Bybit market share jumps to 16%, surpassing Coinbase by trading volume

Singaporean-based Crypto exchange Bybit has surpassed Coinbase in terms of trading volume and is now trailing Binance in the league of top crypto exchanges.

This puts Bybit at the position of the second-largest crypto exchange in the industry while expanding its market share to 16%.

Bybit’s growth has been quite remarkable as it continues to onboard new users following its interesting mix of strategies in a very competitive aspect of the industry.

Bybit surpassed Coinbase in terms of trading volume as the crypto exchange has successfully scaled its operation and expanded its market share targeting both retail and institutional traders.

Data from Kaiko showed that Bybit’s market share since October 2023 has grown from 8% to 16% while Coinbase share only increased by 1% within the same time frame.

The data also reflected Binance’s slight loss of Market share within the same time frame dropping from 60% to 54%. This slight drop in market share by Binance might be driven by its growing regulatory cases in various jurisdictions in the world.

Kaiko credited Bybit’s growing market dominance and increase in trading volume to various factors such as the new Bitcoin Exchange-Traded Funds (ETFs) offerings and affordable gas fees. Bybit has one of the lowest gas fees in the sector.

Bybit’s interface has also embraced a user-centric strategy by providing a wide selection of cryptocurrencies competitive trading fees, and sophisticated trading tools.

Early last year Bybit introduced free trading for Circle stablecoin USDC as part of its growth strategy.

Bybit’s low gas fees despite giving it a competitive advantage over other exchanges were not the main reason for the surge in the trading volume on Bybit according to the Kaiko team.

Kaiko’s analysis of spot trade volume by assets revealed that Ethereum and Bitcoin whose market shares have grown exponentially since last year contributed heavily to the volume surge on Bybit.

Bybit’s growth can also be attested to a foray into derivatives trading and the adoption of an extensive array of trading tools which was adopted by a growing worldwide audience.

Bybit’s fast-growing derivative offering has also contributed to the exchange spot market share. The platform derivative market witnessed a notable surge in 2023, solidifying its position as the second-largest after Binance in the industry.

What to Know 

• Bybit has over 30 million registered users with its market share rising to 16% in the crypto space. This is an attestation to the interesting mix of offers and products rolled out by the Bybit team to its end users.
• Binance still retains the first position as the largest crypto exchange by number of users and market share.
• Bybit is still very active in Nigeria and is one of the most used crypto exchanges in the country’s cryptocurrency space.