Bitcoin Forum

With all of these new exchanges popping up here there and everywhere, i am seeing a very common theme and it's one i don't like AT ALL and i feel it gives bitcoin/crypto a bad reputation in general.

What am i talking about? Trading competitions! Where you can win XXX amount of whatever crypto for being the most active or hitting a certain limit. Don't get me wrong, i'm sure there are a few people out there who will do alright from these deals, but i imagine the vast majority end up losing in the short term or the long run.

For me, its targeting the wrong audience. It does absolutely nothing toward our hallowed "mass adoption" hopes, and its encouraging gambling all so that the said exchange can make a profit in fees!

Yet we wonder why the SEC are so reluctant to give crypto its blessing!  ::)

Whats your thoughts?

And, what the problem? Is somebody forcing you to trade? I can't see what's the "bad reputation" you talk about.
A lot of things have competition, like the gaming industry and I don't see that getting a bad reputation, on the contrary, it's getting lots of fans.

But, let's say it's indeed bad, what and how are you proposing we should change that?


Probably you're mistaking what an exchange and what BTC is.

An exchange is a private business, they only have one purpose, profit, they won't target people that are not willing to trade, they won't target people without a penny and they don't give a damn about the situation in Somalia.

Bitcoin, on the other hand, it's just a way to move or store funds and value without involving a 3rd party, everyone can use it as it wants, once you try to impose regulation on this, you're saying goodbye to decentralization.

Contests in trading platforms are something usual, not on the crypto market only but with the traditional trading sites too. I remember about one that was offering a Lambo to the winner (it was Instaforex maybe) a few years ago. I don't see anything wrong and it's not giving a bad image to cryptos. If it does it's about the trading platform (fiat or cryptos, no matter). It's just a method to encourage and motivate the users. BTW, banks do the same

That's normal, it's business and there's competition. And you know what? competition is everywhere, not only with these exchanges but as in everywhere as long as there's opportunity.

Those rewards from the competitions are part of their marketing and in that way, they can pull more traders and make the volume on their exchange to grow.

Why this bother you that much?

I do not see anything wrong with this kind of promotions or contests. This gives inspiration to do good trading. If you lose, it may just mean you are not good in trading because of lack of knowledge or you are just very unlucky.

The only concern I have with new exchanges is if they run with the money of their users. That would really put a bad pr for cryptocurrency. But other than than, new exchanges gives options and their competitions gives opportunity to earn.



It is not gambling if you know what you are doing.

 
  We have a open crypto currency market, its for everybody, if one group of people joined for a single Venture in posting their market for ICO then it is always the crypto market is open for such business. Somehow this good news to the market, an open competition in the crypto market present a lot of Choices for the possible investor. Yes, this may bring some resistant vs. Bitcoin investment, but it is just normal to have such competition in the market.

Competition is always good for the consumer.

The more trading platforms that exist for Bitcoin, the greater options we have to access the market. And that competition leads to lower prices or greater services. We always win!


The SEC isn't reluctant to give crypto its blessing because there's "too many" trading platforms. They don't give it their blessing because (A) it can be controlled by a central authority, therefore the SEC has a harder time policing regulation, (B) it hasn't been proven successful by mainstream banking players or markets, and (C) it's size is too small for them to devote the resources to regulating it.

If Bitcoin has greater growth the SEC will be forced to enforce an opinion.

What is it that you're really concerned about?

Is their is a competitor there is a challenge. So if digital market have open platform for every one then there will be a lot of investment. People will judge comparing each other and they will follow the best. So if it happens they no one can stop us.

BTC is a totally decentralized crypto-currency which will not act as other so-called currencies in the world. Though gambling, trading for good and bad, gaming etc are done with BTC, that doesn't mean BTC is liable for that as may you have to accuse a car to kill a man, not the driver. Moreover, who told you to trade if you are so conscious about it, that means you are not compelled to invest your time and assets if you dislike.

it is not targeting any "audience" outside of those that are already in. so there is nothing negative about it in my opinion. for example a new exchange that is giving rewards to the top traders will get the traders that have already been trading a lot in another altcoin exchange. not someone from outside that never knew what altcoins are. look at Binance for example. it got all the volume from the scammy Bittrex and terrible Poloniex and became number 1.

