Decentralized exchanges are strengthening their market position, challenging major centralized platforms in the cryptocurrency world.

Decline in Binance's Market Share

Binance, the largest cryptocurrency exchange, has seen a decrease in its market share. Its spot trading volume fell from 52.5% in October 2023 to 39.54% now. Additionally, Binance's derivatives market share dropped from 50.9% last October to 42.5% this year.

Rise of Competitors

Smaller competitors like Bybit, Bitget, and OKX have leveraged Binance's declining dominance to expand their market presence. Bybit climbed from the seventh position with a 3.2% market share last year to second place with 8.51%. OKX, now third in spot exchanges, saw its share modestly increase from 5.4% to 6.38%. Bitget expanded its market share from 8.2% to 12.7% through educational initiatives and strategic partnerships, including collaborations with renowned athletes and teams.

The Rise of Decentralized Exchanges

Decentralized exchanges pose an increasing threat to centralized platforms with their rising trading volumes, surpassing $250 billion monthly in March and June. In October, DEX spot trading volume was 13.6% relative to CEXs.

Despite the challenges faced by platforms like Binance, an increase in market share since early 2024 has been noted, complicating the efforts of competitors to capture more of the market.