Do BTC Exchanges Post All Transactions to Blockchain?

Izerian

member

Activity: 86

Merit: 10

Quote

If the exchange goes 'tits-up' then so do your funds…..

Any U.S. based exchange is more than likely to have a 'loose string' that the gubment can cite them on and cause them at least a headache. If you're not reporting transactions to FinCEN and/or haven't registered at least in every state that you have a user as a MSB (Money services business) then you're able to be screwed.

razorfishsl

sr. member

Activity: 399

Merit: 250

Quote from: RealT on November 07, 2013, 11:10:33 AM

Quote from: eleuthria on November 07, 2013, 01:28:53 AM

Quote from: RealT on November 07, 2013, 12:28:07 AM

Do BTC exchanges post all transactions to the Blockchain immediately or is there a delay with the exchanges?

Also, What is the most dependable, trustworthy, and secure online exchange?

Thanks!

Not sure quite what you mean on this one. Exchange transactions never take place on the blockchain. Only deposits/withdrawals to/from the exchange do. The internal trades are all just entries in a database.

That was my question. Does the blockchain reflect every trade that happens on the exchange? If not you are really at the mercy of the exchange to not close down shop or have a technical problem...... right? Hence my reason for seeking the most reliable, trustworthy, and secure exchange.

NO!!!!!

Basically the exchanges take the coins into a central pool, then after that you are trading 'tokens' at a given exchange rate, in theory it should all 'match up'
Once the crypto currency is withdrawn from the exchange, then there is a transaction between the exchange and the creditor.

From a block chain point of view there is an incoming transaction from, 'crypto currency fund source' > Exchange and an outgoing transaction Exchange > 'crypto currency fund destination'.

If the exchange goes 'tits-up' then so do your funds…..

n4ru

sr. member

Activity: 350

Merit: 250

Quote from: RealT on November 07, 2013, 11:10:33 AM

Quote from: eleuthria on November 07, 2013, 01:28:53 AM

Quote from: RealT on November 07, 2013, 12:28:07 AM

Do BTC exchanges post all transactions to the Blockchain immediately or is there a delay with the exchanges?

Also, What is the most dependable, trustworthy, and secure online exchange?

Thanks!

Not sure quite what you mean on this one. Exchange transactions never take place on the blockchain. Only deposits/withdrawals to/from the exchange do. The internal trades are all just entries in a database.

That was my question. Does the blockchain reflect every trade that happens on the exchange? If not you are really at the mercy of the exchange to not close down shop or have a technical problem...... right? Hence my reason for seeking the most reliable, trustworthy, and secure exchange.

The reason for not broadcasting transactions is due to privacy and speed. It wouldn't make any sense, and if there is any exchange that does broadcast all trades, it wouldn't make any sense unless it was some sort of P2P exchange.

RealT

newbie

Activity: 42

Merit: 0

Quote from: eleuthria on November 07, 2013, 01:28:53 AM

Quote from: RealT on November 07, 2013, 12:28:07 AM

Do BTC exchanges post all transactions to the Blockchain immediately or is there a delay with the exchanges?

Also, What is the most dependable, trustworthy, and secure online exchange?

Thanks!

Not sure quite what you mean on this one. Exchange transactions never take place on the blockchain. Only deposits/withdrawals to/from the exchange do. The internal trades are all just entries in a database.

That was my question. Does the blockchain reflect every trade that happens on the exchange? If not you are really at the mercy of the exchange to not close down shop or have a technical problem...... right? Hence my reason for seeking the most reliable, trustworthy, and secure exchange.

tutkarz

hero member

Activity: 546

Merit: 501

Quote from: eleuthria on November 07, 2013, 01:28:53 AM

Quote from: RealT on November 07, 2013, 12:28:07 AM

Do BTC exchanges post all transactions to the Blockchain immediately or is there a delay with the exchanges?

Also, What is the most dependable, trustworthy, and secure online exchange?

Thanks!

Not sure quite what you mean on this one. Exchange transactions never take place on the blockchain. Only deposits/withdrawals to/from the exchange do. The internal trades are all just entries in a database.

there are few old ones who are doing this on blockchain but they are very slow. I wont mention them because they were planning to change engine anyway.

eleuthria

legendary

Activity: 1750

Merit: 1007

Quote from: RealT on November 07, 2013, 12:28:07 AM

Do BTC exchanges post all transactions to the Blockchain immediately or is there a delay with the exchanges?

Also, What is the most dependable, trustworthy, and secure online exchange?

Thanks!

Not sure quite what you mean on this one. Exchange transactions never take place on the blockchain. Only deposits/withdrawals to/from the exchange do. The internal trades are all just entries in a database.

RealT

newbie

Activity: 42

Merit: 0

Do BTC exchanges post all transactions to the Blockchain immediately or is there a delay with the exchanges?

Also, What is the most dependable, trustworthy, and secure online exchange?

Thanks!

Topic: Do BTC Exchanges Post All Transactions to Blockchain? (Read 881 times)