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It is a method to encourage users, but usually people doubt contest like that, they don't think they are real, specially when the prize is so unrealistic,and not very trustworthy

It doesn’t seem wrong to me. Because crypto exchanges are came to do business. They only care about their profit. So i don't think they are against bitcoin.

I think Is their is a contestant there is a confront. So if digital market have open platform for every one then there will be a lot of asset. Investor will judge compare each other and they will go after the best. So if it happen they no one can stop us.

It doesn't necessarily lead to a bad reputation. Every individual makes his or her own decision before trading.

It is good that you have highlight your observation with is happening on the new exchanges that is popping up these days. They will claim to be running a promo to attract users to their platform. I will not blame them  despite the enticement every trader should know their level of experience and standing before trying to gamble with the new tempting exchanges.

Why should they spread bad reputations for bitcoin or crypto? Their main target is gaining profit from these coins so i don't think they will do that.

Yeah i am also agree with. I have noticed these things too. Actually i am confused about their motive. They should spread positivity about crypto.

I don't see the effect of some of these policies on Btc itself. I was hoping you were going to talk about the frequent cyber attack on the exchanges and how investors are losing their coins and hence preventing more investors from coming in.

There is nothing wrong with any kind of trading competition. Competitions are always good for market and people would do more than usual to win the rewards of competition. Where is the bad reputation?

I think there are many falls in the market that may be all related to trading. We all know that coins are not safe to store on an exchange. The exchange often misappropriated our coins. When each market has FUD, the exchange may play the role of whale and quickly sell coins and buy the coins when the price is very low. . In addition, the exchange still has many opaque operations in futures trading.

Most of crypto exchanges main purpose is profit also exchanges provide platforms to its investors for trading and exchange other currencies they never target special peoples also many peoples are making and loosing money on exchanges like Bittrex, Binance, Poloniex & they are not offering any winning amount. Every crypto exchange is depend on bitcoin because they get investors from bitcoin so why they not support bitcoin.

Crypto exchanges are not helping bitcoin because exchange rate are not encouraging  at all.  This doesn't encourage people to d OK exchange because of  huge amount of money involved.

These are the promotion methods imposed by competition
How will exchanges attract traders?
No harm in that

I think new exchanges just want to create awareness about their exchange, but using not appropriate ways.
a month ago, a certain exchange holding a competition and causing ethereum network congested. If you want to send eth or tokens at that time, you must use high gas fee.

Firstly the purpose of an exchange and bitcoin is quite different. So don’t mix them both. Now coming to competition it is quite normal so your conception is pretty wrong actually.

I do not think this the news to get worried about. There is no wrong with competition as it is everywhere no one can deny that. So this not going to impact bitcoin’s reputation

It's completely your choice where you want to invest your money or not. ICO s are always lucretive but it's your duty to study coin prospect. I agree with you that currenly lots of coins are increasing BTC volatility.

Nothing is wrong here. It’s a promotion based on their own strategy. And in business there will be competition. With their promotion they can pull traders to make the volume to grow the exchange. What’s the problem here??   

i think we should focus on real case mass adoption instead of making more coins as well as exchanges because they are not helping anymore instead we need real products like PundiX product which will help in real life. This will increase exposure to more people which in result will increase more invest thus more price rise.

Yes, too much crypto exchanges can not help Bitcoin, but the problem is that people want to make profit, therefore they make crypto exchange. With time there will be only largest ones in the market and problem will be solved.

Competition is very natural in a market like this where every exchange can make profit for themselves and there is nothing we can do about it. Moreover, they are not forcing anyone to choose their service rather everyone is coming up with something unique which is helping the market to grow as a whole.

Well, I don't think criticizing exchanges is making any sense. As we all know that, Crypto is all about self-responsibility and thus one is responsible for his own actions and that means, he should be ready for the consequences taking place after his actions. Exchanges are doing their business and they have full right to do it as per as they are doing it in a legal way.

when they approve bitcoin futures, which we all sincerely wait for will be very amusing to watch how the mood in the forum will change and everything will predict the bitcoin rate for 100k and above :)

The question is not wrong because there are any kind of trading competition.Competition is very natural in a market.It's totally thine option whereinto you want to invest your money or not.in the coming year market to grow as a whole.

