Names that benefited from Binance’s $4.3 billion settlementAfter exchange Binance reached a significant multi-billion dollar settlement with US regulators last week, the on-chain data analytics firm reported a spike in Coinbase’s market share. .
On November 21, Binance and the US Department of Justice (DoJ) reacheda settlement worth 4.3 billion dollars, resolving allegations related to anti-money laundering.
However, according to research firm Kaiko Research, regulatory challenges have caused other exchanges to increase their market share.
The company recently released a report indicating that Coinbase’s trading volume increased during the trading day in Asia. Europe, outside of regular US trading hours:
“Coinbase shares rose the most outside of U.S. trading hours (9:00 p.m. – 5:00 a.m. Vietnam time), instead rising sharply in the middle of the trading day in Europe and early in the trading day in East Asia ”.
Meanwhile, Bybit is said to be changing significantly throughout the day.
The report said:
“Bybit was an immediate standout winner, gaining market share every hour and growing more than 20% over 16/24 hours.”
However, Binance has reportedly maintained its liquidity across all cryptocurrencies despite facing regulatory challenges:
The report states:
“Despite Coinbase’s growing volume market share, Binance remains the leader in liquidity, for both BTC and altcoins.”
Meanwhile, some industry leaders believe Binance partnering with the DoJ is positive for the crypto community.
Galaxy Digital’s Mike Novogratz believes that the recent legal action against Binance is a positive for the entire cryptocurrency industry.
“I think they have mitigated the risk in many ways. People are nervous when trading with Binance. Now I’m a lot less worried,” he said.
In recent news, Coinbase’s market share hit an 18-month high following Binance’s legal troubles.
According to TradingView data, on November 27, Coinbase closed at $119.77, its highest level since May 2022 ($114.25).
Coinbase reports a threefold increase in law enforcement requests, totaling 13,079 in 2023The largest US-based exchange has seen a threefold increase in law enforcement requests in the current year compared to 2020, as revealed in its latest transparency report.
The total number of claims during the reporting period amounted to 13,079, marking an increase of about 6% over the previous year. Notably, the United States maintains its position as the leader in both 2022 and 2023, with inquiries increasing slightly in 2023.
Of the 13,079 requests sent to Coinbase from Q4 2022 to Q3 2023, 4 countries include the United States, Germany, the United Kingdom and Spain account for nearly three-quarters or 73% of the entire volume.
The United States led the way with 5,686 requests, up significantly from 5,304 the previous year, with 90.4% of these originating from criminal enforcement agencies. Germany secured second place with 1,906 claims, ahead of the UK, which saw a slight drop to 1,401 claims.
Spain ranked 4th with 732 requests. Australia emerged in 6th place with a notable 262% increase in requests to Coinbase, reaching 453. Ukraine more than tripled, while Portugal’s requests more than doubled, although These countries do not make the top 15.
Meanwhile, the number of French requests also increased significantly from 351 in 2022 to 535 in 2023.
It is important to note that these requests from government agencies and law enforcement agencies related to civil, criminal, or other investigative matters include subpoenas, court orders, warrants, and warrants. searches and other formal legal processes. Coinbase emphasizes its obligation to meet these requirements as valid under financial regulations and other relevant laws.
Coinbase further stated it may object to requests by governments, law enforcement agencies and the decision to do so will depend on the specifics of each request. In certain cases, exchanges reserve the right to request governments or law enforcement agencies to refine or limit the scope of their investigations.
The latest development follows a global trend where law enforcement agencies are increasing their efforts to combat cryptocurrency-related criminal activities. Many of these agencies are beefing up their investigative units to track potentially illegal digital asset transactions.
Harsh conditions can’t stop CoinbaseEarlier this year, Coinbase announced its decision to double down on expansion and is now touting a network of 245,000 ecosystem partners spread across 100 countries. However, the San Francisco-based cryptocurrency giant was sued by the US Securities and Exchange Commission (SEC), accusing it of selling unregistered securities. In response, Coinbase challenged the SEC’s jurisdiction in court filings in October.
Despite successive regulatory shocks, Coinbase beat its revenue forecast, revealing $674 million in the third quarter, exceeding analysts’ previous predictions. This marks a 14.2% increase compared to the same period last year.
Coinbase’s recently launched Base has expanded to become one of Ethereum’s leading layer 2 networks, competing with the likes of Arbitrum and Optimism.
In November, the company unveiled a new update to its Coinbase Commerce product, built on top of the recently introduced open source Onchain Payment Protocol. The main goal of this update is to provide merchants and customers with instant payouts, minimal fees, and broad asset support to enhance the overall payment experience.
Source:https://tradecoind2.com/names-that-benefited-from-binances-4-3-billion-settlement/