Trading volume on Coinbase – the US’ leading cryptocurrency exchange – has hit a twelve month low, according to figures just released by Blockchain research house Diar.
Trading volume in for Q3 2018 stood at just over $9 billion, whereas the corresponding figure in 2017 stood at just over $10 billion.
The figures also indicate that trading volumes have fallen over 75% since their peak in Q1 of 2018, when the crypto markets entered into a sustained decline.
Exchanges Diversifying Their Portfolio
Citing further figures from CoinApi, the Diar report observes that similar trends also apply to Binance and other leading exchanges, indicating that this may be a primary reason as to why exchanges are now keen to diversify their own business operations.
Coinbase laid out concrete plans over the summer period to accommodate a host of custodial services for crytpo-assets in its longer term bid to lure traditional finance into the crypto markets. It has also acquired Keystone Capital – now rebranded as Coinbase Securities – in a bid to offer start-ups regulatory-compliant capital fund-raising mechanisms.
Binance, on the other hand, appears to be placing a stronger focus on its ability to offer blockchain start-ups an incubator role through the Binance Labs initiative, which will offer ICOs capital liquidity, consulting services and general marketing.