The
combined value of spot and derivatives trading volumes on centralized exchanges
(CEXs) jumped by 14.2% for the first time in three months, reaching $2.71
trillion in June. The bullish trend came amidst a
new wave of applications for spot Bitcoin (BTC) exchange-traded funds
(ETFs) by institutional investors.
The latest interest follows an application by BlackRock, the world’s
largest asset manager, in mid-June. The increase in volatility that trailed the US
Securities and Exchange’s (SEC) crackdown on Binance and Coinbase also pushed up the
volumes, according to the latest report by digital
asset data provider CCData.
Giving a
breakdown of the figures, CCData noted that spot trading
volume during the recent month jumped by 16.4% to $575 billion, with derivatives
volume touching $2.12 trillion, which is a 13.7% increase.
In addition, the
Chicago Mercantile Exchange (CME), the biggest derivatives marketplace in the world, saw the total
derivatives volume traded on its platform increase by 23.6% to $48.3 billion.
CCData pointed out that
institutional investors particularly flocked into BTC futures, with trading in
the derivative contract going up by 28.6% to $37.9 billion, which is the highest
volume traded on CME since November 2021.
However,
despite the positive outing last month, spot trading volumes on CEXs
remain at ‘historically low levels’ as the value touched down at a level
not seen since the fourth quarter of 2019.
Similarly, the market
share of derivatives trading on CEXs plummeted for the first time in four
months. The market shrank to 78.7% last month, declining from a peak of 79.1% achieved earlier in May.
“Binance
remains the largest venue for derivatives trading in crypto, recording $1.21
trillion in volumes,” CCData noted. “However, the exchange’s market share has
declined for the fourth consecutive month, falling to 56.8% in June, its lowest
market share since October 2022.”
On the
contrary, OKX, the second-largest digital asset derivatives trading platform,
saw its trading volumes skyrocket by 44.9% to $416 billion last month, CCData noted. The
exchange now handles 19.5% of derivatives trading on CEXs, which is its highest market
share since April last year.
The
combined value of spot and derivatives trading…
