scams, and exchange failures, as well as the lack of clear legal and regulatory frameworks governing digital assets. According to a 2023 report by Chainalysis, cryptocurrency scams resulted in losses of $3.9 billion globally in 2022, underscoring the significant risks faced by investors in the absence of robust regulatory protection. Furthermore, the anonymity and pseudonymity associated with some cryptocurrencies and platforms have raised concerns about their use in illicit activities, further deterring institutional adoption and mainstream participation.
Regulation, by establishing clear rules regarding investor protection, market conduct, and anti-money laundering (AML) and counter-terrorism financing (CFT) compliance, can significantly mitigate these risks. For example, regulations requiring cryptocurrency exchanges and custodians to implement Know Your Customer (KYC) and AML/CFT procedures, similar to those in traditional financial institutions, can reduce the appeal of crypto platforms for illicit activities and enhance transparency. The Financial Action Task Force (FATF), the global standard-setting body for AML/CFT, has emphasized the importance of implementing its standards to virtual assets and virtual asset service providers (VASPs) to combat illicit finance risks. Moreover, regulations that mandate disclosures, audit requirements, and operational standards for crypto businesses can build trust and confidence among investors, encouraging greater participation from institutional players who are often risk-averse and require regulatory certainty before allocating significant capital. A survey conducted by Fidelity Digital Assets in 2022 found that 74% of institutional investors in the US cited regulatory uncertainty as a major barrier to investing in digital assets, highlighting the critical role of regulation in unlocking institutional capital.
Another crucial channel through which regulation can reduce volatility is by mitigating market manipulation and improving price discovery. Cryptocurrency markets, particularly in their early stages, have been susceptible to various forms of market manipulation, including pump-and-dump schemes, wash trading, and spoofing. The lack of regulatory oversight and enforcement in many jurisdictions has made it easier for malicious actors to engage in manipulative practices, leading to artificial price spikes and crashes, thereby increasing volatility. Academic research has documented instances of significant price manipulation in cryptocurrency markets. For instance, Griffin and Shams (2020) in their paper published in the Journal of Finance provided evidence of Tether's role in manipulating Bitcoin prices during the 2017 bull run, demonstrating the potential for stablecoins to be used for manipulative purposes. Regulation that prohibits market manipulation, defines prohibited conduct clearly, and empowers regulatory agencies to investigate and enforce these prohibitions can deter manipulative activities and promote fairer price formation.
Furthermore, regulation can improve price discovery by fostering market transparency and reducing information asymmetry. In unregulated or lightly regulated crypto markets, information about trading activity, order books, and market participants may be limited or opaque. This lack of transparency can exacerbate information asymmetry, where some market participants have privileged information or insights that are not available to others, creating an uneven playing field and potentially contributing to price volatility. Regulations that mandate transparency requirements for crypto exchanges and trading platforms, such as reporting trading volumes, order book depth, and transaction data, can enhance market transparency and reduce information asymmetry. Increased transparency can lead to more efficient price discovery, as market participants have better information to assess the true value of crypto assets, thus reducing speculative bubbles and sharp price corrections. The Markets in Crypto-Assets (MiCA) regulation in the European Union, for example, includes provisions aimed at enhancing transparency and market integrity for crypto-asset service providers, reflecting the regulatory focus on improving market efficiency.
Finally, regulation can contribute to reduced volatility by fostering market maturity and institutionalization. As the cryptocurrency market evolves from a largely retail-driven and speculative environment to a more mature and institutionalized market, volatility is expected to naturally decrease. Regulation plays a crucial role in this maturation process by providing a framework for institutional investors to participate safely and confidently. Institutional investors, such as pension funds, insurance companies, and asset managers, typically have longer investment horizons and more sophisticated risk management practices compared to retail investors, which can contribute to market stability. Regulation that facilitates the development of regulated crypto exchanges, custodians, and other financial intermediaries can create the necessary infrastructure for institutional participation. Moreover, regulatory clarity regarding the classification of crypto assets (e.g., as securities or commodities) and their tax treatment can remove legal and operational uncertainties that have hindered institutional adoption. A report by Boston Consulting Group in 2022 projected that institutional ownership of crypto assets could reach $300 billion by 2025, driven by increasing regulatory clarity and institutional adoption, suggesting a significant potential for regulation to drive market maturation and reduce volatility.
