A recent study reveals that Asian cryptocurrency exchanges maintain a dominant position in Bitcoin fund flows.
Binance and Huobi Lead Bitcoin Liquidity
According to the latest research by crypto analytics firm TokenAnalyst, Binance and Huobi clearly lead in Bitcoin trading volume and fund flows.
While Binance is headquartered in Malta, its Asian roots are evident—CEO Changpeng Zhao is of Asian origin, prompting TokenAnalyst to classify it as an Asian exchange. Similarly, Huobi, founded in China and now based in Singapore, follows this trend. Reports indicate that Huobi-to-Binance Bitcoin transfers were the largest fund inflow in 2019, while Binance-to-Huobi ranked second.
Key Findings:
- Binance and Huobi dominate inflows/outflows
- US-based Bitfinex ranks third with 210,000 BTC in flow volume
- Hong Kong’s BitMEX places fourth with 165,000 BTC outflow
Top Inflows by Exchange:
- Binance: 544,000 BTC
- Huobi: 247,000 BTC
- Kraken: 237,000 BTC
Notably absent from the rankings are US giant Coinbase and other major Asian exchanges like Bithumb, Upbit, and OKEx. Still, Asia’s dominance in crypto liquidity remains undeniable.
Tether Denies Price Manipulation Allegations
Amid ongoing scrutiny, scholars recently alleged that the 2017 Bitcoin bull run was fueled by price manipulation via a single Bitfinex account, accusing Tether of over-issuing USDT without full reserve backing.
Tether countered these claims, stating:
"Tether and its affiliates have never used USDT to manipulate crypto markets or token prices. All Tether tokens are fully backed by reserves and issued per market demand—not to influence asset prices."
👉 Learn how stablecoins impact crypto liquidity
As the largest stablecoin, USDT remains under the spotlight until competitors gain significant market share.
FAQ
Q: Why do Asian exchanges dominate Bitcoin flows?
A: High local adoption, favorable trading volumes, and established infrastructure contribute to their lead.
Q: Is Tether’s USDT fully backed?
A: Tether claims 1:1 USD reserves, though audits remain sporadic.
Q: Which exchanges were excluded from the study?
A: Coinbase, Bithumb, Upbit, and OKEx—suggesting even broader Asian dominance if included.
Further Reading:
- Blockchain adoption in trade alliances
- Regulatory challenges in crypto liquidity
👉 Explore crypto market trends
Risk Disclosure: Cryptocurrency investments carry high volatility and risk of capital loss. Assess risks carefully.