Binance lose ground to rivals; DEX’s on the rise: Report

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Quote from: JollyGood on October 28, 2024, 03:08:29 AM

I never used Bybit therefore do not know a lot about them nor about the coins/tokens they are listing but I have read about them suspending accounts for no appropriate reason. I think this will have to be put in a scam accusation if I manage to get time to research about their business. If they are selective scamming members it will be wise to bring it to the attention of as many people as possible.

I actually had some very bad experience with them after using them for a few years. I also noticed my case was not isolated and opened up a thread about the experience I had with them Bybit now forcing users to carry out Facial recognition when withdrawing.

After that, I boycotted depositing any money there. I am not sure if they are any different now.

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Quote from: JeromeTash on October 27, 2024, 04:08:16 PM

Lately, Bybit has also been trying so hard to list shitcoins aka memecoins for their spot markets. Perhaps this explains why they have a high market share. Also, they have been trying to capture the derivatives market after Bitmex started declining.

I mean it's been memecoin / shitcoin season for months now. New VC-backed L1's and L2's are struggeling and memes are pushing to new highs. Look at these new ai memes. $GOAT didn't exit 2 weeks ago, now it sits at $800m FDV. Same goes for $MOODENG and all these other shitters.

Of course these exchanges want to profit on this, so it only makes sense these coins. If people want to trade worthless vaporware online, exchanges will offer that to them.

If the meta doesn't change, we will see a lot more memes get listed on so-called "1st tier" CEXs.

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I never used Bybit therefore do not know a lot about them nor about the coins/tokens they are listing but I have read about them suspending accounts for no appropriate reason. I think this will have to be put in a scam accusation if I manage to get time to research about their business. If they are selective scamming members it will be wise to bring it to the attention of as many people as possible.

Quote from: JeromeTash on October 27, 2024, 04:08:16 PM

Lately, Bybit has also been trying so hard to list shitcoins aka memecoins for their spot markets. Perhaps this explains why they have a high market share. Also, they have been trying to capture the derivatives market after Bitmex started declining.

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Quote from: yhiaali3 on October 26, 2024, 12:45:14 PM

What surprised me in the chart is that BitGet ranks fourth in the market with 12.73%, even though it is considered a relatively new exchange compared to older exchanges in the market.

The answer is in listing shitcoins as fast as possible Grin

Quote from: JollyGood on October 27, 2024, 08:23:09 AM

I expected Binance to remain top by a huge margin and it has but Bybit has a 13.8% of the market share and that confuses me. From what I understand, Bybit are notorious for suspending accounts that have deposits from on-the-fly exchanges and coinjoin software. If that is true, Bybit should be avoided. The other one that stood out was OKX because their 19.83% share is massive, I expected it to be much lower.

Lately, Bybit has also been trying so hard to list shitcoins aka memecoins for their spot markets. Perhaps this explains why they have a high market share. Also, they have been trying to capture the derivatives market after Bitmex started declining.

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I expected Binance to remain top by a huge margin and it has but Bybit has a 13.8% of the market share and that confuses me. From what I understand, Bybit are notorious for suspending accounts that have deposits from on-the-fly exchanges and coinjoin software. If that is true, Bybit should be avoided. The other one that stood out was OKX because their 19.83% share is massive, I expected it to be much lower.

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Despite Binance's share of spot trading volume declining by 13% year-over-year, it still has the largest share as i can see from the chart, far ahead of its closest competitors.

What surprised me in the chart is that BitGet ranks fourth in the market with 12.73%, even though it is considered a relatively new exchange compared to older exchanges in the market.

I was also surprised that Gate.io's share is only 1.8%, I expected it to have a much larger trading volume.

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Quote from: _act_ on October 26, 2024, 11:40:16 AM

What happened to Binance? Nothing happened to Binance.

Looks like you either did follow on what was going on or just don't remember
The Government bans, the fines, and witch hunt, the resigning, arrest and jailing of former CEO. Dude all this happened to Binance among other things.

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You talked about BitMex, I used m the exchange this year. No one will trade on exchanges like Binance, Bybit, OKX and other ones like them that will like BitMex. BitMex spot trading is annoying, their trading fee is high, there withdrawal fee is high, the exchange is not supporting many other blockchains for deposit and withdraw.

Like I said, it was the biggest derivative exchange back in the day even before the likes of Binance introduced derivatives on their platforms. It was the first exchange I used for trading derivatives. They later introduced spot trading, but this was after they were already on their way down the drain.

