Topic: No choice but to use the unavoidable middle man, the exchange companies. (Read 869 times)

Not necessarily have to stay away and stop using them because for several months I was using P2P services and have not encountered any problem (maybe now) so I don't have a reason to decline their services. For at least that we are sure that was the right person that we are transacting with, it was safe. But we are doubtful, of course, why we should continue the transactions. It is in our hands to decide if this is safe or not.
Yeah, paying some fees for the middleman is not a big deal especially if we assure that the transaction is safe, much more if involves huge amounts.

Using P2P cryptocurrency platforms users can buy sell and exchange cryptocurrencies directly with other users without the need for a broker or other intermediary. Transactions are performed directly between two parties and the P2P platform acts only as a facilitator. But it is important to note that P2P transactions can be risky as there are no intermediaries to ensure the security of transactions. Therefore it is important to take security precautions when using P2P cryptocurrency platforms, such as checking the reputation of the seller or buyer before making a transaction so as not to fall into the trap of fraud. Cryptocurrency P2P can be more difficult to use as it requires a bit more technical knowledge to trade safely.

To be honest, I also prefer using intermediary services rather than p2p exchanges without intermediaries, I don't feel safe with p2p trading, especially with internet exchanges. Even when dealing with large amounts of money outside, I even ask for an intermediary when trading because any risk can happen to us. Because when it comes to money, everyone's greed arises and they are willing to do anything to get it. So the middleman is really indispensable, IMO.

Not necessarily have to stay away and stop using them because for several months I was using P2P services and have not encountered any problem (maybe now) so I don't have a reason to decline their services. For at least that we are sure that was the right person that we are transacting with, it was safe. But we are doubtful, of course, why we should continue the transactions. It is in our hands to decide if this is safe or not.
Yeah, paying some fees for the middleman is not a big deal especially if we assure that the transaction is safe, much more if involves huge amounts.

Even P2P transactions require some sort of middleman; how are you going to pay for the bitcoin you're purchasing?

I agree with you. Moreover, though, it is best to remember that there are different system that different middlemen use. I remember when I hired a middleman for a quick transaction and they never asked me to provide any personal information, everything was strictly about the transaction and anonymity that both the seller and I wants to maintain. On the other hand, I have heard some stories wherein their middleman asked for some private information that made me reluctant to proceed with the transaction but it turns out it was not a scam and the middleman was only following a system they've been practicing for long.

Theoretically, you can eliminate the middleman; however, in practice, it's not as easy as it sounds. Even P2P transactions require some sort of middleman; how are you going to pay for the bitcoin you're purchasing? Unless we're talking about a physical transaction with cash in hand, which isn't something that can be deemed particularly safe, I don't know about others, but this whole decentralized movement sounds too inconvenient to me, especially if you're new to cryptocurrencies and trying to make your first purchase. For us, who already hold some coins, the transition is a lot easier.

Unfortunately, whether we like it or not, exchanges are convenient and are used by a large percentage of the cryprocurrency community.

Certain cryptocurrencies such as bitcoin are able to eliminate middleman technically, whereas in this case it is a user's need to adjust to business preferences, especially because cryptocurrencies must really pay attention to the level of trust of the second party.
As innovation develops in the crypto industry, the role of third parties can also be built into code which is usually called a smartcontract, although some of these sometimes have serious vulnerabilities that cause greater losses.

Indeed, you cannot deny the middleman's importance when dealing with an anonymous person on the internet. Reputation is a key factor there. If you can build a solid online reputation, you will likely get the payment or product first. This applies only to public forums like BitcoinTalk and hack forums. Still, this forum has middleman services to eliminate the possibility of scams.

The fact is, forum middlemen do not ask for your private information like your Real name, Identity or your electricity bills. But when you deal with some specific platforms like Binance and other centralized platforms, you compromise your private information.

Correct, on this forum the middleman only cares about being a middleman and as such their existence is not only tolerated but encouraged if you are making a transaction with an user you have never dealt before, however the middlemen that we find on the fiat system wants to know every single thing they can about you, and not only this robs you from your privacy, it also puts you at risk as those middlemen keep that information forever and they only need to be hacked once in order for your information to end up on the black markets.

