Binance Retains Crypto Exchange Dominance in March
Binance, one of the worldโs leading cryptocurrency exchanges, has reportedly captured 30% of spot volume market share totalling $490 billion in March, 15% increase from the month prior. The exchangeโs market share rose by 1% compared to its 29% spot volume in February.
The data was from a report by CryptoCompare, an independent global cryptocurrency market data provider, which aimed to capture the key developments within the cryptocurrency exchange market.
As per the data, Binance was followed by another US-based crypto exchange Coinbase (COIN) at $81.9 billion, which went down by 12%, and Seychelles-based exchange OKX with $75.9 billion, a record down by 26% compared to its February volume.
โThis remains in line with their market share over the last 12 months. Coinbase and OKX saw their market share of monthly spot volumes peak at 7.8% in December 2017 and 19.8% in May 2018, respectively,โ CryptoCompare wrote.
โBinance has had significant market share for quite some time alreadyโฆ They are very reliable (technically), cover a large array of tokens and offer some of the best liquidity, which attracts volume.โ โFlorian Giovannacci, head of trading at Covario, the Swiss based digital asset prime broker
Moreover, according to Cryptocompareโs data, Binanceโs retained dominance in March is just marginally below its record market share of 34% that was reached in November 2021.
Binance also led the derivative markets with 52% of total volumes in March, followed by OKX and Bybit.
After six straight months of decreased volumes, Binanceโs derivatives volumes finally increased in March. The exchangeโs derivative market activity had increased by 4.6% to $2.74 trillion, attaining a market share of 62%, compared with the market share for spot volumes which was 37%.
However, this is still significantly lower than the all-time highs reached in May 2021 where the derivative volumes reached a total of $9.99 trillion, a 68% volume at the time.
Accordingly, in March, Binance announced that it signed a Memorandum of Understanding (MoU) to form a strategic partnership with SM Brand Marketing (SMBM), a subsidiary of South Korean entertainment company SM Entertainment (SM). (Read more: Binance Partners with KPOP SM Entertainment Subsidiary to Establish Play-to-Create Ecosystem)
Binance also partnered with K-pop label YG Entertainment in Februray to aid the entertainment company as it ventures into the NFT space. (Read more: YG Entertainment Partners with Binance to Venture in NFTs)
This article is published on BitPinas: Binance Retains Crypto Exchange Dominance in March
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