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Now that binance exchange have compulsory KYC verification it seems that the door is open for people like we to move out and look for other options, the question is how long will it takes for other exchanges to join? For example coinEX and kucoin? How about Dex exchange? Any good one in mind? I used uniswap in the past but high gas fee made me quit. 

Right from the beginning, every CEX is regulated by the SEC and I believe they don't compulsory KYC verification just do it to gain users from the crypto community (within decentralization enthusiast). We should expect them to compulsory KYC verification when it is time. Coinbase, etc do this so will the remaining CEX not even now that Biden said he want crypto to be regulated.

DEX is the best alternative in this situation

Uniswap is a ETH based dex exchange and it was the huge ETH traffic that cause the high gas fee. However, dex like Mdex, Pancakeswap, Sushiswap, etc has a fair tx fee.

Still enjoy the ones that are still existing until then, but crypto is getting more regulated, more exchanges will want to comply with government anti-money laundering and counter-terrorism financing policies. It is not also about how long, there can still be unregulated exchanges, but if they are inferior to regulated ones, coiners will not want to risk their coins. Some can completely go for decentralized exchanges.

Many of the Dex you with high liquidity and trading volume are just ethereum based exchange, that is why you will not be able to exchange some coins like bitcoin on the exchange and you can not convert to fiat directly. If you want a decentralized exchange that you can also convert to fiat, I will suggest you:

https://bisq.network/
https://hodlhodl.com/
https://localcryptos.com/

For the ones you meant, you can check this link:
https://coinmarketcap.com/rankings/exchanges/dex/

Some exchanges may follow Binance steps since it is the leading exchange, I also can't use all services in Binance because I've not passed their KYC due to the documents that they want. But there are many altenatives for Binance, I still feel safe using exchanges like Gate, Coinbase, and some wallets that require KYC.


Many people are always talking good about DEX exchanges but they forget to talk about how people are losing money every day with fake tokens which are listed in DEX exchanges! Everything has its PROS and CONS, so do not trust DEX that is safe in 100% because crypto technology has a lot of surprises.

The continuation of the work of the centralized platforms without KYC depends on two things:

 - The amount of traditional financial services provided by the platform, such as margin, futures contracts, cash withdrawals, deposits and withdrawals from banks, and others, the more the platform’s relationship with traditional financial services increases, the more likely it will verify identity.

 - Did the platform encounter any legal problems in any country? If this happens, things will accelerate and severely.

If the platform succeeds in solving these two problems, they will be left with the option to verify identity or not.
Identity verification means commitment to headquarters and ensuring that no tampering occurs.

The fake tokens itself is not from the exchanges, but those scammer who create it with fake contracts!

Those ETH BSC DEX (e.g. uniswap, pancakeswap, sushiswap, isn't really 100% DEX it just a typical way to make people feel safe as they heard decentralization. They have a poor security and poor smart contracts code, even more BSC is just copy paste the ETH source code.

Take a look of @Charles-Tim posted above, that's a 100% DEX.
Does 3 DEX above has a hacked history? No.
Does uniswap, pancakeswap, sushiswap ever got hacked? Yes.

I thought this compulsory KYC verification will just be for those  recently created binance accounts. Isn't it? Or I have some misunderstanding about their notifications about this matter.
I am still able to trade and withdraw in my account, however my partner's account can't do anything unless undergo in KYC and get verified.

It's inevitable — the authorities will someday catch up into regulating these other exchanges as well.

For Bitcoin, go with what Charles-Tim listed.

For Ethereum, well, you have no choice but to pay for the fees, or use layer-2s; the likes of Arbitrum and Optimism. These are quite new and clunky though, so expect things to not be as smooth as trading on main-chain. Or probably try out Solana. :P

Crypto exchanges are for trading crypto. Binance kyc does not invade privacy since the only thing you do is trade futures on the app. People who may find this new development problematic are those who store their crypto on exchanges.

You asked DEX exchanges should never make kyc compulsory.. If that happens, then that exchange is not a DEX. Its definitely a CEX.
And about Gas fee, Uniswap gas fee is high but you can use some DEX on other blockchain as an alternative for now, Before Ethereum gas fee problem get fixed.

I think OP is asking for a list of decentralized exchanges he can trade. He already mentioned the ones he doesn't want to use because of high fees. So far only a few has been mentioned
https://bisq.network/
https://hodlhodl.com/
https://localcryptos.com/

But these exchanges cannot be compared to Binance

Most Centralized exchanges are currently requesting for KYC. binance did not start this. most exchanges that I have been using has been requesting for KYC. binance has been struggling with border issues and the current way to solve this especially with the government is to demand KYC. they are gradually loosing their strong hold and people are pulling gout funds due to restriction.

