Topic: Why are centralized exchanges still dominating the crypto space? - page 2. (Read 13127 times)

Personally I think we still cant get over the fact that we have to ID someone before we entrust our money to them. In this case, if its centralized, we know who are the people behind that certain exchange. There's a certain liability that we can hold on to if things mess up.

You are right with the DEX being slow as a result of process transactions been influenced by the confirmation of blocks. DEX are still evolving and there will more and more improvement overtime. Binance recently announced their launch of DEX and I look forward to seeing how the exchange perform of which I hope it brings more improvements to the DEX ecosystem.

Centralized exchanged are more efficient platform than other ICO.  Through this process we can asure than the system is more productive and less hassle;  wherein you can easily proceed into process faster and no interruption.

Because very few people understand the pure concept of decentralisation yet, mixed with the effort of having to figure things out for yourself.

I've had some real conversations over the last few days on this forum with people that have told me stupid things like "crypto is just money" and that sort of ilk. I mean I don't blame them per se - a lot of people entered into this industry when Bitcoin was flying high and ICOs were pitted on ANN threads in their hundreds per week. A lot of folks here I'd hazard a guess wouldn't know what it was like to have only Bitcoin, Litecoin and Dogecoin as the main three coins and when someone had the balls to make another coin it was like a whole month event. Hundreds of people would flock together to throw their hard earned money at another coin that promises to do exactly the same as what's currently available but BETTER, and in the end the devs would just give up and run away with our bitcoin. Innovation was non-existent. But boy anonymity was integral - and we valued that above all else. Even if it did mean losing a btc here and there. It wasn't much anyway at the time.

Now we've sort of entered some weird alternate reality where it's all about the money and nothing about the vision - no-one cares about the original vision of satoshi anymore. Most projects pitted to us today are more or less centralised, as are the exchanges, and the people that run them.

But that's people I guess. Never underestimate the human need for control.

Centralized exchanges are popular as they provide great user experience while the decentralized ones  are not user friendly. Majority feels their funds safer on the centralized exchanges despite it is not the situation. Both exchanges ( centralized and decentralized ) were hacked quite frequently in the past.

Decentralized exchanges are developing slowly and probably because the owners have in less profit. Recently, there are many new decentralized exchanges, and will be more, the main thing that they have trading volumes.

There is still a large demand for fiat to crypto exchange that is why centralized exchanges still dominate crypto space.  

There is also a lack of knowledge in using dex exchanges. Another one is trusting your keys to dex exchanges. There is fear since you are submitting your keys to dex, your funds can be easily stolen.

this is all because of profit, people prefer CEX compared to DEX because they have a large trading volume. with a large volume the level of presentation results is greater.
in general, DEX is slow to process transactions because it is influenced by the confirm block. this is also one reason too.

Dominating yes
Hacked, scam exit and leave investors broke yes

Centralized exchange offer so many benefits but all with a risk
Platforms such as binance and co are still safe; but a different story tells for cryptopia and the other hacker exchange

Do you think it is possible to trade coins cross-chain?
I think the main reason is that most of decentralize exchanges are limited for a single blockchain. It makes people feel hard to trade their coins and tokens from different blockchain. Other reason is the UI and wallet, centralize exchanges have better UI and most centralize exchanges save customers assets on only some wallets and the asset shown on user's page is just the balance and users can trade with others without having real transactions which would not affect the blockchain traffict. However, decentralize exchange will always create a transaction for every trade and make heavy blockchain trafficts.

I can not find answer as a reason. Because the handy options in the centralized exchanges also available in decentralized ones. Reliability may be reason. The increase in the quantity of scams left less places to rely on and centralization gives us more confidence in this regard.

In the absence of regulators, development occurs by the least resistance.
For example, the Etnerdelt Exchange is decentralized. Have you tried to exchange on it? Happened? I did it, but I spent it all day.
The second example is the stock exchange (binance, yobit) bank or account, registered, pressed two buttons and the exchange took place. Many intermediaries provide convenience and simplicity, which means that it promotes the introduction of cryptocurrency to the masses.

I think the main reason is because there's no in existence of any decentralized exchange that can operate across many blockchain protocols for execution multiple transactions and this is the reason why most of the decentralized exchange are one protocol exchange thereby limiting its capacity

There are lots of factors that can be responsible for this. Security is one of them. Most traders don't want to enter their wallet details on to the DEX platform incase they forget to log out and it gets hacked. It could also be confusing at times. The second reason is volume. CEX have enough volume which all the DEX put together can not match. Sometimes you have to keep waiting til your order is filled up.

Centralized exchanges are still dominant at the crypto space due to their easy adapation on the current market's state.

Each provides their unique security system, fees, payment options, Web / Application UI and much more that makes it exclusively than a decentralized exchanger.

All depends on the companies mindset on providing different goals in the long term or from a must have change due to market's influence.

Centralized exchanges are fine, people make a big deal about decentralized ones but as long as you find an exchange with good reviews and fast service you'll be fine.  I prefer to have someone be held liable if something goes wrong.

of course, because the centralized exchange has very high security, so cryptocurrency theft more less unlike decentralized

That's certainly true, mate. Centralized exchanges are much easier to use, and faster than decentralized exchanges. There's no doubt in that. But I believe that both will serve their different purposes in the mainstream world. For people who prefer ease-of-use and high liquidity, centralized exchanges would be the most viable option to go. However, if you prefer greater security, reliability, and censorship-resistance, then decentralization would be the only path to take.

The main reason why centralized exchanges have been so dominant since crypto's beginning, is because of the ability to become regulatory compliant. When something undesired happens in a centralized exchange, people can feel confident that their funds are protected by the government. Legal action can be taken, as there's a single authority in charge of everything. However, that's not widely possible in a decentralized exchange since you're the only person in charge of your funds.

Nonetheless, Satoshi intended that crypto would be as decentralized as possible. But, with centralized exchanges coming into play, his/her vision becomes more distant every day. Just my opinion

This almost makes me think of a mob type of mentality. The leading exchange has changed hands so many times. So many exchanges have fallen from grace. Look at Poloniex since it was purchased. It's not in the depths of the list as far as volume goes and used to be #1 in the world.

It is probably because centralized exchanges offer better services than the decentralized exchanges. And most of the projects wants their coin to be listed on them because of this. Decentralized exchanges are slower when it comes to processing trades. Centralized exchanges also knows how to attract more customers