Bybit to become the second-largest cryptocurrency exchange globally, thanks to positive market dynamics and strategic growth initiatives.
Bybit, a Singapore-based cryptocurrency exchange, has overtaken Coinbase in terms of market share, becoming the second-largest exchange worldwide after Binance, Cointelegraph reports. This development follows a substantial increase in Bybit’s market share from 8% to 16% since October 2023. In contrast, Coinbase’s market share has grown by only 1% during the same period.
Several factors contributed to Bybit’s rapid ascent. Key among them is the decline in Binance’s dominance due to regulatory issues, including a significant $4.3 billion settlement with U.S. authorities. Binance’s market share has dropped from 60% to 54%, creating an opportunity for competitors like Bybit to gain ground.
Bybit’s growth is also attributed to its low transaction fees and innovative trading features. The exchange’s fees are among the lowest in the market, rivaling those of OKX and Binance. Additionally, Bybit has benefited from the rising derivatives market and the launch of spot Bitcoin ETFs in the United States, which have driven higher trading volumes.
Also, Bybit’s spot trade volume for Bitcoin (BTC) and Ethereum (ETH) has significantly raised, with its market share for these assets rising from 17% to 53% since 2023. The exchange’s competitive edge is further bolstered by its Unified Trading Account, which offers users a seamless and efficient trading experience.
Looking ahead, the exchange's continued focus on innovative trading solutions and user-centric policies positions it well for sustained growth.
Bybit's ability to adapt to market changes and capitalize on emerging opportunities will be critical to maintaining its newly acquired status.
See also: Bitget reinforces reliability with June 2024 Proof-of-Reserves Report
