In this article, we will discuss the 15 biggest cryptocurrency exchanges in the world. If you want to skip our detailed analysis of the cryptocurrency exchange platform industry, you can go directly to 5 Biggest Cryptocurrency Exchanges in the World.
Cryptocurrency exchanges are platforms that allow users to buy, sell, or trade digital assets in exchange for other assets, such as fiat currencies or other digital currencies. Cryptocurrency exchanges can be centralized, where there is an entity that manages the platform and holds the user’s assets, or decentralized, where the platform is run by the users themselves. Cryptocurrency exchanges typically charge a fee for each transaction and facilitate the buying, selling, or trading of digital assets such as Bitcoin, Ethereum, Litecoin, and others.
Crypto’s “Lehman Moment”
Sam Bankman-Fried is an MIT graduate, former billionaire, and former CEO of FTX, a cryptocurrency exchange based in the Bahamas that is now filing for bankruptcy. Sam Bankman-Fried founded FTX in 2019 and quickly grew it to one of the largest cryptocurrency exchanges in the world through strategic M&A and collaborations. The business was booming for FTX and the company had gained the attention of leading financial institutions including Blackrock, Tiger Global Management, and Sequoia Capital. FTX also engaged in aggressive marketing strategies and had celebrities including Tom Brady, Shaquille O’Neal, and Stephen Curry invest in and promote its platform.
On November 2, CoinDesk published an article that triggered a chain reaction, bringing FTX and Alameda Research to file for chapter 11. Alameda Research, also founded and led by Sam Bankman-Fried, is a quantitative cryptocurrency trading firm. According to the company’s balance sheet, Alameda Research had $14.6 billion worth of assets, a majority of which was FTT tokens. FTT tokens are minted by FTX, and compared to other cryptocurrencies, have little transparency which makes them difficult to track and regulate. When Alameda’s balance sheet was disclosed, on November 6, Changpeng Zhao, CEO of Binance, announced that Binance will sell all its FTT tokens. This caused the price of FTT to tank significantly and resulted in the insolvency of Alameda Research. On November 8, Binance announced that it would acquire FTX to pull it out of bankruptcy. However, on November 9, Binance backed out of the deal citing the mishandling of consumers’ funds by FTX to be the reason. On November 11, the Wall Street Journal reported that FTX used billions of dollars of clients’ funds to place risky bets via Alameda Research. Both FTX and Alameda Research have now filed for bankruptcy and the exchange’s implosion has wiped out $152 billion from the world’s 15 largest cryptocurrencies’ market value. The Financial Times has called this event “crypto’s Lehman moment”.
The Cryptocurrency Exchange Industry: An Analysis
According to a report by Grand View Research, the global cryptocurrency exchange industry was worth $30.18 billion in 2021. The industry is expected to reach a value of $37.07 billion by the end of 2022 and then grow to $264.32 billion by the end of 2030, registering a compound annual growth rate of 27.8% from 2022 to 2030. This growth is primarily attributed to the rising acceptance and adoption of cryptocurrencies and non-fungible tokens (NFTs), which are expected to fuel the demand for cryptocurrency exchanges worldwide. Moreover, investments in the research and development of blockchain technology are expected to further advance the growth of the global cryptocurrency exchange platform industry.
End-use-wise, the commercial segment dominated the global cryptocurrency exchange market and held a 68.20% revenue share in 2021. This is attributed to the fact that a majority of financial institutions and businesses are becoming inclined towards offering crypto trading services on their own platforms and are exploring strategic collaborations with prominent cryptocurrency exchange platforms. Some of the top financial services companies that are prominent backers of blockchain technology and are exploring collaborations with cryptocurrency exchange platforms include Mastercard Incorporated (NYSE:MA), Visa Inc. (NYSE:V), and Paypal Holdings, Inc. (NASDAQ:PYPL). Moreover, the personal-use segment is expected to grow at the fastest compound annual growth rate through the forecasted period, due to an influx of crypto traders from emerging markets.
Region-wise, North America held the dominant market share and accounted for over 29% of the global cryptocurrency exchange market’s revenue in 2021. However, the APAC region is expected to grow at the fastest rate through the forecasted period due to the rising popularity and adoption of cryptocurrencies in emerging markets, for instance, China and India.
According to CoinMarketCap, as of November 23, 2022, there are over 21,000 cryptocurrencies in circulation that hold a total market capitalization of more than $824.8 billion and have a 24-hour trading volume of roughly $60.12 billion. Currently, there are more than 500 operational cryptocurrency exchanges. This article will discuss in detail some of the biggest cryptocurrency exchanges in the world.
