CCData: Binance’s Cryptocurrency Spot Trading Market Share Drops to Just 30%! OKX and Bybit Catching Up Rapidly
CCData
Data from last week showed that after a series of accusations and lawsuits lasting 8 months, the monthly trading volume of the cryptocurrency exchange Binance has dropped by 70% and its market share has fallen to 30%. In contrast, OKX and Bybit, the second and third runners-up, have experienced rapid growth in the past year, with a combined market share in the spot and derivative markets reaching a new all-time high.
Binance’s trading volume has lost 70% over the past year
OKX and Bybit have caught up quickly
Executive departures, CZ stepping down, what is the next step for Binance?
Since March and June of this year, Binance has been involved in lawsuits with the U.S. Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), with charges including money laundering, operating an illegal derivatives exchange, and illegally providing services to U.S. citizens.
Coindesk, citing data from CCData, reported that Binance’s market share in the spot market has experienced an unprecedented decline, dropping from 55% at the beginning of the year to 30.1% in December. The monthly trading volume in the spot market has decreased from nearly $500 billion in January to $114 billion in September, a loss of over 70%.
Similar data aligns with Nansen’s observation of Binance’s outflow of funds after CZ stepped down, and it is reported that the company’s assets have depreciated by $1 billion after reaching a settlement with the U.S. Department of Justice.
However, CCData also revealed that despite the continuous decline in Binance’s market share, it is still the largest centralized exchange (CEX) and far ahead of other competitors in terms of scale.
In addition, OKX and Bybit, the second and third runners-up, have achieved significant market growth this year, with the former’s market share increasing from only 4% at the beginning of the year to 8% in December.
According to data, considering the trading volume of both spot and derivative markets, the monthly trading volume of almost all exchanges has shown a gradual increase trend in the past 3 months. However, Binance’s market share has dropped from 60% this year to 42%, while OKX has grown from 9% to 20.2%, ranking second.
Furthermore, Bybit, ranking third, holds a market share of 11.94%, which means that the combined market share of the two exceeds 32%, reaching a new all-time high in total market share.
CCData commented on this, stating that Binance’s recent lawsuits have come to an end, but Coinbase’s SEC case is still ongoing. The impressive data from OKX and Bybit highlights the response and changes in the CEX market to the aforementioned events, especially the evident increase in demand after September.
Previously, Binance and its former CEO CZ reached a settlement with the CFTC by paying $4.3 billion, and individually settled with the U.S. Department of Justice and the Treasury Department.
In addition, Binance has faced the departure of more than 10 executives, including regional leaders, a chief strategy officer, and several compliance and legal advisors. This was seen as a warning at the time and undoubtedly had an impact on Binance’s personnel structure and stability.
Binance (幣安)
Bybit
CCData
CFTC
OKX
SEC
Zhao Changpeng (CZ)
Further reading
Interview with CFTC Chairman Rostin Behnam | Clarifying a harmonious relationship with the SEC, CZ will face criminal liability
CFTC: Binance settlement may represent the peak of cryptocurrency regulation, the U.S. has “stepped up” its punishment for Binance.
