Topic: Experts: Many Small Cryptocurrency Exchanges To Go Out Of Business Soon (Read 284 times)
June 24, 2018, 08:15:43 AM
If there's not so much traders using their platform its really expected that such exchange will shut down. I prefer using exchange with big volume and wait for coin pumps. Traders go to top 10 exchanges or commonly used exchanges of course. Maybe we don't need that many exchange to trade cryptocurrency.
June 24, 2018, 07:41:27 AM
I tried to use some small exchanges. I have to say that when the number of users on a single exchange is very small, the services they provide are of high quality. They can quickly reply and answer all your questions, and those big ones The exchange will not help you solve any problems for a few days, but I will not put my coins more on the small exchange too much, because I worry about their safety.
June 24, 2018, 07:13:42 AM
The problem with big exchanges is if they get hacked, its got a HUGE influence on the whole crypto market. So I think many smaller exchanges are better.
I am not sure if some smaller exchanges will disappear because they can run with barely any cost and make a lot of money from the fees and other ways.
I am not sure if some smaller exchanges will disappear because they can run with barely any cost and make a lot of money from the fees and other ways.
You are opposite thinker, big exchanges are good because they are morelikely one of the top exchanges in the crypto market because of its safetyness and also its security, if they are easy to hack then i think they are not in the best exchanges in the crypto world also those smaller exchanges morelikely they would run easily and also get hack because they are just into money and not on security but not all of the smaller exchange that i mean
June 24, 2018, 07:08:01 AM
That would be the reality because market cant support what the small exchanges needed,customers are afraid of putting their coins to small exchanges for the reason like this afraid of shutdown,and not jus exchanges but the shit coins will be wipe out now.and even some good coins will die with them
June 24, 2018, 06:33:05 AM
The problem with big exchanges is if they get hacked, its got a HUGE influence on the whole crypto market. So I think many smaller exchanges are better.
I am not sure if some smaller exchanges will disappear because they can run with barely any cost and make a lot of money from the fees and other ways.
I am not sure if some smaller exchanges will disappear because they can run with barely any cost and make a lot of money from the fees and other ways.
You are opposite thinker, big exchanges are good because they are morelikely one of the top exchanges in the crypto market because of its safetyness and also its security, if they are easy to hack then i think they are not in the best exchanges in the crypto world also those smaller exchanges morelikely they would run easily and also get hack because they are just into money and not on security but not all of the smaller exchange that i mean
June 24, 2018, 06:28:40 AM
The problem with big exchanges is if they get hacked, its got a HUGE influence on the whole crypto market. So I think many smaller exchanges are better.
I am not sure if some smaller exchanges will disappear because they can run with barely any cost and make a lot of money from the fees and other ways.
I am not sure if some smaller exchanges will disappear because they can run with barely any cost and make a lot of money from the fees and other ways.
June 24, 2018, 06:22:57 AM
Well, to be honest, these small exchanges are killing themselves. They usually have very small staff, which is fine when they are small but then as they grow they fail to scale support. Users can put up with slow platforms. What they can't put up with are slow support. The smaller the exchange, the smaller the type of user they tend to attract. And then resources wasted on small tokens and shitcoins, which makes them very little anyway.
I think very small exchanges that do well keep customers happy and survive on loyal base. Take care of users and they keep coming back.
I think very small exchanges that do well keep customers happy and survive on loyal base. Take care of users and they keep coming back.
June 24, 2018, 06:05:23 AM
Experts and analyst in the crypto industry have predicted a widespread shutdown of small exchange platforms because of their inability to attract investors. A report released by 8BTC.com, a blockchain news platform operating in China, indicated that the first 14 major crypto exchanges take up about 73% of the total value of transactions made in the market, with the rest of the 170 small exchanges accounting for only 27%. This presents a huge hurdle for the small, ambitious crypto exchanges to maintain a profitable market share and scale up their operations.
Security Fears
Besides this stiff competition, the crypto world as a whole faces issues related to fraud and security. It’s only a week ago that Cattleex, a crypto trading platform, went bankrupt after failing to meet market demands by its miners.
Bithumb Exchange, another South Korean platform, also lost money in a hack that culminated in its temporary suspension of all deposit and withdrawal services on its platform. Youbit Exchange, also based in South Korea, declared the failure of its project after it was hacked.
Despite the central bank of China banning initial coin offerings (ICOs) and crypto exchanges, many Chinese startups are registering their exchanges outside China and targeting Chinese investors. The many cases of fraud in the Chinese crypto world haven’t helped the situation.
Read More: https://zycrypto.com/experts-many-small-cryptocurrency-exchanges-to-go-out-of-business-soon/
great. Exchange shall pay attention on security more, instead of copying the strategy of Binance - creating own coin to have more money. The exchange who doesn’t care about the users security, shall be quit. Security Fears
Besides this stiff competition, the crypto world as a whole faces issues related to fraud and security. It’s only a week ago that Cattleex, a crypto trading platform, went bankrupt after failing to meet market demands by its miners.
