Binance’s US subsidiary, Binance.US, continues to lose liquidity in the shadow of a lawsuit filed by the US Securities and Exchange Commission (SEC).
facing the SEC Binance.US began to lose a great deal of blood. Presented by on-chain analytics firm Kaiko data According to the best traded on Binance.US 25 cryptocurrencies at market depth 78.80% rate decreased.
The main reason for the loss of liquidity is the withdrawal of market makers from the country and questions about the future of the stock market It is thought to be the SEC case that brought it up.
Market maker in a recent statement wintermute And keyrock, It had reported that they had withdrawn from Binance.US. In such cases, market makers buying And sales It is very important in providing liquidity by giving prices. The sudden departure of these individuals and companies made Binance.US leaving you with limited liquidity can make it difficult for traders to execute their orders effectively.
On the other hand, in periods when there is no volume and depth in the market, a large amount of simple transactions made by a single user may result in serious fluctuations in prices. Even in Binance’s global market, BNB/USDC Due to the illiquidity on the parity, the price quickly increased. After losing nearly 75% of its value then back to normal band.
In addition, giant cryptocurrency market makers Jane Street and Jump Trading announced at the beginning of last month that they would cease their operations in the country in the face of the US’s repressive policy on the crypto money sector.
