People are giving too much importance to exchanges - page 3.

nullama

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Quote from: Bushdark on June 22, 2023, 05:05:39 PM

~snip~
This is why we should never plan to keep our coin on exchanges because this might make us lose some good amount of money if the exchange crash. The people that have big funds in FTX cannot still access there funds till today because of the mismanagement of funds if customers by the team. Exchanges are using our money to make themselves richer when we swap our coins and trade on the platform.

If many of these exchanges crash, many investors are going to lose there money because many people are not still ready to remove there funds from exchanges or reduce the amount of money they have there maybe in case they want to swap or trade on the platform. Bitcoin will always fall and rise so we need to be ready for anything the market want to do.

Yes, you should always keep your bitcoin in your own wallet.

Exchanges should be used only to exchange bitcoin, as the name implies. There's nothing good about storing your bitcoin at their wallets. Ideally you should setup an automatic transfer after a threshold is reached, and always keep your money off exchanges.

Blitzboy

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Quote from: Abiky on June 22, 2023, 01:26:00 PM

Quote from: posi on June 21, 2023, 10:09:55 AM

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

Exactly. I'd say 99% of cryptocurrencies are centralized, while only a small few are truly decentralized. It's all about money these days, so exchanges will list coins that will bring the most profits (even if they're utterly-centralized). This is sad because it strips away crypto's original purpose of eliminating the middleman for good. Even ETH became centralized with the PoS upgrade. It's going to get worse if developers successfully increase the minimum ETH for staking from 32 ETH to 2048 ETH. The number of DEXs are also declining, as CEXs are taking over the whole industry.

It's not that people are giving importance to exchanges, but rather VCs and institutional investors alike. Crypto is now in the hands of Wall Street. Centralization will go on top of everything else just to satisfy the government. There's been renewed interest into crypto from institutional investors, so market prices will only go up in the future. Who knows how far BTC will go? Just my thoughts Grin

Crypto-world is indeed flooded with centralized altcoins, isnt it? These newbies, clamoring for exchange stardom, ironically stray from crypto's original intent. Bitcoin, our founding father, aimed to bypass financial middlemen. But it seems that fresh coins care more about market monopoly and profits than preserving Satoshi's dream.

Even Ethereum's switch to Proof of Stake (PoS) has drawn flak, with fears that raising the staking minimum from 32 to 2048 ETH will concentrate power. The ascent of Centralized Exchanges (CEXs) over Decentralized Exchanges (DEXs) stirs debate. Yet, I contest its a sign of cryptos demise. Remember, Bitcoin, the decentralization lighthouse, still rules. Its soaring value could usher in more decentralized offshoots.

Bushdark

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Quote from: countryfree on June 05, 2023, 02:47:44 PM

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

This is why we should never plan to keep our coin on exchanges because this might make us lose some good amount of money if the exchange crash. The people that have big funds in FTX cannot still access there funds till today because of the mismanagement of funds if customers by the team. Exchanges are using our money to make themselves richer when we swap our coins and trade on the platform.

If many of these exchanges crash, many investors are going to lose there money because many people are not still ready to remove there funds from exchanges or reduce the amount of money they have there maybe in case they want to swap or trade on the platform. Bitcoin will always fall and rise so we need to be ready for anything the market want to do.

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Quote from: isaac_clarke22 on June 22, 2023, 11:06:51 AM

Quote from: savetheFORUM on June 14, 2023, 03:12:55 PM

That's true, a lot of people I've seen complaining about their exchange accounts getting compromised and their assets being stolen because they have been keeping all their assets in their exchange account which is a big mistake, someone should only keep a specific amount of money in exchange, the money that they use as their trading capital if they are making trades regularly.

If someone doesn't make trades on a daily or a regular basis, they should simply keep their assets in a non-custodial wallet where they will be the only ones to have access to them and no one can access them unless they leak their seed phrase or private keys.

To be fair, it's kinda hassle for some people to move in and out their funds between exchange and their wallet and to be honest back then, I was like that when I was day trading in Binance. After I learned the horror stories of people getting their funds frozen, I started to slap myself so bad that I would not do that every again.

It depends on what you use the exchanges for: if you do daily trading then you have to leave the funds on the exchange, there is no other solution. Is it a risk? Yes, of course. If you buy for the long term and you leave the funds on the exchange because you're lazy it's a totally different story. Personally I just leave on exchanges some shit coins, I would never leave a single satoshi.

carlfebz2

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Quote from: Abiky on June 22, 2023, 01:26:00 PM

Quote from: posi on June 21, 2023, 10:09:55 AM

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

Exactly. I'd say 99% of cryptocurrencies are centralized, while only a small few are truly decentralized. It's all about money these days, so exchanges will list coins that will bring the most profits (even if they're utterly-centralized). This is sad because it strips away crypto's original purpose of eliminating the middleman for good. Even ETH became centralized with the PoS upgrade. It's going to get worse if developers successfully increase the minimum ETH for staking from 32 ETH to 2048 ETH. The number of DEXs are also declining, as CEXs are taking over the whole industry.

