Apr 13, 2022 - Economy
For crypto traders, exchange matters
Add Axios as your preferred source to
see more of our stories on Google.
Crypto traders are chasing quality.
Why it matters: Crypto assets are volatile enough. Investors shouldn't also have to worry about platform risk.
What's happening: CryptoCompare, a data firm, graded 150 different exchanges, assessing them for regulatory compliance, security, the quality of their markets, recent adverse events and other factors.
- Each exchange got a grade from AA to E. Exchanges graded B are "acceptable risk."
By the numbers: As of February, 96% of exchange volume takes place on the 78 exchanges that CryptoCompare graded as B or higher, putting them in its "top tier."
- Only Coinbase, Gemini, Bitstamp, and Binance, earned an AA, and they now control 36.3% of the market, according to CryptoCompare.