Empirical Evidence: A Mixed Bag of Regulatory Impacts on Crypto Volatility
While the theoretical arguments suggest that regulation should generally reduce cryptocurrency market volatility, the empirical evidence is more nuanced and often presents a mixed picture. The impact of regulation on volatility is not uniform across different types of regulations, jurisdictions, and time periods. Moreover, the cryptocurrency market is still relatively young and evolving, making it challenging to isolate the specific effects of regulation from other market dynamics and external factors. Several empirical studies have attempted to assess the impact of regulatory announcements and policy changes on cryptocurrency volatility, with varying results.
Some studies have found evidence that regulatory news and announcements can indeed reduce volatility, particularly in the long run. For example, a study by $\text{Lyócsa et al. (2020)}$ published in Finance Research Letters examined the impact of regulatory news on Bitcoin volatility and found that positive regulatory news, such as announcements of favorable regulatory frameworks or adoption of cryptocurrencies by mainstream institutions, was associated with a decrease in Bitcoin volatility. Conversely, negative regulatory news, such as regulatory crackdowns or bans, tended to increase volatility, at least in the short term. This suggests that the direction and nature of regulatory news play a significant role in shaping market volatility. Another study by $\text{Katsiampa (2019)}$ published in the Journal of International Financial Markets, Institutions and Money investigated the impact of regulatory uncertainty on Bitcoin volatility using a GARCH model and found that increased regulatory uncertainty, measured by the frequency of regulatory-related news articles, was associated with higher Bitcoin volatility. This highlights the importance of clear and predictable regulatory frameworks in reducing market uncertainty and volatility.
However, other studies have found less conclusive or even contradictory evidence, suggesting that regulation may not always reduce volatility and in some cases might even increase it, especially in the short term. For instance, a study by $\text{Baur et al. (2018)}$ published in the Journal of Alternative Investments examined the volatility spillovers between Bitcoin and traditional asset classes and found that Bitcoin volatility was largely independent of regulatory news and global financial market volatility. This implies that the unique characteristics of the cryptocurrency market, such as its decentralized nature and speculative trading, may make it less responsive to regulatory interventions compared to traditional markets. Furthermore, some regulatory actions, particularly those perceived as overly restrictive or unclear, can trigger negative market reactions and increased volatility. The crackdown on initial coin offerings (ICOs) by the US Securities and Exchange Commission (SEC) in 2018, for example, led to a significant decline in ICO activity and a sharp correction in cryptocurrency prices, demonstrating the potential for regulatory enforcement actions to induce market volatility.
The impact of regulation can also vary depending on the specific type of regulation and the jurisdiction. Regulations focused on consumer protection, AML/CFT compliance, and market integrity are generally expected to have a more positive impact on reducing volatility by enhancing investor confidence and market stability. However, regulations that impose overly burdensome compliance requirements, restrict innovation, or ban certain cryptocurrency activities might have unintended consequences, such as driving market participants to unregulated jurisdictions or stifling market development, potentially leading to increased volatility in the long run. The varying regulatory approaches across different countries also contribute to the complexity of assessing the overall impact of regulation on global cryptocurrency volatility. Some jurisdictions, like Switzerland and Singapore, have adopted a more permissive and innovation-friendly approach to cryptocurrency regulation, aiming to attract crypto businesses and foster market growth. Switzerland, for example, has established a "crypto valley" in Zug, attracting numerous crypto startups and fostering a regulatory environment conducive to innovation. Other jurisdictions, like China, have taken a more restrictive stance, banning cryptocurrency trading and mining, which has had significant impacts on the global crypto market landscape. China's ban on cryptocurrency mining in 2021 led to a significant migration of mining operations to other countries and temporarily disrupted the Bitcoin network's hashrate, highlighting the global interconnectedness of the crypto market and the impact of national regulations.
Moreover, the stage of market development can also influence the impact of regulation on volatility. In the early stages of market development, when the market is less mature and more speculative, regulation might have a more pronounced effect on reducing volatility by establishing basic rules and building investor confidence. However, as the market matures and becomes more institutionalized, the marginal impact of additional regulations on volatility might diminish. The cryptocurrency market has undergone significant evolution since its inception, transitioning from a niche market to a more mainstream asset class with increasing institutional participation. This evolution itself has likely contributed to a gradual reduction in volatility over time, although periods of heightened volatility still occur, as evidenced by the market fluctuations in 2022 and 2023. Therefore, empirical assessments of regulatory impact need to consider the dynamic nature of the cryptocurrency market and the evolving regulatory landscape, recognizing that the relationship between regulation and volatility is not static and can change over time.
