KuCoin’s off-chain payment volume surged over 300% in the first half of 2026, according to the exchange’s “Beyond the Signal” H1 review published on July 23. Total payment orders didn’t just grow, they multiplied roughly 25 times over the same period.

The payments play

At the center of this growth is KuCoin Pay, the exchange’s off-chain settlement system that processes transactions via an internal ledger. The pitch is straightforward: zero fees, instant settlements, no blockchain congestion.

KuCoin’s service partner and merchant network expanded by 60% during the period.

Altcoin diversification accelerates

Among KuCoin’s top 18 spot trading pairs, the combined market share of Bitcoin and Ethereum dropped from 74.3% to 45.2% by the end of June 2026. That’s a nearly 30-percentage-point decline in the dominance of crypto’s two largest assets within the exchange’s most active markets.

User growth and emerging markets

KuCoin crossed the 45 million user mark as of mid-2026, coinciding with the exchange’s ninth anniversary. Latin America led the charge with a 170% increase in user growth. Africa followed with a 30% uptick.

KIA, the exchange’s AI service layer, saw daily active users increase by 300%.

What this means for investors

KuCoin has now published Proof of Reserves reports for 44 consecutive months and has undergone 14 independent audits by blockchain security firm Hacken.

Off-chain settlement systems operate on trust in the platform itself, since transactions don’t benefit from the transparency of on-chain verification. KuCoin’s Proof of Reserves reporting mitigates this somewhat, but users are still essentially trusting a centralized entity to manage their funds. The 60% growth in merchant partners also needs context: expanding a network is one thing, sustaining transaction volume through that network is another entirely.