I also don't think exchanges are really damaging bitcoin either. Actually, the days of dcentralized exchanges may be numbered as decentralized exchanges get better and more user-friendly. The key for bitcoin is to solve the scalability problem.

with what i m seeing, bitcoin doesn't any reputation, mostly i don't think if anybody have power to boost bitcoin in the market secondly exchange don't have any power to increase the price.. the only think i see's is that "exchange is were you can trade your token to any prefer crypto or fiat" so i don't think if the exchange has any responsibility for the growth.

The only thing that can really improve bitcoin and help it is reconsidering the government and other people that bitcoin is trusted, showing them on our own experience and example that it is something good and not an evil.

That's true. If one good and legit exchange reduces its rates to a more reasonable price then by the law of competition the majority of the exchanges will have to follow suit. Competition after all, in this case can benefit us.

This can't be sustainable if the competition doesn't provide us better  walkthrough behind the downfall of the market nowadays. The exchanges should initiate the plans in order to proliferate bitcoin's demand. With that ways we could acquire the reasonable benefits, that everybody should be receiving specially when trading and thinking about long terms trades. It would be hard for us to experience the good trends towards profitable price in the market as demands also arises.

I think there are helpingbeach other. Because you can make your altcoin in to a bitcoinwithout exchanger or you cannot make your usd  into bitcoin if there  are no exchanger.

Some exchanges just want to attract many peoples into their exchange by that competition.
The unhealthy competition can harm the network like causing ETH network need high gas price to transact.
This should not happening if the competition have a better way to do.

Actually, the crypto exchanges in bitcoin really help very much because you can see where your tokens exchanges and where you market it can trade and you can convert it to bitcoin i can say that big three to me the crypto exchanges.

my opinion about the number of exchanges that are circulating is true does not affect the price of bitcoin.
however, it has a big impact on the alt coin because a large exchange will be able to boost the alt coin price from those who have little value, to be valuable to have.

It sounds like some of the old binary options brokers made their way into crypto. That was a common marketing ploy for those brokers to have a trading contest and offer the winner a car or cash prize.

I don't think it encourages gambling or something like that. Cryptocurrency is not all about trading and exchanging money, that way it'd just be monotonous, so I think of it as some kind of contest to make the whole thing even more interesting and exciting. And as far as losing money is concerned, that depends on the wish of the participants, now they of course do participate with the mindset that they might lose their currency, but that's what they choose or decide to do. So, overall I don't think trading competitions are bad and they are causing harm to the community.

of course, because exchange doesn't have a big influence to save bitcoin from decreasing. exchange only makes the volume easy to control. but some exchanges affect some altcoins for the better, meaning that they are relative.

You must know that ETF has a long history, ETFs first appeared in 1989, in 2014 came with the different theme that is  OTC, and in March of last year, the ETF was rejected again by the SEC.

this process will take a lot of time, if approved, this will make the market sentiment become satisfied and will be the first thing on the American stock exchange.

We can note that the number of exchanges has increased rapidly in the last half of the year, while the value of the whole encrypted market has been declining. That means these exchanges are making huge profits, and we can even think of them as whales, robbing the industry of a lot of wealth. I suggest that you boycott these exchanges and keep all your coins in your wallet.

in my opinion it is not unhelpful but quite helpful, this can still be maximized.

They are doing this kind of thing because it is running through a bad situation and also they can not take risk because the price fall frequently.

i really think everything concerning the price of bitcoin is 95 percent driven by the exchanges as the exchanges are the working with the decentralized system which has different traders offering different trading options and the prices in which they bid for are low and that is not at all helping the bitcoin

If the exchange holding a trading competition like that, actually it will only make the coin network very busy. If you look at some token listing competition months ago, it was causing the ETH network congested. The gas fee was very high and many transactions failed.
Creating more exchange won't help spreading the awareness of crypto i guess.

Is not cryptocexchaneg will help bitcoin, but investor are have big effect for helping bitcoin to be higher price, just see how can bitcoin will growing up without buy and invest all investor. Many people still sell their coin and make it drop.

