CryptoMode DEX Report Uniswap

Trading cryptocurrencies is often achieved through centralized exchanges and platforms. Compared to the overall DEX volume, CEXes generate a lot of more trades. That being said, July 2020 was a bullish month for all decentralized exchanges. 

DEX Volume More Than Doubles

It is interesting to keep tabs on the overall DEX trading volume. It is a “niche market” compared to traditional trading platforms. In recent months, there has been a strong increase in the trading volume generated by decentralized exchanges.  Earlier in the year, the volume increased from $1bn in March to nearly $2bn in June. 

That growth already indicated how there was a growing interest in decentralized exchanges. That trend has now continued throughout July of 2020, in quite spectacular fashion. The overall trading volume on every DEX increased significantly, for some reason. This brings the total trading volume across decentralized exchanges to over $4bn in July of 2020. 

DEX Trading Volume July 2020

The biggest increase in volume is generated by Uniswap. It is, for all intents and purposes, the primary DEX to trade crypto assets today. Curve also noted a strong growth, followed by DDEX, Kyber, Balancer, dYdX, and 0x. A very impressive month, albeit it may have to do with the recent price surge most crypto assets have gone through in July of 2020. 

Sustaining such strong growth will not be easy. A doubling in trading volume is impressive, but it will also raise overall expectations. So far, August seems to be shaping up as another strong month. Over $700 million in volume has been generated in the first three days of August 2020. This confirms how this month’s DEX volume may set yet another trading record.

What are People Trading?

Looking at statistics by CoinGecko, there are some interesting trading pairs. For Uniswap users, it appears that AMPL/ETH, USDC/ETH, and DAI/ETH are generating the most volume. Kyber users are primarily interested in trading DAI, USDT, and WETH against Ethereum. 

On the Curve platform, there is a lot of activity for DAI/USDC, as well as USDC/DAI and USDC/USDT. Trading between different stablecoins can provide access to different features of the broader DeFi ecosystem. Lastly, on dYdX, there are only three trading pairs. Its ETH/DAI and ETH/USDC pairs represent over 99.8% of all trades. 

Following this impressive growth, one has to wonder how things will evolve. Setting a new trading record for DEX trading is interesting. Based on the actual popular trading pairs, it is evident that Ethereum reigns supreme.

Once DEXes provide access to Bitcoin and other assets, things will get  a lot more interesting. Supporting the world’s leading cryptocurrency is crucial, especially from a liquidity point of view.

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