In Indonesia (my country), exchange is very important, because we cannot make transactions using cryptocurrencies at will. There are government regulations that have been set. In our place, cryptocurrencies are just assets that should only be traded on exchanges.
In Indonesia, you cannot buy a cup of coffee and then pay using Bitcoin or altcoins, if you do you can be jailed for at least 1 year or pay a fine of 200 million Rupiah ($12,872.33 today's rate).
That's why a crypto exchange/marketplace is important, at least in my country.
Topic: How important are exchanges? - page 10. (Read 2581 times)
Exchanges facilitate users to trade their assets among other users. On the other hand the exchange can be referred to as escrow which ensures the user's funds are safe while trading because the possibility of fraud between users while trading their assets can be avoided. Granted it depends on the reputation of the exchange, but in my opinion an exchange is one that has made bitcoin or crypto in general get a lot of attention.
It is very difficult to trust someone on a P2P basis regardless of their reputation with large sums of money, even if it is escrow then I really believe one would avoid trades involving hundreds of thousands of dollars without a face to face. Scam occurs not only because you are careless and the scammer has an intention, but sometimes it happens because of opportunity. So for me exchange is important in the civilization and growth of crypto.
It is very difficult to trust someone on a P2P basis regardless of their reputation with large sums of money, even if it is escrow then I really believe one would avoid trades involving hundreds of thousands of dollars without a face to face. Scam occurs not only because you are careless and the scammer has an intention, but sometimes it happens because of opportunity. So for me exchange is important in the civilization and growth of crypto.
exchanges are important, imagine that a person wants to buy bitcoin and has money in the bank, that person wants to day trade to make a profit. so this person creates an account on a safe and honest exchange and makes KYC and then this person adds his bank card to the exchange and buys bitcoin and then transfers it to another exchange and starts day trading and when that person makes a profit this person withdraws to Bank account. but if there were no exchanges how would people day trade? I see some people complaining that exchanges have a lot of bitcoins with them, man let's be realistic: does anyone here really believe that there would never be KYC or centralization in this market? that bitcoin would only be in this forum and in decentralization being ignored by governments? I don't like to do KYC myself, but I do it because I have to comply with the laws, it was inevitable to have many exchanges and many bitcoins were accumulated in them, it was inevitable to go to centralization, no matter how bad it is
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Money can exist without exchanges but does that make things easier or more difficult?Same with bitcoin, since it is the newer kid in the basket of currencies available in the world, the only way to acquire it for many people is through exchanges. Hence their role in the market is vital and they do help in providing popularity and accessibility.
The choice of going to an OTC trade carries its own risks and disadvantages which outweigh the advantages. P2P market for bitcoin is not that strong that they can overrun the CEX traffic and DEXs always have a liquidity problem.
Hence bitcoin will exist with its exchanges but people have to know their options well.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
I'd support that they helped but not entirely. We can still do transactions using p2p although exchanges now are also offering that feature just so it would be more secure than doing it directly. More like the middleman or the escrow of the transactions that will happen. Before, lots of scams are happening and now we could say it's cleaner thanks to them.
Then, there's the easier buying and selling method of every cryptocurrency with value in it.
If it's about the popularity of Bitcoin, a big part of it is from the supporters who stayed until now.
Bitcoin needs exchanges as much as exchanges need bitcoin. Both compliments each other. Without bitcoin and other cryptocurrencies, there won't be exchange. Without exchanges, bitcoin adoption would have been very slow. There would have been thousands of people who could not be able to buy bitcoin and the level of scam would have been very high through p2p.
Also all the newbies in bitcoin buy their first bitcoin through exchanges before they will have more know and begin to secure their coins in private wallets.
Also all the newbies in bitcoin buy their first bitcoin through exchanges before they will have more know and begin to secure their coins in private wallets.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Yes.If there are no exchanges, we won't be interested in it because we can't cashout bitcoin into real money and that's why we're here. We're aware of how to withdraw our bitcoins, and sell and exchange them with fiat. If it's not for the exchanges, we for sure won't be here and the actual OGs are the ones remaining and enthusiastic about bitcoin.
