Based on a brand new report revealed by blockchain analytics agency Nansen on June 14, most respected cryptocurrency exchanges adopted person safety funds amid the collapse of FTX. Collectively, exchanges akin to Binance, OKX and Bitget have greater than $2 billion mixed in nominal fiat safety funds. In the meantime, Huobi’s insurance coverage fund is collateralized by 20,000 Bitcoin (BTC), whereas Coinbase grants as much as 150,000 British kilos ($189,140) value of insurance coverage to U.Ok. prospects’ accounts. The Nansen researchers wrote:
“Proof of Reserves ought to change into the minimal commonplace within the change business, Nonetheless, as said above, these are each constructive indicators for an change however don’t assure its solvency.”
Amongst different objects, Binance has maintained the highest spot with regard to each spot and derivatives buying and selling quantity. Within the spot sector, the change had an total market share of 69% and a month-to-month buying and selling quantity of $209.5 billion in Could. Within the spot markets, Kraken’s buying and selling quantity elevated probably the most, gaining 14.35% to achieve $18.9 billion within the six months following FTX’s collapse, in contrast with the previous six months. In the meantime, Bitfinex’s buying and selling quantity fell probably the most, dropping 59.5% to $5 billion in the identical interval.
As for crypto derivatives, all exchanges noticed declines amid FTX’s collapse aside from Bitget, whose common six-month buying and selling quantity elevated by 4.85% sequentially to $204.1 billion. Bitget, Bybit and Binance have carried out comparatively properly for the reason that FTX collapse, the researchers wrote. Nonetheless, Nansen cautioned that the unsure regulatory atmosphere in america casts a shadow on exchanges’ development:
“The SEC Chair Gary Gensler has posited that almost all tokens are securities. This has prevented many exchanges from working within the US. If the US takes this official place, it might trigger important points all through the world for CEXs. It will likely be value fastidiously monitoring the place taken right here.”
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