DEXs accounted for 24% of spot trading volume in July, a record high, up from 17% a year earlier. According to ChainCatcher, centralized exchange spot volume is expected to fall to a 12-month low, dropping from a yearly peak of $2.23 trillion to $670 billion.
The decline in trading volume has partly been attributed to a diversion of activity to prediction markets and a broader weakening in crypto interest. On-chain trading products have also continued to improve, with deeper aggregator liquidity and faster cross-chain swap routing narrowing the execution gap with centralized exchanges. Analysts expect better user experience and lower costs to keep driving users toward on-chain alternatives.