Binance’s Wallet Grows By 240% in 2 Years While Coinbase’s Falls

Through a period of two years, the Bitcoin (BTC) holdings of two popular cryptocurrency exchanges, Binance and Coinbase, graphically show an almost perfect negative correlation. While the Binance exchange kept accumulating BTC from 2020 until now, Coinbase, on the other hand, experienced continuous depletion of its BTC holding through the same period.

This information is per data available from Glassnode, a blockchain data and intelligence platform.

Binance maintained above 250,000 BTC in its cold wallet since 2019, progressively increasing to 600,000 BTC in three years. In 2019, Coinbase already had more than one million sats of bitcoin in its cold wallet, but it has gradually fallen to the current size of slightly above 500,000.

These numbers capture how crypto traders interact with each exchange, whether they’re depositing or withdrawing from them. While the price of BTC crashed in the past few weeks to $17,588, the balance of the Binance cold wallet rose in the same period by 101,266 BTC.

Other equally popular exchanges like FTX, Crypto.com, and KuCoin, barely have up to 100,000 BTC holding in their cold address from 2017 until date. However, data from CoinMarketCap shows that FTX and KuCoin are part of the top five exchanges with the highest transaction volume in 24 hours.

Coinbase, FTX, and KuCoin have a combined 24 hours trading volume of $4.45 billion, but Binance is way ahead at $11 billion.

It can be observed that most crypto traders pick Binance over others because of its wide range of support services. For instance, Binance supports over 45 fiat currencies, including African currencies. In contrast, Coinbase supports only the United States dollars, euro, and Great Britain pounds.