Decentralized exchanges (DEXs) continue to experience significant trading activity. According to data reported today by market analyst Phoenix Group, spot trading volume on DEXs reached $171.26 billion over the past week, an increase of 21.05% from the previous week. This shows sustained growth in on-chain spot trading on decentralized exchanges.
As per the data, DEX platforms, including UniSwap, Pancake, Meteora, Hyperliquid, Aerodrome, Raydium, Oraca, and LFJ, are seeing massive trading activity as increased customers use them to execute various DeFi trades.
Top DEXs by Weekly Trading Volume
UniSwap
UniSwap is the new market leader as it recorded the highest trading volume during the week, amounting to $23.46 billion. The figure shows that UniSwap has revamped its market dominance, a resurgence from lows noticed in June and July that saw it overtaken by PancakeSwap. As reported in the data, UniSwap’s TVL currently stands at $4.26 billion, an indicator of robust growth and rising user trust in its DeFi network.
PancakeSwap
PancakeSwap is the second on the list, as it attracted a weekly trading volume of $15.48 billion. In June and July, PancakeSwap remained the top DEX performer due to its integration with Binance Alpha, which attracted more customers to the platform. The recent rollout of PancakeSwap Infinity has also contributed a significant impact on the DEX’s trading activity. The figure shows that PancakeSwap offers quality liquidity and rapid transactions that users need in DeFi.
Meteora
Meteora, a DEX platform on the Solana network, also gained visibility as it pulled in a staggering $7.50 billion trading volume over the week, putting it third in the list. This showcases Meteora’s rising prominence in the decentralized exchange sector. Over the past three weeks, Meteora has been recording a dramatic increase in trading activity and fee revenues following the rollout of Kanye West’s meme coin, YZY. The DEX stood out as one of the major trading gateways for YZY, with investors and liquidity providers moving fast to take advantage of the sudden increase in demand.
Hyperliquid
Fourth on the list is Hyperliquid, a DEX built on its own Layer-1 blockchain, which attracted a trading volume of $6.82 billion over the period. The surge has been driven by an increased number of retail and institutional traders using Hyperliquid to execute crypto derivatives. Hyperliquid is renowned for providing traders with low fees, rapid transactions, and advanced trading tools like perpetual derivatives.
Aerodrome Finance
Next is Aerodrome Finance, a DEX operating on top of the Base network, which drew in $4.85 billion in trading volume over the week. This trading activity is an indicator that Aerodrome is witnessing substantial bullish sentiment as its recent integration with Coinbase boosted user transactions and DEX activity. Its integration with Coinbase’s DEX (last month, August 8) has had a significant impact on the platform. Two weeks after the integration, Aerodrome’s trading volume rose by 30%, according to data tracked on August 27.
Other Top Market Performers And Who Rules the Market
Other DEXs with outstanding trading volumes over the week include Raydium, Orca, LFJ, and Curve, as illustrated in the data. Raydium reported a trading volume of $4.60 billion over the period. Orca, LFJ, and Curve also drew in $4.09 billion, $2.04 billion, and $1.68 billion in trading volumes, respectively, showing their prominence.
Another important aspect pointed out by the analyst is the DEX-to-CEX ratio, which currently stands at 17.56%, compared to the ATH of 27.92% noted in June. The implication here is that increased crypto traders have been moving away from CEXs (centralized exchanges) in preference for DEXs, pushing the ratio high. Despite the rising ratio, the spot CEX market is still significantly bigger than DEX. Based on data tracked in July, the top 10 DEX platforms recorded $877 billion in volume in the second quarter, compared with $3.9 trillion on CEXs.