Regulation as a Volatility Amplifier: Unintended Consequences and Paradoxes
While the primary goal of cryptocurrency regulation is typically to mitigate risks and promote market stability, there are scenarios where regulation, or certain types of regulatory interventions, can paradoxically amplify market volatility, at least in the short to medium term. These unintended consequences can arise from various factors, including regulatory uncertainty, poorly designed regulations, enforcement challenges, and the potential for regulatory arbitrage. Understanding these potential volatility-amplifying effects is crucial for designing effective and balanced regulatory frameworks for cryptocurrencies.
One of the most significant ways in which regulation can increase volatility is through creating regulatory uncertainty. The cryptocurrency regulatory landscape is still evolving globally, with significant variations in approaches across different jurisdictions. This lack of harmonization and clarity creates uncertainty for market participants regarding the future regulatory environment, which can lead to increased volatility. Regulatory uncertainty can manifest in several forms, including ambiguity about the legal classification of crypto assets, unclear licensing requirements for crypto businesses, and inconsistent enforcement of regulations across different jurisdictions. When market participants are unsure about how regulations will evolve and how they will be applied to their activities, they may become more risk-averse and engage in speculative trading, contributing to price fluctuations. For example, the ongoing debate in the United States regarding the regulatory jurisdiction over cryptocurrencies between the SEC and the Commodity Futures Trading Commission (CFTC) has created uncertainty and contributed to market volatility. The lack of clear guidance on whether certain cryptocurrencies are securities or commodities has made it difficult for crypto businesses to operate with regulatory certainty and has fueled market speculation.
Furthermore, poorly designed or overly restrictive regulations can also inadvertently increase volatility. Regulations that are not well-tailored to the unique characteristics of the cryptocurrency market or that impose excessive compliance burdens can stifle innovation, drive market participants to unregulated platforms, and create market inefficiencies, all of which can contribute to volatility. For instance, regulations that require crypto exchanges to delist certain cryptocurrencies or restrict access to certain trading activities may lead to panic selling and price crashes, especially if these regulations are perceived as arbitrary or discriminatory. Moreover, regulations that are overly complex or costly to comply with can disproportionately impact smaller crypto businesses and startups, potentially reducing competition and market diversity, which could also increase systemic risk and volatility in the long run. The implementation of the Travel Rule by some jurisdictions, which requires VASPs to share customer information for transactions above a certain threshold, has been criticized for being technically challenging to implement and potentially privacy-invasive, raising concerns about its impact on market efficiency and innovation.
Enforcement challenges also play a role in the potential volatility-amplifying effects of regulation. Even well-designed regulations are only effective if they are consistently and effectively enforced. However, the global and decentralized nature of cryptocurrencies poses significant challenges for regulatory enforcement. Cryptocurrency exchanges and platforms can operate across borders, making it difficult for national regulators to exert jurisdiction and enforce their rules. Regulatory arbitrage, where crypto businesses relocate to jurisdictions with more lenient regulations, can undermine the effectiveness of regulations in stricter jurisdictions and create uneven playing fields. The decentralized nature of some cryptocurrencies and decentralized finance (DeFi) protocols further complicates regulatory enforcement, as there may not be clearly identifiable entities or intermediaries to regulate. When regulations are perceived as ineffective or inconsistently enforced, it can erode investor confidence and create a perception of regulatory risk, potentially leading to increased volatility.
Finally, the initial implementation and adjustment phases of new regulations can also contribute to short-term volatility. When new regulations are first introduced, market participants need time to understand and adapt to the new rules. This period of adjustment can be characterized by uncertainty and volatility as businesses and investors react to the new regulatory landscape. For example, the initial implementation of MiCA in the EU is expected to bring significant changes to the regulatory framework for crypto-asset service providers, and the transition period may be accompanied by market adjustments and potential volatility. Moreover, regulatory agencies themselves may need time to develop expertise and capacity to effectively supervise and enforce regulations in the rapidly evolving cryptocurrency market. Learning by doing and iterative adjustments to regulations may be necessary to ensure their effectiveness and minimize unintended consequences, but this process itself can contribute to regulatory uncertainty and short-term volatility. Therefore, a phased and adaptive approach to cryptocurrency regulation, with clear communication and ongoing dialogue with market participants, is crucial to mitigate potential volatility-amplifying effects and promote a stable and sustainable regulatory environment.
