Binance surpasses Coinbase and others. Its rise has made it the exchange with the most Bitcoins.
As the bear market began, the fortunes of Binance and Coinbase were in striking contrast to one another. Binance and its CEO, Changpeng Zhao, made waves in the cryptocurrency news with a display of force and a commitment to recruiting. Conversely, Coinbase and its CEO Brian Armstrong highlighted many concerns. These included layoffs, recruiting delays, and even whispers of potential bankruptcy.
Binance: overwhelming dominance?
Binance continues to chart its route and solidify its position as the dominant actor in the cryptocurrency sector, wielding limitless impact. Its BNB token is fifth in market capitalization, while its stablecoin is sixth.
While most corporations impose payment restrictions and bans on their customers, Binance continues to implement solutions that result in more significant cost reductions than fee payments.
Binance started a few weeks ago that more than 2,000 positions were open at the business, citing a need for development and expansion worsened by the current lousy market. While several organisations and exchange platforms cancelled some commercial arrangements, Binance increased its number of relationships. This was made possible by cooperation with the Portuguese soccer superstar Cristiano Ronaldo. Ronaldo’s Instagram account is the most followed worldwide, with over 400 million followers.
As a first step towards commemorating its fifth anniversary, the exchange has chosen to make Bitcoin transactions fee-free and retain this policy.
The North American exchange continues to get poor news. Even after Coinbase decides to halt its affiliate program, speculations persist. The subsequent failures included the collapse of its NFT marketplace and Coinbase’s stock price decline.
Since 2014, Coinbase was the platform with the most BTC, but since 2021, the situation has entirely turned. Previously, both Coinbase and Binance (five years younger) earned BTC. However, since 2021, Binance’s bitcoin holdings have increased significantly while Coinbase’s have decreased. The crossing ultimately occurred on Monday, July 18th.
The graph below, based on a study by Glassnode, depicts a transition in 2021 when Binance’s inflows were massive.
Now that the power shift seems to have occurred, it is impossible to imagine Coinbase regaining “its throne” as Binance continues to develop. In the future, Coinbase may surpass other exchanges such as FTX, which is also expanding in the present adverse market.