To determine the biggest cryptocurrency exchanges in the world, we reviewed industry analysis reports and identified prominent cryptocurrency exchange platforms. We then tallied our findings with CoinMarketCap’s cryptocurrency exchange rankings, which score cryptocurrency exchanges based on a variety of metrics including traffic, liquidity, and trading volumes. Moreover, CoinMarketCap also gives weight to the credibility of reported data from exchanges and assigns its own score to exchanges based on both quality and quantity metrics. We picked CoinMarketCap’s highest-scoring exchanges for this list and arranged them according to their 24-hour volumes, from least to most. Here is our list of the biggest cryptocurrency exchanges in the world, by volume, as of November 23, 2022.
15 Biggest Cryptocurrency Exchanges in the World
Volume (24-Hours): $29.3 Million
bitFlyer is a Japanese Bitcoin and cryptocurrency exchange. It was founded in 2014 by Yuzo Kano. bitFlyer is among the largest Bitcoin exchanges in Japan, and one of the largest cryptocurrency exchanges in the world. bitFlyer has over 3 million users across the globe and had a global trading volume of EUR 180 billion in 2021. bitFlyer allows users to buy and sell Bitcoin, Ethereum, Litecoin, and other cryptocurrencies. The exchange also supports fiat currencies including JPY, USD, and EUR. It also offers a suite of cryptocurrency-related services, including a wallet and a prepaid debit card. The exchange’s 24-hour volume on November 23 was reported to be roughly $29.3 million.
Volume (24-Hours): $30.5 Million
Coincheck is a Japanese bitcoin exchange and one of the country’s leading cryptocurrency exchanges. The platform allows users to buy, sell, and trade a variety of digital assets, including Bitcoin, Ethereum, XRP, and SAND among others. Coincheck also offers a variety of services, such as a wallet service and a remittance service. Coincheck is ranked among the biggest cryptocurrency exchanges in the world and has roughly 1.62 million verified users across the globe. As of November 23, the exchange’s 24-hour trading volume sits at $30.5 million. Coincheck allows support for only JPY.
Some of the payment giants that are betting big on the future of blockchain technology and digital assets include Mastercard Incorporated (NYSE:MA), Visa Inc. (NYSE:V), and Paypal Holdings, Inc. (NASDAQ:PYPL).
Volume (24-Hours): $33.3 Million
Gemini is a centralized digital asset exchange and custodian that allows customers to buy, sell, and store digital assets such as Bitcoin and Ethereum. Founded in 2014 by brothers Cameron and Tyler Winklevoss, Gemini is a regulated and licensed exchange that is available across the United States and in more than 60 countries. Gemini allows users to trade over 100 cryptocurrencies and offers support for 7 fiat currencies including GBP, USD, and EUR. The exchange has over 13 million users across the globe and is one of the biggest cryptocurrency exchanges in the world. As of November 23, Gemini has a 24-hour trading volume of $33.3 million.
Volume (24-Hours): $145.4 Million
Bitfinex is a digital asset trading platform and one of the first professional platforms set up to accommodate the booming interest in cryptocurrency trading. Bitfinex was founded in 2012, initially as a Bitcoin trading exchange. Since then, Bitfinex has become the world’s largest and most advanced digital asset trading platform, offering users a suite of order types and trading features that are constantly being developed with the client’s needs in mind. The platform offers a variety of services including crypto trading, peer-to-peer margin trading, and OTC trading among others. As of November 23, Bitfinex has a 24-hour volume of $145.4 million and offers 174 crypto assets to trade on its platform. Bitfinex is ranked among the largest cryptocurrency exchanges in the world.
Volume (24-Hours): $175.4 Million
Bitstamp is a cryptocurrency exchange based in Luxembourg. It was founded in 2011 by Nejc Kodrič and Damijan Merlak. Bitstamp is one of the oldest bitcoin exchanges. The platform allows users to buy and sell bitcoins using various fiat currencies including USD, EUR, and GBP, as well as other cryptocurrencies. The platform offers support for over 70 cryptocurrencies. The platform has roughly 4 million users across the globe and is one of the biggest cryptocurrency exchanges in the world with a prominent presence in over 100 countries. As of November 23, Bitstamp has a 24-hour trading volume of $175.4 million.
Volume (24-Hours): $274.4 Million
Binance.US is a cryptocurrency exchange that was…
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