The reserve balances of the top crypto exchanges provide insights into their strategic focus. Bitcoin and USDT dominate, while native tokens and altcoins highlight the exchanges' strategies. The market continues to evolve and monitoring these reserves will be essential for understanding the broader market dynamics.

Strategic Dominance

Across all exchanges, Bitcoin (BTC) and Tether (USDT) consistently hold the top positions in terms of reserve balances. This highlights their role in maintaining liquidity and trust within exchanges.

Native Tokens

Many exchanges have significant reserves in their native tokens. For instance, Binance has substantial holdings in BNB, HTX holds a large portion in HT, KuCoin holds KCS and Gate.io in GT. This trend underscores the strategic importance of these tokens for their respective platforms.

🌈 Diverse Holdings

The reserves also include a variety of other cryptocurrencies, reflecting the diverse interests and strategies of different exchanges.

🪂🪂🪂 Hedging Requirement 🪂🪂🪂

Holding currencies as a hedging instrument requires holders to maintain a certain level of balance in the reserves. Crypto prices are difficult to predict and are exposed to high market risk. This creates a demand from crypto exchanges for hedging derivatives against potential losses. Hence, the need for hedging the risk is real and there is a need for crypto options, swaps and futures.

Gate.io Partnership

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