- Trading volume at Coinbase Global Inc surpasses that of Uniswap.
- Analyst says CEXs will always be essential to exchange landscape.
- Coinbase also terminated trading Binance USD on Monday.
Kaiko – a notable digital assets data provider, on Monday, confirmed that trading volume at Coinbase has now surpassed Uniswap.
Coinbase trading volumes surpass $185 billion
Trading volumes at the cryptocurrency exchange as of end of the recent week climbed to over $185 billion. That’s about double the $93 billion on its decentralised counterpart, Uniswap.
Following the collapse of centralised platforms, including the FTX exchange last year, many expected an increased shift to decentralised exchanges (DEX). But that’s “a bit premature” as per Conor Ryder’s (Kaiko research analyst) response to CoinDesk on Twitter.
Average investor is still put off by worse user experience on some of these DEXs, compared to more straightforward experience on CEXs. I think CEXs will always be an essential part of the exchange landscape.
DEX trading volumes had once hit $113 billion
It is noteworthy here that at one point last year, trading volumes at Coinbase and Uniswap were roughly the same.
Following the FTX fiasco in November, volumes on decentralised exchanges were reported to have touched a whopping $113 billion. In comparison, they’re unlikely to top even $100 billion this month.
Last week, the crypto exchange reported better-than-expected revenue for its fourth financial quarter. Also on Monday, Coinbase terminated trading of Binance USD, saying it fails to justify listing standards. Its shares are currently up more than 75% versus the start of the year.