After Binance, a prominent cryptocurrency exchange, reached a substantial settlement of $4.3 billion with United States regulators last week, the cryptocurrency landscape has experienced notable shifts.
A recent report from on-chain data analytics firm Kaiko Research highlights these changes.
The settlement between Binance and the United States Department of Justice (DoJ) came as a resolution to allegations related to anti-money laundering practices.
In the wake of this legal development, various crypto exchanges have witnessed alterations in their market share dynamics.
One of the key findings in Kaiko Research’s report is the surge in Coinbase’s market share.
The report indicates that Coinbase experienced an increase in its trading volume, particularly during the European trading day and outside the regular U.S. trading hours. This suggests that Coinbase’s market share grew significantly during these times.
Bybit, another cryptocurrency exchange, emerged as a standout winner in the report, showing substantial market share gains throughout the entire day.
Bybit’s market share increased by more than 20% in 16 out of 24 hours, highlighting its resilience and competitiveness in the cryptocurrency market.
Despite the changes in market share dynamics, Binance has managed to maintain its liquidity across various cryptocurrencies, including Bitcoin (BTC) and altcoins.
READ MORE: Paolo Ardoino Takes the Helm as Tether’s New CEO, Unveils Ambitious Expansion Plans
This means that Binance remains a leader in terms of providing ample trading liquidity despite the legal challenges it has faced.
Interestingly, some industry leaders view Binance’s settlement with the DoJ as a positive development for the broader crypto community.
Galaxy Digital’s Mike Novogratz expressed optimism, stating that the legal resolution has reduced concerns associated with dealing with Binance, thereby reducing risk within the crypto industry.
In more recent news, Coinbase’s shares reached an 18-month high following Binance’s legal troubles.
On November 27th, Coinbase’s closing price reached $119.77, the highest level since May 2022 when it closed at $114.25, as reported by TradingView data.
This surge in Coinbase’s stock price suggests increased investor confidence in the exchange and its position in the cryptocurrency market.
In conclusion, Binance’s settlement with U.S. regulators has triggered changes in the cryptocurrency market’s landscape, with Coinbase and Bybit notably gaining market share.
Despite the legal challenges, Binance continues to maintain its liquidity leadership, and industry experts see the resolution as a positive step for the crypto community.
Additionally, Coinbase’s stock price reaching an 18-month high underscores growing investor interest in the exchange.
Discover the Crypto Intelligence Blockchain Council
