Binance’s market dominance plunges by 16% in the last 3 months
Reportedly Binance exchange lost a big part of crypto trade volume dominance in the crypto sector because of several factors.
Binance is a top-ranked crypto trade platform, thanks to its transparent financial operations & secured crypto services. This exchange was established in 2017 by its current CEO Changpeng Zhao (CZ). Before this date, more than 65% of the total crypto trade volume happens on this exchange.
On 4 April 2023, Crypto analytic platform Kaiko reported that the Binance exchange lost 16% of its total crypto trade dominance. So now Binance holds 54% market share.
Recently the United States Commodity Futures Trading Commission (CFTC) agency sued this exchange over alleged unregistered derivatives trading services for the US crypto investors & non-cooperation with the US regulators.
Kaiko report noted that the CFTC lawsuit is not influencing the dominance of this exchange, instead, a recent decision taken by this exchange to end zero-fee spot and margin trading for 13 trading pairs including BNB, Ethereum, and Bitcoin resulted in a negative impact.
The report noted that Bitcoin is still the top in this Crypto sector with holding market share more than the total market share held by all of its competitors.
Interestingly BinanceUS, an independent US subsidiary of Binance exchange, saw an increase in its dominance by 3 times within the last three months.
FTX downfall
In Nov 2022, the FTX exchange collapsed badly and that resulted in a better opportunity for the leading Crypto companies to show dominance.
After FTX’s downfall, Binance saw Marketshare surge from 50% to 65%, and OKX exchange saw 10% to 17%. Opposite of these increments in market share, small crypto companies saw a small decline in their market share.
Read also: Doge price surges 25% within 24 hours as Twitter replaced its logo with Doge coin
Comments