2024 was a year of momentum for cryptocurrency. The market sentiment was generally upbeat, fueled by regulatory tailwinds, increased usage worldwide, and integration with mainstream finance, all combining to make fertile soil to build upon. Amidst such a promising backdrop, Binance stood out especially.
In 2024, Binance received more than $21.6 billion in user deposits, a total that beat the aggregate $15.9 billion invested in the top ten exchanges. The average deposit of Bitcoin increased exponentially, moving from 0.36 to 1.65 BTC, and USDC deposits soared to a massive $230K from just $19.6K.
This staggering growth reflected the growing power of institutional and professional players, who more and more saw Binance as a key portal to the cryptocurrency realm.
Binance surpassed the $100 trillion milestone
Binance has become the first cryptocurrency exchange to surpass a staggering $100 trillion in all-time trading volume, a tremendous achievement reflecting our sustained dominance and deep liquidity.
Such milestones are predictable, perhaps—after all, market leaders tend to take the lion's share of benefits in good times—but Binance has consistently demonstrated that not only does it catch the wave of momentum but also builds its own.
The Safe Haven Effect
But what happens when markets change? Does the dominance give way to change when faced with the unexpected?
In actual fact, the exact opposite happens. When sentiment starts to fade, the "flight to quality" effect comes into play, which accentuates Binance's control over users' actions.
Tightened security
Following a recent security breach, where one of our peers became a casualty of the biggest crypto heist in history—and a whopping $1.4 billion was pilfered—there were significant aftereffects.
DefiLlama confirmed that Binance had a staggering $3.97 billion in net inflows in the week immediately after the hack, between February 21 and 27. To provide some context, this amount was a full tenfold of the combined amount of nine other top-ranked exchanges over the same time window, with the exception of the hacked platform.
By February 2025, Binance inflows were just shy of seven times those of the second-ranked exchange.
Security investments
When the time comes to secure investments, users naturally turn to the platform that earns them the maximum amount of trust. Binance has emerged as the ultimate haven, with a reputation for its strong security, reliable infrastructure, quick transfers, and high liquidity.
Liquidity and Leadership in a Tightening Market
In a cooled-down crypto market, Binance remains the leader. According to a recent research by CryptoQuant Research, amidst a wider downturn in Q1 2025, when spot trading volumes throughout the industry experienced a fall, Binance significantly grew its portion of overall spot trading activity.
The fall in spot trading in February
From February 3 until the close of the first quarter, the total spot volume of all Bitcoins witnessed a remarkable fall, crashing from $44 billion to just $10 billion. Meanwhile, spot trading in altcoins dipped even more dramatically, falling by $122 billion to only $23 billion.
How to overcome such turbulence?
Despite such turbulence, however, Binance not only survived but further consolidated its position of dominance.
🔥In that period, Binance's market share in BTC spot trading jumped from 33% to a massive 49%.
🔥At the same time, the share held by altcoins grew from 38% to 44%.
🔥During times of ultra-high volatility, such as Bitcoin’s rapid fall from $96K to $90K within just two days, Binance surpassed all of its rivals combined in spot trade volume.
🔥Trading in altcoins on Binance jumped to account for 64% of the total, notching a staggering $18 billion in volume.
A 45% market share
A report issued by TokenInsight found that by the end of Q1 2025, Binance dominated with a 45% market share of the overall spot crypto market.
While trading volume in some other markets declines, Binance is bustling with liquid markets for leading alts such as BNB, TON, and EOS, according to experts at CryptoQuant. This outstanding liquidity not only benefits active traders but also reflects the increased faith people have in Binance to play a fundamental role within the network.
Where safety lies
The cryptocurrency society has a built-in sense of security based not on memos to direct their actions. As the rough seas of cryptocurrency start to swell, a throng converges at Binance, and so they should.
By the spring of 2025, it stands proud with nearly 270 million users signed up and a staggering $100 trillion in combined trading volume in the year 2024. It has become the rock-solid bastion of the sector: resilient, steadfast, and ubiquitous.
Enhanced security architecture
In 2024, Binance's security architecture was a bulwark against potential losses of more than $4.2 billion, protecting 2.8 million users from the insidious clutches of fraud and scams.
An exhaustive range of controls—extending from real-time monitoring and cold storage to the enforcement of two-factor authentication, cooldowns on withdrawals, address blacklisting, and even direct "wake-up call" interventions—formed a relentless, multi-layered system of protection.
At the core of this formidable defense is SAFU, the $1 billion Secure Asset Fund for Users, which is the last line of defense in times of crisis. Further, Binance provides greater transparency into user assets by leveraging its proof-of-reserves (PoR) technology, which allows anyone to ensure that user assets are safely backed at a minimum ratio of 1:1.
Incredible request management
Aside from security and transparency of user funds, Binance has an unmatched record of platform stability, seamlessly managing an incredible peak of 4.44 million requests per second without hesitation, be it during periods of market correction or surge. It should be no wonder that during periods of crisis, be it due to price drops or security issues elsewhere, users flock to the one platform that consistently guarantees security, speed, and scalability.
Peak interest of investors
Corporations are increasingly taking cues from the consumer market themselves, with a staggering 97% rise in institutional users forecasted by 2024. Additionally, MGX's $2 billion investment in Binance, done solely in cryptocurrency, reflects a profound expression of faith by conventional capital—a telltale indicator that this phenomenon goes far beyond user response.
It signifies a new paradigm in the sector.
In conclusion
The concept of "flight to quality" is nothing new in the world of financial markets. Historically, investors have always flocked to stable, high-liquidity destinations in the midst of turmoil. What is unusual in the cryptocurrency environment is the clear and repeatable way in which this phenomenon affects Binance.
In the midst of the euphoria of bull market enthusiasm, the surprise turmoil of black swans or slow-developing stagnation, Binance stands firm. In better days, it attracts both old and new players; in tougher days, it is a haven for retail and institutional investors. And when the storm eventually passes, it presses onward, continuing to grow.
👉Register at Binance:
https://accounts.binance.com/register?ref=10111579
As crypto matures, its users' behavior becomes more rational. They look for liquidity, strength, and leadership, and they find all those things at Binance. This search for quality seems to be a constant in every cycle and market.