FTX is being so generous and will probably be the leading one in the near future. Apart from that Kucoin has some big withdrawal limit without going through KYC. Therefore, they are likely to have a benefit.
I guess there will be time in the coming years where DEX will be the leading exchanges. It needs time to build up. Most people in crypto are very new in this field and they may even have no idea how DEX works. They get attracted or derived to CEX like Coinbase, Binance mostly.

Centralized exchanges will be in demand until the gas fee in the Ethereum network is reduced to a minimum, which will allow trading on DEX and at the same time not paying such a huge commission that exists now. And when such a moment comes, the main purpose of CEX will be to provide additional services related to cryptocurrencies.

Non custodial exchanges are almost always going to be crappy compared to the likes of Binance, simply because the exchange will be really limited with features if they don't hold custody of your funds. The reason why Binance is so easy to use is because they have your coins in their wallets.

Keep in mind that there is a big difference between an exchange and a token swap platform.
An exchange (CEX or DEX) is where you can trade cryptocurrencies (from different blockchains) for example you can trade bitcoin against litecoin. But a token swap platform is a limited platform where you can ONLY swap tokens from that platform. For example Uniswap is a token swap platform where you can NOT trade bitcoin against litecoin but you can swap an ETH token for another ETH token!

Doesnt really do that much since Binance is the number 1 exchange and even others will follow the same. Surely they will follow the lead of binance. If those users want a non kyc then there are plenty of dex alternative to that which is a good move also patronizing the decentralized approach of blockchain.

For your information in the past decade the "number 1 exchange" has been changing every couple of years. Each time a new one comes along replacing the old one before it is replaced by another!
The first one I remember was Cryptsy then it started acting shady and was replaced by Poloniex then that started acting shady and asked for KYC and was replaced by Bittrex then they started acting shady asked for KYC and scammed their users so they were replaced by Binance. Today Binance is acting shady and asking for KYC...

The number 1 position changes quickly because people only need convenience and liquidity to make their trading or investment life easier.

Binance joined the market in 2017 when people were disappointed with bad operations and terrible liquidations on Poloniex. Then Bittrex took over the number 1 position from Poloniex, and in a few months, there were many pump & dump games on Bittrex. As you said, eventually Bittrex implemented KYC and did shady things. Many people got funds stucked on Bittrex and failed to do KYC.

It was the great chance for Binance to join and beat both Poloniex and Bittrex.

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In the future, there will be new exchanges with good brains behind. They can take over the leading position of Binance. The plus point of Binance is they are very creative with good brains & adaptive to trends as well as regulations. It is challenge for current & new exchanges to beat Binance.

Yes I am aware of that. But for all those top exchange no one can match how Binance give the satisfaction the people wanted. Yes they acted strange and become strict, due to sec regulations, and some reasons.

I cant say that that they can retain their position as top exhange, but seeing the support from the community and the solutions CZ doing, I think they can able to survive.

This could make them retain their position, which lack by those exchange you mentioned. Anyway Im confident that it would take years before the transition happened.

Future doesn't look bright at all for centralized exchanges, as they are forced to implement KYC more and more in order to be able to keep working, like Binance is doing. DEX is the way to go, but I guess we are still waiting for something that is cheap and convenient to use. Haven't tried Bisq (https://bisq.network/) yet, but I heard some good stuff about it.


I think that FTX might take over Binance as I see more and more people are using it as an alternative. Unless they go the same way and implement KYC, which imho wouldn't be a surprise.

No sir it's clearly stated by binance team that this new KYC rules is pointing to both old and new users on the platform, limited time is given to pass the KYC is anyone haven't so it's like a ticking time bomb

Well people were satisfied with all those previous exchanges too. Yet they all got replaced. Keep in mind that it is a transition that will take time, it won't be like a quick mass migration from Binance to elsewhere. First an alternative has to be introduced then people slowly move there and as the volume increases the migration speeds up.

The important thing is that right now there is a huge gap in the market that someone with a good business head could take advantage of.

I have to admit I've never heard about this exchange before, but it looks like it is ranked #5 (out of 308) exchanges on coinmarketcap.com I will definitely check it out. Thanks.

Yes I agree to that. In my opinion, it will take a while, possibly decades or never Binance got replaced even with the issues arises now. Community loves a good brain and features shwocase by Binance, it cant be suddenly strip by some newcomer, evem though it is not impossible.

