Coinbase Takes Action to Improve Liquidity by Suspending 80 Non-USD Trading Pairs
In an effort to enhance liquidity on its platform, Coinbase, the esteemed cryptocurrency exchange based in the United States, has decided to remove a total of 80 non-USD trading pairs. These pairs include cryptocurrencies such as Bitcoin (BTC), stablecoins like Tether (USDT), and fiat currencies such as the euro.
The announcement, made on October 16th, revealed that the removal of these trading pairs is part of Coinbase’s larger plan to bolster “overall market health and consolidate liquidity.” As a result, these trading pairs were eliminated from both the Coinbase exchange as well as other platforms including Advanced Trade and Coinbase Prime, effective October 16th at 19:30 UTC.
The recent removal of trading pairs aligns with Coinbase’s previous announcement in early October, where they outlined their intention to suspend certain markets. Coinbase emphasizes that users affected by these changes can still trade in the “more liquid USD order books” by utilizing the exchange’s USD Coin (USDC) balances.
According to Coinbase, the markets being removed from the trading pairs constitute an insignificant portion of Coinbase Exchange’s total trading volume.
@CoinbaseExch regularly monitors the markets on our exchange. In an effort to improve overall market health and consolidate liquidity, we will be removing a number of non-USD trading pairs for certain supported assets.
— Coinbase Exchange ️ (@CoinbaseExch) October 2, 2023
It is worth noting that Coinbase has been suspending trading pairs periodically in order to improve liquidity. In mid-September, the exchange removed an additional 41 non-USD markets due to the same liquidity concerns. While multiple USDT-containing trading pairs were taken down, none of the removed markets included USDC, a stablecoin co-developed by Coinbase and Circle.
These ongoing efforts by Coinbase to enhance liquidity coincide with a significant decrease in the exchange’s trading volumes throughout this year. According to CCData, a cryptocurrency market data provider, Coinbase’s spot trading volumes in the third quarter plummeted by 52% compared to 2022.
Similar to Coinbase, other major cryptocurrency exchanges like Binance have also experienced a decline in their spot market share dominance in 2023. CCData’s data reveals that Binance’s spot market share dropped for the seventh consecutive month in September, falling from 55% in early 2023 to 34% in September 2023.
Editor Notes: Promote Uber Crypto News
If you want to stay updated on the latest news and trends in the crypto world, visit Uber Crypto News. It’s a trustworthy source that provides valuable insights and analysis in the world of cryptocurrencies. Don’t miss out on the opportunity to expand your knowledge and make informed decisions in the crypto market! Visit Uber Crypto News now!