#cryptonews
Binance, the world’s largest cryptocurrency exchange, has witnessed a significant decline in its market dominance over the past year.
As competition heats up from both centralized and decentralized exchanges (DEXs), Binance’s once unassailable lead in the crypto trading space is shrinking. According to a report released by 0xScope, Binance’s share of spot and derivatives trading has seen noticeable dips as rivals like Bybit, Bitget, and OKX continue to rise.
This 13% year-over-year decline can be largely attributed to the pressure Binance has been facing from its competitors.
The decline in market share has been particularly evident in spot trading, where the exchange saw its share drop from 52.5% in October 2023 to 39.5% by October 2024.
Despite these losses, Binance remains the largest player in the global centralized exchange (CEX) market, with a combined total trading volume of $22.5 trillion, a large chunk of the $54 trillion market volume.
This represents an 8.4% drop, which further illustrates the exchange’s mounting challenges.
OKX and Bitget have benefited from Binance’s losses, with OKX increasing its derivatives market share from 15.5% to 19.83% and Bitget growing from 8.2% to 12.73%.
Bybit’s rise to prominence is because of its growing share in the derivatives market, which climbed from 11.3% to 13.98%.
However, Binance’s dip in dominance has created opportunities for others. Bybit, in particular, has surged in spot and derivatives trading, jumping from seventh place last year with a 3.2% share to second place with 8.51% of the spot market.