Bithumb Exchange, another South Korean platform, also lost money in a hack that culminated in its temporary suspension of all deposit and withdrawal services on its platform. Youbit Exchange, also based in South Korea, declared the failure of its project after it was hacked.
Despite the central bank of China banning initial coin offerings (ICOs) and crypto exchanges, many Chinese startups are registering their exchanges outside China and targeting Chinese investors. The many cases of fraud in the Chinese crypto world haven’t helped the situation.
Read More: https://zycrypto.com/experts-many-small-cryptocurrency-exchanges-to-go-out-of-business-soon/
June 24, 2018, 04:13:37 AM
Experts and analyst in the crypto industry have predicted a widespread shutdown of small exchange platforms because of their inability to attract investors. A report released by 8BTC.com, a blockchain news platform operating in China, indicated that the first 14 major crypto exchanges take up about 73% of the total value of transactions made in the market, with the rest of the 170 small exchanges accounting for only 27%. This presents a huge hurdle for the small, ambitious crypto exchanges to maintain a profitable market share and scale up their operations.
Security Fears
Besides this stiff competition, the crypto world as a whole faces issues related to fraud and security. It’s only a week ago that Cattleex, a crypto trading platform, went bankrupt after failing to meet market demands by its miners.
Bithumb Exchange, another South Korean platform, also lost money in a hack that culminated in its temporary suspension of all deposit and withdrawal services on its platform. Youbit Exchange, also based in South Korea, declared the failure of its project after it was hacked.
Despite the central bank of China banning initial coin offerings (ICOs) and crypto exchanges, many Chinese startups are registering their exchanges outside China and targeting Chinese investors. The many cases of fraud in the Chinese crypto world haven’t helped the situation.
Read More: https://zycrypto.com/experts-many-small-cryptocurrency-exchanges-to-go-out-of-business-soon/
Security Fears
Besides this stiff competition, the crypto world as a whole faces issues related to fraud and security. It’s only a week ago that Cattleex, a crypto trading platform, went bankrupt after failing to meet market demands by its miners.
Bithumb Exchange, another South Korean platform, also lost money in a hack that culminated in its temporary suspension of all deposit and withdrawal services on its platform. Youbit Exchange, also based in South Korea, declared the failure of its project after it was hacked.
Despite the central bank of China banning initial coin offerings (ICOs) and crypto exchanges, many Chinese startups are registering their exchanges outside China and targeting Chinese investors. The many cases of fraud in the Chinese crypto world haven’t helped the situation.
Read More: https://zycrypto.com/experts-many-small-cryptocurrency-exchanges-to-go-out-of-business-soon/
It is the same as in any kind of businesses. Small organizations quit while big companies remain.
I think that large exchanges won't let Bitcoin decrease in price significantly.
June 24, 2018, 01:08:18 AM
There are plenty of assets with a low marketcap that smaller exchanges benefit from listing and some predominantly list those only and are profitable
A lot of the volume for the major assets is getting monopolized by big exchanges but smaller ones will always have a niche
A lot of the volume for the major assets is getting monopolized by big exchanges but smaller ones will always have a niche
June 23, 2018, 04:23:05 PM
Youbit exchange? or that's yobit that is base on Russia?
I hope that in the future, Decentralized Exchanges will become more popular, and that we will be able to trade all our coins there.
Waiting for that moment but all of these small traders doesn't even want to use decentralized exchanges as they are all scared of it. June 23, 2018, 04:16:38 PM
I totally agree with this article, security is a big threat to exchanges and i think only high quality, secure and professional exchanges will be able to survive, secondly due to a big number of exchanges popping up volume is droping as it is divided among so many, so competition is getting fierce.
June 23, 2018, 05:40:03 AM
I wonder whether there will be new ones in return for these. It's clear that the exchanges are going down, because constant checks and fraudulent actions simply destroy them from within and do not allow them to grow and develop. Of course, when only two top-end exchanges are left, it is they who will manipulate everyone.
June 23, 2018, 05:28:21 AM
With more and more decentralized exchages opened, small exchanges will fail almost for sure. Or they will have to find a way to differentiate among other ones, for example there's flyp.me where you can trade directly from your wallets without opening an account
June 23, 2018, 05:24:57 AM
All these hacks are orchestrated from the entities at the top controlling this market. Likely bankers.
June 23, 2018, 05:16:51 AM
I hope that in the future, Decentralized Exchanges will become more popular, and that we will be able to trade all our coins there. It's really annoying to have to open accounts for so many exchanges, just because not all of the coins can be found on a single exchange. Also, the risk of a hack is smaller of a decentralized exchange, compared to the normal exchanges.
June 23, 2018, 04:29:02 AM
Experts and analyst in the crypto industry have predicted a widespread shutdown of small exchange platforms because of their inability to attract investors. A report released by 8BTC.com, a blockchain news platform operating in China, indicated that the first 14 major crypto exchanges take up about 73% of the total value of transactions made in the market, with the rest of the 170 small exchanges accounting for only 27%. This presents a huge hurdle for the small, ambitious crypto exchanges to maintain a profitable market share and scale up their operations.