In the market next year, Bitcoin will grow as a whole. In fact, the days of centralized exchange can be numbered as decentralized trading floors become more user-friendly. With what I see, bitcoin does not have any reputation, mostly I do not think if anyone has the power to boost bitcoin on the second exchange market there is not any power to increase the price. The only thing that can really improve bitcoin and help it revisit the government and others is that bitcoin is trusted, showing them in our own experience and for example that it is something good and it's not a bad thing.

That is for sure I know that one day it will really come! And as far as the crypto exchange I know that it still has some part in the crypto world, for sure that it has an impact and it is not useless, so we should not think that way, they are a big help actually.

On my opinion of it they are doing manipulating it. And there are some of them that is making their own way of it because they want it to make it in their self and this is not heplful for us.

It is true that exchanges are not helping the bitcoin towards the mass adoption in direct way but they also have some contribution towards it like if bitcoin is crypto currency which has value but not accepted as form of payment so if there is no exchange then it won't be this much popularity for bitcoin so it helping to make trust towards the bitcoin.

Those exchanges can not affect Bitcoin price.
Such prises are offered by exchanges that want to attract new users, any reputable exchange won't do so.
Big exchanges have real tradors trading billion of dollars and all they get is their fee, any thing expect that is being done by new exchanges(as I montioned with Zero effect on Bitcoin price).

I don't know where you get the idea that exchange are giving out a bad reputation in general. For me, they're putting crypto to the next level.


Competition is healthy. Back then we only have Mt. Gox as the dominant trading exchange. But what happen afterwards really damaged the market (Mt. Gox heist), why? Because traders doesn't have any options that time.


Only gullible people are going to enter without doing their homework. If there's someone to blame for 'gambling' here then its their fault.


SEC doesn't like the market because its prone to manipulation and not because of trading platforms popping out like mushrooms.

These competitions weren't that common before, but now there are so many new exchanges entering the market that they need something like this to keep them going. If not then people will trade elsewhere and the exchange will not make any money

Sorry, but I disagree. Crypto exchanges are wonderful as they attract newcomers to the crypto world. Where’d we all be without exchanges? How’d we all get our first coins? Miners are the very small caste of crypto community so far as the majority simply purchases coins. Some exchanges do a nice job of simplifying the process of getting crypto for fiats. For example, my first crypto, which I obtained from CEX, was xrp (https://cex.io/xrp-usd). There are only a few buttons and clear instructions for newbies, so they don’t feel confused. Surely, there are some speculations but, c’mon, nobody forces you to trade! Let it to whales or experienced investors if you don’t like this approach. Don’t blame on exchanges, they are useful for the community.

yes, your assumption is correct, exchange only facilitates us to provide crypto trading services. but at least every exchange has helped bitcoin to become more popular with the volume available in each exchange.

if public demand is higher, then bitcoin will create a good market and exchange that has a high bitcoin trade will have a good rate.

Yeah. I believe exchanges are making bitcoin centralized.

In my idea about the exchange, for me its helping bitcoin to increase though majority of them so far are more on investing on crypto/altcions because through traders who use different exchange platform the demand also increase especially when bullish comes up in an unexpected moment in the market. Now according to what you had stated no one I guess is pushing you to make trade in the platform either. Besides, you can stop at any moment if you don't want to lose your capital or coins you bought.

Cryptocurrency exchanges stand out as businesses on their own so how does competition on these exchanges not help bitcoin? In my opinion, I don't see anything bad about competition because it a way of drawing traffic. Competition happens everywhere, even in the fiat currency space.

i think exchanges are just as bad or even worst than banks.
1st they both rip you off..exchanges more so. (look at at % they charge for selling/buying or even moving funds out..(imagine what they would do if they had the power and means to loan money using smart contracts for example.
2nd exchanges get "hacked" and you lose all your money.
3rd sometimes they just refuse to give your coins back by pretending theres some sort of glitch and by not answering "support" emails etc
4th exchanges are that 3rd party that bitcoin was created to do away with in the first place...so the purpose is defeated.