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Quote from: JeromeTash on October 26, 2024, 11:35:19 AM

They are pretty much well based on what has happened to them in the last 2–3 years. Some exchanges wouldn't stay the same again, let alone still remain dominant. Take an example of Bitmex which was probably the biggest crypto derivatives exchange some years back until the Law enforcement and regulators started which hunting them including charging their then CEO.
I still think DEXs are just DEXs. No big change from the past.

What happened to Binance? Nothing happened to Binance. You talked about BitMex, I used m the exchange this year. No one will trade on exchanges like Binance, Bybit, OKX and other ones like them that will like BitMex. BitMex spot trading is annoying, their trading fee is high, there withdrawal fee is high, the exchange is not supporting many other blockchains for deposit and withdraw. The exchange has just started derivative trading like 5 months ago. I still used it this year when they do not have derivative trading. Even I have not tested the derivative trading but I was sent a message via email about it.

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They are pretty much well based on what has happened to them in the last 2–3 years. Some exchanges wouldn't stay the same again, let alone still remain dominant. Take an example of Bitmex which was probably the biggest crypto derivatives exchange some years back until the Law enforcement and regulators started which hunting them including charging their then CEO.
I still think DEXs are just DEXs. No big change from the past.

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Quote from: hugeblack on October 23, 2024, 01:36:27 AM

A successful company may be affected by the absence of a CEO or may not turn profitable with a new CEO, but its name should not be associated with the CEO. If Binance is nothing without CZ, then the company was not built properly from the beginning. The decline in trading volumes on Binance may be due to competition, regulatory restrictions, and their lack of spending on advertising as it was in the past, more than it is related to CZ.

I am very sure you get the reason. Before Binance CEO, CZ was accused by the United States that led to CZ removal as Binance CEO, the trading volume has been declining in percentage since 2022/2023. This is not the first time I have read a news similar to this one. But just that the declination continued.

What I read before, many months ago or last year was that as Binance trading volume still increased a little, that most new traders are joining other exchanges like OKX and Bybit which makes Binance trading volume in percentage to decline. Now people are joining Bitget. Also decentralized exchanges are there.

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Quote from: FinneysTrueVision on October 25, 2024, 01:03:09 AM

Because of regulation Binance had to stop operating in some countries and has had to kick users off their platform. We also cannot expect them to remain so dominant forever. Eventually, other exchanges will adapt and introduce features that will increase their popularity relative to Binance.

One of these is my country, and many of us here have no choice but to trade on other exchanges. But based on the article, it has something to do on what the other exchanges are doing, like Bitget's collaboration

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“Bitget’s collaboration with high-profile athletes like Lionel Messi and global sports teams such as Juventus helps build trust and recognition, driving new users to the platform.”

Not to mention that Bitget is almost everywhere; they do massive advertisements. I have seen them on social media, and of course the shilling helped them for people to always remember them, making their brand noticeable.

Its both the lack of action of Binance and the massive advertising their competitors are doing. When you relax on your laurel, the competition will get closer and close the gap. I'm sure Binance management is aware of this, and we will be surprised by their next course of action.

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Quote from: hugeblack on October 23, 2024, 01:36:27 AM

Quote from: shogun47 on October 23, 2024, 01:05:01 AM

Wherever Binance is heading, it has done its job for CZ for sure! He was released from prison I think four weeks ago and is now writing a book. I am sure we will never find out a definite answer, but I asked myself sometimes how much money he has really managed to make.

A successful company may be affected by the absence of a CEO or may not turn profitable with a new CEO, but its name should not be associated with the CEO. If Binance is nothing without CZ, then the company was not built properly from the beginning. The decline in trading volumes on Binance may be due to competition, regulatory restrictions, and their lack of spending on advertising as it was in the past, more than it is related to CZ.

In theory what you say is true but we cannot deny that under CZ's leadership Binance has been performing much better. This shows that a company should not depend on a single individual, but also shows that each person's leadership will produce different results.

I think the only reason Binance is losing market share is because of regulatory issues, they are in the crosshairs of the US government and making expansion more difficult than ever.

Also, the market share decline could be good for them because if they continue to dominate the market and create too much of a gap with other exchanges, there is no guarantee that they won't be attacked by the US government again. If they were a US company like Coinbase or Kraken, the story would be different.

