Crypto trading fees reduce the amount of a gross trading gain that remains in the account. The full economic cost can also include the bid-ask spread, slippage and funding payments on perpetual contracts. These items are related, but they are not the same charge.
A simple cost illustration
Suppose a hypothetical completed trade makes $50 before costs. If entry and exit fees total $12, adverse slippage adds $8 and funding paid is $5, the net result is $25. This assumes those costs have not already been deducted from the $50 figure.
That final qualification matters. Subtracting the same cost twice can understate returns just as excluding it can overstate them.
Why turnover matters
When each trade has a cost, more trading increases the amount the strategy must earn to break even. A small advantage per trade may disappear once the full trading process is included.
Funding is a separate mechanism connecting perpetual and reference-market prices. Depending on the contract and market conditions, it can be paid or received; it should not simply be treated as a constant exchange fee.
For AlphaNet performance comparisons, the key is consistent accounting: the same period, the same treatment of fees and funding, and a clear distinction between simulated costs and actual completed trades.