The latest report from data analysis agency Kaiko reviewed the events of the past few months and pointed out that after Binance switched to supporting FDUSD, TUSD's trading share plummeted from 23% to 1%.
Fake News Incident: Market Makers Withdraw Orders Exacerbating the Fall
Kaiko first reviewed the own incident of Cointelegraph falsely reporting that the Bitcoin spot ETF had passed, which allowed BTC to exceed $30,000 for the first time since mid-August.
As the truth comes to light, Kaiko pointed out that in this situation, market makers will also withdraw orders as soon as possible to avoid causing additional losses during periods of extreme volatility.
The report specifically pointed out that compared to Binance and Bybit, Kraken’s liquidity recovered more quickly during the fake news period.
TUSD transaction proportion: 23% → 1%
Since BUSD stopped issuing due to regulatory issues, Binance switched to promoting TUSD in March, which caused TUSD's trading share to soar from less than 1% to 23%.
However, Binance changed its support for FDUSD in July, causing the market value of TUSD to return to its original shape, and FDUSD's trading proportion increased to 16%.
Why did BTC fork coins surge?
Binance CEO CZ(CZ) delisted Bitcoin SV (BSV) in April 2019 due to Craig Wright's fraud.
However, Binance announced the listing of BSV perpetual contracts on October 20, which caused BSV to rise by 30%.
In addition, another fork coin, BCH, also rose by 200% in July. However, except that BCH was listed on EDX Markets, Kaiko could not think of any reason for BCH to soar.
