Just Eight Exchanges Handle 90% of All Crypto Trading Volume

09/11/2023 06:38
Just Eight Exchanges Handle 90% of All Crypto Trading Volume

In cryptocurrency markets, liquidity is uber-concentrated and has become more so over time, with nearly all of it found on just eight exchanges.

Just Eight Exchanges Handle 90% of All Crypto Trading Volume

  • Concentrated markets can be good and bad, researcher says
  • But they can create points of failure for industry, they add

The top eight platforms account for nearly 92% of depth and 90% of volume.

Photographer: Jack Taylor/Getty Images

In cryptocurrency markets, liquidity is uber-concentrated and has become more so over time, with nearly all of it found on just eight exchanges.

The top eight platforms account for nearly 92% of depth — a measure of all bids and asks within 10% of the mid price — and 90% of volume, according to Kaiko. Binance, the largest crypto exchange, has this year accounted for more than 30% of global market depth and more than 60% of worldwide trade volumes. Besides Binance, the list also includes Coinbase, OKX and Huobi, among others. For context, there are hundreds of crypto exchanges, according to data from CoinGecko, though many of them see negligible or no trading at all.

Up Next

Just Eight Exchanges Handle 90% of All Crypto Trading Volume

Read more --->