Binance Wallet caputures 96% of wallet transaction volumes, nearing $6m daily

Binance wallet is dominating in terms of market volume, which is nearing $6 million daily at 96% market share.

Crypto wallets have seen significant growth in transaction counts over the past month, with Binance Wallet capturing the majority of the market. On May 21, Binance released a report, shared with crypto.news, highlighting that Binance Wallet accounted for 95% of all wallet transactions.

Since the start of May, crypto wallet transaction volumes have surged, with much of the growth driven by the Binance Wallet app. On May 20, Binance Wallet registered $5.9 million in daily transaction volume.

Crypyo wallets trading volume | Source: Dune

This milestone came just one day after the app first surpassed $5 million in daily volume. At the same time, Binance Wallet maintained a dominant position, accounting for more than 95% of total wallet transaction volume.

What’s Behind the surge in Binance Wallet transactions?

According to Binance, the spike in activity has been fueled by Binance Alpha—a platform integrated into Binance Wallet that allows users to interact with early-stage projects and potentially benefit from airdrops.

“The rise of Binance Wallet signals more than just volume — it reflects a shift in how users want to engage with Web3, Winson Liu,” Global Lead of Binance Wallet.

For one, Binance Alpha enables users to discover tokens before they are listed on the Binance exchange. While this listing is not guaranteed, Binance points out that 18 tokens already made it from Binance Alpha to the exchange.

In addition, user demand for airdrops and token generation events has fueled activity. Binance noted that since the beginning of May, Binance Alpha has distributed eight airdrops. Based on day-one closing prices, their cumulative value totaled $1,076 per user.

Still, the platform’s high rewards have generated some controversy. Critics have argued that Binance Alpha users are disproportionately rewarded at the expense of other early holders. Despite this, Binance appears to be using competitive incentives to drive adoption, with expectations that reward levels may decrease once the wallet secures a dominant position.