Crypto liquidity lags behind traditional finance despite market efficiency gains – S&P Global
Liquidity in crypto markets continues to lag behind traditional finance due to fragmentation, technical design differences, and exposure to external shocks, according to a new report from S&P Global.
The study analyzed key liquidity metrics, volume, bid-ask spreads, market depth, and slippage, across centralized and decentralized trading venues for Bitcoin (BTC), Ethereum (ETH), and major stablecoins.
The report showed that crypto trading platforms are becoming more efficient but remain fractured across hundreds of markets, with liquidity profiles varying by exchange, asset pair, and trade size.
Spot trading volumes on exchanges like Binance still fall well short of traditional venues like the NYSE, and fiat-based trading pairs…
