In two years Binance makes $1 billion profit as Digital Exchanges mature

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Source: Binance

Traditional exchanges around the world will be looking at Binance’s latest quarterly results with envy, as in the last two years it has made over $1billion of profit. CEO of Binance, Changpeng Zhao, sometimes called CZ (Chinese-born, now living in Vancouver) established Binance only in 2017. Binance raised $15 million via an Initial Coin Offering (ICO) and CZ is reported to be worth $1.2 billion. Binance, based in Hong Kong, is different from its competitors which, apart from Huobi (Singapore), are based in the USA e.g. Coinbase (San Fran), Kraken (San Fran), Bittex (Las Vagas) and Bitbox (NYC).

The amount of Cryptos that were traded in September 2019 on exchanges like Binance was still over $500 billion — down from nearly $800 billion in June 2019. According to the website Coin.Market there are now over 260 different Crypto exchanges, so we are likely to see consolidation in this sector. Institutional interest in Cryptocurrency derivatives remains healthy and although volume was down in August, the top Crypto derivative exchange, OKEx, still generated over $90billion in September this year.

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Source: Cryptocompare

While the larger crypto exchanges dominate the amount of volume that is being transacted, we are seeing smaller Crypto trading platforms, such as GlenBit, targeting organisations which have already carried out successful Initial Coin Offerings (ICO) and now wish to focus on building greater liquidity in the secondary market. As a way to attract new clients, GlenBit is offering free Crypto currency training. This is supplied by an Australian technical analyst specialist called Trader Cobb, and up to 90% of any fees GlenBit generate from new clients are paid to the people who introduce new customers to them. Currently there are less than 70 Security tokens (STOs) i.e. asset backed and regulated Digital Assets which have been issued, so the focus for exchanges has been on Cryptocurrencies. However, as we see increased institutional interest growing and more STOs being launched, there will be more volume of reported trading and no doubt a scramble to dominate this space!

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#DigitalAssets#Tokens #ChairmanGemini #Fintech #Blockchain #Assetmanager #Speaker #DigitalBytes #Economics @Teamblockchain Twitter:@jonnyfry175

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