According to CryptoQuant, Binance’s retail dominance index currently stands at a staggering 89.6%.
This isn’t just a statistic. It shows that the majority of funds coming into the platform come from small wallets owned by individual users. Not from whales or large institutions. So if you’re a regular user who’s just learning about crypto, you’re not alone—it turns out that the majority of the Binance community is like that too.
Source: CryptoQuant
Small User Activity Still Dominates Binance
Imagine an exchange like Binance as a night market. In this case, almost all of its visitors are regular people who shop in small amounts. Not corporations or large collectors who come by the truckload. Compare that to Coinbase Prime, which only recorded a retail dominance of 18.3%. This means that the majority of funds flowing there come from large wallets—usually institutions.
On the other hand, exchanges like MEXC and Bitget show a mix with retail dominance between 40% and 60%. This reflects a more mixed atmosphere between big players and regular users.
However, the high dominance of small users on Binance can be interpreted as a form of trust and comfort from the retail community. People are more comfortable storing, transacting, and doing activities on the platform. This could also be a reflection that their onboarding process and interface are indeed more user-friendly.
Furthermore, Binance seems to be trying to appear better in the eyes of the world. As we previously reported, their CEO, Richard Teng, revealed that more and more countries are contacting Binance for help in drafting crypto regulations at the national level. Teng also stated that Binance is now operating in a way that is more favorable to regulators than in the past. Interesting, right?
Not only that, in April 2025, several Binance executives were also known to have met with representatives from the US Treasury Department.
The topic? The possibility of reducing government oversight, as part of a long-term strategy that also involves World Liberty Financial—a crypto company supported by Donald Trump. This could certainly have a big impact on the direction of their policies going forward.
On the other hand, Binance also announced a major update to the Portfolio Margin system. Starting April 25, several assets, such as ZEC, TWT, and 1INCH, will experience changes in collateral ratios. Users are asked to monitor the maintenance ratio so as not to be liquidated. This is an important signal that users need to be more observant and not just follow suit.
Unfortunately, Binance recently experienced technical disruptions due to problems with the Amazon Web Services data center in Tokyo. Withdrawals were suspended for 23 minutes, although the service has now been restored. Interestingly, similar disruptions were also felt by KuCoin and MEXC.