Well, I guess it's really going there and with technology and innovation, exchanges would still be part of it no matter if it's there or not since everyone is looking for faster and easier access to almost everything right these days. But yeah, exchanges have made it one of the biggest contributions as to where bitcoin and the crypto market is now.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Yes.If there are no exchanges, we won't be interested in it because we can't cashout bitcoin into real money and that's why we're here. We're aware of how to withdraw our bitcoins, and sell and exchange them with fiat. If it's not for the exchanges, we for sure won't be here and the actual OGs are the ones remaining and enthusiastic about bitcoin.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
If bitcoin exist without exchange it will bring much setback in adoption of cryptocurrency, because the necessary things that makes Bitcoin to put anything in place is exchange, because many of the who invest for Bitcoin are curious to invest in cryptocurrency, their is some people so buying and selling in cryptocurrency and they survive with the profit they make in cryptocurrency, so therefore cryptocurrency should of good position say without exchange it will remain in the hands of who invest on it 
Exchanges are still very much important. They are as good as their name implies. Exchange evolved as a result to bridge the gap between buyers and sellers. In my opinion, I think exchanges was majorly opened as a result of the increasing scam activities in the crypto industry. Not only that, government wants to keep track of holders of cryptocurrencies and know what they are doing with it in terms of transaction and money movement. As a result of the international money laundry act exchanges had no choice than to comply with the existing laws so as to be on the safer side. Also, it has aided in many ways to run ICO, IDOs, for crypto and blockchain projects which has paved ways for successful projects currently running on the blockchain space. With exchanges, your fund is guaranteed to be safe and secured as your assets are saved in the hands of a third party which in the reality they are equivalent to the bank where money and other valuables are saved and safe.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Yes.If there are no exchanges, we won't be interested in it because we can't cashout bitcoin into real money and that's why we're here. We're aware of how to withdraw our bitcoins, and sell and exchange them with fiat. If it's not for the exchanges, we for sure won't be here and the actual OGs are the ones remaining and enthusiastic about bitcoin.
Exchanges are necessary and have supported the existence of bitcoin (not the only reason) and are known as investment and trading assets. Without an exchange bitcoin can also be traded, but I believe bitcoin would not be as famous as it is now without an exchange.
Regardless whether the exchange is centralized or decentralized, then this exchange has helped users to trade their bitcoins and make profit from it. This is an important part of the growth and economy of bitcoin itself, even if you disagree with this opinion. I can't imagine how much bitcoin trading volume is if only traded via P2P, can it reach 10% of the current total daily trading volume?
Regardless whether the exchange is centralized or decentralized, then this exchange has helped users to trade their bitcoins and make profit from it. This is an important part of the growth and economy of bitcoin itself, even if you disagree with this opinion. I can't imagine how much bitcoin trading volume is if only traded via P2P, can it reach 10% of the current total daily trading volume?
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Yes, Bitcoin can exists even without an exchange, but an exchange Is needed for many several reasons,1. To enable easy swapping of Bitcoin to other crypto currency or fiat.
2. To enable easy buy and selling of bitcoin
3. To provide medium for Bitcoin investment, e.t.c
And speakingg on a general scale, exchanges has really help a lot to enable many persons have access to Bitcoin and other currencies as easy as possible, and as such it can never be overemphasized. Because taking myself for example, the very first Bitcoin I had was through an exchange named "Remitano" far back in 2020,
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
There is no doubt that exchanges play a big role that's why bitcoin becomes accessible and easy to reach by most.
These platforms created a feature where buying and selling bitcoin is not a hassle thing to do. Exchange is also the reason for my first encounter with the word bitcoin. I saw an advertisement about an exchange (not sure if it is Coinbase or Xapo) on a Paid-To-Click website before and the rest is history.
Bitcoin is also treated mostly as an investment and not as a currency.
I doubt if there are no exchanges or trading platforms around, a moon price hype will be created.
Exchanges allow for tickers to function, which show us spot price. One could argue that you don't need to know spot price to trade as all trades can be negotiated, but think about the problems it could cause. You'd go to buy some bitcoins with your fiat, not knowing what the price is. You'd offer 20k for a bitcoin and the guy would say that he won't sell below 30, what do you do? Buy blindly or sit down and make a forum thread asking if its worth paying 30k today?
