During the beginning of October this year, the crypto market experienced multiple clamorous financial conditions. Most of the credit goes to the recent filings against BitMEX. It saw the firm’s top brass being accused by the United States Commodity Future Trading Commission on various charges. This is not all. Just some days before this scandal was exposed, the crypto exchange KuCoin fell victim to hackers to the tune of over 275 million USD on the 26th of September.
Binance Set itself Apart Being the Leader at the Same Time
While the crypto world was busy dealing with these unsettling events, the market of crypto derivatives has also been a witness to a prominent growth in form of Binance by capturing OKEx and Huobi to be the biggest crypto derivatives exchange in terms of volume for September 2020. Now it has become a platform that has recorded a total trade volume worth 164.8 billion USD for the month.
More Details on the News were Provided by UK-based Crypto Analytics Firm: CryptoCompare
Based on the data released by CryptoCompare, a United Kingdom-based crypto analytics firm, the trading volume of the precedent exchanges was taken into consideration. Besides that, it was found that Binance made around an extra 8 billion USD in trade volume compared to its closest rival, Huobi. It earned 156.3 billion USD at the exact time when OKEx could rake in around 155.7 billion USD.
The Most Important Question Arises: What Led Binance to Top Just within a Month?
OKEx and Binance showed almost the same derivatives volumes in July and August, but in the same period, Huobi possessed a good margin on both its top competitors. Now, there is a big question coming up these days, and that is “how Binance was capable of taking such steps in just a month to leave Huobi and OKEx behind so quickly. Jay Hao came-up with an answer to this, and he has to say that Binance organized a 1.6 million USD trading competition on its future exchange to tag its 1-year anniversary in the last month. This can result in a sudden volume upliftment.
What led to Binance Future’s rise?
On the basis of a spokesperson of Binance, one of the important drivers that motivated the fresh market execution was nothing other than user feedback. He added that many customers have spoken about system uncertainty that was not at all user-friendly, and they also said that all the exchanges’ offers were only about incentives for market makers. This actually led to the formation of an uneven space that put market takers in a disadvantage.
OKEx Puts on a Return in the Month of October
September was the month for Binance while right in the next month comes the moment for OKEx to take the spot leading each and every Bitcoin future exchange in the matter of Bitcoin (BTC) futures open interest.