Binance, the world’s largest crypto exchange, is facing tough challenges from its rivals, who are gaining market share and popularity. According to data from Kaiko, Binance’s share of global spot trading volume fell from 90% in January to 73% in July, while OKX, Huobi, and Bybit increased their shares to 11%, 9%, and 7%, respectively.
Binance’s dominance has been eroded by regulatory pressures and reduced incentives for users. The exchange has been sued by the CFTC and the SEC for allegedly operating illegally in the US. It also ended its zero-fee trading programs, except for one pair between Bitcoin and TrueUSD, a obscure stablecoin.
Binance’s US branch, Binance.US, has also suffered a decline in market share and token prices, making it harder for American investors to trade on the platform. On the other hand, OKX, Huobi, and Bybit, which cater to the Asian market, have benefited from a friendlier regulatory environment in Hong Kong.