Bitcoin Forum

Hello to everyone

As the title says, Why are Altcoins traded with Bitcoin or Ether and not with fiat directly? Newbie here and needs to get some questions cleared up

 

Because we trust bitcoin and ether and not altcoins. Bitcoin and ether serves as store of value. If ever there will be an alt than can gain trust and support as bitcoin, then maybe that alt can serve as a store of value as well. But right now, it is just this 2.

Because the Bitcoin is the first cryptocurrency and most popular cryptocurrency in the world. Bitcoin having the characteristics like fiat currency i.e Divisible. Every altcoin can be divided into the bitcoin. After bitcoin, ethereum launched and it becomes popular.

Everything tight to Bitcoin and not every exchanges support altcoins. Exchanges are gateway to fiat.

Because those certain alt coin use bitcoin and etc as that currency as a main source. Bitcoin is the chosen currency of every alt coin, even ethereum. But those two are in particularly storage of value.

Because it is built on that market, it is traded first there on that cryptoclass. And sometimes a currency or an asset was built from these platforms hence it is naturally to be traded on such. When demand grows from fiat/crytpo pair then that can be worked out hence markets are born.

It's because among digital currencies bitcoin could be trusted more, altcoins are very closed to bitcoin or it could be say a next inline with bitcoin and it can be easily traded with it. Fiat is just an exchanger.

In my local exchanger, I can trade altcoins such as ethereum, etc, and bitcoin cash directly to my local currency. So this depends on each exchanger whether they will pair altcoins with fiat or not.

I think its because most exchange are not offering the option to buy alts directly with fiat money. Like here in our country only bitcoin can be buy and sell with fiat so I have no choice but to buy btc and use bitcoins to buy other alts.

I believe it just simplifies things.  The other coins don't have the right infrastructure in place.

I am a new to the crypto coin world, as well.

The info regarding Bitcoin and Ethereum being the go to currency, for trading alternative coins, is good to know.

Because they are both have been recognized in the crypto world as a standard price reference. but sometime there is several coin/token that use Waves as a price reference. and that jus happened on global market,  not for local market which some coins can be traded to money instead.

Just like a lot of people said on here, it depends on the exchanger you are trading your altcoins.
I use a local exchanger to buy my coins, just like Bitcoin, ethereum, monero or Litecoin, he sells me every coin at the current market price, but with my local money.
But if you are trading on a famous exchanger, then it is better to use alt/btc alt/eth just to make things easier.

Because altcoin does not work as well as bitcoin and etherium that serve as a store of value and the reason why altcoin can not yet be like bitcoin because altcoin has no trust like bitcoin.

It's not totally true that Altcoins are traded just fo Bitcoin or Ether. But mostly yes.
The main reason is conversion. Bitcoin and Ethereum has a larger user group and hence the conversion is easier.
It used to be just bitcoin some years ago.
And it would be for many cryptos in coming time.

ethereum or ETH much exchanger is support direct to exchange fiat money
all altcoin not support direct to exchange, because exchanger not believe or not trust altcoin another ETH, maybe user community not big , difference ETH and BTC, user community is big

as we all know that bitcoin is considered as an international currency and that is the main point why it is being used to buy altcoins rather than your local currency or so called fiats. aside from it is an international currency, most of the alternate coins are having this so called plat form where they find it way more to easy to buy and sell, and for us investors and them developers could both benefit, as it is hassle free and prevent so much time consumed.

Because we trade in the world of crypto and we know that bitcoin is the first digital currency.
But in certain exchanger you can also trade bitcoin to usd or vice versa.

first bitcoin is the first crypto currency, second bitcoin and ether have the most trusted platforms, third, not all altcoin are accepted in exchange but bitcoin does. forth, bitcoin are the most convenient digital currency all over the world/most popular next is ether.
if there are altcoin that can gain more trust and exceptional of all the altcoin we have right now maybe it can be traded directly into fiat. But dont lose hope there are exchange and platform that directly convert your altcoin in to fiat money.

Because it's way more profitable mate than fiat. In fiat, your money is sleeping. Unlike to Bitcoin and Ethereum. The profit continues. Converting in fiat is good tho. It's more secure than Bitcoin and Ethereum because we all know they're very volatile. But still most of traders choose Bitcoin and Ethereum because the chance of getting more profit is high. They only convert to fiat if they want to store it to bank or they want to cash it out or sometimes they want their money secured because there are some situations that Bitcoin and Ethereum are having problems or in panic.