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Because of regulation Binance had to stop operating in some countries and has had to kick users off their platform. We also cannot expect them to remain so dominant forever. Eventually, other exchanges will adapt and introduce features that will increase their popularity relative to Binance.

Most of the trading I do is on DEXs, and I can understand why their popularity is increasing. If they were as easy and seamless as CEX trading then centralized exchanges would become obsolete. We are not there yet so CEXs will continue to exist but their share might continue to decrease.

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I looked at the report and it seems the rise of DEX is still small (probably around 3 percent if I read it correctly). The article claims for every $1 billion traded on CEX only $130 million or so are traded in DEX. It's unclear which DEX are they referring to since some DEX are launched by exchanges and it's hard to see them being completely disconnected from their main company.

It's healthier that the market becomes less concentrated on Binance I believe. Hopefully, their competitors don't make mistakes and people learned their lesson so we don't see another major hacking case, though that seems unlikely.

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Quote from: Pmalek on October 24, 2024, 07:39:27 AM

Quote from: Russlenat on October 24, 2024, 07:14:10 AM

Even though they’re still leading the market, it's not necessarily bad news to see other CEXs catching up. It’s actually good; the less Binance holds of the total trading volume, the lower the risk if something like an exit scam were to happen.

It's not just exit scams and insider thievery that could have a negative effect on the market and value of cryptocurrencies. The more crypto Binance holds in its wallets, the bigger the stack that could be hacked. Binance has been hacked before and it can happen again to any CEX whose staff commit security mistakes.

That’s definitely another risk, and we can't deny it could happen..it’s happened to other exchanges before. One more thing I forgot to mention earlier: there’s also the recent SEC accusation against Binance. The SEC amended its lawsuit, accusing them of things like wash trading. If these accusations are true, it means they’ve been manipulating the market. And considering they hold 42% of the market share, that's enough to significantly mislead people through shady practices.

This is why having a more competitive market share among exchanges is so important. It leads to more realistic market prices, without any one player having too much power to manipulate things.

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Quote from: Russlenat on October 24, 2024, 07:14:10 AM

Even though they’re still leading the market, it's not necessarily bad news to see other CEXs catching up. It’s actually good; the less Binance holds of the total trading volume, the lower the risk if something like an exit scam were to happen.

It's not just exit scams and insider thievery that could have a negative effect on the market and value of cryptocurrencies. The more crypto Binance holds in its wallets, the bigger the stack that could be hacked. Binance has been hacked before and it can happen again to any CEX whose staff commit security mistakes.

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Definitely, it’s all about trust, especially after the CEO got jailed, which hurt Binance's reputation quite a bit. Even though they’re still leading the market, it's not necessarily bad news to see other CEXs catching up. It’s actually good; the less Binance holds of the total trading volume, the lower the risk if something like an exit scam were to happen. Sure, it's unlikely right now with all the money they’re making, but it's not impossible...we've seen big exchanges go down that road before.

Binance losing dominance just means other exchanges are stepping up. Slowly but surely, they’re competing. I’m hoping in the long run, we’ll see a much closer competition, with Binance gradually losing their huge market share year by year.

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Despite them losing some ground, Binance is still a major player in the crypto trading niche. I don't see any of the other centralized exchanges mentioned in the report to challenge Binance for the #1 spot, let alone a decentralized exchange rising to the top. CEXs are still the more attractive choices for average traders despite everything that has happened in the past.

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Quote from: tabas on October 23, 2024, 06:08:31 PM

Most traders still prefer to get into CEXs than the DEXs but if the number doesn't lie and it becomes consistent then that's a good sign that more people are being aware of it.

Or it could be a bad sign, the current bridges/DEX are centralized and do not provide the lowest levels of security compared to CEX and they do not care about securing deposits as much as fees so the possibility of being hacked is higher and therefore when bears come we will see more of these services closing down or bankruptcy or being hacked.

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Territorial problems and regulations make the volume of Binance lose to rivals and that's what an exchange gets when it rises from the top. But some months ago, they've just announced their milestone of reaching a high volume on their end. As for the DEXs, maybe it's just for this cycle and then when the bears come, you'd see a significant volume decrease in there. Most traders still prefer to get into CEXs than the DEXs but if the number doesn't lie and it becomes consistent then that's a good sign that more people are being aware of it.

Topic: Binance lose ground to rivals; DEX’s on the rise: Report (Read 276 times)