Binance’s Market Share Keeps Falling

The recent boom in cryptocurrencies has revitalized an industry that had been suffering from the collapse of FTX, increased regulatory scrutiny, and numerous bankruptcies.

It’s clear that we are back in the game, right now. I can see the evidence in my inbox, as companies that were acquired for record-breaking sums in 2021-2022 and then went quiet in 2023 are now eager to participate in our podcast and share their insights on the market.

However, while some may feel a sense of relief with bitcoin’s price reaching $35,000, others may not. Binance, in particular, stands out with its gradual decline in market share over the past year.

According to data from The Block’s dashboard, its market share among exchanges that do not support USD has gone down from 74% in December 2022 to 50% this month.

This decline has been attributed to several challenges faced by the company, including several high-profile executive departures and the perplexing case of a Citadel veteran who was announced to be joining Binance but never did.

In addition, Binance is also facing charges from both the Commodities Futures Trading Commission and the US Securities and Exchange Commission, causing some trading firms to scale back their activity on the exchange.