Crypto Spot Volumes Hit Daily Record at $122 Billion in January
- The largest derivatives exchange by monthly trading volume in January was Binance, which traded a total of $890 billion.
Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamper with. The Evolution of BlockchainBlockchain was originally invented by an individual or group of people under the name of Satoshi Nakamoto in 2008. The purpose of blockchain was originally to serve as the public transaction ledger of Bitcoin, the world’s first cryptocurrency.In particular, bundles of transaction data, called “blocks”, are added to the ledger in a chronological fashion, forming a “chain.” These blocks include things like date, time, dollar amount, and (in some cases) the public addresses of the sender and the receiver.The computers responsible for upholding a blockchain network are called “nodes.” These nodes carry out the duties necessary to confirm the transactions and add them to the ledger. In exchange for their work, the nodes receive rewards in the form of crypto tokens.By storing data via a peer-to-peer network (P2P), blockchain controls for a wide range of risks that are traditionally inherent with data being held centrally.Of note, P2P blockchain networks lack centralized points of vulnerability. Consequently, hackers cannot exploit these networks via normalized means nor does the network possess a central failure point.In order to hack or alter a blockchain’s ledger, more than half of the nodes must be compromised. Looking ahead, blockchain technology is an area of extensive research across multiple industries, including financial services and payments, among others. Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamper with. The Evolution of BlockchainBlockchain was originally invented by an individual or group of people under the name of Satoshi Nakamoto in 2008. The purpose of blockchain was originally to serve as the public transaction ledger of Bitcoin, the world’s first cryptocurrency.In particular, bundles of transaction data, called “blocks”, are added to the ledger in a chronological fashion, forming a “chain.” These blocks include things like date, time, dollar amount, and (in some cases) the public addresses of the sender and the receiver.The computers responsible for upholding a blockchain network are called “nodes.” These nodes carry out the duties necessary to confirm the transactions and add them to the ledger. In exchange for their work, the nodes receive rewards in the form of crypto tokens.By storing data via a peer-to-peer network (P2P), blockchain controls for a wide range of risks that are traditionally inherent with data being held centrally.Of note, P2P blockchain networks lack centralized points of vulnerability. Consequently, hackers cannot exploit these networks via normalized means nor does the network possess a central failure point.In order to hack or alter a blockchain’s ledger, more than half of the nodes must be compromised. Looking ahead, blockchain technology is an area of extensive research across multiple industries, including financial services and payments, among others. Read this Term research firm, CryptoCompare said trading volumes of crypto-based derivative products more than doubled in January to $2.9 trillion. That is a new all-time high, breaking the previous record of $1.43 trillion set in December, also highlighting the trading frenzy that has accompanied bitcoin’s charge to uncharted highs.
The report also points out that spot trading volumes on major cryptocurrency exchanges hit a daily record of over $122 billion on January 11, just as Bitcoin was building on a fresh rally that saw it more than quadruple. The previous all-time high for daily spot volume occurred on March 13, 2020, at $72.5 billion.
The London-based data aggregator found that crypto spot volumes rose by 97%, compared to the previous month, coming in at $2.3 trillion. This was just enough to top the previous record of $1.9 trillion in December.
The largest derivatives exchange by monthly trading volume in January was Binance, which traded a total of $890 billion, up 97% compared to the December figure of $451 billion. The world’s most influential crypto venue was followed by OKEx, which saw its derivatives trading volume go up 102% to $582 billion, and by Huobi, whose volume increased 86% over the same period as it traded at $499 billion. Bybit notably saw its derivatives volume surge 139% to $318 billion.
Options Volumes on CME Takes a Hit
Additionally, key findings from the January review show that bulk of crypto trading happened on exchanges considered by Cryptocompare as Top-Tier, having commanded $1.7 trillion of total volumes. This figure represents 74.2% of total crypto volume and was up 110% month-over-month, the data from UK research firm showed on Tuesday.
Moreover, trading volumes at what CryptoCompare calls ‘Lower-Tier’ exchanges increased to $596 billion, which is up 68 percent on a monthly basis from December.
In terms of open interest across all derivatives products, Binance led the pack with $2.6 billion at the end of January, which is up 54% over a monthly basis. It was followed closely by OKEx’s $2.5 billion, which is higher by 36% from the month earlier.
Furthermore, Binance was the largest spot exchange by volume, leading with $459 billion (up 109% MoM). This was followed by Huobi Global trading $192 billion (up 134%), while OKEx traded $149 billion (up 113%). Rival exchanges Coinbase, Kraken, and Bitfinex followed with $117.4 billion (up 157%), $56.3 billion (up 167%) and $47.8 billion (up 189%), respectively.
Bucking the overall uptrend, trading of options contracts on the Chicago Mercantile Exchange, which focuses on institutional investors, decreased 43% in January with only 1,700 contracts traded within the month.
However, BTC futures set a new record last month at roughly 285,000 contracts, while total CME’s crypto derivatives volumes increased by 108% to $50.1 billion.
