Cryptocurrency platforms worldwide are trying to bolster their share in the United States, the world’s largest market, after the two largest crypto exchanges in the country by market share, Coinbase and Binance.us, fell significantly this year due to an investigation by authorities. According to Kaiko data, Coinbase’s share fell to 51 percent in mid-June from 62 percent in January, and Binance.US shares plunged to 1.5 percent from 22 percent in March, Reuters reported.
Binance and Coinbase have been sued by the U.S. Securities and Exchange Commission (SEC) over alleged violations of securities laws. Both exchanges deny the misconduct.
The market share of institutional crypto exchanges Kraken, Bitstamp and LMAX Digital has risen by as much as 5.66 percent since the start of this year, according to data from Kaiko, which shows the global market share of exchanges operating in the US.
“Market dominance in the US is significant,” Genesis Trading trader Ravi Doshi said. “Most of the trading volume will take place at the time of trading in the US because there is the most capital and the most interest from institutions is from the US. “
The fluctuations in market share come at an uncertain time for the digital asset industry. The SEC argues that most cryptocurrencies are unregistered securities and should be regulated accordingly.
It may not be easy for other exchanges to increase their market share, according to market players. In past years, crypto exchanges could boost their trading by offering access to a number of coins, which made them popular. But now, due to increased regulatory scrutiny of these offerings, it is more difficult for exchanges to follow the old guide, since the new tokens could be considered securities. For example, both Kraken and Coinbase report offering over 200 tokens, including some that the SEC has identified as unregistered securities.
Source: CTK
