Explosive Growth in Trading Volume
- Top 10 centralized perpetual exchanges (CEXes) recorded $58.5T in trading volume, doubling the $28T from 2023 and surpassing 2021’s peak.
- Binance remains the top exchange but saw its market share decline from 43% to 34%, while MEXC grew from 3% to 11%.
Record-High Open Interest (OI)
- OI on Top 10 CEXes hit $131B in December, nearly quadrupling since January.
- MEXC and Gate.io gained OI share, while Binance dropped below 30%.
Decentralized Perpetual Exchanges (DEXes) Growth
- Total DEX trading volume reached $1.5T, more than doubling from 2023.
- Hyperliquid overtook dYdX as the leading DEX, capturing over 50% of market share in Q4.
- Despite growth, DEXes still only account for ~3.2% of total DeFi TVL.
CEX vs. DEX Market Share
- Perp CEXes still dominate, with DEXes gaining slight ground.
- By the end of 2024, DEX to CEX Open Interest ratio was 4.2%, and volume ratio was 2.72%.
Bitcoin Dominates Trading Activity
- BTC consistently held ~45% of OI on top CEXes but accounted for ~40% of total trading volume.
- Altcoins (ex-BTC, ETH, SOL) made up 30% of OI, showing increasing interest in smaller assets.
Bitcoin Funding Rate Trends
- BTC funding rates were overwhelmingly positive, with only 26 days in negative territory.
- The largest funding rate spike happened after Bitcoin crossed $100K in December.
Liquidation Trends & Major Events
- Total liquidations on CEXes hit $71.8B in 2024.
- The biggest liquidation day was December 5, when BTC hit $100K following Fed Chair Powell’s recognition of Bitcoin as “Digital Gold.”
Yield Opportunities in Perpetual DEX LP Tokens
- Hyperliquid HLP initially offered 190% APY but later stabilized.
- GMX GLP had the most stable yields (~11%), while Drift’s BAL rewards were highly volatile (sometimes negative).
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