Data from the CryptoCompare site for October 2018 reveals that crypto-to-crypto trading platforms such as Binance have dominated spot crypto-markets.
It also teaches that BitMex is a leader in Bitcoin futures, with 90% of global volumes.
The domination of “crypto-to-crypto” stock exchanges
The “Exchange Review” study for the month of October 2018 offered by the CryptoCompare website reveals the dominance of “crypto-to-crypto” platforms in the markets. They traded an average of $ 7 billion a day on a daily basis, while stock market volumes using fiduciary money never exceeded $ 4 billion a day.
The site was able to identify 61 sites exclusively “crypto-to-crypto” and 63 platforms offering “fiduciary pairs”. His study shows that the average volumes traded daily by exchanges offering exclusively cryptocurrencies were $ 4.7 billion, against only $ 2 billion for others.
For example, platforms that only offer “crypto-to-crypto” pairs accounted for nearly three-quarters of all spot trading in the ecosystem in October.
“The blockchain does not impose any barrier”
In an interview with the CryptoGlobe site in September, Changpeng Zhao, CEO of Binance, pointed out the reasons that could explain such a situation.
Referring to the progress of its recently launched “crypto-to-fiat” platform in Uganda, the leader said that “more time is needed to set up stock market trusts” because the companies that run them can not “Exercise control over certain aspects, in particular with regard to bank accounts, fiduciary currency payments, …”.
And to add this:
“It’s a lot more complicated than in the case of an exclusively crypto platform. With these, we control everything: the blockchain does not impose any barrier.
Note that Bithumb – a South Korean stock exchange recently bought by the giant BK Global Consortium for 305 million euros – recorded a sharp rise in volumes in October.
A breakthrough that goes hand in hand with the rise in activity around the South Korean won. Previously involved in only 10% of trading volumes between Bitcoin and fiduciary currencies, its weight has increased by 230%. It is now the third most used currency by investors to speculate on the BTC (16%), behind the Japanese yen (21%) and the US dollar (50%).
Note that CryptoCompare also provides a graph representing the different trading platforms according to the volumes they processed daily in October:
It is Binance that dominates this ranking, with nearly a billion dollars of daily exchanges. It is followed by Hong Kong’s OKEX and Bitfinex platforms.
Futures markets: 90% of volumes for BitMEX
The CryptoCompare study also reveals that trading volumes of Bitcoin futures were weak in October. This trend is especially true on regulated platforms such as the Chicago Board Options Exchange (CBOE) and the Chicago Mercantile Exchange (CME).
The paper shows that, on average, just under $ 7 billion was traded daily on “spot” crypto markets. For their part, the futures contracts represented average daily volumes of $ 3.2 billion.
And it is BitMEX that outrageously dominates the futures markets with its perpetual contracts “XTB to USD”, before the contracts “BTC to JPY” of Bitflyer FX. The platform founded in 2014 by Arthur Hayes and his two partners represents 90% of the digital asset futures markets.
For their part, the future markets managed by the CBOE and the CME, yet announced with great pomp last year, each correspond to less than 1% of the weight of the crypto-markets.
For CryptoCompare, the arrival of Bakkt – a crypto-startup that will be launched in a few weeks by the American juggernaut Intercontinental Exchange – could inject new momentum into this market. The platform plans to offer Bitcoin futures which will be settled by “physical delivery” of BTCs, which could boost the activity of regulated platforms.