Crypto Traders Flock to DEXs
While the FTX bankruptcy in November decreased the confidence in the central stock markets, the stagnant movement of prices in recent months also reduced the transaction volumes to historical levels. However, it is noteworthy that in decentralized exchanges, the opposite is the case.
According to The Block’s research, the 7-day moving average of the trading volumes of centralized exchanges dropped to the lowest level of the year this week, while the number of decentralized exchanges known as DEXs is at April levels. The Block’s chart, which examines the volumes of DEXs compared to CEXs, hit an all-time high of 20%.
Experts point to the fact that centralized exchanges are slow to list meme coins such as PEPE, WOJAK and ORDI as the reason for DEXs to come to the fore in this period. The big center of attention that formed in April did not attract the attention of the stock markets. While Binance recently listed PEPE, other coins did not take action. Coinbase also stayed away from this madness by not listing any meme coins.
It was this silence that made traders flock to decentralized exchanges. Especially on May 5, only PEPE volume in Ethereum-based DEXs managed to exceed 600 million dollars. On the other hand, after this period when Binance and Coinbase were silent, other major exchanges such as Huobi, Gateio, OKX and Kucoin listed most of these meme tokens, albeit late.
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