Crypto spot trading markets are 'increasingly concentrated', says Kaiko

Crypto's spot market is becoming increasingly concentrated, according to data from Kaiko. 

The top two largest exchanges accounted for more than 50% of the total market this year, which is a slight increase from 2020. In 2020, Binance — the largest exchange by trading volumes — accounted for just 24% of the spot market. That figure currently stands above 50%. 

"This trend could continue amid a wider downturn in market activity, which puts pressure on smaller exchanges," Kaiko said. 

Still, Binance's spot trading volumes have been declining over the last year, according to The Block's data dashboard. The exchange's spot market share is on track to hit its lowest level since last July, with its share of the total market standing at 47.15%.