Amid a host of legal challenges and leadership turnover, Binance has seen its spot market share fall a remarkable 30% in 2023. Specifically, the crypto exchange had seen its monthly spot volume in September fall by $114 billion. Subsequently, that figure is down from $500 billion in January following regulatory scrutiny first levied at the exchange.
Before the regulatory concerns, Binance had boasted a 55% market share at the start of 2023. However, that figure has declined a remarkable 20% as the year’s events have unfolded. Additionally, reports note that the company’s spot volumes between January and September of this year had fallen 70%.
Also Read: Binance Enabled Illicit Actors To Transact Freely, Says Treasury
Binance Market Presence Decreases Due to 2023 Events
At one point, Binance was among the most well-respected and strongest crypto companies in the sector. Under the leadership of CEO and founder Changpeng ‘CZ’ Zhao, many have placed their faith in the exchange. However, as the year has unfolded, legal troubles have completely altered its trajectory. Therefore, it has completely reshaped the power balance, and the firm’s place within the market.
Indeed, Binance has seen its market share fall to 30% throughout 2023. Moreover, this current figure pales in comparison to the 55% market share that it held at the start of the year. Additionally, it had noted a 70% decrease in monthly spot trading volume according to a CoinDesk report.
Also Read: Philippines to Block Access to Binance in the Country
The report notes that the crypto exchange did see a monthly trading volume boost in September. However, that activity did not work against the already depleting market share that the crypto company enjoyed. Moreover, with Zhao out, and the direction of the exchange uncertainty, where these figures go from here will be immensely interesting.
In November, the exchange agreed to pay more than $3 billion to the US Commodity Futures Trading Commission (CFTC) in a widely publicized settlement. Moreover, that settlement came after a years-long investigation that ultimately resulted in the resignation of Zhao, with criminal charges quickly following. Conversely, the company also settled with both the Justice Department and the Treasury.