Trading volume figures for Bitcoin on Binance and Square are a key metric for cryptocurrency investors who track the market’s movements. They trust these figures more than others.
Binance, for example, “is the most trusted cryptocurrency exchange among digital asset investors despite the light financial regulations of Malta where it’s incorporated,” writes CCN.
What numbers are the investors looking at? Square’s Q4 letter to shareholders stated that it processed over $50 million in bitcoin purchases in Q4 2018. This represented a year end surge in bitcoin buys that put Square’s yearly total at $166 million for 2018. CCN says this is considered good growth and it has been happening since November 2017 when Square founder Jack Dorsey added Bitcoin buying and selling, and a wallet custody service, to the widely used Cash App. Putting Bitcoin on the Cash App hase proved very profitable for Square. Indeed, the fintech company is worth more than Twitter, Dorsey’s other “billion dollar baby.”
Earlier this month Jack Dorsey announced that Square’s Cash App is “one of the most widely utilized mobile payment applications in the U.S. market, and became the 2nd most popular free mobile application on the Apple App Store.”
However, it took Square a year to move the kind of Bitcoin that Binance moves in a busy day. According to crypto analytics firm Chain Open Research, Binance’s total trading volume for November 15 — December 15, 2018 was $20 billion. That’s an impressive figure.
In fact, Binance made so much money last year that Changpeng Zhao, the Binance CEO,” permanently destroyed $446 million worth of his own cryptocurrency, Binance Coin, as a way of evenly transferring all that value to the holders of the remaining BNB coin,” as reported by CCN.
And it is likely that Binance’s trading volume will surge this year following its decision to allow users to buy crypto with credit cards.