Connect with us

Hi, what are you looking for?

Cryptocurrency

2021 starts with record volumes in decentralized exchange

The decentralized exchange market is expected to grow exponentially in the coming years, with a major milestone being reached this year.

The decentralized exchange volume is a record high for decentralized exchanges in 2021.

Today’s trading environment is controlled by a few big names: Coinbase, Kraken, Bithumb, Huobi, Bitfinex, and Binance, to name a few. While centralized trading has gained a lot of traction, it isn’t the new financial environment that most crypto fans and businesses are looking for.

Decentralized exchanges (DEX) have grown in popularity in recent years, with decentralized finance (Defi) gaining traction in 2020 and a trading boom in Defi coins. DEXs, thanks to their attractive yield farming incentive, enable anybody to serve as a liquidity provider, ensuring that the exchange maintains healthy volume (liquidity) levels.

Monthly volume of trading across DEXs. Dune Analysis is the source for this information. DEXs have been the go-to exchange since the Defi boom in 2020, and their popularity continues to grow.

Volumes on the decentralized exchange (DEX) in January 2021 surpassed those recorded the previous year in September 2020. According to statistics collected by Dune Analysis, DEX volumes hit $63.25 billion in January 2021, up 220 percent from the $28.9 billion recorded in September 2020.

2021 starts with record volumes in decentralized exchangeUniswap accounted for 40.9 percent of the $55 billion transaction volume on the DEX in January ’21, with SushiSwap (19.3 percent) and Curve (9.9 percent) in second and third position, respectively.

Uniswap is the most important contributor, accounting for 40.9 percent of January’s trading volume, followed by Sushiswap, which handled 19.3 percent of January’s trade orders.

On Uniswap, the highest single-day trading volume in January was $1.3 billion, which occurred on January 11, 2021. On September 1, 2020, the greatest single-day volume was recorded last year. Harvest Finance exploiter routed money via the automated market maker, causing volume to spike to $2.04 billion on that day.

2021 starts with record volumes in decentralized exchangeOn Uniswap, the highest single-day trading volume in January was $1.3 billion, which occurred on January 11, 2021. Uniswap.info is the source of this information.

While Uniswap had a 200 percent rise in trade volume over the previous month, Sushiswap saw a nearly 300 percent increase. Sushiswap, a fork of Uniswap, was launched in September 2020 with the goal of adding new features not seen on Uniswap. Sushiswap has risen to become one of the most popular DEXs in little over 5 months. It is quickly becoming Uniswap’s largest rival, thanks to its enhanced incentives scheme for liquidity suppliers.

Curve, a decentralized exchange for trading stable currencies, came in third place with 12% of January’s transaction volume. Curve, which was launched in January 2020, has experienced considerable growth in the second half of the year. Curve became the go-to exchange due to the increase in the number of stable currencies (USDT, USDC, DAI, TUSD, and so on) and the absence of direct stable currency swaps in the DEXs.

The defi coins explained is a decentralized exchange that has started with record volumes in 2021.

Related Tags

  • uniswap
  • defi reading list
  • binance
  • sushiswap
  • decentralized finance tokens

Advertisement

You May Also Like

Cryptocurrency

INX Limited, a Gibraltar-based platform for trading securities and cryptocurrencies, is preparing to close its IPO soon. According to the announcement on Monday, the...

Cryptocurrency

While gambling is no stranger to the blockchain, poker’s appeal to players has only increased as poker sites accept bitcoin and Covid-19 increasingly promotes...

Cryptocurrency

Github’s services are under investigation following a series of reports of attacks on one of its infrastructures by launching unauthorized cryptomining applications. Cybercriminals have...

Cryptocurrency

Kenanga Investment Bank Berhad, one of Malaysia’s largest financial companies, is stepping into the cryptocurrency industry with new investments. According to an official announcement...