CEX trading volumes fell to 4-year low even before Binance and Coinbase continued

Monthly trading volumes on centralized exchanges continued to decline in May as regulators tightened their grip on the sector.

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Trading volumes on centralized exchanges have fallen to their lowest level in more than four years amid growing regulatory pressure from U.S. regulators and lawmakers.

According to a June 7 report by crypto-analytics firm CCData, combined spot and derivatives trading volume in May fell 15.7% from the previous month, marking the second consecutive month of decline in crypto trading activity.

As the data is current only to the end of May, it does not take into account the potential impact of recent SEC lawsuits against Coinbase or Binance.

Total Monthly Cash Trade Volume centralized exchanges since May 2022. Source: CCData

CCData shows that of all the major companies that have suffered a drop in trading volumes, Binance has been the hardest hit.

In May, Binance lost even more of its total market share, falling to just 43% overall, from its peak of 57% in February. This is Binance's third consecutive month of decline in total market share.

The report says that much of this decline can be attributed to Binance removing fee-free trading for USDT pairs, but noted that the exchange was no doubt feeling pressure from increased market surveillance. from regulators in the United States.

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