The year 2022 has been particularly pivotal for the ecosystem, especially with the fall of FTX. And this has only strengthened an already important platform: Binance. Focus on the empire of Changpeng Zhao.
Binance takes the place of FTX
The trading volumes shown by Binance were already much higher than its direct competitors, but the fall of FTX only made matters worse. December was the first month after the failure of Sam Bankman-Fried’s platform, and we can see that this benefited its biggest competitor at the time enormously.
Binance has truly arrogated itself 77.8% of cryptocurrency spot trading volume over the past month, according to data shared by The Block. This is an all-time high for the platform. For comparison, Coinbase garnered “only” 9.8% of trading volume in the same period. As a reminder, Binance has been one of the most vocal platforms on the need to provide better guarantees to users, especially with the creation or provision of different emergency funds.
The result is that users they seem to have moved to known platformsrather than less famous players within the ecosystem:
“Binance was already a dominant player in this space and the exchange was swift in an effort to restore confidence and help the industry. »
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The big winner of 2022?
A sentiment confirmed by analysts at Arcane Research, who also claim that Binance has become the cryptocurrency market in itself:
“There is no other “winner” of 2022 […] when it comes to structuring and dominating the cryptocurrency market. Regardless of how trading activity is viewed, Binance is the cryptocurrency marketplace.»
With a figure that makes your head spin: on the year that has just ended, Binance managed to capture 92% of Bitcoin (BTC) spot trading.. And these performances should continue, according to analysts, who expect a return of transaction fees on the platform.
However, this will face some hurdles. Its proof of confidentiality has already been criticized and the company that carried out its review eventually withdrew. In France, the platform he has been accused of benefiting from a certain laxity by the government and the MFAthat he would allow her to promote herself when she didn’t have the right.
However, Binance is moving forward and its hegemony today seems little threatened. The Changpeng Zhao platform is therefore expected to continue to capture very large market shares in 2023.
👉 On the same topic – “Complacency” by Emmanuel Macron and the French government? 15 investors file a lawsuit against Binance
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Source: The Block Data & Insights – Image: Web Summit via Flickr(CC BY 2.0)
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Cryptoast reporter, I fell into the cryptocurrency pot a few years ago. I am passionate about the innovative technologies that come with the blockchain and I like to find the sharpest information to share with you.
Marine Debelloir
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