Crypto Trading Volumes on Centralized Exchanges Reached Record $11.3 Trillion in December

Centralized crypto exchanges (CEXs) processed unprecedented trading volumes in December 2024, according to a new report by CCData.

Combined spot and derivatives trading volume on CEXs rose by 7.6% to $11.3 trillion in Dec. 2024, marking a new all-time high for digital asset trading activity on these platforms, the report noted.

Monthly spot trading volumes on CEXs rose 8.1% to $3.73 trillion in Dec. 2024, surpassing the previous all-time high in May 2021. At the same time, monthly derivatives trading volumes increased by 7.3% to $7.58 trillion, marking the third consecutive monthly rise.

The surge in trading volumes is attributed to several factors, including increased market volatility, the rise in Bitcoin's price, and a growing interest in derivatives trading, the report noted. These developments underscore the evolving strategies of investors as the cryptocurrency market matures.

“There is a big push towards institutionalization that is going to make for higher trading activity,” James Lee, founder at StratFi, told The Defiant. “But there are also seasonal effects worth mentioning – especially for the derivatives.”

Lee explained that futures and options contracts provide effective ways to hedge exposure, particularly for those aiming to defer the recognition of capital gains into the new year. Strategies such as buying put options, selling call options, or selling futures contracts can help achieve this goal.

“These strategies neutralize some or all of the risk of holding an asset without requiring the immediate sale of that asset,” Lee said. “After a period of big gains, these strategies become more popular at year-end, which could account for a portion of the increased trading activity that we are seeing.”

Spot Trading

CCData noted that spot trading volume on Bitget surged by 97.6% in December to $159 billion, a new all-time high for the exchange. This growth boosted Bitget’s market share to 4.25%.

Similarly, MEXC Global achieved record-breaking performance, with monthly trading volumes rising to $165 billion, increasing its market share to 4.42%.

In contrast, Binance’s spot trading volume declined to $946 billion despite maintaining its dominance in the CEX market, giving it a 25.4% market share.

Derivatives

Binance remains the largest derivatives exchange by monthly volume, processing $3.02 trillion in December (up 2% compared to November), followed by OKX with $1.23 trillion (down 3.4%) and Bybit with $1.20 trillion (up 12.4%).

Despite monthly derivatives volumes increasing, the report noted that derivatives market share declined to its lowest level since June 2022.