New data from on-chain intelligence firm IntoTheBlock shows that decentralized exchanges (DEXs) are seeing a surge in market share as a regulatory offensive unfolds in the US.
According to a new report of the company, the U.S. Securities and Exchange Commission (SEC) charges against Binance and Coinbase last week are likely to have long-term effects on shaping the future of the industry.
The regulatory body’s lawsuit against the two largest centralized crypto exchanges in the world also considered three large-cap crypto assets – Cardano (ADA), Polygon (MATIC) and Solana (SOL) – as securities.
According to IntoTheBlock, these actions significantly increased DEX’s market share against all crypto volumes, reaching an all-time high in May.
“Dex’s market share surpassed 20% for the first time last month and could continue to rise in the face of the harsh conditions imposed on US exchanges.”
The analytics firm also says that if Coinbase and Binance were to delist ADA, MATIC and SOL, their volumes would likely drop and traders could flock to decentralized exchanges.
In addition, IntoTheBlock finds that the number of long-term holders of Bitcoin (BTC), or addresses holding the king crypto for more than a year, hit a new all-time high this week, which could be a sign that the market is shrugging. of the SEC’s enforcement actions.
However, the analytics platform says the enforcement actions could accelerate crypto adoption abroad.
“Overall, the SEC’s actions may accelerate trends toward moving crypto overseas and moving operations on-chain rather than through a centralized exchange. While much still needs to be processed and litigation could take some time, long-term investors seem unimpressed by the news.”
Don’t Miss Out – Subscribe to receive crypto email alerts delivered straight to your inbox
Check price action
follow us on Twitter, Facebook And Telegram
Surf the Daily Hodl mix
Featured image: Shutterstock/Login/Sensvector
