Global foreign exchange trading volume hits new high, technology drives market transformation, regulatory attention synchronously upgrades

The Bank for International Settlements (BIS) released the "Global Forex Market Development Report" in May, which showed that the average daily trading volume of the global forex market had reached $7.8 trillion in the first quarter of 2025, a year-on-year increase of 8%. The report points out that in recent years, the penetration rate of financial technology and high-frequency algorithm trading has significantly increased, becoming the core driving force for the growth of trading volume and structural optimization in the global foreign exchange market.
The popularization of intelligent trading systems and big data analysis tools has significantly improved the efficiency and liquidity of trading matching, helping investors achieve precise pricing and efficient risk management. At the same time, the participation of retail investors continues to rise, driving the increasing activity of the over-the-counter market.
The BIS report also warns that high-frequency trading behavior empowered by technology not only improves efficiency, but also exacerbates short-term market volatility and increases regulatory complexity. Multiple regulatory agencies are calling for strengthened data exchange, cross-border supervision, and risk information sharing to prevent the transmission and spread of systemic risks.
Industry experts say that the digitalization and intelligence process of the foreign exchange market is irreversible, and the regulatory framework needs to keep pace with the times, balance innovation and risk control, and promote the efficient, transparent, and sustainable development of the global foreign exchange market.