It's not that people are giving importance to exchanges, but rather VCs and institutional investors alike. Crypto is now in the hands of Wall Street. Centralization will go on top of everything else just to satisfy the government. There's been renewed interest into crypto from institutional investors, so market prices will only go up in the future. Who knows how far BTC will go? Just my thoughts Grin

Nothing surprising on which these institutional investors or even to those government sectors who do quietly making up some accumulation in silent is really that something happening without us noticing.

It wont really be shocking on how they would really be getting some involvement due to the things that sees some opportunity to make money. The only coins which i do consider out to be fully decentralized is Bitcoin, ZCASH, XMR and some which it is true that as we do go farther ahead on which centralization becomes more evident which it is really that totally opposing the general idea of cryptos existence in the first place.
Well, lets just embrace out and as if we do have other choice? of course none but dealing up with exchangers does have that kind of benefit which is something that brings convenience
but in exchange for that exposing ourselves. Grin

Abiky

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Quote from: posi on June 21, 2023, 10:09:55 AM

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

Exactly. I'd say 99% of cryptocurrencies are centralized, while only a small few are truly decentralized. It's all about money these days, so exchanges will list coins that will bring the most profits (even if they're utterly-centralized). This is sad because it strips away crypto's original purpose of eliminating the middleman for good. Even ETH became centralized with the PoS upgrade. It's going to get worse if developers successfully increase the minimum ETH for staking from 32 ETH to 2048 ETH. The number of DEXs are also declining, as CEXs are taking over the whole industry.

It's not that people are giving importance to exchanges, but rather VCs and institutional investors alike. Crypto is now in the hands of Wall Street. Centralization will go on top of everything else just to satisfy the government. There's been renewed interest into crypto from institutional investors, so market prices will only go up in the future. Who knows how far BTC will go? Just my thoughts Grin

isaac_clarke22

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Quote from: savetheFORUM on June 14, 2023, 03:12:55 PM

That's true, a lot of people I've seen complaining about their exchange accounts getting compromised and their assets being stolen because they have been keeping all their assets in their exchange account which is a big mistake, someone should only keep a specific amount of money in exchange, the money that they use as their trading capital if they are making trades regularly.

If someone doesn't make trades on a daily or a regular basis, they should simply keep their assets in a non-custodial wallet where they will be the only ones to have access to them and no one can access them unless they leak their seed phrase or private keys.

To be fair, it's kinda hassle for some people to move in and out their funds between exchange and their wallet and to be honest back then, I was like that when I was day trading in Binance. After I learned the horror stories of people getting their funds frozen, I started to slap myself so bad that I would not do that every again.

It's the worst thing you could possibly encounter aside from being scammed around crypto. Just recently I found out that my local web wallet has been upgrading the wallets and I just found my funds being moved from another app and my heart almost sank finding that out. Good thing that I did not lose the funds though.

nullama

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Quote from: Texac on June 21, 2023, 11:49:52 AM

If you are not interested in the exchange, you should not create this topic you should continue to hold your bitcoins. Everyone has the right to choose, you can't force everyone to follow your opinion. i'm not a fan of centralized exchanges, but I don't hate them either, but to be fair, they're not as bad as you say. they really have many utilities and benefits for us, I think without them, the crypto industry wouldn't be as strong as it is today.

Yeah, exchanges are important to help with the transition from fiat to Bitcoin.

As long as people keep getting paid in fiat for their goods and services, there will be a need for having exchanges.

The moment people realize they can skip that middleman by getting paid in Bitcoin directly, then everything would be better and exchanges won't be needed. It's a temporary solution.

Texac

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If you are not interested in the exchange, you should not create this topic you should continue to hold your bitcoins. Everyone has the right to choose, you can't force everyone to follow your opinion. i'm not a fan of centralized exchanges, but I don't hate them either, but to be fair, they're not as bad as you say. they really have many utilities and benefits for us, I think without them, the crypto industry wouldn't be as strong as it is today.

