Binance is on the verge of securing a monopoly in the cryptocurrency industry after increasing its market share by nearly 31 percent over the past year.
The collapse of FTX appears to have played a role in allowing the company to assume a dominant position in the cryptocurrency market.
The company topped the list of the biggest cryptocurrency exchanges in November and appears to have increased its stranglehold on the market ever since.
Binance started 2022 with a 59.92 percent share of the market in January but that number has grown to 78.43 percent as of December 21, 2022, according to data aggregated by The Block.
Here are the highlights from the data below:
- Binance, Coinbase top list of biggest cryptocurrency exchanges in November
- Binance increased its monthly market share by 31% in 2022
- Binance’s 2022 trading volume eclipsed $5 trillion in December 2022
Binance, Coinbase Top List of Biggest Cryptocurrency Exchanges in November
Binance continued to increase its market share in the cryptocurrency industry last month.
According to spot market volumes from The Block, Binance finished the month of November with $505.62 billion in monthly exchange volume, good for 75.13% market share.
Coinbase, Kraken, BTSE, and LMAX Digital rounded out the list of the top-five biggest cryptocurrency exchanges in November. Coinbase finished the month with $62.09 billion in trading volume but no other exchange transacted more than $24 billion.
Despite earning an increasingly dominant position in the market, Binance still saw its monthly exchange volume drop by more than 46% year-over-year.
The exchange posted a monthly exchange volume of $931.83 billion in November 2021.
The top-five cryptocurrency exchanges in November 2022 in terms of spot trading volume can be found below.
- Binance: $505.63B
- Coinbase: $62.09B
- Kraken: $23.91B
- BTSE: 12.04B
- LMAX Digital: $11.17B
Note: Based on spot market volumes for cryptocurrency exchanges. Includes largest exchanges with trustworthy reporting of exchange volume metrics.
Binance Increases Monthly Market Share by 31% in 2022
Without question, Binance has emerged as the biggest winner in the wake of the FTX collapse.
In a congressional hearing on Dec. 14, Canadian businessman and TV personality Kevin O’Leary claimed that Binance “put FTX out of business”.
Binance’s CEO, Changpeng Zhao, responded to O’Leary’s comments, calling them “a bunch of nonsense claims” in a CNBC interview on Dec. 15.
Despite growing concerns about the company, the world’s leading crypto exchange managed to secure a monopoly in the industry this year.
Binance began the year with a 59.92 percent market share in January but it has increased its monthly market share to 78.43 percent as of December 21, 2022. That represents a jump of nearly 31 percent.
Check out the monthly market share for some of the world’s top crypto exchanges below.
| Binance | Coinbase | Kraken | BTSE | Binance US | FTX | FTXUS | 18 Others | |
|
Jan 2022 |
59.92% | 14.31% | 3.99% | 0.7% | 1.65% | 8% | 0.91% | 10.98% |
| Feb 2022 | 61.48% | 13.46% | 3.83% | 0.8% | 1.43% | 7.53% | 0.92% |
10.94% |
|
Mar 2022 |
65.85% | 11% | 3.86% | 0.99% | 1.24% | 7.36% | 0.7% | 9.27% |
| Apr 2022 | 67.21% | 10.46% | 3.2% | 2.29% | 1.19% | 7.14% | 0.65% |
4.06% |
|
May 2022 |
64.07% | 9.6% | 3.7% | 0.81% | 1.21% | 10.77% | 0.83% | 8.15% |
| Jun 2022 | 63.22% | 9.39% | 3.44% | 0.81% | 1.1% | 11.37% | 1.09% |
12.05% |
|
Jul 2022 |
69.38% | 8.15% | 2.75% | 0.71% | 1.99% | 8.99% | 1.01% | 8.16% |
| Aug 2022 | 69.49% | 9.26% | 2.58% | 1.3% | 1.77% | 7.8% | 1.06% |
7.7% |
|
Sep 2022 |
73.7% | 6.55% | 2.3% | 1.57% | 1.57% | 7.06% | 0.84% | 6.57% |
| Oct 2022 | 71.81% | 8.64% | 2.51% | 1.73% | 2.09% | 6.71% | 1.02% |
9.73% |
|
Nov 2022 |
75.13% | 9.23% | 3.55% | 1.79% | 1.54% | 3.15% | 0.35% | 8.77% |
| Dec 2022* | 78.43% | 9.68% | 3.83% | 1.77% | 1.68% | 0% | 0% |
4.61% |
*as of Dec. 21, 2022
Trading volume eclipses $5 trillion in December 2022
For the year, Binance’s trading volume has eclipsed $5 trillion.
Despite reaching the milestone, Binance’s trading volume is set to decrease by a projected 40 percent year-over-year.
The drop in trading volume reflects the state of consumer confidence in the cryptocurrency market.
Compared to 2021, Binance’s trading volume was down 44.49 percent from January through November.
In fact, Binance has watched its monthly trading volume to decrease year-over-year in every month during 2022.
May (65 percent) and April (60.6 percent) were the months with the biggest year-over-over decreases in trading volume. Meanwhile, January (2.69 percent) and July (3.49 percent) had the lowest year-over-year decreases.
Check out Binance’s monthly trading volume below.
| 2021 (in billions) |
2022 (in billions) |
Change YoY | |
| January | $518.04 | $504.12 |
-2.69% |
|
February |
$760.97 | $423.87 | -44.30% |
| March | $757.26 | $490.34 |
-35.25% |
|
April |
$1,180 | $465.34 | -60.56% |
| May | $1,520 | $532.11 |
-64.99% |
|
June |
$677.95 | $397.83 | -41.32% |
| July | $454.82 | $438.96 |
-3.49% |
|
August |
$751.28 | $437.84 | -41.72% |
| September | $828.02 | $540.77 |
-34.69% |
|
October |
$856.08 | $390.41 | -54.40% |
| November | $931.83 | $505.63 |
-45.74% |
|
December |
$656.75 | $206.11* | -68.62%* |
| Total | $9,893 | $5,333.33 |
-46.09% |
*as of Dec. 21, 2022
