Kaiko experts note that at the moment, the largest cryptocurrency exchange Binance is responsible for more than half of all transactions on the spot cryptocurrency market. And the trading volume on the two largest platforms exceeds 60% of the total trading volume. By comparison, in 2020, the largest site only accounted for 24% of the total.
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“This trend may continue due to the overall decline in market activity. This puts pressure on smaller cryptocurrency exchanges,” Kaiko analysts wrote.
According to The Block, the Binance exchange saw 47.15% of all transactions on the spot cryptocurrency market in July. This is the lowest value in 12 months.
Despite Binance’s overwhelming leadership, the company’s share of the cryptocurrency market continues to decline. So, while back at the beginning of the year the company held 72% of the CeFi market, now volumes have dropped to 58%.