Binance Market Share Declines as Crypto.com Rises in Trading

A report published by digital asset data provider CCData on Oct. 3 indicates that Binance’s market dominance has experienced a notable decline.

According to the report, its spot market share has decreased to 27%, the lowest it has been since January 2021.

In September, Binance’s spot trading volume fell by 22.9% to $344 billion, marking the lowest monthly spot volume on the exchange since November 2023.

Despite this, Binance continues to lead in this area.

Binance’s Decline, Crypto.com’s Ascent

Moreover, Binance’s derivatives market share has shrunk to 40.7%, the lowest it has been since September 2020, while its overall market share (including spot and derivatives) has dipped to 36.6%, also the lowest since September 2020.

However, it still ranks as the largest derivatives exchange by monthly trading volume in September, with $1.25 trillion traded, down 20.6% from August.

Binance, Upbit, and OKX have faced the largest losses in market share, which fell by 5.3%, 4.6%, and 4.0% to 27.0%, 2.5%, and 3.9%, respectively.

As Binance loses ground, Crypto.com is benefiting, with spot and derivatives volumes each increasing by over 40%, leading to a combined market share rise to 11%, making it the fourth-largest centralized trading platform by volume.

According to CoinGecko, Crypto.com currently ranks second to Binance in daily spot trading volume, approximately $8 billion, with Bybit in third at $5 billion.

The research also highlighted that Crypto.com and Coinbase were the top-performing derivatives exchanges based on month-on-month changes, seeing increases of 42.8% and 7.05% to $149 billion and $1.88 billion, respectively.

Bybit held its third-place position with a 15.3% share of the derivatives market, while OKX maintained 18.4%.

Additionally, crypto derivatives represented just over 70% of the total crypto market volume.

Quiet Septembers

The report noted that September typically experiences slower trading volumes.

“The decline in monthly trading volume aligns with the end of the seasonal period, which is often marked by reduced trading activity.”

Traditionally, Octobers tend to be bullish; however, the crypto markets have already seen an 8% decrease, equivalent to around $200 billion, since the beginning of this month.

Nonetheless, the analysis points to a transition in market share from established exchanges like Binance to emerging ones like Crypto.com, potentially indicating a shift in trader preferences.