Case Studies: Examining Regulatory Impacts Across Jurisdictions
To further illuminate the complex relationship between cryptocurrency regulation and market volatility, it is instructive to examine case studies of different jurisdictions and their regulatory approaches. These case studies can provide insights into the diverse impacts of various regulatory strategies, ranging from permissive and innovation-friendly approaches to restrictive and prohibitive measures. By analyzing the regulatory frameworks and the observed market volatility in different regions, we can gain a more nuanced understanding of the factors that influence the regulatory impact on crypto markets.
Case Study 1: The European Union and MiCA
The European Union has taken a comprehensive and proactive approach to cryptocurrency regulation with the Markets in Crypto-Assets (MiCA) regulation. MiCA aims to create a harmonized regulatory framework for crypto-assets across the EU member states, covering various aspects, including the issuance of crypto-assets, the operation of crypto-asset service providers (CASPs), and consumer protection. MiCA is designed to provide legal certainty for crypto businesses operating in the EU, foster innovation, and mitigate risks to financial stability and consumer protection. The regulation introduces a clear classification of crypto-assets, including utility tokens, security tokens, and e-money tokens, and establishes specific requirements for each category. For example, issuers of asset-referenced tokens (ARTs), a type of stablecoin, are subject to stringent capital requirements and operational standards under MiCA to mitigate risks to monetary policy and financial stability. CASPs operating in the EU will need to be authorized and comply with rules on investor protection, market integrity, and AML/CFT.
The expected impact of MiCA on cryptocurrency market volatility in the EU is generally anticipated to be volatility-reducing in the long run. By establishing a clear and comprehensive regulatory framework, MiCA aims to enhance investor confidence, reduce regulatory arbitrage within the EU, and foster a more mature and stable crypto market. The harmonization of regulations across the EU is expected to reduce fragmentation and create a level playing field for crypto businesses, attracting investment and promoting market growth. However, in the short term, the implementation of MiCA may lead to some transitional volatility as CASPs and crypto issuers adapt to the new regulatory requirements. The compliance costs associated with MiCA may also pose challenges for smaller crypto businesses and potentially lead to some market consolidation. A study by the European Commission in 2020 estimated that the overall benefits of MiCA, in terms of increased market efficiency and reduced risks, would outweigh the compliance costs in the long run, suggesting a net positive impact on market stability.
Case Study 2: The United States and Regulatory Fragmentation
In contrast to the EU's harmonized approach, the United States has adopted a more fragmented and agency-based approach to cryptocurrency regulation. Regulatory authority over cryptocurrencies is distributed among various federal and state agencies, including the SEC, CFTC, Financial Crimes Enforcement Network (FinCEN), and state regulators. This fragmented regulatory landscape has created uncertainty and complexity for crypto businesses operating in the US, leading to regulatory arbitrage across states and ongoing debates about jurisdictional boundaries. The SEC has asserted jurisdiction over crypto-assets that are deemed to be securities, applying existing securities laws to ICOs and crypto exchanges. The SEC's enforcement actions against unregistered ICOs and crypto exchanges have had a significant impact on the US crypto market, leading to delistings of certain tokens and increased compliance costs. The CFTC has asserted jurisdiction over cryptocurrencies classified as commodities, regulating crypto derivatives and futures markets. The CFTC's approval of Bitcoin futures contracts in 2017 was a significant step towards legitimizing cryptocurrencies as an asset class and attracting institutional investors.
The impact of the US regulatory approach on cryptocurrency market volatility has been mixed and characterized by periods of both volatility reduction and amplification. On the one hand, the SEC's enforcement actions and guidance have aimed to protect investors and deter fraudulent activities, which can contribute to reduced volatility in the long run by fostering market integrity. The SEC's focus on investor protection is reflected in its enforcement actions against crypto scams and unregistered securities offerings, aiming to create a safer investment environment. On the other hand, the regulatory fragmentation and uncertainty in the US have also contributed to market volatility. The lack of clear and consistent regulatory frameworks has created regulatory risk and hampered institutional adoption, potentially amplifying volatility in the short to medium term. The ongoing legal battles between the SEC and crypto companies, such as Ripple Labs, have created uncertainty and market fluctuations, highlighting the impact of regulatory enforcement actions on market sentiment. The US regulatory landscape remains in flux, and the future direction of regulation will significantly influence the volatility and development of the US crypto market.