Exchanges make buying easy and give new people access to bitcoin. They have their flaws but it's better to have them than not.
Exchanges make buying easy and give new people access to bitcoin. They have their flaws but it's better to have them than not.
let's admit the reality that exchanges are needed by users to easily convert their crypto to another crypto or to fiat aside from what you mentioned about getting the price of the market easily. when several exchanges offered the p2p services, a lot are grateful that they can already convert their crypto to their own fiat currency. and with trusted trading platforms, they are not worried anymore about getting screwed by other third party services.
hence, the presence of exchanges is indeed vital in the adoption of cryptocurrency. just take note the number of those users who are using binance, or kucoin or coinbase.
Exchanges allow for tickers to function, which show us spot price. One could argue that you don't need to know spot price to trade as all trades can be negotiated, but think about the problems it could cause. You'd go to buy some bitcoins with your fiat, not knowing what the price is. You'd offer 20k for a bitcoin and the guy would say that he won't sell below 30, what do you do? Buy blindly or sit down and make a forum thread asking if its worth paying 30k today?
Exchanges make buying easy and give new people access to bitcoin. They have their flaws but it's better to have them than not.
Exchanges make buying easy and give new people access to bitcoin. They have their flaws but it's better to have them than not.
But you still trusted a third party to hold your money for you.
It's not that you give up custody for a while. I might not trust Binance for keeping their business operating forever, or I might not trust their competence when it comes to security over the long run, but I'm confident trusting them for a few minutes to keep my money. That should be the least of your worries. The worst part is that you'll be asked to provide a ton of KYC. Phone number, home address, first and last name, email, bank statements, selfies. Of that kind of personal stuff, no; I don't trust them the slightest. Then, you have the "taint analysis", which is against the fundamentals of bitcoin. You could also avoid that by creating an account with a non-us based crypto exchange with lax regulation laws. For example, Kucoin or Poloniex will not touch you with KYC demands if you are not a big fish trading hundreds of thousands everyday. Although they could freeze your funds and demand KYC. Not sure how they could manage to do it legally but I am guessing probably something to do with accusing you of being a money launderer or possible terrorist.
Still, as you said its not safe either way and not only is your money in the hands of someone else, who you must trust not to randomly freeze, lose or steal your funds but those same untrustworthy people store your private information and government issued documents?
Thats a no-go for me.
It is not at all questionable that we need crypto exchanges, but the problem is that some users consider them to be some kind of crypto banks, and that the security model is the same as in ordinary banks. Exchanges are for trading, not for long-term storage, which has been proven many times so far, especially in the case of Mt.Gox or Quadriga. The former are still waiting for partial compensation, and in the case of Mr. Cotten's story says that he literally spent a good part of the funds on bad investments, and part of it allegedly went to the grave with him.
The whole idea around Bitcoin is decentralization, and the fact that the largest CEXs have millions of Bitcoins in their possession is not something we should look forward to.
The whole idea around Bitcoin is decentralization, and the fact that the largest CEXs have millions of Bitcoins in their possession is not something we should look forward to.
I read cases of MT Gox and another I read was Hot Mail. The later, early miner's of Bitcoin lost huge Bitcoins in those exchange and they have been one of the first exchange around those first few years Bitcoin started buzzing. Some 15BTC 20BTC and some others I can't recall all got lost.
A pal from what I read had to write bto Hotmail if they can get his mail revamped but all fell on deaf ears as they couldn't provide any solution for him.
I have also seen ledger wallet's are not too costly ($50) cheap, but cheaping from the state's according to the site might get everything too long.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Yes, without exchanges Bitcoin would have a fraction of today's adoption and price - exchanges make buying and selling Bitcoin easier and cheaper. Few people want to buy Bitcoin through p2p trading, because of the risks of getting scammed and sometimes higher fees compared to centralized exchanges. And without centralized exchanges there wouldn't be traders and big investors, so the price would be much lower than it is now.
Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?
Even though I am one of the person who beleive exchanges is one of the reason why bitcoin is failing from its primary reason of existence which is to be used as exchange.
But we can't entirely eliminate the role of crypto exchanges because they made the market bigger so which increased the demand and popularity as well so they pmayerd important role for the growth of bitcoin but not in the way the Satoshi wanted.
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