CEXs
Centralized exchanges are dominated by just a few massive gamers, with Binance far outpacing all others in buying and selling quantity.
With round $17 billion in 24-hour quantity recorded on March 25, Binance’s buying and selling quantity is an order of magnitude larger than every other alternate. Binance provides roughly 1,868 markets (479 cash) and captures an outsized share of worldwide buying and selling (routinely 50%+ of all crypto spot quantity).
Coinbase recorded $2.8 billion in quantity previously 24 hours, with 431 markets and 289 cash listed. Whereas Coinbase’s quantity is massive, it’s roughly one-sixth of Binance. The US alternate advantages from fiat on-ramps and institutional clientele however has a smaller world consumer base.
OKX and Bybit each noticed $2.5 billion in buying and selling quantity, whereas Bitget and MEXC recorded round $2.20 billion every. In combination, the highest 10 CEXs account for the overwhelming majority of crypto buying and selling, with Binance alone constituting anyplace between 34% and 60% of complete spot quantity on any given day.
CEXs as a bunch checklist 1000’s of markets, however their itemizing methods typically differ considerably. Exchanges like Gate.io and MEXC checklist greater than 4,000 markets every, way over main regulated exchanges.
These exchanges faucet into the lengthy tail of digital property, which might increase reported quantity (as energetic merchants speculate on many small tokens). In distinction, an alternate like Coinbase provides below 500 pairs and focuses on high quality and liquidity. Binance (~1,868 markets) strikes a steadiness – it lists many cash (together with new venture launches) but in addition concentrates quantity in just a few prime pairs (BTC/USDT, and so forth.).
Usually, having extra markets can appeal to area of interest buying and selling exercise. Nonetheless, nearly all of quantity on CEXs nonetheless comes from a handful of prime pairs (BTC, ETH, and standard altcoins like Solana and XRP towards USDT or fiat).
DEXs
Decentralized exchanges have grown tremendously since 2020. Immediately’s DEX panorama spans a number of chains and buying and selling fashions (AMMs, aggregators, order ebook DEXs). The highest 10 DEXs by each day quantity at the moment embody Ethereum-based exchanges and others on various Layer-1s and Layer-2s.
Stabble noticed the very best buying and selling quantity on March 25 — simply over $6 billion. The Solana-based stablecoin DEX/aggregator is concentrated on low-slippage stablecoin swaps. Its quantity is extremely concentrated in USDT/USDC trades, which alone accounted for roughly $4.7 billion of its quantity.
This large stablecoin swapping exercise gave Stabble over 50% of all DEX quantity on the times it peaked. The platform’s novel liquidity design (claiming to make use of 97% much less liquidity to attain the identical depth and integration with Solana’s ecosystem (Serum/Jupiter aggregators) possible contributed to its excessive quantity.
Uniswap v3 noticed $600 million to $700 million in 24-hour quantity on March 25. The DEX is the flagship AMM on Ethereum, identified for its concentrated liquidity swimming pools. It helps roughly 909 buying and selling pairs on the mainnet, starting from main WETH-stablecoin swimming pools to numerous ERC20 token pairs.
Uniswap v3 on Ethereum sometimes has the biggest market share of DEX quantity on Ethereum and has lengthy been the dominant DEX by model, although its share is now cut up throughout a number of deployments (Ethereum, Arbitrum, Polygon, and so forth.).
Why CEXs lead
Not like CEXs, liquidity on DEXs is unfold throughout many chains. Even the biggest DEX (Uniswap throughout all networks) sometimes handles below $1B/day on-chain, considerably decrease than prime CEX volumes. On common, complete DEX spot quantity is roughly 10–15% of complete CEX quantity. For instance, in early 2024, DEXs collectively reached roughly 20% of centralized alternate quantity — an all-time excessive ratio.
It is a massive leap from 2022, when DEXs have been solely round 3% to five% of the market by quantity. Nonetheless, no single DEX comes near Binance’s quantity. Uniswap (all variations mixed) typically does $1 billion to $1.5 billion in each day quantity, which might rival or exceed a mid-tier CEX like Kraken or KuCoin however is just a fraction of Binance.
We sometimes see DEX vs. CEX convergence on particular days — for example, through the DeFi Summer season 2020 growth, Uniswap’s each day quantity surpassed Coinbase’s for the primary time. In March 2025, PancakeSwap’s multi-chain volumes briefly overtook Uniswap, hitting round $1.4 billion in 24 hours versus Uniswap’s $674 million and $14.9 billion vs. $8.3 billion over one week. These moments are notable however not the norm; typically, the highest CEXs nonetheless deal with 5x to 10× the amount of the highest DEXs.
