The cryptocurrency derivatives market witnessed remarkable expansion in 2025, accumulating an astounding trading volume of approximately $85.7 trillion. The daily trading average stood at around $264.5 billion, as reported by CoinGlass. Despite a sluggish start attributed to global liquidity constraints, the market rebounded significantly, peaking on a day in October with a trading volume of $748 billion.
Binance emerged as a pivotal force in this evolving landscape, capturing over 29% of the global derivatives market. CoinGlass”s Annual Report indicated that Binance”s trade volume could reach $25.09 trillion by the end of the year, solidifying its position alongside other major exchanges like OKX, Bybit, and Bitget, which collectively held more than 62% of market share. Smaller exchanges faced challenges, struggling with limited liquidity and transaction quality, leading to what CoinGlass described as a “stratified oligopoly.”
Liquidity depth offered further insights into market dynamics beyond mere volume statistics. Binance maintained a significant edge in Bitcoin order book depth, facilitating large trades with minimal price impact. This robust infrastructure highlighted the concentration of custody patterns, with Binance holding over 72% of user assets. Such dominance is reflected in a high Herfindahl-Hirschman Index (HHI) of 5,352, indicating an “extreme oligopoly” and raising potential operational risks stemming from the consolidation of assets within a few institutions.
Throughout 2025, liquidations in the market amounted to $150 billion, a figure described as routine by CoinGlass. However, the period between October 10 and 11 marked a notable surge in liquidations, exceeding $19 billion. This spike was linked to geopolitical tensions arising from new tariffs imposed by the U.S. on China.
The key takeaways from 2025 illustrate the intricate dynamics of the cryptocurrency derivatives market: Binance”s impressive $25.09 trillion in derivatives volume underscored its market dominance, while liquidations peaked at $19 billion amidst geopolitical upheaval. Furthermore, Binance”s custody of user assets exceeding 72% reflects a high concentration within the market. The volatility experienced throughout the year highlighted the fragility and adaptability of the cryptocurrency derivatives sector as it continued to evolve amidst external economic pressures.
