Executive Summary
This comprehensive report delves into the cryptocurrency exchange ecosystem, segmenting the market by exchange type, coverage region, and trading pairs. Key metrics such as web traffic, average trade size, order book depth, security, and price reliability were used to evaluate exchange robustness and authenticity. The analysis leverages CryptoCompare's Composite Pricing Index (CCCAGG) for foundational insights.
Key Highlights from Major Exchanges (October)
- Bitstamp acquired by Belgian investment firm NXMH for $400 million.
- Gemini now fully insures all crypto assets via Aon.
- Coinbase integrates 0x protocol following CENTRE Consortium's partnership with Circle.
- Bithumb launches new DEX; Huobi and OKEX introduce stablecoins (GUSD, TUSD, PAX, USDC).
- Binance partners with Chainalysis for global AML compliance.
- Coinfloor becomes first Gibraltar-licensed exchange.
Market Segmentation
Spot vs. Futures Trading
- Spot trading dominates at ~70B daily volume (75% of total), while futures account for 32B (25%).
- BitMEX and BitflyerFX lead futures (~25% share), with traditional platforms (CME, CBOE) under 1%.
Fee Models
- Taker-fee exchanges drive 90% of spot volume; "trade-to-mine" and free platforms comprise 10%.
Fiat vs. Crypto-Crypto Pairs
- Fiat-crypto exchanges: 25% of spot volume (~20B), half of all exchanges.
- Crypto-crypto exchanges: 75% of volume (~47B).
Top Performers & Trends
"Trade-to-Mine" Exchanges
- EXX ($160M daily), **Coinex** ($114M), and Coinbene ($113M) lead this niche, contributing ~10% to total volume.
Decentralized Exchanges (DEXs)
- Top 5 DEXs average $2.4M daily (0.4% of total volume). Waves Dex, IDEX, and Dex are frontrunners.
Volume & Pair Rankings
- Binance reigns ($977M daily), followed by **OKEX** ($405M) and Bitfinex ($368M).
- Yobit offers most pairs (7,032), though with low volume ($27.7M).
Geographic Insights
Top Jurisdictions by Volume
- Malta: $1.4B daily (Binance, OKEX).
- South Korea: $840M (Bithumb, Upbit).
- Hong Kong: $560M (HitBTC, CoinEx).
Regulatory Clusters
- USA/UK host most exchanges; Malta/Korea see concentrated volumes.
Security & Compliance
- 86% of top 100 exchanges publish privacy policies/terms.
- 33% store majority funds offline (e.g., Coinbase, Bitfinex).
- 11% have faced past hacks.
- <50% enforce strict KYC; 25% require none.
FAQs
Q1: Which exchange has the highest spot trading volume?
A1: Binance leads with ~$977M daily.
Q2: How do DEXs compare to centralized exchanges?
A2: DEXs contribute just 0.4% of total volume, with Waves Dex and IDEX topping the list.
Q3: What percent of exchanges mandate KYC?
A3: Under half enforce strict KYC; 25% have no requirements.
👉 Explore top-tier exchanges for secure trading.
Q4: Why did BTC/KRW volume spike in October?
A4: Bithumb’s 230% surge post-acquisition by BK Global Consortium drove Korean trading.
👉 Compare exchange features to find your best fit.
Methodology & Data Integrity
- CCCAGG Index: Validated against median trade prices for accuracy.
- New Exchange Vetting: Anomalies (e.g., BCEX volatility) excluded from aggregates.
- Cold Storage: Exchanges like Coinfloor prioritize offline wallets for security.
Report adapted from CryptoCompare with insights from BitMEX Research. Original PDF here.