Security Fears
Besides this stiff competition, the crypto world as a whole faces issues related to fraud and security. It’s only a week ago that Cattleex, a crypto trading platform, went bankrupt after failing to meet market demands by its miners.
Bithumb Exchange, another South Korean platform, also lost money in a hack that culminated in its temporary suspension of all deposit and withdrawal services on its platform. Youbit Exchange, also based in South Korea, declared the failure of its project after it was hacked.
Despite the central bank of China banning initial coin offerings (ICOs) and crypto exchanges, many Chinese startups are registering their exchanges outside China and targeting Chinese investors. The many cases of fraud in the Chinese crypto world haven’t helped the situation.
Read More: https://zycrypto.com/experts-many-small-cryptocurrency-exchanges-to-go-out-of-business-soon/
Yes, I also think that the competition in the Exchange business is getting higher, I think the number of exchanges is enough but, there are still many ICO projects that want to build a new exchange. Security Fears
Besides this stiff competition, the crypto world as a whole faces issues related to fraud and security. It’s only a week ago that Cattleex, a crypto trading platform, went bankrupt after failing to meet market demands by its miners.
Bithumb Exchange, another South Korean platform, also lost money in a hack that culminated in its temporary suspension of all deposit and withdrawal services on its platform. Youbit Exchange, also based in South Korea, declared the failure of its project after it was hacked.
Despite the central bank of China banning initial coin offerings (ICOs) and crypto exchanges, many Chinese startups are registering their exchanges outside China and targeting Chinese investors. The many cases of fraud in the Chinese crypto world haven’t helped the situation.
Read More: https://zycrypto.com/experts-many-small-cryptocurrency-exchanges-to-go-out-of-business-soon/
New exchange projects emerge with similar concepts and somehow investors are still FOMO with ICO on Exchange projects
Are they not aware that exchange projects have high business competition? I think new exchange has a higher risk of failure than those already in operation
June 23, 2018, 02:30:13 AM
It's certainly a trend that's evident if you're paying attention. One of my favorite small exchanges is tuxexchange, which deals primarily with pepecash and other counterparty assets. Tux has always been super reliable, instant customer services, everything you want out of an exchange... But still fails to attract meaningful volume. 95% of days will be less than 10 BTC in total exchange volume. And Tux is higher quality than most exchanges out there. Compare it to the shady small exchanges that are stealing funds and exit scamming, it only seems logical that these guppies fail to attract attention.
Especially with the growing prevalence of decentralized exchanges as a means to accumulating small and new projects, there is a decreasing incentive to deal with subprime centralized exchanges.
Especially with the growing prevalence of decentralized exchanges as a means to accumulating small and new projects, there is a decreasing incentive to deal with subprime centralized exchanges.
June 23, 2018, 02:06:24 AM
interesting but there are certain reasons that can also keep them well alive.
1. they don't cost as much to run as the big exchanges. while the big ones need strong servers and need to spend a lot of money these small exchanges can be run so much easier with a lot less money.
2. the volume may be low but it is not zero and it can cover their costs.
3. these exchanges sometimes have coins others don't and they can manipulate and pump those coins and make a lot of money.
4. finally the most important reason: with the big exchanges scamming their users like Cryptsy running away, Mt Gox scamming, Bittrex scamming,... people will use these exchanges more. for example the most recent one was bittrex which pushed many users to other exchanges. for example cryptopia had a surge of new users. Binance came out of nowhere and got the market by the balls.
1. they don't cost as much to run as the big exchanges. while the big ones need strong servers and need to spend a lot of money these small exchanges can be run so much easier with a lot less money.
2. the volume may be low but it is not zero and it can cover their costs.
3. these exchanges sometimes have coins others don't and they can manipulate and pump those coins and make a lot of money.
4. finally the most important reason: with the big exchanges scamming their users like Cryptsy running away, Mt Gox scamming, Bittrex scamming,... people will use these exchanges more. for example the most recent one was bittrex which pushed many users to other exchanges. for example cryptopia had a surge of new users. Binance came out of nowhere and got the market by the balls.
June 22, 2018, 10:47:46 PM
Interesting article, thanks for posting.
I also think that some smaller exchanges might dissappear soon. One should also keep in mind that with last year's hype many man new exchanges came into live. Now with the bear market only the best (biggest, most profitable, securest) will survive and some will dissappear. It's just the normal "business cycle of life"
Actually, as investor we need to be fully care to new exchange because of security. This is first reason and second is the new exchange has not enough volume and as trader, low volume of exchange is really not interest since it means the exchange has no popularity. Thats the reason why we should be care. I also think that some smaller exchanges might dissappear soon. One should also keep in mind that with last year's hype many man new exchanges came into live. Now with the bear market only the best (biggest, most profitable, securest) will survive and some will dissappear. It's just the normal "business cycle of life"
Jump to: