Uniswap (UNI) Reaching Coinbase's Numbers Is Not Full Truth, Says Exchange's CEO and Founder

According to statistics provided by Kaiko's research director, the daily trading volume on decentralized crypto exchange Uniswap has grown by 22% since the beginning of the year and, in its values, approached the indicators of one of the largest centralized crypto exchanges, Coinbase. At the moment, the daily volume on Uniswap is 49% of the total market share of volume between itself and Coinbase.

In turn, Brian Armstrong, founder and CEO of Coinbase, did not allow this information to pass by without comment. First congratulating Uniswap on its growth, Armstrong said that the comparison is inappropriate because it only affects Coinbase's centralized business. The company also operates through various venues like wallets and DEXes. Nevertheless, the entrepreneur agreed with the main point and stated that Coinbase loves decentralized platforms and will continue to integrate them into its operations.

It's great to see Uniswap growing - but you're comparing it only to Coinbase's centralized exchange here. Coinbase is also a wallet for lots of folks, and routes trades to various places - our centralized exchange AND DEXes.

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— Brian Armstrong - barmstrong.eth (@brian_armstrong) July 19, 2022

Crypto exchanges' flippening

Several factors contributed to such a strong expansion of Uniswap's share, among them heavily reduced transaction fees on the Ethereum network, multi-billion dollar turnovers in stablecoin swaps, and the ability to offer the greatest liquidity in wBTC/stETH markets.

However, commenting further on her observation, Clara Medalie said that despite the rapid development of the segment, DEX platforms so far claim only a small share of the volumes of large centralized exchanges. For example, the total share of the daily trading volume of all DEXes on the Ethereum blockchain is only 8% of the total share of such giants as Binance, FTX and Coinbase. In this breakdown of Ethereum DEXes, Uniswap has 80-90% of the total volume.