Blockchain Blockchain Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamper with. The Evolution of BlockchainBlockchain was originally invented by an individual or group of people under the name of Satoshi Nakamoto in 2008. The purpose of blockchain was originally to serve as the public transaction ledger of Bitcoin, the world’s first cryptocurrency.In particular, bundles of transaction data, called “blocks”, are added to the ledger in a chronological fashion, forming a “chain.” These blocks include things like date, time, dollar amount, and (in some cases) the public addresses of the sender and the receiver.The computers responsible for upholding a blockchain network are called “nodes.” These nodes carry out the duties necessary to confirm the transactions and add them to the ledger. In exchange for their work, the nodes receive rewards in the form of crypto tokens.By storing data via a peer-to-peer network (P2P), blockchain controls for a wide range of risks that are traditionally inherent with data being held centrally.Of note, P2P blockchain networks lack centralized points of vulnerability. Consequently, hackers cannot exploit these networks via normalized means nor does the network possess a central failure point.In order to hack or alter a blockchain’s ledger, more than half of the nodes must be compromised. Looking ahead, blockchain technology is an area of extensive research across multiple industries, including financial services and payments, among others. Blockchain comprises a digital network of blocks with a comprehensive ledger of transactions made in a cryptocurrency such as Bitcoin or other altcoins.One of the signature features of blockchain is that it is maintained across more than one computer. The ledger can be public or private (permissioned.) In this sense, blockchain is immune to the manipulation of data making it not only open but verifiable. Because a blockchain is stored across a network of computers, it is very difficult to tamper with. The Evolution of BlockchainBlockchain was originally invented by an individual or group of people under the name of Satoshi Nakamoto in 2008. The purpose of blockchain was originally to serve as the public transaction ledger of Bitcoin, the world’s first cryptocurrency.In particular, bundles of transaction data, called “blocks”, are added to the ledger in a chronological fashion, forming a “chain.” These blocks include things like date, time, dollar amount, and (in some cases) the public addresses of the sender and the receiver.The computers responsible for upholding a blockchain network are called “nodes.” These nodes carry out the duties necessary to confirm the transactions and add them to the ledger. In exchange for their work, the nodes receive rewards in the form of crypto tokens.By storing data via a peer-to-peer network (P2P), blockchain controls for a wide range of risks that are traditionally inherent with data being held centrally.Of note, P2P blockchain networks lack centralized points of vulnerability. Consequently, hackers cannot exploit these networks via normalized means nor does the network possess a central failure point.In order to hack or alter a blockchain’s ledger, more than half of the nodes must be compromised. Looking ahead, blockchain technology is an area of extensive research across multiple industries, including financial services and payments, among others. Read this Term research firm, CryptoCompare said trading volumes of crypto-based derivative products more than doubled in January to $2.9 trillion. That is a new all-time high, breaking the previous record of $1.43 trillion set in December, also highlighting the trading frenzy that has accompanied bitcoin’s charge to uncharted highs.
The report also points out that spot trading volumes on major cryptocurrency exchanges hit a daily record of over $122 billion on January 11, just as Bitcoin was building on a fresh rally that saw it more than quadruple. The previous all-time high for daily spot volume occurred on March 13, 2020, at $72.5 billion.
The London-based data aggregator found that crypto spot volumes rose by 97%, compared to the previous month, coming in at $2.3 trillion. This was just enough to top the previous record of $1.9 trillion in December.
The largest derivatives exchange by monthly trading volume in January was Binance, which traded a total of $890 billion, up 97% compared to the December figure of $451 billion. The world’s most influential crypto venue was followed by OKEx, which saw its derivatives trading volume go up 102% to $582 billion, and by Huobi, whose volume increased 86% over the same period as it traded at $499 billion. Bybit notably saw its derivatives volume surge 139% to $318 billion.
Options Volumes on CME Takes a Hit
Additionally, key findings from the January review show that bulk of crypto trading happened on exchanges considered by Cryptocompare as Top-Tier, having commanded $1.7 trillion of total volumes. This figure represents 74.2% of total crypto volume and was up 110% month-over-month, the data from UK research firm showed on Tuesday.
Moreover, trading volumes at what CryptoCompare calls ‘Lower-Tier’ exchanges increased to $596 billion, which is up 68 percent on a monthly basis from December.
In terms of open interest across all derivatives products, Binance led the pack with $2.6 billion at the end of January, which is up 54% over a monthly basis. It was followed closely by OKEx’s $2.5 billion, which is higher by 36% from the month earlier.
Furthermore, Binance was the largest spot exchange by volume, leading with $459 billion (up 109% MoM). This was followed by Huobi Global trading $192 billion (up 134%), while OKEx traded $149 billion (up 113%). Rival exchanges Coinbase, Kraken, and Bitfinex followed with $117.4 billion (up 157%), $56.3 billion (up 167%) and $47.8 billion (up 189%), respectively.
Bucking the overall uptrend, trading of options contracts on the Chicago Mercantile Exchange, which focuses on institutional investors, decreased 43% in January with only 1,700 contracts traded within the month.
However, BTC futures set a new record last month at roughly 285,000 contracts, while total CME’s crypto derivatives volumes increased by 108% to $50.1 billion.