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Decentralized Exchange Trading Volume Soars 88% After SEC Lawsuit

Trading volume on decentralized exchanges (DEX) jumped 88% in 24 hours following news that the US Securities and Exchange Commission (SEC) sued centralized crypto exchange Binance.

On June 5, the financial regulator filed 13 charges against Binance and its CEO Changpeng Zhao for violating federal securities laws and further alleged that the exchange facilitated the trading of crypto securities tokens.

Following this news, the trading volume on the DEX increased from $1.2 billion on June 4 to $3.09 billion on June 5. DeFiLlama,

Uniswap dominates volume

defilama data Has shown The dominant DEX during reporting hours was Uniswap (UNI), with around 50% of the total volume. The platform’s trading volume across multiple chains grew by over 200% to $1.48 billion.

During this period, Pancakeswap (CAKE) volume on the Ethereum and BNB smart chain increased by 75% to $481.84 million.

Other protocols that registered significant changes in their trading volumes include Dodo with $163.92 million, Curve Finance (CRV) with $156.9 million, and Level Finance with $117.55 million.

The trading volume of dex is increasing

Prior to the SEC lawsuit, decentralized exchanges experienced a boom in trading volume due to the proliferation of meme coins such as PEPE, WOJAK, Turbo, and others.

K33 Research told That DEX volume as a percentage of all trading volume was near late 2021/early 2022 highs.

Meanwhile, this increase coincides with a period when centralized exchanges’ trading volumes fell to their lowest levels since 2020. Centralized platforms have faced increased regulatory scrutiny from regulators in an effort to prevent another FTX-like collapse in 2022.

Despite the growing use of decentralized exchanges, trading volume is still relatively low compared to its previous peaks. According to data from DeFiLlama, the total DEX volume in May was $72 billion, much lower than the $234.27 billion recorded in November 2021.

dex token down

However, the shift to DEXs has translated into positive price performance for the native tokens on these exchanges. According to crypto slate According to data, the token in the region is down by 6.51% in the last 24 hours and by more than 10% in the past week.

The sector’s top 10 cryptocurrencies by market cap saw losses during the reporting period, with 11 percent off 1 inch.

The SEC followed up yesterday’s action by filing a lawsuit against Coinbase this morning.

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