Second of all, as I was saying above, people lose their personal information by going willingly through a very dangerous process, named KYC. The exchanges don't care about their clients nor about their personal information. They only want to earn more money. They can be hacked by hackers which, besides stealing money, also steal the users' personal information, this being a very precious resource, which can be turned into even more money, especially when it is sold on Dark Net. A CNBC article describes how the hackers sell personal information for 1$ a piece (this information consisting, among others, in physical addresses of the users, their credit / debit cards, copies of their IDs etc.): Hackers are selling your data on the ‘dark web’... for only $1. A notorious similar case from the forum is the case of the Romanian bekli23, which, while pretending he is decrypting old BTC wallets, he was also asking users to send him photos with them while holding their IDs and other bills in hand. Obviously, he was not decrypting any wallet. But he was trying to collect personal information, most likely, for selling it on Dark Net, for the ridiculous price of 1$ per piece!

In some cases, the exchanges are the ones selling customers' personal information! And I'm not talking about small, shady exchanges, but about the big ones. Coinbase is one of the biggest exchanges and yet it was caught selling clients' personal data! A 2019 article, Coinbase Admits Its Former Data Provider Sold Client Data, describes how Christine Sandler, one of the exchange's executives, admitted the company sold the users' personal information. Having this example, do you think that other exchanges don't do the same thing? Just they weren't caught yet?

But for convenience, transparency and scams that are associated with P2P, you don't have much choice but to patronize the services of these exchanges.

You can not eliminate the middle man in businesses, especially in this digital age, be it fiat or cryptocurrencies, because they have come to stay. Big exchanges like Binance, are cashing in on being the middle man in businesses, an unavoidable indirect business associates, in your face, waiting for you to go through them.

Indeed, you cannot deny the middleman's importance when dealing with an anonymous person on the internet. Reputation is a key factor there. If you can build a solid online reputation, you will likely get the payment or product first. This applies only to public forums like BitcoinTalk and hack forums. Still, this forum has middleman services to eliminate the possibility of scams.

The fact is, forum middlemen do not ask for your private information like your Real name, Identity or your electricity bills. But when you deal with some specific platforms like Binance and other centralized platforms, you compromise your private information.

Indeed, you cannot deny the middleman's importance when dealing with an anonymous person on the internet. Reputation is a key factor there. If you can build a solid online reputation, you will likely get the payment or product first. This applies only to public forums like BitcoinTalk and hack forums. Still, this forum has middleman services to eliminate the possibility of scams.

The fact is, forum middlemen do not ask for your private information like your Real name, Identity or your electricity bills. But when you deal with some specific platforms like Binance and other centralized platforms, you compromise your private information.

I believe that most business owners will prefer to transact money transfers with their customers directly without using an exchange, that will be a third party, and you'll have to pay this third party or middle man money for his services, whether you like it or not. I also believe that nothing beats transacting money directly with your clients or customers, no third party whatsoever. One of the reasons why I like bitcoin is that it's decentralized, and you can do a P2P transaction with another bitcoin holder without any exchange being involved. But for convenience, transparency and scams that are associated with P2P, you don't have much choice but to patronize the services of these exchanges.

You can not eliminate the middle man in businesses, especially in this digital age, be it fiat or cryptocurrencies, because they have come to stay. Big exchanges like Binance, are cashing in on being the middle man in businesses, an unavoidable indirect business associates, in your face, waiting for you to go through them.

Unfortunately being a third-party company in a decentralized technology has become a very lucrative business, Satoshi envisioned an environment without the middleman man but the lack of trust between the two parties gives power to the middleman, the third-party system has been with us since time immemorial and unfortunately, it integrates in a decentralized exchange because of the lack of trust.

Honestly, I have more numbers of trades using a middleman than using a peer-to-peer I'm sure all of us here third parties will always be with us, we are so used to it, It applies in many industries it applies in Cryptocurrency.

I believe that most business owners will prefer to transact money transfers with their customers directly without using an exchange, that will be a third party, and you'll have to pay this third party or middle man money for his services, whether you like it or not. I also believe that nothing beats transacting money directly with your clients or customers, no third party whatsoever. One of the reasons why I like bitcoin is that it's decentralized, and you can do a P2P transaction with another bitcoin holder without any exchange being involved. But for convenience, transparency and scams that are associated with P2P, you don't have much choice but to patronize the services of these exchanges.

You can not eliminate the middle man in businesses, especially in this digital age, be it fiat or cryptocurrencies, because they have come to stay. Big exchanges like Binance, are cashing in on being the middle man in businesses, an unavoidable indirect business associates, in your face, waiting for you to go through them.