According to CCData, spot and derivatives trading on centralized secret exchanges fell for the second consecutive month by 11.5% to $2.09 trillion, the lowest level this year.
Spot trading activity in August fell 7.78% to $475 billion, the lowest trading decline since March 2019, the cryptocurrency data aggregator reported. Daily trading volume on centralized exchanges still reached a paltry $5.9 billion on Aug. 26, the lowest level since Feb. 26, according to CCData. July 2019
According to CCData, cryptocurrency trading activity has declined despite Grayscale's recent success with the US Securities and Exchange Commission (SEC). According to the company, the procedural deadline failed to address a significant accumulation of crypto assets. The company writes:
"TRADING VOLUMES ON CENTRALIZED EXCHANGES HAVE REMAINED LOW SINCE APRIL OF THIS YEAR AND ARE NOW AT LEVELS COMPARABLE TO THE FALL IN TRADING ACTIVITY DURING THE BEAR MARKET OF 2019."
Binance market share is declining
Although Binance continues to lead the spot trading market with $183 billion, the exchange's market share has steadily declined for six consecutive months and is currently at 38.5% (the lowest level in a year).
Binance's recent setbacks are largely due to regulatory and legal issues, which have led to significant changes within the company's leadership. Several high-ranking executives have resigned, apparently for personal reasons. But there is widespread speculation that his departure is related to increased regulatory pressure.
An example of how these issues have affected Binance is that trading volume in Russia has plummeted by more than 80%, according to Kaiko. data. Although Binance has publicly stated that it will comply with sanctions imposed on the country, recent media reports indicate that the exchange continues to use sanctioned financial institutions to settle peer-to-peer trading.
Huobi's sag increases
In August, Huobi Exchange's spot trading volume increased significantly. It is noteworthy that its cash growth increased by a whopping 46.5% to reach $28.9 billion. This increase propelled Huobi to the position of second-largest platform in the industry, with its spot market share rising to 6.3%, the highest since October 2021.
This increase in Huobi's trading activity has attracted a lot of attention, especially considering its relationship with Tron network founder Justin Sun and ongoing investigations into the stablecoin's reserves.
Post-crypto trading sinks to 2019 levels as Binance acknowledges market decline and rises in Huobi trading slump
