Binance statistics: AUM, revenue, users, & more

Binance has long been the largest cryptocurrency exchange by some distance, despite almost no publicly available financial information allowing anyone to do any proper due diligence on their operations.

In this blog post, we will give you an overview of some of the key statistics known to date about Binance’s revenues, customer reserves, and user statistics.

Overview

• Founded: 2017
• Headquarters: Cayman Islands (unconfirmed)
• Founder: Changpeng Zhao (CZ) & He Yi
• Number of Employees: 11,000+
• Coins available to trade: 350+
• Trading Pairs: 1,400+

Binance has grown massively through its constant innovation and the sheer breadth of services they offer. No other exchange can compete on their level right now.

But did you know that Binance has never confirmed which company holds their main exchange Binance.com? It is believed to be held by a company in the Cayman Islands. 

Many journalistic efforts to dig deep into Binance’s financial records through their web of private companies across multiple markets have come up short. Most of these companies were not reporting any material trading.

What services does Binance provide?

To get a better idea of Binance’s business model, let’s first look at a list of services they offer:

• Exchange services allow you to buy/sell crypto assets
• Advanced trading
• Staking
• NFTs
• Self-Custody Wallets
• Institutional, VIP, and business accounts
• E-commerce business payments
• Prepaid Cards
• Trading bots
• Crypto loans
• DeFi
• Derivatives such as options, futures, and leveraged tokens.

Ranking of Binance vs its competitors

Below is a comparison of the typical 24-hour trading volume of Binance versus some of its competitors. Binance remains the biggest player in the market by far.

In terms of daily trading volume, Binance is almost nine times as large as its nearest competitor.

Binance reported key user statistics

Below is a summary of some key user statistics that were reported for Binance in their 2023 ‘End of Year Report’:

• Average Daily Volume: $65bn
• Spot Transactions: $300bn
• Registered Users: 170 million
• Binance cards issued in EEA: 1.8 million
• Binance P2P users: 19.46 million
• Binance Pay users: 37.4 million

Binance revenue

As Binance is a private limited company with a complex structure designed to hide its financial activities, we can only rely on anecdotal evidence of Binance’s finances.

Binance does not disclose basic financial information such as revenues, net profit, monthly transacting users, and cash reserves.

Based on research conducted by media outlets, we can approximate that Binance’s revenue in 2023 ranged from $12-14bn. For context, one of Binance’s main competitors, Coinbase, recorded revenue of $3.1bn in 2023.

• Reuters estimate Binance’s revenue in 2022 to have been approximately $11bn, made up of $4.6bn revenue on spot trading and $6.4bn on derivatives. 
• CryptoQuant research estimated that Binance’s Revenue in 2022 was approximately $12bn (which would be 10X growth over the previous two years).

We are unlikely to get a further glimpse into Binance’s financials until the time arises when they either decide to go public or need to raise additional venture capital from the private market.

Binance AUM (Assets Under Management)

Based on their Proof of Reserves reporting, we can get an idea of what level of assets under management Binance has.

Proof of reserves was first reported in November 2022 in response to turmoil in the industry when FTX collapsed. Binance’s hand was forced to show that it had adequate reserves to cover its customer’s assets on deposit.

The table below represents customer net balances, and equivalent assets binance hold in reserve to ensure customer balances are safe. Binance claims that each individual can verify that their assets on the platform through their Merkle Tree is a cryptographic tool.

This report only summarises reserves held for 28 of the 350+ crypto assets Binance offers on their spot exchange. We have calculated the value of these assets to be $65.7 billion, but this will only be a fraction of the total customer assets held in custody. The table below is ranked by “$ value”.

In recent reports, the US arm of Binance’s global operation Binance U.S, had an estimated $2.2 billion of customer funds that were potentially at risk due to the legal situation it finds itself in. This is according to reports from the US Federal regulators, who are keeping a close eye on Binance since it has been sued by the SEC.

“The SEC on June 5 sued Binance, its CEO and founder Changpeng Zhao and Binance.US’s operator, alleging that Binance artificially inflated its trading volumes, diverted customer funds, failed to restrict U.S. customers from its platform and misled investors about its market surveillance controls.” Reuters

Conclusion

Binance remains the top-dog cryptocurrency exchange in the world, as evidenced by its daily trading volumes. Outside of this metric, it is difficult to dig deeper into user statistics and the financial performance of Binance’s group of private companies.

The best information we have to go on is purely guesstimates.

On all fronts, Binance is now facing challenges, and the next couple of years will determine whether it can survive the increased regulatory scrutiny or fall like many of its previous competitors.

If you are interested in reading about the statistics of one of Binance’s closest rivals, Coinbase, check out the Coinbase Statistics article.

FAQs