DEX spot trading share hits new high of 24%, CEX trading volume continues to decline

Odaily News: The ratio of DEX to CEX spot trading volume rose to 24% at the end of July, hitting an all-time high, up from 17% a year earlier. This metric tracks spot trading volume, excluding futures and derivatives, and mainly covers trading on decentralized exchanges such as Uniswap and Aerodrome.

An important reason behind this rising ratio is the notable weakening of spot trading volume on centralized exchanges. As spot trading activity declines, centralized platforms such as Coinbase and Gemini are under pressure, with some companies already conducting layoffs, while traders are gradually shifting toward on-chain trading alternatives.

Data shows that total spot exchange trading volume is approaching a 12-month low, at approximately $670 billion, significantly below this year's peak of $2.23 trillion.

The Block analysis suggests that the decline in spot trading volume is partly due to diversion caused by prediction markets, while also reflecting a broader decline in overall crypto trading interest. In other words, the record-high DEX share does not necessarily indicate absolute prosperity in on-chain trading, but rather reflects a structural shift against the backdrop of shrinking CEX spot trading volume. (The Block)