Ale88

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Quote from: countryfree on June 05, 2023, 02:47:44 PM

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

First of all you are mixing Binance and Binance US, and those are two completely separate entities. If Binance created Binance US is exactly to avoid problem with the main exchange because they know how things (don't) work in the US thanks to the SEC. Now let's talk about exchanges: does bitcoin need exchanges? No. Do ordinary people need exchanges because they're the simplest way to buy crypto? I would say yes. If you care only about bitcoin's existence then you're fine, if you care also about bitcoin's value then you shouldn't be here hoping that exchanges fail.

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Quote from: Abiky on June 21, 2023, 07:57:41 AM

What matters is that crypto stays decentralized so it could stand the test of time. We already have decentralized exchanges, atomic swaps and even P2P trading platforms, as alternatives to existing CEXs. If CEXs fail, we can still trade our crypto in a breeze. Who knows how the future will shape the entire crypto/Blockchain industry? Just my opinion

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

thecodebear

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Quote from: countryfree on June 05, 2023, 02:47:44 PM

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

Exchanges are how new money comes into Bitcoin. It certainly makes sense that something bad going on with exchanges would make people afraid and therefore sell temporarily.

I does suck that the bitcoin market is soooooo delicate that it moves a ton on such things, but that's just the way of things right now. Also realize a lot of people are probably selling simply because they expect the price to go down on such news, so its a self-fulfilling thing. Traders hear bad news and they sell simply because they expect the price to drop from others selling, and so the price goes down more.

Anyway, hopefully in a few years we'll get to a point where exchange regulations are put together so exchanges are all on solid legal footing and there's nothing like the SEC attacking exchanges going on, and exchanges being transparent (probably due to regulations and all with proper security and insurance protocols in place) so we don't get stuff like FTX happening or bad results from hacks happening.

Woodie

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Quote from: countryfree on June 05, 2023, 02:47:44 PM

-snip-

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

There is some truth in the write up but am thinking other crypto users see the correlation of Bitcoin and Exchanges being that they provide an early indicator of whats to happen to the markets.

Besides you know how everyone says with crypto you can be your own bank, what happens if the only place you are able to sell or access your peer2peer platform to get fiat in exchange of the digital currency is shutdown ...?
It kind of leaves you stranded if you don't have other options, and the fact that the top exchanges are under attack most will surely what to salvage whatever they can y selling before they lose the access especially that we are solely responsible for our actions.

Abiky

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Quote from: nullama on June 19, 2023, 11:37:06 PM

The thing is that while people keep being paid in fiat for their goods and services, then exchanges are very important for Bitcoin.

When people transition to getting paid in Bitcoin directly, then exchanges will fade away because there would be no real need for them.

The reality is that many people are just "betting" on Bitcoin, so they want to maximize their fiat by "buying low and selling high". That's not going to affect Bitcoin in the long term, it just creates noise in the short term.

Exactly. That's the problem. Fiat is still the standard unit of account, while BTC is viewed by many as a means for profit. If people started using Bitcoin as a currency, things would've changed by now. But that will never happen in a world where banks and governments rule the mainstream economy. Considering that most jobs are paid in Fiat, exchanges will continue to be relevant in the crypto/Blockchain space. Anything good or bad related to a crypto exchange will quickly move the crypto market. It'll be up to you to decide whenever you'd want to buy more coins and "hodl", or sell them all for a profit.

What matters is that crypto stays decentralized so it could stand the test of time. We already have decentralized exchanges, atomic swaps and even P2P trading platforms, as alternatives to existing CEXs. If CEXs fail, we can still trade our crypto in a breeze. Who knows how the future will shape the entire crypto/Blockchain industry? Just my opinion

nullama

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Quote from: countryfree on June 05, 2023, 02:47:44 PM

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

The thing is that while people keep being paid in fiat for their goods and services, then exchanges are very important for Bitcoin.

When people transition to getting paid in Bitcoin directly, then exchanges will fade away because there would be no real need for them.

The reality is that many people are just "betting" on Bitcoin, so they want to maximize their fiat by "buying low and selling high". That's not going to affect Bitcoin in the long term, it just creates noise in the short term.

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Quote from: serveria.com on June 17, 2023, 06:22:20 PM

To start with, I don't believe Binance will disappear. It's a huge global corporation and even having to leave US market completely won't make it go bust. But yeah, people still overreact when some FUD shows up. I dunno why, perhaps Bitcoin is still young as more mature markets are normally less prone to FUD.

Most people that are into crypto are not taking it seriously as a tech. They're only investing into it to make a quick buck in return. It will take some time before the market matures to a point where external factors will have little-to-no effect over a cryptocurrency's price. Binance may've suffered from SEC's actions, but that doesn't mean it's the end of the world. It will move its operations elsewhere and carry on with business as usual.

