New research from advisory firm ICOS Satis Group identifies trends in blockchain-based trading and data storage and claims that digital currency trading will grow by 50 percent in 2019 and that global cryptocurrency trading volumes will exceed the corporate debt market in 2028.
The study, titled "Crypto Asset Market Coverage Initiation: Trading & Custody," proves that digital currency trading volume overtakes US corporate debt trading in 2018 at about $7.3 trillion. US dollars, that is, about 10 percent of US stock trading volume. The document also estimates that total trading volume will grow by 50 percent in 2019, delivering a compound annual growth rate (CAGR) of 9 percent through 2028.
The Satis report reveals the current trading volume distribution of the 20 largest exchanges, including Binance and OKEx, which account for more than 75% of total trading volume.
However, only 0.2% of trading activity takes place on decentralized exchanges. such as 0x and IDEX. Satis believes that this distribution is largely due to the fact that decentralized exchanges restrict trading, which allows centralized exchanges to control the lion's share of the market. It's also worth noting that 75 percent of trading volume comes from the top 20 accounts.
The paper also shows that Bitcoin (BTC) remains a key component and the de facto reserve currency for all crypto assets, serving as the base pair for about one-third of all global trading volume.
Tether (USDT) comes in second with 22 percent of the market presence, while ETH covers the rear with 12 percentage.
The results of this distribution are expected, since Bitcoin still maintains a dominant position in the market, accounting for more than 52 percent of the capitalization of all crypto assets, according to CoinMarketCap.
Although new altcoins are constantly emerging, Bitcoin's dominance continues to grow. Interestingly, some experts see this not only as the strength of this asset, but also as a sign of price consolidation.
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