Anyway, lets see what would happened few years from now. But I'll bet even after decades Binance will still lead the cex lieneage. ( will be back on this response in few years and will see which si right) I could be wrong too, but my guts telling me it wont happened.

Quite a few people I know are switching from Binance to FTX, and from what I could hear they are all satisfied with it. I made account but haven't used it personally yet so can't really say how good it is. At the moment I see it more as a reserve, but have to check it properly before I made it my main exchange.

Binance was one of the early investors in FTX and those two were pretty close, but few months ago they bought back the shares from CZ, which is a smart move I think, to distance themselves from Binance as much as possible.

Because they waive withdrawal fees especially last year when transaction fee on ETH network was very expensive.

• Blockchain Deposits and Withdrawals (https://help.ftx.com/hc/en-us/articles/360034865571-Blockchain-Deposits-and-Withdrawals)

Smart move, definitely.

They also do another smart decision, a partnership with Solana as a core blockchain for FTX. They did not choose Binance Smart Chain as you said, they want to keep distancing from Binance. Because they are bigger and aware that they can compete with Binance in the future.

Yeah, their fee structure is better.


Tbh, wouldn't make much sense to choose BSC as they are direct competitors. The only reason I am still using Binance is because of their card, which I am using on the daily basis and is probably the cheapest and easiest way to spend your crypto. Few years ago I had to do KYC with Binance as my phone which had Google authenticator died and I couldn't recover it, so since I already had KYC done (which is a requirement), why not as well use their card. At some point I just got sick of paying all those high ATM fees.

If you don't pass their KYC, your account will be turned to a withdraw only type of account. You won't be able to carry out new trades or exchange your assets. You can only withdraw the ones already there.

Are you talking about purchasing fake tokens that are named the same or similarly to a real token? In that case you need to pay an attention to the contract address. It has to be posted somewhere. Compare the contract address to data shown on Etherscan, for example, t determine which one is the real asset and which ones are fake.

They are rolling out the changes slowly. Not everyone is hit with the KYC requirements at the same time. Sooner or later you will receive a notification that you need to pass KYC to continue to trade on Binance if you haven't already passed it but you forgot.

Newly registered accounts have to pass KYC before trading. I think that's the difference.

What if all exchanges implemented KYC, would you not trade crypto?
I hear that after China bans crypto America will not participate, but they will arrange more details. Maybe this could include KYC. Actually, this problem is a classic thing, where in fact this KYC document has often been used by us at the Bank. But it seems the problem in trading sites is more complicated, this is makes us a little doubtful but we need.
I think they require to do KYC because of regulation, regarding Binance I have done even Kucoin I also do KYC verification. I did that because I needed it for the sake of trading and making money.

Talking about the future of the exchange, I think there will be stricter regulations. Maybe later there will be more crypto exchanges that appear. They will offer convenience and low cost. But regarding the KYC issue, just look at some exchanges that previously did not do KYC, now have implemented it. I think going forward there will be no exchange without KYC, as they will be set to comply. If they violate, they may be subject to sanctions and could be detrimental to the stock exchange owner.

I believe you should deal with what is happening currently, I believe with all cryptocurrency exchange will definitely be requesting for kyc but currently there are some exchange that don't really require kyc so you can be using those once for now and whenever others request for kyc there will definitely be a way out so you don't have to rush or panic their will definitely be a way out.

I think one of the proposal was that if you transacted with bitcoin above a certain amount, you would be required to provide details about the person you are sending those coins to from within the app/wallet you are using. I think this ridiculous idea was laughed at and rejected already. 

Crypto exchanges often make disastrous security mistakes that can led to data theft and you having all your private data leaked and compromised. Even if that wasn't the case, people aren't and shouldn't be comfortable allowing some online team you have never seen or met to access and store your personal privacy data. Your bank knows all about you and your financials, but would you be comfortable sharing the same data with the guy who fills up your tank at the gas station?

Binance and other exchanges are no different. Who knows if the data will one day be hacked, sold, or shared with government agencies.

Even if all existing exchanges introduce mandatory verification today, a new exchange will definitely arise that will not require KYC. After all, if there is a demand for such exchanges where KYC is not required, then such a proposal will certainly arise. But in any case, those who care about their privacy, they can use decentralized exchanges.

Well, it is always expected that there is a KYC procedure once the exchange is regulated by the government because they follow the government protocol which is they are very against being anonymous. They are doing this because we know they are fighting against fraud that is possible that will happen on the exchange that did not require their user a full KYC verification. It is totally different if you will choose decentralized than the centralized exchange, the problem of decentralized exchange has a low volume trade and it will take longer to execute your order.

