In the event of the FTX crash, most prominent cryptocurrency exchanges have adopted user protection funds, according to a new report from blockchain analytics firm Nansen published on June 14. Exchanges like Binance, OKX, and Bitget collectively have over $2 billion in notional fiat protection funds. Meanwhile, Huobi's insurance fund is collateralized by 20,000 BTC, while Coinbase offers up to £150,000 ($189,140) worth of insurance to the accounts of UK customers. The Nansen researchers wrote:
“Proofs of reserves should be the minimum standard for the exchange industry, however, as stated above, these are positive indicators for an exchange but not a guarantee of its solvency.”
Among other projects, Binance has maintained its top spot in terms of spot and derivatives trading volume. In the spot space, the exchange had an overall market share of 69% in May, with a monthly trading volume of $209.5 billion. In the spot market , Kraken saw the largest increase in trading volume, increasing by 14.35% to $18.9 billion in the six months after the FTX crash compared to the previous six months. Meanwhile, Bitfinex saw the biggest drop in trading volume, down 59.5% to $5 billion over the same period.
As for cryptocurrency derivatives, all exchanges fell on the FTX Crash Except Bitget, Whose SiX-MONTH AVERADIGE VOLUME ROSE 4.85% Month-On-Month to $ 20 4.1 Billion. SINCE The FTX Crash, Bitget, Bybit, and Binance Have Performed RelatedLatVely Well, the researchers wrote. Still, Nansen warned that an uncertain regulatory environment in the US is casting a shadow over the exchange's growth: “SEC Chairman Gary Gensler considers nearly all tokens to be securities. This prevents many exchanges from operating in the US If the US takes this official stance, it could cause major problems for CEXs globally. It's worth carefully monitoring what's here position taken."
