Why has Binance overtaken the CME in Bitcoin futures open interest?

Binance has surpassed the CME due to declining profitability of the basis trade, which was a key driver for institutional interest on the CME.

What is the 'basis trade' impacting CME's Bitcoin futures interest?

The basis trade involves capturing premium by buying spot Bitcoin and selling futures. Its profitability has decreased, reducing institutional activity on CME.

Who favors Binance for Bitcoin futures trading?

Binance is favored by retail traders who often make directional bets on Bitcoin's price movements.

Home / Business and Economy / Binance Overtakes CME in Bitcoin Futures Dominance

Binance Overtakes CME in Bitcoin Futures Dominance

24 Dec, 2025

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Summary

Binance now leads CME in Bitcoin futures open interest.
CME's open interest has declined due to lower basis trade profitability.
Institutional trading on CME has decreased as opportunities shrink.

Binance Overtakes CME in Bitcoin Futures Dominance

Binance has ascended to become the foremost exchange for Bitcoin futures open interest, overtaking the CME. Data indicates Binance now holds approximately 125,000 BTC in open interest, surpassing the CME's 123,000 BTC. This change reflects a significant trend in the cryptocurrency derivatives market.

The CME's open interest has experienced a consistent decline since the start of the year, falling from 175,000 BTC. This downturn is attributed to the diminishing profitability of the basis trade, an arbitrage strategy favored by institutional investors. As this strategy's returns have compressed, institutional participation on the CME has waned.