Crypto trading rates surge as institutional support grows
Crypto trading rates have shown a marked increase across a number of measures between February and March as interest from institutions continues to grow.
Most significant is the volume of trading on crypto-to-crypto exchanges, which grew by 70% between February and March.
Bitcoin to US dollar trading volumes played a key role in this, climbing from 70% of all Bitcoin trading in February to 81.7% in March.
Crypto spot market trades – that is, cryptocurrency traded for immediate delivery – also saw significant growth, rising 47.5% from February and totalling $325bn in March.
Rising institutional interest key to increase in crypto trading rates
The increase in crypto trading rates can in part be attributed to growing institutional interest in cryptocurrencies, particularly from the traditional finance industry.
While cryptocurrency was originally seen as a disruptor, and even an adversary of traditional finance – and was often met with scepticism and even derision from key players in that field – it is increasingly being embraced.
This includes a growing number of products available to mainstream investors as well as the diversification of investment approaches by traditional financial institutions.