One benefit of DEXs is open itemizing — anybody can present liquidity for any token pair, so the variety of markets is theoretically limitless. In apply, Uniswap (v3) Ethereum has roughly 900 energetic pairs, however in case you embody all long-tail ERC20 pairs ever created, Uniswap v2 and v3 depend 1000’s of markets.
Aggregators like 1inch or Matcha can route throughout tens of 1000’s of token pairs permissionlessly. This implies the number of property traded on DEXs is large, typically bigger than any single CEX. Nonetheless, market share on DEXs is extra concentrated within the prime pairs (sometimes stablecoin pairs and WETH/USDC, and so forth.), much like CEXs.
CEXs have had a head begin in constructing massive consumer bases. Binance reportedly has over 100 million customers, and Coinbase has over 70 million registered. These platforms supply easy accessibility through internet/cellular apps, fiat forex onboarding, and acquainted interfaces (order books, charts) — reducing the barrier for retail merchants.
DEXs, in contrast, require a web3 pockets and a few blockchain know-how, which traditionally restricted their viewers to extra crypto-savvy customers. That is altering as wallets and UIs enhance, however ease of use nonetheless favors CEXs. Furthermore, many institutional and algorithmic merchants function on CEXs through API, benefiting from established infrastructure and buyer assist — whereas utilizing a DEX entails new tooling (web3 wallets, on-chain execution, and so forth.).
This distinction in consumer profile interprets to quantity: the sheer scale of Binance’s consumer base leads to large liquidity and fixed buying and selling exercise. Even when DEXs supply aggressive tech, they need to persistently onboard extra customers to rival CEX quantity.
Liquidity begets quantity. Binance’s order books are extraordinarily deep — tight bid/ask spreads and excessive quantity at every worth degree — that means a dealer can execute a big commerce with minimal slippage. In distinction, early DEXs had small liquidity swimming pools that might transfer considerably even on reasonable trades. This discouraged massive merchants from utilizing DEXs.
Nonetheless, for a lot of prime tokens, the slippage on a DEX commerce is akin to a CEX, particularly on stablecoin pairs. Nonetheless, skilled merchants nonetheless want CEXs or OTC desks for very massive orders. CEXs additionally combination world liquidity — a market order on Coinbase or Kraken pulls from all makers on that ebook, whereas a DEX commerce sometimes hits one pool or aggregator route at a time. CEXs stay the go-to for high-frequency and very-large-volume buying and selling, contributing to their larger general quantity.
CEXs and DEXs derive quantity from how effectively they plug into the broader ecosystem. CEXs profit from integrations with fintech and establishments — e.g., Coinbase quantity is boosted by its linkage to institutional buying and selling desks and its custody providers; Binance quantity comes not simply from retail UI but in addition from brokers, API merchants and its whole ecosystem (Belief Pockets, Binance Pay, and so forth., all funnel customers into buying and selling ultimately).
DEXs, then again, profit from DeFi composability — a whole lot of DEX quantity is pushed by different good contracts and protocols utilizing them below the hood. For instance, a DeFi lending protocol would possibly liquidate collateral through Uniswap, or a yield optimizer would possibly rebalance via Curve. These programmatic trades improve DEX quantity and not using a “human dealer” straight concerned.
Moreover, wallets like MetaMask and Coinbase Pockets have swap options that route via DEX aggregators, bringing in retail customers who won’t even notice they’re utilizing a DEX.
In abstract, CEXs typically win on uncooked quantity attributable to established belief, massive consumer swimming pools, and highly effective buying and selling options, whereas DEXs excel in asset selection, innovation, and permissionless entry. The hole in quantity is closing as DEX know-how matures — with Layer-2 scalability, higher liquidity, and extra user-friendly interfaces, DEXs have eaten into the CEX lead.
We’ve noticed structural shifts like those in 2020 and 2022 that gave DEXs everlasting footholds in what was once CEX territory. Whereas it’s unlikely that DEXs will utterly displace CEXs within the close to time period, the aggressive stress has additionally compelled CEXs to innovate.
The submit CEX dominance persists regardless of fast progress in DEX volumes appeared first on CryptoSlate.
