Binance US saw increased trading volume and market share during Q1 2023, despite the Commodities Futures Trading Commission (CFTC) lawsuit. Binance still maintains a 54% CEX market dominance.
Since the disgraced Sam Bankman-Fried’s FTX collapse last November, regulators in the US and other jurisdictions have tightened the noose on centralized bitcoin (BTC) trading venues, with Changpeeng Zhao’s Binance empire coming under increased scrutiny also.
Just last week, reports emerged that Binance US had been slapped with a $1 billion lawsuit, barely one month after the CFTC took legal action against Binance for allegedly violating the country’s Commodity Exchange Act.
According to crypto market data provider Kaiko, these recent dark events have triggered a 16% decline in the market dominance of Binance, leaving the exchange with a 54% global CEX market share.
Coinbase is in the red
The researchers have revealed that despite the regulatory onslaught, the Binance US market share has increased by over 24% from its previous 8%.
However, the same cannot be said of Brian Armstrong’s Coinbase, which recently received a Wells notice from the US Securities and Exchange Commission (SEC). Coinbase market share crashed to 49% during q1, from a weekly average of 60% during the previous quarter.
At the time of writing, Coinbase’s (COIN) shares trade for $63.04, representing a 1% decline in the 24-hour timeframe, according to Google Finance.