I think it's because outside of the main players, the ones that have been steadily in the top 10, their isn't enough demand for something like Coinbase to start adding lots of Altcoin support.

There are fiat trading pairs from beginning in some exchanges, do you have an exchange account in Chinese exchagnes?

because bitcoin and ether is trustworthy. if another coin rises up and have the same value of the 2, and gain their trust and support, maybe it'll be these 2 and that certain coin will be traded to.

Accepting fiat would require jumping through the regulatory hoops of KYC/AML (Know your customer / anti-money laundering). Some have done so: Filecoin worked with
CoinList/AngelList to "pre-load" fiat wallets as part of their ICO prep

Bitcoin and the etherium are the first digital currencies that enjoy wide support and trust. Not all exchanges and exchangers trade those altcoyins that need to be exchanged for fiat. Especially it concerns new altcoyins. Therefore, you first need to exchange for these coins, and then already make the necessary exchange for fiat currencies.

For my opinion, I think the reason why the most all of altcoins is traded with bitcoin and ether and not with fiat directly because bitcoin is the main currency of all the altcoins and if you purchase altcoins with bitcoin it can helps bitcoin to rise the value because you need to buy bitcoin first before you can buy altcoins so if you buy alts using fiat it can't help bitcoin to rise and it helps traders to earn more profit than trading fiat.

 ;D because no exchange support fiat altcoin... I just known only btc-e use cash to buy ppc nmc ...

Not only that it's because where on cryptocurrency industry that's why we can see other alts are been traded to btc,ether and etc, And I think that is the true agenda of the coin maker since they want to earn more money with there coins made. And also having an alt is not the only one can help btc since the demand itself make it pump so hard since bitcoin has been used for online transaction globally. trading with it is I think helps bitcoins on some other part but not the major one.

because altcoin only has support with bitcoin and ETH, but also the exchanger only supports ETH and bitcoin. Maybe it can be an interesting idea if you can trade in addition to using ETH and bitcoin example using cash money. will be a new breakthrough, but it certainly has to go through many stages to become successful.

Litecoin Ether and Bitcoin are all traded directly with Fiat currency at GDAX. 

But I think that most exchanges don't want to go through the AML/KYC requirements to trade directly fiat with altcoins.  The money transmitter regulations are quite burdonsome.

Because bitcoin has a lot of exchanges to Fiat and altcoins don't have. Bitcoin is a legend and trusted already.

this is one of those questions that you will only get the answer to only if you try it yourself!

trading with bitcoin:
- you make the profit on your bitcoin and we all know bitcoin is rising so double profit!
- when you deposit bitcoin it is easy, reliable, fast, moderately cheap in comparison. same with the withdrawal
- when you deposit bitcoin you remain anonymous, you don't have to give your documentation and verify your identity.
- the markets with bitcoin are always the most popular, everyone choose them because of the reasons i just said and that means more liquidity and less spread*

trading with fiat:
- you make profit on your fiat! pointless!
- when you deposit fiat, it is hard, takes a long time and the cost of it is always going to be very high. same with withdrawal of fiat.
- depositing and withdrawing fiat requires you to verify your account, it is a time consuming act and invades your privacy.
- the markets with fiat are usually less popular and that means less liquidity and a bigger spread*.

trading with other altcoins such as ether:
- you make your profit on that altcoin! again pointless since most of them are dropping in long term.
- deposits and withdrawals are easy and most of the times cheap (not ethereum) and most of the time reliable (again not ethereum) but deposits may take a much longer time than bitcoin deposits since exchanges require a lot more confirmation on all the altcoins (3 conf. in bitcoin is sometimes 20 in an altcoin)
- as far as anonymity goes altcoins are same as bitcoin
- the markets with alts/alts are the least popular of all and that means a lot less liquidity and huge spread*.

* spread
by spread i mean for example if the asks end at 10 the bids start at 5 and there is no order in the middle of this

because bitcoin and ethereum is more trusted than most of these altcoins, bitcoins have a standard that most altcoins try to reach.

I don't think so, In my exchange site, You can trade for Bitcoin, Bitcoin cash, Ethereum and Ethereum Classic for local currency. I think it depends on your exchanger. I do believe, it's because a market cap of bitcoin and ethereum was above other crypto thats why both of this crypto are available for trade in local currency in every country. The other also said that's why everytime bitcoin price jump, alt will slide. It's because alt are compare with bitcoin like dash/btc, ltc/btc etc, So when the bitcoin price soaring, the alt price will follow their value in bitcoin, and what we see is down.