The second quarter of 2025 saw a significant increase in trading volumes on decentralized exchanges (DEX) while volumes on centralized platforms (CEX) declined sharply. This shift reflects new trends in the cryptocurrency market.
Growth of DEX Volume Amid Declines in CEX
DEX trading volume jumped 25% to $876.3 billion as CEX volumes dropped 28% to $3.9 trillion. The DEX-to-CEX volume ratio reached a record 0.23.
PancakeSwap Emerges as DEX Market Leader
PancakeSwap processed $392 billion in trades, accounting for nearly half of all DEX activity. The platform's explosive growth was attributed to Binance's launch of Binance Alpha in May, which routed trades through PancakeSwap's infrastructure.
Regulatory and Market Forces Drive Change
The shift toward decentralized exchanges occurred against a backdrop of increasing regulatory scrutiny on centralized platforms. Users are increasingly favoring non-custodial trading solutions that provide greater control over their digital assets.
The second quarter of 2025 marked a significant moment in cryptocurrency trading infrastructure as decentralized exchanges achieved record volumes while centralized platforms faced declines. The trend toward decentralization underscores changing dynamics in the management of digital assets.