In my opinion, that doesn't matter. Because, maybe it's one way for exchanges to promote. To attract interest in the people to do trading on their exchanges

We are now moving to a world based on decentralized structure. Some exchanges may be doing wrong. But the market itself will decide. The market will somehow find its own balance.

I feel because of the lack of regulation in the cryptocurrency space, this give room for exchange to have a major impact on market trend without any for of control, I feel policy and regulation must be in place in order to put crypto exchange into check, else the abuse will continue and this will discourage more investors.

If you choose BTC / ALT trading pairs or want to own any Altcoins, then you need to hold Bitcoin to be able to purchase any Altcoin you like. Implementing these exchanges will increase the real transfer of Bitcoin, so it has a positive effect on it.

These techniques are being used in all business by different providers. I can thus say that this tested technique will keep being used by exchanges as long as it gives them fruitful results.

I think competition held by exchange with cooperation with token. They just want to increasing transaction volume and i dont think its affecting on bitcoin price. Its just marketing technic

Bitcoin is very huge and potentiating crypto currency but on the contrary bitcoin is also decentralised crypto currency and thus does not have any proper authentic regulating body and this is the most probable reason why most of the countries are in against of bitcoin and countries including India has illegalised bitcoin in their nation and because of this illegalisation, using those exchanges for transacting bitcoin is now illegal in those countries who has ban banned bitcoin from their nation but still owning bitcoin is not illegal.

Cryptocurrency exchanges are integral part of  the world of cryptocurrency,  exchange sites play a crucial role in  the successful functioning of the various assets or tokens used. The exchanges are really helping to bring competition so most exchanges can do their best for crypto enthusiasts.

Each and every new business need some form of advertisement to show case the business to the world, thus it's exactly what the owners of new exchanges are into. They offer such contests and free give aways in order to drive traffic to their exchanges.

Some exchange competitions are running not healthy, for example the participants must spam the network to send tokens in many transactions.
This is surely can causing network congestion, ETH gas price was increasing so much when the competition running.
For now, i guess creating more exchanges will make crypto worse, just wait for the market to be in a good condition first.

The marketing strategy by holding a trading contest is also good, although it is wrong to do targeting users, but at least with the competition, the related exchanger will get a reputation that might be better and better. And when it is above, it may be equivalent to Binance or Bittrex, he will greatly influence cryptocurrency

If you do not feel comfortable participating in those competitions then don't do it, it is as simple as that, no one is forcing a single trader to participate in those events, also it is obvious that those competitions exist because there is an interest of the community in those events, because if that was not the case those competitions would have disappeared already.

A lot of these new exchanges are giving new crypto users a bad experience.  They are freezing accounts, holding funds, not being able to handle sign ups, etc.  We already have too many exchanges as it is.  It seems as though a new exchange opens every single day and often by shady individuals.  Just look at how many exchanges got "hacked" the past two years.

I don't see how trading competitions is giving a bad name to Bitcoin or cryptocurrency, trading competitions is a normal thing, many business hosts competition for their customers to attract more customers.

Yes, if it is like that then it seems like a new exchange will only have a bad impact on bitcoin because many people who lose their money there, with such high concern will make many people see bitcoin exchanges not safe. But for those who have been struggling in this industry for a long time, I am sure they are not too affected by such events.

Am also kind of worried about the rate in which many exchange are pumping out of recent which should be a sign for all trader that many are here to scam and have nothing to offer than spoil this technology for the real users , they can operate for more than a year or two to gain people trust and went away in just a seconds , so call on every trader to know where they will put their funds and always keep their hold token in a wallet that they have the key and only leave small amount in the exchange and also try to diversify their investment .

You are right the crypto space have been faced with so much new development projects and exchange is one of such area where we have hard several new ones recently and all trying to gain customers and relevance, but forgetting the fact that the whole ecosystem need adoption right now rather then expansion. If only bitcoin can be the only cryptocurrency then the SEC would have fine it easy to pass the bill.

Crypto exchanges are really doing some good things to the bitcoin is trust and its value,if we don't have any exchanges to convert out bitcoins to fiat then no on will invest on it because bitcoin is not accepted as payment yet in most of the places and many new exchanges are also good because it makes the competition between the exchanges which will leads to offer good services to satisfy their customers.