Digital asset market micro-structures are undergoing consolidation as institutional custody platforms absorb a growing percentage of circulating token volume.
Market Liquidity Dynamics
Average bid-ask spreads for top-tier digital assets have tightened by 18 basis points over the past two quarters. This compression is driven primarily by institutional prime brokers aggregating order books across disparate venues, lowering execution costs for high-volume traders.
Regulatory Compliance Standards
The shift toward qualified custodians has created a bifurcated market. Non-custodial volume has declined relative to regulated venues, signaling that compliance-aligned infrastructure is now a prerequisite for sustained institutional capital participation.