Binance’s Market Share of Crypto Trading Tumbled to 30% in 2023

Binance,
the
world’s
largest
cryptocurrency
exchange
by
market
volume,
has
seen
its
spot
market
share
gradually
decline
over
the
year
as
the
company
faced
an
array
of
charges
from
regulators
that
eventually
claimed
its
founder
and
CEO
Changpeng
“CZ”
Zhao.

According
to
numbers
provided
by
CCData,
Binance’s
market
share
so
far
in
December
was
just
30.1%
versus
55%
at
the
start
of
the
year.
From
January
to
September,
the
exchange’s
monthly
spot
volumes
declined
by
over
70%
from
$474
billion
to
$114
billion.
CCData
does
note
that
Binance
has
begun
to
see
a
boost
in
monthly
trading
volumes
since
September
even
as
its
market
share
continued
to
slide.

The
company
in
November
and
its
now
former
CEO
CZ
agreed
to

pay
nearly
$3
billion
to
settle
a
U.S.
Commodity
Futures
Trading
Commission
lawsuit.
This
came
alongside
separate
settlements
with
the

U.S.
Department
of
Justice
and

Treasury
Department.

In
addition
to
the
exit
of
its
CEO,
the
company
also
witnessed
a
large
number
of

executive
departures
this
year,
including
its
Chief
Strategy
Officer
Patrick
Hillmann,
Senior
Director
of
Investigations
Matthew
Price
and
U.K.
chief
Jonathan
Farnell.

Despite
Binance’s
decline
in
spot
trading
market
share
over
the
year,
it
still
remains
the
largest
cryptocurrency
exchange
by
a
wide
margin.
In
second
place
to
Binance’s
30%
is
Seychelles-based
OKX,
which
has
seen
its
market
share
grow
to
8%
in
December
from
around
4%
to
start
the
year,
according
to
CCData.

The
numbers
are
similar
when
looking
at
combined
spot
and
derivatives
trading,
where
Binance
saw
a
decline
in
market
share
to
42%
from
60%
while
OKX’s
grew
to
21%
from
9%.