TokenInsight recently published its annual research report titled, ‘2019 Cryptocurrency Spot Exchange Industry’, a report that analyzed trends in the spot exchange industry in terms of business activities, regulations and user trends. According to the report mentioned above, 75% of all users are attracted to the 10 largest encryption exchanges in the world, with the remaining 25% distributed in the 40 exchanges that follow the top 10. The report also addressed how Binance, Coinbase Pro, and Upbit are the 3 main exchanges on the list, regarding the number of users.
Compared to the previous two quarters, the fourth quarter of 2019 experienced significant changes in the ranking of the top 10 exchanges in terms of monthly visits. Binance ranked first, beating Coinbase, while Upbit climbed 2 ranks. However, Coinbase Pro, Yobit and Bithumb fell into the ranking during the quarter.
The report also noted that the three countries with the highest average monthly number of independent users in the exchanges were the United States, South Korea and Russia. It was also reported that US users represented a high proportion of volume in various exchanges such as Binance, Coinbase Pro, Bittrex and Kraken.
However, in terms of the percentage of visitors by country, Binance, Bitfinex and Bittrex were widely dispersed, and the top 5 countries represented only 40% of users in exchanges.
"The high degree of fragmentation of visitors indicates that the internationalization of the exchange is strong and, on the other hand, it can improve the security of the platform in terms of compliance."
However, Binance and HitBTC's "fan growth" in the third quarter of 2019, both exceeding 10% month-over-month, did not extend to the fourth quarter of the year. In fact, with the exception of KuCoin, Bithumb, Yobit and HitBTC, other exchanges maintained a slight increase in the fourth quarter, with Poloniex reporting a growth of more than 2% for two consecutive quarters.
"Among them, Binance still has the most extensive and solid user base, the number of fans has exceeded one million and the growth momentum is fast."
TokenInsight also launched a new spot exchange rating for digital assets. The list compared the performance Q3 and Q4 of the observed encryption exchanges. Binance, Coinbase Pro and Huobi Global's ratings did not change, maintaining its ‘A’ rating from Q3 to Q4. However, Bitstamp experienced a reduction in the fourth quarter from ‘A’ to ‘BBB’, while Bithumb dropped from ‘BBB’ to ‘B’.