Crypto-to-Crypto Trades Dominated by Less Trustworthy Exchanges, Grayscale's Bitcoin Trust Soars
London, 30th July 2019 -- CryptoCompare, the leading provider of cryptocurrency data and indices, today released its June 2019 Exchange Review, offering investors, analysts and regulators analysis of key developments in the cryptocurrency exchange market.
Charles Hayter, CEO and Co-Founder of CryptoCompare, said:
“The Exchange Review reflects our commitment to bringing high quality and trustworthy data to cryptoasset markets. This latest Review also highlights the importance of our Exchange Benchmark tool in revealing a clearer picture of the marketplace.”
CryptoCompare’s Exchange Review evaluates the consistency and quality of cryptocurrency exchange data, assessing exchanges on the basis of spot 24-hour volume and pricing data. The review covers: exchange rankings by volume; predominant fee type models; derivative products; fiat, bitcoin and stablecoin volumes. It also analyses how volumes have developed for the top trans-fee mining and decentralised exchanges.
Only 2 of the 10 crypto-to-crypto exchanges by volume are 'trusted' (graded AA-B according to the CryptoCompare Exchange Benchmark)
Binance tops the crypto-to-crypto rankings, with a total volume of 42.1 billion USD in June (up 12.7% since May). Binance was followed by ZB and CoinBene at 39.3 billion USD (up 8.4%) and 38 billion USD (up 3.9%) respectively
In contrast, 8 out of 10 fiat-to-crypto exchanges are ‘trusted’
Bithumb was the top fiat-to-crypto exchange with a total volume in June of 13.9 billion USD, despite experiencing a 37% drop since May. Bithumb was followed by Coinbase and P2PB2B at 12.7 billion USD (up 17.4%) and 11.9 billion USD (down 22.9%) respectively
Grayscale’s Bitcoin Futures Product (GBTC) saw impressive growth
Total trading volumes for the GBTC continued to increase with 1.87 billion USD traded in June (up 48.1% since May)
CME Futures saw drop after record May
Regulated bitcoin derivatives volumes are still dominated by CME, despite a 30% decrease from 11.3 billion USD in May to 7.9 billion USD in June.
Tether (USDT) still dominates stablecoin volumes
In June, BTC trading into USDT represented 69.4% of total volume (traded into fiat or stablecoin) vs 76.2% in May. Total volumes were down 34.8% at 7.8 million BTC in June but USDT remains the most popular stablecoin for bitcoin trading - followed by PAX, USDC and TUSD. USDT represents 97.1% of total BTC trading across these four leading stablecoins.
IDEX leads the Decentralised Exchange (DEX) market
IDEX was the largest DEX in June, trading a total of 53.9 million USD (up 33%), followed by Switcheo and BitSquare at 29.3 million USD (up 62%) and 25.4 million USD (up 249%) respectively. DEXs represent only a small fraction of global spot exchange volume (0.02%) and traded a monthly total of 126 million USD in June.
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CryptoCompare is the leading provider of cryptocurrency data and indices. Institutional and retail investors rely on the company for real-time, high quality data spanning 5,800+ coins and 270,000+ currency pairs globally.
By aggregating and analysing tick data from globally recognised exchanges and seamlessly integrating multiple datasets, CryptoCompare provides a comprehensive, granular overview of the market across cryptocurrency trade data, order book data, historical data, social data and blockchain data.
CryptoCompare is at the forefront of industry efforts to provide definitive datasets that can be relied on to make investment decisions. The company adheres to rigorous standards to safeguard data integrity and promote consistency and confidence in the market. For more information, please visit https://www.cryptocompare.com.
Notes to editors:
Data methodology: CryptoCompare’s Monthly Exchange Review evaluates the consistency and quality of exchange data, which is incorporated into CryptoCompare’s real-time Aggregate Index Methodology (the CCCAGG), used to calculate the best price estimate of cryptocurrency pairs traded across global exchanges. It aggregates transactional data from more than 150 exchanges using a 24-hour volume weighted average for every cryptocurrency pair. Constituent CCCAGG exchanges are reviewed and amended each month to ensure the most representative and reliable market data is used in CCCAGG pair pricing calculations.
Assessing exchange data: CryptoCompare assesses exchanges on the basis of spot 24-hour volume and pricing data. The current process operates as follows: for each exchange, the 24-hour volume and price of every live trading pair is recorded. Each pair volume is compared to the total market volume for that specific pair and assigned a market share ranking. Pricing for each pair is then compared to that of the CCCAGG pair, and a percentage price difference is calculated. Finally, a 24-hour volume weighted % price difference per pair is calculated to produce a figure to determine how close the overall exchange pricing differences are to those of the CCCAGG.
As a general guideline, CryptoCompare assumes that exchanges with an overall percentage pricing difference of under 10% are within acceptable boundaries. The reason for pricing differences across exchanges may be related to several factors including exchange fees, jurisdiction and tax considerations. It remains the first indicator of acceptability within the CCCAGG exchange list.