CoinGecko Report Reveals Coinbase Dominance in US Market
Coinbase has emerged as the most dominant centralized crypto exchange (CEX) in the United States, accounting for 76.2% of the country's total market share, according to a recent report by CoinGecko.
Binance.US and Crypto.com followed Coinbase as the market’s second and third most dominant CEXs, respectively. The report’s data began in March 2022, revealing that Coinbase has maintained its dominant position in the US since then.
Coinbase maintains dominant position
Binance.US emerged as the second most dominant CEX in the US market, accounting for 8.3% of the total market share in March. The exchange’s market share grew from around 6% in March, April, and May 2022 to over 7% in July 2022, and consistently expanded its dominance in the US market to over 8% throughout the second half of 2022 and the beginning of 2023.
Throughout the past 12 months, the lowest market percentage Coinbase accounted for was recorded in April 2022, at 74%, while the highest was recorded in August 2022, at 78.1%.
Crypto.com’s dominance rate shrinks
Crypto.com ranked as the third most dominant CEX in the US market, with a dominance rate of 6% in March, down from 8.8% recorded in March 2022.
Kraken and Gemini were among the top five largest CEXs of the past 12 months, almost equally sharing the remaining 10% market share.
SEC issues Wells Notice to Coinbase
It is worth noting that the US Securities and Exchange Commission (SEC) issued a Wells notice to Coinbase on March 22, indicating that the SEC had decided to recommend an enforcement action against business.
While Coinbase received support from the crypto community, the notice specified that the upcoming enforcement action against it would likely concern parts of its main trading platform, Coinbase Prime and Coinbase Wallet. This could potentially affect the platform’s market share within the US. The exchange has responded positively, indicating that it was ready to legally stand its ground with the SEC.
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CoinGecko’s recent report shows that Coinbase maintains its position as the most dominant CEX in the US, accounting for over 76% of the total market share. Binance.US and Crypto.com follow as the second and third most dominant CEXs in the market.
However, it remains to be seen how the upcoming enforcement action against Coinbase by the SEC will affect its market share.