Should exchanges be trusted anymore?

[taxmanmt5]

To assert the gray you have to dress the exchange because you have no other choice. Stealing is come down to an absolute minimum, and there are obviously at least three or four that you know you could trust it this time. Really for them to steal at any given point cuts off any future business for them these guys are making money hand-over-fist through fees, and everything else on her website

[squatter]

Should exchanges be trusted anymore?

Take out from exchanges till forks done:
https://www.btcforkmonitor.info/

Everything seems stable at this point. The BIP148/BIP91 splits never materialized, and Bitcoin Cash is stable (if slow) and exchanges seem to have a good handle on supporting it now.

Still, it's good not to have your coins on exchanges...

[figmentofmyass]

Poloniex is NOT regulated. They are like BTC-e. So, their terms are null.

can you explain what that means to a layman? they wave around their MSB # from FINCEN like it means something. they are based in the U.S. and registered with FINCEN, so i had sort of assumed that customers were better off than with BTC-e, for example.

is that not the case? are they at risk of seizure?

[mayax]

Poloniex is NOT regulated. They are like BTC-e. So, their terms are null.

can you explain what that means to a layman? they wave around their MSB # from FINCEN like it means something. they are based in the U.S. and registered with FINCEN, so i had sort of assumed that customers were better off than with BTC-e, for example.

is that not the case? are they at risk of seizure?

FinCEN number it's just federal registration number. It is NOT a license. FinEN registration does NOT provide you licensing rights to operate as a money transmitter in the States.  

Any exchanger who want to operates in USA(this includes Kraken, Poloniex, Bitfinex and many others) MUST register as MSB in  ALL the States where they want to make business and then to register with FINCEN

But these exchangers(including Poloniex because you asked about them) are throwing dust in the eyes of the naive people. They register on FINCEN website(it's very simple do that; you can do it yourself by using any name you want) and they are saying that they are MSB.

If you take a look on FINCEN website(at bottom), you will notice that there is an alert toward to this thing :

"Information contained on this site has been provided by the MSB registrant. FinCEN does not verify information submitted by the MSB. Information provided on this site reflects only what was provided directly to FinCEN"

https://www.fincen.gov/msb-registrant-search

Many exchangers are lying and misleading. In fact, they have no license, so they are considered as unlicensed money transmitting business.

Conclusion: YES, there is a high risk of seizure in this case.

[jualidbitmixer]

Had been in a dilemma after seeing BTC-E's owner being arrested for a $4 Billion money-laundering fraud which he had been conducting, who knows that from when. First Mt Gox, then Bitfinex then Poloniex and now this, few were hacked and some had their admins only cheating their users.
Do you really think any exchanges are trustworthy anymore?

Well, that's why you must aware about the exchanges. Me myself only using popular exchanges and i also never let my coins on exchanges site for a long time. I'm still trust exachanges but we also need to be aware and always up to date about the exchanges information. If something fishy happen, just be ready to take out all your coins.

[giveen]

Exchanges have never been trustworthy no matter how famous they no , no matter whom they are regulated by as we trade using bitcoin nothing really is safe , don't store all your funds in an exchange if you find a good trading opportunity send with tge most fees and quickly by the coin. As soon as you get the profit withdraw back to your account.

[JohnBitCo]

To assert the gray you have to dress the exchange because you have no other choice. Stealing is come down to an absolute minimum, and there are obviously at least three or four that you know you could trust it this time. Really for them to steal at any given point cuts off any future business for them these guys are making money hand-over-fist through fees, and everything else on her website

Think about running a website or someone's going to pay you nearly $2,000 just to have their product listed on your website. This is just one way to make money and it involves pure investment. On the other hand, investment in exchange has more risks.

[figmentofmyass]

Many exchangers are lying and misleading. In fact, they have no license, so they are considered as unlicensed money transmitting business.

Conclusion: YES, there is a high risk of seizure in this case.

given that you admit that many exchanges are lying and misleading about their registration status, that they are listed on the FINCEN website, and that the exchanges do implement some level of KYC---it seems unfair for you to call anyone losing money in such a seizure "stupid" and "sheep."

it is especially unclear in the case of crypto-only exchanges. USDT, for instance, by its own terms, is not money nor redeemable for USD (despite what users think). so for Polo and Bittrex, are they definitely engaging in the operation of a money services business? is there precedent for this?

[elaking]

All exchange which is legal/regulated with good reputation can be trusted, as long as you withdraw your money after finished exchange/trade your money and don't use exchange as wallet just like what many people did in past

as a small investor in crypoto world how we avoid the fee of the wallets.then i dont i always keep my coins in exchanges

[Barbut]

All exchange which is legal/regulated with good reputation can be trusted, as long as you withdraw your money after finished exchange/trade your money and don't use exchange as wallet just like what many people did in past

as a small investor in crypoto world how we avoid the fee of the wallets.then i dont i always keep my coins in exchanges

Even if its hard to understand what you wanted to say, elaking, you said something that most of us practice. I also keep some of my coins on exchange site cause of the transaction fees. Most of us take care about that and we rather trust exchange site then to move coins all the time.
I also must agree with some members that said that we can`t really have trust in anything, that is truth. I made my choice and I know risks, and each one of us can decide on its own. My reason is that I have many coins holding, and I`m lazy to download wallet for each coin. Well maybe I should think about doing that.

[squatter]

I also keep some of my coins on exchange site cause of the transaction fees.

I think it's high time we all realize that we should be hoarding our coins (and if we are spending them, batch payments and don't make unnecessary transactions). Saving some satoshis here and there on transaction fees cannot begin to justify the risk of holding coins on an exchange. Even if we are talking about regulated exchanges (even those who could be bailed out by their investors in a major hack of customer funds), customer money could be tied up for years, if most/all can be recovered at all, if the exchange gets hacked.

[manchester93]

All exchange which is legal/regulated with good reputation can be trusted, as long as you withdraw your money after finished exchange/trade your money and don't use exchange as wallet just like what many people did in past

as a small investor in crypoto world how we avoid the fee of the wallets.then i dont i always keep my coins in exchanges

You can't avoid transactions fees. They are a fact of the Bitcoin protocol, and based on the market demand for transaction confirmations. Good news: Once Segwit is activated, we move further towards a working Lightning Network. And then transaction fees could be much, much cheaper than they are now.

[Alice Nuttal]

There is always risk, when it comes to managing money. It's not only about bitcoin exchanges. Financial institutions and banks also crash. But there are still those with a long-standing reputation and a strong focus on security. That's why I am really surprised when people keep complaining about strict requirements of certain exchanges and their demanding verification process. Come on, they are dealing with your money! Better be safe than sorry.

[DaftAjax]

There is always risk, when it comes to managing money. It's not only about bitcoin exchanges. Financial institutions and banks also crash. But there are still those with a long-standing reputation and a strong focus on security. That's why I am really surprised when people keep complaining about strict requirements of certain exchanges and their demanding verification process. Come on, they are dealing with your money! Better be safe than sorry.

Well it is also ways to know more about your account in a certain Exchanging Site. You see they've wanted to submit more of your identity and personal information to let them be easier to trace your transactions and eventually hacked you. The security of a system could only be strong if, it is controlled by some sort of AI and not human. As all we know, humans area naive and greedy, so if they've seen large amount of cash or potential cash, they will not hesitate to take action over it.