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Market share of major crypto exchanges touched new high in February

The market share of major cryptocurrency exchanges around the world reached a new high of 96 percent in February. This indicates that these crypto exchanges account for a higher share of the buying and selling volumes and making trading more difficult for other exchanges.

In a study conducted by analytics firm CryptoCompare, 78 exchanges have been placed in the top category. Of these, Coinbase, Gemini, Bitstamp and Binance got the highest grading. in a Bloomberg report Told been that this Study More than 150 exchanges were included in this. Bitstamp and Gemini were ahead in asset quality and diversity, while Coinbase outperformed Coinbase in terms of security and regulation. All the exchanges are ranked on eight parameters. These included Know Your Customer (KYC), transaction risk, quality and diversity of assets, regulation, team and negative reports.

It has been told in the report that the trading volume of the exchanges falling in the top category was around $ 15 trillion in February. For lower-end exchanges, the figure stood at around $62 billion. This suggests that both retail and institutional investors are moving towards less risky exchanges. Apart from this, consolidation of crypto exchanges is also taking place. Some crypto exchanges in China have closed. Acquisitions are also being done on behalf of major exchanges. Top class crypto exchanges trying to expand business overseas are increasingly interested in acquiring exchanges already licensed in other countries.

An example of this is the acquisition of Japan’s Liquid Group exchange by FTX last month. Fraud cases have also increased in the crypto segment in recent months. Because of this too many investors want to trade with exchanges that have robust processes. Regulators in many countries have also emphasized on increasing scrutiny of this segment. In many countries like America, work is being done on making laws for the crypto segment. European Union regulators have warned that those investing in cryptocurrencies should be prepared to forfeit the entire amount.

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