Richard

Rose

United

Cryptocurrency exchange Binance benefited massively from the Aug. 5 market crash, recording $1.2 billion in net inflows as traders responded to a sharp fall in cryptocurrency prices.
“This marks one of the highest net inflow days of 2024, indicating strong investor confidence,” Binance’s CEO Richard Teng said in an Aug. 6 X post — citing <a href="https://defillama.com/cexs" target="_blank" rel="noopener nofollow">data</a> from DefiLlama’s centralized exchange (CEX) transparency dashboard.
The <a href="https://cointelegraph.com/explained/what-are-inflows-and-outflows-on-crypto-exchanges#:~:text=Inflows%20on%20crypto%20exchanges,%20explained,or%20move%20funds%20across%20wallets">three main kinds of inflows</a> typically seen on cryptocurrency exchanges are trading activity, transfers from external wallets and fiat deposits used to buy up crypto.&nbsp;
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-08/d7414f32-6552-4e6c-a8ce-b012922cbcb1.png" alt="Binance saw $1.2B of inflows in one of biggest trading days of 2024, says CEO" title="">
 <figcaption style="text-align: center;">
 Source: <a href="https://x.com/_RichardTeng/status/1820792517069332991" target="_blank" rel="noopener nofollow">Richard Teng</a>
 </figcaption>
</figure>
DefiLlama’s CEX transparency dashboard now shows that Binance net inflows increased more than $2.2 billion to $101.2 billion over the last 24 hours.
Bybit, Crypto.com and OKX’s inflows have also increased by $301.4 million, $107.8 million and $97.7 million, respectively, over the last 24 hours. 
Robinhood notably saw a $16.9 million outflow as it <a href="https://cointelegraph.com/news/robinhood-24-hour-trade-suspend-8-hours">suspended its 24-hour market</a>&nbsp;execution venue, Blue Ocean ATS, in the early hours of Aug. 6.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-08/dcb81e8a-2097-47e8-906e-c0f15b133d0a.png" alt="Binance saw $1.2B of inflows in one of biggest trading days of 2024, says CEO" title="">
 <figcaption style="text-align: center;">
 Top five largest cryptocurrency exchanges by assets and flows. Source: DeFiLlama
 </figcaption>
</figure>
<a href="https://cointelegraph.com/explained/crypto-exchanges-explained">Cryptocurrency exchanges</a> processed more than 268,830 Bitcoin (<a href="https://cointelegraph.com/bitcoin-price">BTC</a>) — worth around $15 billion — in spot trading volume on Aug. 5, blockchain analytics firm K33 Research <a href="https://k33.com/research/articles/slow-recovery-ahead" target="_blank" rel="noopener nofollow">noted.</a>
“[This was] the highest amount since Binance’s zero fee regime in 2022-2023."
Meanwhile, Bitcoin and Ether (<a href="https://cointelegraph.com/ethereum-price">ETH</a>) tanked 10% and 18% in a two-hour window on Aug. 5, while over $600 million in <a href="https://cointelegraph.com/news/bitcoin-crashes-below-53k-wiping-out-600-million-leveraged-longs">leveraged long positions</a> were wiped out.
Related: <a href="https://cointelegraph.com/news/indian-law-enforcement-demand-unpaid-taxes-binance">India demands $86M from Binance in unpaid GST taxes</a>
Binance Australia said in a statement shared with Cointelegraph that despite the sharp fall, the fundamental value and potential of digital assets remain intact.
“History shows that the cryptocurrency market has demonstrated resilience and recovery following periods of correction,” said Binance Australia and New Zealand’s general manager, Ben Rose.
<blockquote data-ct-non-breakable="true">
 “Despite the current challenges, we do not view this downturn as indicative of a long-term negative trend for the crypto market.”
</blockquote>
Rose expects to see more significant market fluctuations in the near future, citing potential United States <a href="https://cointelegraph.com/explained/impact-of-fed-interest-rates-on-crypto-holders">Federal Reserve interest rate cuts</a> and <a href="https://cointelegraph.com/news/us-policy-change-expose-crypto-20-trillion-industry-bitwise">political uncertainties</a>.
<a href="https://cointelegraph.com/news/bitcoin-analyst-seller-exhaustion-btc-price-rebounds-10">Bitcoin has partially recovered</a> since bottoming out at $49,780 on Aug. 5, up 14% to $56,770, CoinGecko data <a href="https://www.coingecko.com/en/coins/bitcoin" target="_blank" rel="noopener nofollow">shows</a>.
Magazine: <a href="https://cointelegraph.com/magazine/deposit-risk-crypto-exchanges-money/">Deposit risk: What do crypto exchanges really do with your money?</a>

Binance saw $1.2B of inflows in one of biggest trading days of 2024, says CEO

Cointelegraph

Other articles published on Aug 7, 2024

Ripple Forms Strategic Partnership with DIFC Innovation Center in UAE

Brendan Blumer: From Gaming Teen to Blockchain Pioneer

Hong Kong Police Arrest Four, Including 14-Year-Old, for Counterfeit Crypto Scam

Bitcoin flashes bearish signs! Watch out for THIS crucial level

Plus Token Ponzi-linked wallet moves $2B ETH after 3.3 years of dormancy

Outsmart the Bears: Hedera’s Struggles and the Best Meme Coin on Presale with Lucrative Staking R...

Join our free newsletter for daily crypto updates!