Report: Coinbase Market Share Expands During Non-US Trading Hours, Fueled by Binance Controversies
After cryptocurrency exchange binance reached a significant multi-billion-dollar settlement with US regulators last week, on-chain data analytics firm Kaiko Research reported an increase in market share for Coinbase.
The settlement of $4.3 billion between Binance and the US Department of Justice (DoJ) on November 21 resolved allegations related to anti-money laundering.
However, these legal challenges have led to other crypto exchanges, such as Coinbase, experiencing a rise in market share, especially during European trading hours, according to the report published by Kaiko Research. The report states:
“Coinbase’s share grew the most outside of US trading hours (14-22 UTC), instead surging in the middle of the trading day in Europe and the beginning of the trading day in eastern Asia.”
Meanwhile, Bybit has seen significant changes throughout the entire day, with the report stating:
“Bybit is the immediate standout winner, gaining market share in every single hour and growing by more than 20% in 16 out of 24 hours.”
Despite the legal challenges, Binance has managed to uphold liquidity across all cryptocurrencies, leading in both BTC and altcoins, according to the report:
“Despite Coinbase’s volume share growing, Binance remains the leader in liquidity, both for BTC and for altcoins.”
Some industry leaders see Binance’s settlement with the DoJ as a positive development for the crypto community.
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Galaxy Digital’s Mike Novogratz believes that the recent legal action against Binance benefits the entire crypto industry. He stated:
“I think they’re de-risked in lots of ways. People were worried about dealing with Binance. There’s a lot less to worry about now.”
In more recent news, Coinbase’s shares have reached an 18-month high following Binance’s legal troubles. On November 27, Coinbase closed at $119.77, its highest since May 2022 ($114.25), according to TradingView data.
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