The top crypto exchange company Binance has recently witnessed a negative impact caused by its former developments. The reports have pointed out that the crypto exchange has seen a slump in its market share. The latest statistics have disclosed that the platform has gone through this great loss following the closure of a significant service. Since it stopped the zero-fee trading for the top crypto Bitcoin (BTC), it has been seeing this huge dip.
Binance’s Market Share Drops with Termination of Zero-Fee Trading Promotion for BTC
A report was published a few days back by CCData to provide details about this development. As per the report, the market share of the popular crypto exchange has consistently dropped in recent times. The platform’s market share has continuously dropped for the 2nd time to 46.3%. The respective percentage indicates the crypto exchange’s least market share proportion since October last year.
This continuous slump occurred after the decision by the crypto exchange to stop the zero-fee trading for the top crypto token Bitcoin (BTC). The respective service was initiated on a promotional basis for Binance for several trading pairs of Bitcoin. This was done to attract more users, as mentioned by a representative from the crypto exchange.
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According to the representative, the platform expected a slump in its market share after the closure of the promotional zero-fee trading. Nonetheless, the representative asserted that this was not an apprehension for the company. In the words of the representative, the platform will keep on maintaining its resilient performance within the financial sector to ensure good progress in the future.
The spokesperson moved on to say that the current objective of the crypto exchange is to cope with the needs of its consumers via some existing as well as exclusive products. In addition to this, the platform also intends to continue investing in compliance procedures for the unique epoch of regulatory certainty.
Formerly, it was reported that the crypto exchange controlled more than 50% of the market share. Additionally, a few numbers went to a huge point of up to 57.5%. Apart from that, the reports specified a 48.1% slump in the spot trading-related operations of the platform back in April. As a result of that, the respective figure dipped to the $287 mark in that month.
Minor Crypto Exchanges See Slight Momentum Contrary to the Big Players
Though the biggest exchanges like OKX and Coinbase counted for just 5.39% and 5.60% of the cumulative market share of the spot trading, the minor exchanges have been seeing a slight momentum. For instance, Upbit is currently having 4.77% of the total market share in comparison with the 2.81% that was seen at this year’s beginning. The spokesperson asserted that Binance promotes competition as it is healthy and drives innovation within the industry.