How is it possible that Binance holds more bitcoin than Coinbase as Binance once again confirms its status as the leader of crypto exchanges? In addition to remarkable growth, it is now the exchange that holds the most Bitcoins in the world. More good news for one of the behemoths of the crypto ecosystem.
Binance impervious or almost to the Bear market
The situations of Coinbase and Binance during this bear market are radically different. Binance, through its CEO Changpeng Zhao, regularly makes the headlines to testify to its good economic health and has just announced that it will continue to recruit in the coming months. The company has also just obtained various approvals, particularly in Spain, and continues to expand on all continents, particularly in Africa.
Conversely, Coinbase is going through a difficult patch. The consumer-oriented American exchange is experiencing many difficulties and has just announced a series of layoffs. Rumors, which seem unfounded for the time being, of potential bankruptcy, have also circulated.
Binance continues its crazy adventure and strengthens its position as a leader in the crypto industry. Witness to this strength, its native token BNB is the 5th largest market capitalization, and its house stablecoin, BUSD has become the 6th capitalization of the crypto market. The latter surely benefited from an influx of liquidity following the collapse of the UST and the panic on the various stablecoins losing their parity against the dollar.
Coinbase in trouble
Coinbase, for its part, has more problems. Recently, rumors of the termination of its affiliate program have resurfaced, for example. This rumor adds to the failure for the time being of its NF T marketplace and the fall in its rather impressive stock market price.
Coinbase was in 2014, the platform that held the pus of Bitcoin. It is from 2021 that the dynamic seems to be reversed for the North American exchange. Since that date, Binance has seen its stock of BTC grow when it is quite the opposite for Coinbase. The two curves thus crossed on July 18, as shown in the following graph. We perfectly observe the meteoric rise of Binance, which has accelerated sharply since 2021.
Binance now holds more Bitcoin than Coinbase
This transfer of power is therefore a strong marker both for Coinbase but especially for Binance, which establishes its domination a little more. It seems more and more difficult to imagine Coinbase regaining its throne, especially when we see Binance's aggressive strategy and its strike force. Coinbase will even have to be wary of the rise of other exchanges, first and foremost FTX, sitting on a war chest and with significant ambitions.
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