Binance’s spot market share fell for a seventh consecutive month as a dearth in volatility and lingering regulatory woes weighed on the largest cryptocurrency exchange. It was 55.2% in January. In derivatives, its market share fell to 51.5% from 53.5% in August, and 62.6% in January. Last month Binance halted another zero-fee promotion that had helped to boost trading activity.
Binance, which says it operates as a virtual company, didn’t immediately respond to a request for comment. “The halting of zero-fee trading promotion for popular trading pairs, combined with the concerns around the regulatory scrutiny on the exchange has contributed to this decline,” said Jacob Joseph, a research analyst at CCData. The spot trading volume Binance lost went to exchanges such as HTX, Bybit and DigiFinex, the researcher said.