How long before Decentralized Exchanges become mainstream? - page 2.

VitKoyn

full member

Activity: 490

Merit: 106

Quote from: SonoCoin on February 12, 2018, 11:50:54 AM

Do you believe this will ever happen, and if so, how long?
Please select one of the options above for this poll.

I don't think that decentralized exchange will gonna go mainstream any time soon, because there is not enough volume and even government can't shut down those decentralized exchange most people will not use those platforms because government will not allow those decentralized exchange to use banks because they are not regulated and the main reason is it is not possible to make transactions between different blockchain (for now) so it will be hard to trade different cryptocurrency in decentralized exchange. If they can find a way to make it easier to use those platforms then we can expect to see more liquidity.

atrocityx

member

Activity: 336

Merit: 71

Quote from: alyssa85 on February 12, 2018, 02:02:34 PM

It's a chicken and egg situation. People want to go to exchanges where there is liquidity. But most decentralised exchanges don't have many people using them, so liquidity is poor. Which is the reason new people won't join, which ensures that liquidity remains poor.

The only way the cycle will be broken is if developers list their coins on decentralised exchanges first, and build up liquidity for their coin there before setting up on other exchanges.

You make a really good point I hadn't considered.. and yeah I do agree with this that people will follow the liquidity 9 times out of 10.. like how often do people use hitbtc for example when all the liquidity of a coin is on binance? We have to have some sort of incentivized solution as a community to break that mold for the sake of all when decentralized exchanges start rolling out that have the tech and layout to really compete.

alyssa85

legendary

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It's a chicken and egg situation. People want to go to exchanges where there is liquidity. But most decentralised exchanges don't have many people using them, so liquidity is poor. Which is the reason new people won't join, which ensures that liquidity remains poor.

The only way the cycle will be broken is if developers list their coins on decentralised exchanges first, and build up liquidity for their coin there before setting up on other exchanges.

atrocityx

member

Activity: 336

Merit: 71

I'd say we're right on the cusp.. I'm really excited for Loopring because this decentralized protocol allows for "loop" trading that interacts directly with an ERC20 wallet that doesn't have money on the exchange at all.. But yeah I think the time of decentralized exchanges going mainstream is right around the corner, maybe late this year. I think it will dramatically bring up bitcoin/eth's price as well, since people will be looking for entries into these spaces without all the "legislation of buying them with fiat getting in the way.. as decentralized exchange activity increases, there will be more attacks on the entry and exit point back to fiat which is expected, so expect a lot less day trading of these coins which will make the prices skyrocket.

kueyen

member

Activity: 140

Merit: 10

I currently don't see how decentralized exchanges are going to mesh with any regulations so I think it's going to take at least more than a few years until we get there. Quite frankly, I'd rather have well regulated centralized exchanges rather than decentralized exchanges right now.

SonoCoin

jr. member

Activity: 46

Merit: 6

Quote from: Nathan047 on February 12, 2018, 12:42:40 PM

Honestly I don't expect decentralized exchanges to ever take over day trading because of transaction fees. That's not to say I don't think they won't ever be used, but anyone who is trading on a short term basis will probably stick to centralized exchanges because of the low fees.

Perhaps if a decentralized exhcnage were to adopt a version of the IOTA's Tangle - no fee solution?

Nathan047

sr. member

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Merit: 250

Honestly I don't expect decentralized exchanges to ever take over day trading because of transaction fees. That's not to say I don't think they won't ever be used, but anyone who is trading on a short term basis will probably stick to centralized exchanges because of the low fees.

SonoCoin

jr. member

Activity: 46

Merit: 6

Quote from: ?? on ??

It's hard to see Decentralized Exchanges become mainstream since :
1. It's difficult to use for some users.
2. Government won't let Decentralized Exchanges popular since that means they won't able to track user coins, investment or profit easily.
3. It's difficult to trust Decentralized Exchanges for some people, especially because no one responsible if the exchange is hacked due to backdoor code or bug.

Even OpenBazaar isn't that popular after few years of releases Roll Eyes

1. Interface will definitely need improvements - that should come in time.
2. How would govts. regulate? No entity could be contacted to be shut down... (firewalls are the only obstacle)
3. People trust wallets, software and other decentralized services. I'm sure they could learn to trust an exchange if proven efficient

OmegaStarScream

staff

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The current platforms are not the way to go. The ability to trade without having to worry about the reputation of the other party is what decentralized platforms needs and that's what Atomic swaps is offering. You can start by checking Altcoin.io. I'd give it 4 years as the technology is new.

microedge

newbie

Activity: 12

Merit: 0

I think after 2020 we will start to see governments and banks getting behind cryptocurrency.

I would suggest they will start with their own.

Here in the YK The Royal Mint is going to launch Royal Mint Gold (RMG)

Exciting times agead!! Wink

Xavofat

hero member

Activity: 938

Merit: 559

Did you see that ludicrous display last night?

Crypto investors will find it very difficult to learn their lesson while more and more centralised exchanges turn out to be scammers or dodgy groups. With 2017's bull market there was a whole new wave of speculators who didn't have to learn the lesson many people did in 2013-2014, and with each bull market there will most likely be more speculators falling into the trap of centralised exchanges.

Furthermore, the more experienced traders will often focus on platforms that are perceived to be reputable, such as futures exchanges, rather than delving into the world of decentralised crypto exchanges.

In 3-4 years though, I think that a lot of progress could be made. There will eventually have to be movements to decentralised exchanges (and perhaps marketplaces), especially as regulation of crypto exchanges becomes more rampant.

As it is, gaining traction will be very difficult because the lack of liquidity in itself, as well as the relatively new concept, prevents many speculators from getting involved/

SonoCoin

jr. member

Activity: 46

Merit: 6

Do you believe this will ever happen, and if so, how long?

Please select one of the options above for this poll.

Topic: How long before Decentralized Exchanges become mainstream? - page 2. (Read 244 times)