Case Study 3: China's Prohibitive Approach
China has adopted a highly restrictive and prohibitive approach to cryptocurrency regulation, culminating in a comprehensive ban on all cryptocurrency transactions and mining activities in 2021. Initially, China was a major hub for cryptocurrency mining and trading, but the government gradually tightened regulations, citing concerns about financial stability, illicit activities, and energy consumption associated with crypto mining. In 2017, China banned ICOs and closed domestic cryptocurrency exchanges, leading to a significant outflow of crypto businesses and trading activity. In 2021, China further intensified its crackdown, declaring all cryptocurrency transactions illegal and banning cryptocurrency mining nationwide. The Chinese government's rationale for the ban included concerns about speculative trading, money laundering, and the environmental impact of Bitcoin mining, particularly the reliance on coal-fired power plants.
The impact of China's prohibitive approach on cryptocurrency market volatility has been complex and geographically differentiated. Initially, the Chinese crackdown in 2017 and 2021 triggered significant market sell-offs and increased volatility in global cryptocurrency markets, as China was a major player in the crypto ecosystem. The 2021 ban on crypto mining in China led to a sharp decline in Bitcoin's hashrate and temporarily disrupted the network, demonstrating the significant impact of China's regulatory actions on the global crypto market. However, in the long run, the Chinese ban may have inadvertently reduced volatility in the global crypto market by removing a major source of regulatory uncertainty and market manipulation. The exit of Chinese crypto exchanges and miners may have also led to a more geographically diversified and resilient crypto ecosystem. Post-ban, cryptocurrency mining activity shifted to other countries with more favorable regulatory environments, such as the United States and Kazakhstan, demonstrating the global adaptability of the crypto industry. Within China, the ban effectively eliminated domestic cryptocurrency trading and mining, but it has also fostered a black market for crypto transactions and potentially shifted crypto activity underground, making it more difficult to regulate and monitor. The long-term impact of China's prohibitive approach on domestic crypto innovation and financial inclusion remains to be seen, but it has undoubtedly had a profound impact on the global cryptocurrency landscape.
Conclusion: Navigating the Regulatory Maze for Stable Crypto Markets
The relationship between cryptocurrency regulation and market volatility is intricate and multifaceted, defying simplistic generalizations. While the theoretical arguments strongly suggest that well-designed and effectively implemented regulations should contribute to reducing volatility by enhancing investor confidence, mitigating market manipulation, and fostering market maturity, the empirical evidence presents a more nuanced picture. The impact of regulation on volatility is not uniform and depends on a complex interplay of factors, including the type of regulation, the jurisdiction, the stage of market development, and the overall regulatory landscape. Some regulations, particularly those focused on consumer protection and market integrity, have shown promise in reducing volatility in the long run, while others, especially those that are overly restrictive or create regulatory uncertainty, can paradoxically amplify volatility, at least in the short term.
The case studies of the EU, US, and China highlight the diverse regulatory approaches and their varying impacts on cryptocurrency markets. The EU's comprehensive and harmonized MiCA regulation aims to create a stable and predictable regulatory environment, which is expected to reduce volatility in the long run. The US's fragmented and agency-based approach has created both opportunities and challenges, with regulatory uncertainty contributing to market volatility alongside efforts to enhance investor protection. China's prohibitive approach, while initially triggering market volatility, may have inadvertently reduced global crypto market volatility by removing a major source of regulatory uncertainty and market manipulation, albeit at the cost of stifling domestic crypto innovation.
Moving forward, the key to designing effective cryptocurrency regulations that reduce volatility lies in adopting a balanced and adaptive approach. Regulations should be tailored to the unique characteristics of the crypto market, promoting innovation while mitigating risks. Clear and consistent regulatory frameworks are crucial to reduce regulatory uncertainty and foster investor confidence. International regulatory cooperation and harmonization are essential to address the global nature of cryptocurrencies and prevent regulatory arbitrage. Regulations should be proportionate and risk-based, avoiding overly burdensome compliance requirements that stifle innovation or drive market participants to unregulated platforms. Furthermore, regulatory agencies need to develop expertise and capacity to effectively supervise and enforce regulations in the rapidly evolving crypto market, adopting a flexible and iterative approach to adapt to technological advancements and market dynamics. Ongoing dialogue and collaboration between regulators, industry stakeholders, and academics are crucial to ensure that regulations are well-informed, effective, and conducive to the sustainable development of the cryptocurrency ecosystem. Ultimately, navigating the regulatory maze effectively is essential to unlock the potential of cryptocurrencies while mitigating their inherent volatility and fostering a stable and trustworthy digital asset market.
🚀 Unlock 20% Off Trading Fees – Forever! 🔥
Join one of the world’s most secure and trusted global crypto exchanges and enjoy a lifetime 20% discount on trading fees!
