Uniswap Beats Coinbase and other Top CEXs
Uniswap, the popular DEX platform, is advancing towards becoming the fourth-largest DeFi protocol to hit the $1billion mark. Following the growth of 226% in the past few days, it is glaring that the on-chain protocol will fully join the billion-dollar category sooner than later. The exchange also accounts for over 57% of all DeFi users.
As of Sunday, 30 August 2020, the decentralized exchange reached $502.89 million in volume. And for the first time, this record surpasses the volume of Coinbase Pro, the popular centralized exchange. Now, for the second time in a row, Uniswap records over $467 million in volume within the last 24hours, with its liquidity going above $1 billion from just $306 billion on August 27th.
Other Top CEXs
Uniswap’s increase in volume within the last 24 hours also exceeded the trading volume of other top centralized exchanges. They include (in no particular order):
- Coinbase Pro reached $416 million in volume.
- Kraken $193 million
- Bitfinex $139 million
- Bittrex $53 million
- Poloniex $43 million
- Gemini $23.1 million
- Binance.US $23 million
Activities in Uniswap
Uniswap currently has more usage than other popular centralized crypto exchanges, excluding Binance, OKEx, and Huobi that manages between $2 to $4 billion in daily trading volume. The biggest contributors to Uniswap’s volume are Ether, USDT, USDC, DAI, VFI, SUSHI, LINK, SNX, and AMPL The DEX Sushi, which has nearly $760 million locked in it proposes to be an evolution to the Uniswap protocol.
Meanwhile, the exchange is creating more liquidity. But once Sushi successfully migrates from Uniswap, rewards will reduce and that is a net negative. Irrespective of that, the DeFi ecosystem is stable, with $7.7 billion locked in it and not all projects have been included yet.
In all, the volume on decentralized exchange has been growing, regardless of the high Ethereum gas price. The month of August was a record-breaking month for decentralized exchange volumes that reached $10.41 billion, compared to $4.3 billion in July. This growth is linked to Uniswap and Curve, with more than 65% and 18% of overall trading volumes respectively. However, we should also watch out for DEX and CEX tokens.