The one that will end up losing is the US with its aggresive crypto regulations. Crypto is decentralized, so it should be able to stand the test of time. If all centralized exchanges go down (which is very unlikely), we'll have decentralized exchanges at our side. Who knows how far will the industry go? Just my thoughts Grin

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Quote from: Abiky on June 17, 2023, 02:45:04 PM

Quote from: KiaKia on June 12, 2023, 10:22:49 AM

They don't know the importance of a open source wallet compare to binance wallet, I just recently found out that some people are into Bitcoin investment for a long time now, and they don't even understand that Bitcoin was never created to be put in care of any centralized companies.

I know a family friend in the U.S, he held all his XRP, NEO, and some top projects on Coinbase and this has been ongoing since 2019, I tried to tell him the different but he said it's easier for him to pu these assets in care of Coinbase, all he had on him was he trust Coinbase CEO, Brian Armstrong.

It's a big shame to witness how people are into Bitcoin for the money only and they failed to learn anything g about why Bitcoin even existed, anyone that understands why Bitcoin existed they will know what's wrong and what's right.

That's the real problem. Trust. When people start trusting exchanges to secure their crypto assets, they're bringing back the middleman into the system. This is the single point of failure crypto was meant to avoid in the first place. Because of this, governments can do whatever they want with crypto. Exchanges have a lot of power, thanks to people who don't know (or never care about) self-custody. There's nothing we can do about this especially when the majority is into crypto to make a quick buck.

The clock is ticking for the crypto/Blockchain industry, so time will tell us whenever centralization will prevail or all the other way around. Unless decentralized exchanges grow in liquidity/trading volume and market dominance, the crypto industry won't be going anywhere soon. Who knows if CEXs ultimately destroy crypto's true value proposition? Just my opinion

The irony is palpable here! Bitcoin, born out of a vision to bypass central authorities, now finds itself at the mercy of centralized exchanges. Trusting entities like Binance and Coinbase goes against the very grain of what Bitcoin stands for!

Your friend' story is more common than you think. People prefer the ease of use of a centralized exchange and turn a blind eye to the philosophical underpinnings of cryptocurrencies. They place their trust in the CEOs of these companies, but are they not becoming the very middlemen we wanted to avoid?!

Our last hope rests on decentralized exchanges. Without a significant rise in their trading volumes, we risk the survival of the crypto industry itself. Centralization could very well be the cryptonite that destroys the superman of the financial world - cryptocurrencies. Does anyone else find this deeply concerning?

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Quote from: Agbe on June 18, 2023, 09:33:56 AM

Really there are too much fraudsters in the exchange. There was a day I was selling 0.008 worth of BTC in binance and there vendor indicated that has paid the money to my account but I didn't receive any alert of payment but he was disturbing me to release the coins but I refused.

If you choose a trusted with high reputation and with high past trading volume, you will have less probability to trade with a scammer. Because a trusted vendor will not sacrifice his account reputation that is gained after a long time, to scam in one trade.

In addition, scammers always push their trade partners in hurry to release coins. It is one of alarms for a scammer.

Quote

I even told him to send me a screenshot of the payment he refused too. With the long argument for about 3 to 5 period he paid the money and I received the alert so I released the coins for him.

When you trade Peer-to-Peer, only release your coin if you receive payment if you are a seller; always mark the trade as Paid if you are a buyer.

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Quote from: borovichok on June 17, 2023, 04:02:31 PM

Crypto exchanges are struggling to deal with fraudulent operations that harm the general public. Fraudsters target the top exchanges to be able to decrease their functional requirements; some fight back, while others give up and crash to the dump. I don't think it's an efficient time to hold our currencies on exchanges at the moment because it's riskier than storing fiat money in banks. Binance is now suffering significant problems, but all will be resolved in due course.

Really there are too much fraudsters in the exchange. There was a day I was selling 0.008 worth of BTC in binance and there vendor indicated that has paid the money to my account but I didn't receive any alert of payment but he was disturbing me to release the coins but I refused. I even told him to send me a screenshot of the payment he refused too. With the long argument for about 3 to 5 period he paid the money and I received the alert so I released the coins for him. Scammers full exchange, so I gave him negative feedback note on his profile rate. And I don't think exchange can fish out those guys because they use different method in their crimes.

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Quote from: countryfree on June 05, 2023, 02:47:44 PM

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

To start with, I don't believe Binance will disappear. It's a huge global corporation and even having to leave US market completely won't make it go bust. But yeah, people still overreact when some FUD shows up. I dunno why, perhaps Bitcoin is still young as more mature markets are normally less prone to FUD.

Topic: People are giving too much importance to exchanges - page 3. (Read 1225 times)