What is mostly important is the security of our coins, one of the scam tactics is to create a fake exchange that will not need verification, having investment plan and the likes. There could be a time verified centralized exchanges will be the ones that are trust worthy of the exchanges that are existing later and enforcing kyc, some new exchanges can be fake and belong to scammers while people trust old exchanges than new exchanges.

To have privacy, it is best to just go for decentralized exchanges. Sooner or later, more centralized exchanges will have to comply with the government.

The volume of trading on decentralized exchanges is now very large, but the number of pairs represented there is very much inferior to CEX. In addition, DEX lacks a large number of services that traders of centralized exchanges are used to, such as margin trading. You should also keep in mind the high commissions in the Ethereum network on DEX.

I will gladly move to Dex exchange if all centralised exchanges decide to permanently compulsory KYC verification then let's see how the government will be on users tail this way, I know centralised exchanges has the highest volume over all but if KYC verification is compulsory more volumes will be moved to Dex I believe that

i think people will still trust and use Centralized exchange not because it is centralized but because of the volume and safety it provides. most centralized exchanges offerers users a beehive for their crypto. most people that can't store information or have a personal wallet to mange will like to leave their tokens/coin in exchanges.  for me, i am okay with KYC as long as the exchange is trusted and a top tier with reputation. i recommends avoiding new exchanges.

Actually it's because of ignorant mostly and secondly because the so called decentralized exchange aren't worth it. They're not as safe as they claim due to the fact majority are just poorly copy paste of already existing ones. Like most of the so called swap like exchanges are just copies of uniswap. We're yet to achieve full perfection when it comes to dex but surely that'll be achieved someday.

Centralized exchange aren't safe, they get attacked every now and then and it's just a matter of time before they disappear like the likes of Cryptopia and be rest assured they're taking customers funds with them.  In regards to the volume, that can't be an excuse anymore as most of the dex are competing with the top centralized exchange when it comes to volume in transaction.

If you still want the comfort cex gives then don't turn them into wallets but just used them for your trades. Provided your funds aren't on the exchange but in your personal wallet then you're okay.

It's possible that will happen.
But not all are afraid of the KCY verification and they are willing to submit their file and documents just to pass their KYC verification.
When we're talking about the volume which we know decentralized exchanges have a poor on it because many people are using the centralized one due to their feature that you can all support.

I like this idea if many traders will transfer to DEXs since CEXs are most regulated by now and we can see, bye-bye centralized exchange platform.

As crypto gets more regulated, eventually major governments will start blocking non-compliant exchanges - they will simply disconnect them from Visa/Mastercard so you could only trade crypto to crypto, which you can already do on decentralized exchanges. I think this will happen in the next 3-5 years as regulators have already turned their attention to crypto.

This is time for dexes, yes ethereum is expensive but sidechains are not.

Indeed, the KYC issue cannot be underestimated, 1miau made a thread about the dangers of KYC (https://bitcointalk.org/index.php?topic=5221497.0). however, if we want to use dex, the problem is, difficult for us to withdraw fiat money. If we are seeing good bye to CEX. I don't know how it is in your country, but here, there are very few reliable P2P services crypto to fiat. But, on the other hand, using KYC on a state-operated CEX, the only solution for Fiat, may be that we need to do KYC for exchanges that are already government-licensed. although back on there is no guarantee of the security of our data.

The dexes are good but not better with ethereum perhaps BSC is a bit scalable for transactions just that they are a bit centralized with little node. It will get better as we move forward with adoption.

Even except bsc there are plenty others - polygon, arbitrum, optimism, zksync. Still migrating to these from ethereum itself is expensive. Wish that gets sorted out.

You can use an exchange aggregator for these purposes, thus where you can compare the rates, see all exchanges with no kyc in one place, see their pos and cons, it's really convenient, the ones I know are good: Swapzone, of course, Allegat0r,  DEX.AG ;)

In future crypto exchanges will be more secured but among them in my point of view Decentralized Exchanges will be the primary choice for traders.Because people will try to make their funds safe from any third party access.
But Centralized exchanges will also be more secured but people will choose Decentralized Exchanges in most cases.
We can learn details about the future of crypto exchanges and pros and cons from this Article (https://articles.whalesheaven.com/the-future-of-decentralized-exchanges-dex-for-auctioning-rare-valuable-cryptocurrencies/)