Retail Crypto Participation Down 30% Amid Trading Softness

Bybit's CEO Ben Zhou believes that retail participation in crypto has fallen significantly. According to him, retail participation across the crypto market is roughly 30% below previous peak levels.

This decline is reflected in centralized spot trading volumes, which sit approximately 67% lower than the highs reached in October 2025.

The phenomenon isn't unique to Bybit; trading softness has reportedly hit exchanges across the board, suggesting it's an industry-wide dynamic rather than a platform-specific issue.

Bybit is responding by making a push towards institutional clients, diversifying into regulated products and tokenization services. The exchange is pursuing EMI and MiFID licenses in Europe to tap into institutional capital that won't touch unregulated platforms.