Is there difference between bank and cryptocurrency exchange

[Msworld83]

Come to think of it, we said blockchain is bringing decentralized to the world by cryptocurrency and save us from banks , but have we really gotten the decentralized we talking about because I can't imagine exchange taking so much from us through buying the tokens and still not save by keeping our funds in their cares , this makes me think that are we really in decentralized world we talking about or just a mere thinking,

These exchange makes money even more than banks from us, which mean we are enriching someone by doing so,

Do we really need to pay that much for exchanging of token for btc or any other cryptocurrency if some exchange are charging 0.25% and one is charging 0.15% and even offer 50% discount if their token is use to pay for the fees and still record millions as a profit every month and also take more than what miner takes as charge fees when sending out from their wallet like 0.0005 which is equal to 3$ compare with normal fee which is less to 1$ , and if anything happen to your fund they are less concern ,

dont you think we are in centralized crypto market even if we can gain from those token we bought and what do you guys think is the best way to really curb this centralized thing from the world ?

Do we really need DEX to stop this and are we really save in DEX also has some were hacked just of recent .

What do you guys think is the best solution for the fees and how can we really decentralized crypto world ?

[1714146852]

1714146852

[1714146852]

1714146852

[1714146852]

1714146852

[1714146852]

1714146852

[pooya87]

exchanges being centralized or .... doesn't change anything about bitcoin and the fact that "it brings us decentralization". it is like saying the restaurant that you ate a meal and paid with bitcoin should also be decentralized and doesn't have a manager just because it uses bitcoin!
bitcoin wasn't created to be traded/used in exchanges. you chose to use it only for trading and to do that you started using these "services" that offer you trading options.

and remember that the decentralized world does not have a owner to do everything for you, you are a part of it and you should be contributing. for example you are unhappy with centralized exchanges, so let me ask you one thing, what have you done for decentralized exchanges? the smallest thing you can do is to use them and report bugs so that the devs can fix it, if you are more knowledgeable then go through the code and try to improve it and make them better if you want their adoption grow and if you want to see everyone using them.

[robertcross07]

Most of the people think that cryptocurrency is only for online trading it is good to hear that someone actually asking about its other uses.  bank and cryptocurrency exchanges have many similarities like in cryptocurrency you don't have to follow so much proccedialies like bank have,  exchange process is very simple and quicker.

[jonalva]

Mainly nowadays there is difference between crypto currency and fiat currency but mainly we use more fiat currency based on this banks are there to for doing transactions for fiat currency which we normally use also Crypto Exchange are here for doing transactions for digital currency based on online.

[farnandezetn]

Of course there are difference between bank and cryptocurrency exchange. The main difference is bank exchange are centralised but cryptocurrency exchange are decentralised.

[Lakai01]

Of course there are difference between bank and cryptocurrency exchange. The main difference is bank exchange are centralised but cryptocurrency exchange are decentralised.

Why do you think that cryptocurrency exchanges are decentralized? Please take a look at larger exchanges like Bitfinex, Bitstamp or Kraken. None of them is decentralized, they hold your funds, you have no control what happens with your coins, you don't have any access to the private keys of "your" wallet hosted by the exchange.

[lodcoling]

There are many similarities between bank and crypto exchange. But these are two different things. So far as I know the exchange company only exchange your currency. And the exchange of crypto only online base exchange which only exchange crypto currency. But the bank basically deals with fiat or physical currency. Most of their service take place with the physical presence of the customer. The bank collect deposit from the customer who have surplus amount of money and lend it to them who have deficit amount of money. So, the bank and exchange are to different things.

[ahmad21]

Yes there is a huge difference between bank and cryptocurrency exchange. In fact cryptocurrency exchange is considered a rival to the banks. Banks fear that they might be replaced by these crypto exchanges. The cryptocurrencies aim to solve so many issues related to the banking industry which can make the financial dealing for the public a lot more easier like there are less procedural formalities, the parties contact with each other directly, which means there is no intermediary and hence no fees, etc.

[Epimetheus]

Most of the people think that cryptocurrency is only for online trading it is good to hear that someone actually asking about its other uses.  bank and cryptocurrency exchanges have many similarities like in cryptocurrency you don't have to follow so much proccedialies like bank have,  exchange process is very simple and quicker.

Cryptocurrency are decentralised in nature so exchange of money through bitcoin is quite easy and uninterrupted process. But banks are under control of government and only centralize currency are exchange by it. And bank doesn't provide an uninterrupted money transaction like cryptocurrency and their is less privacy too. Their is also exchange of cryptocurrency through bank happen but in one condition in which first cryptocurrency convert into fiat currency. Transaction through bank also charge high transaction fee with slow transfer speed. Where as cryptocurrency do exactly opposite of this.

[stayeduptolate]

Come to think of it, we said blockchain is bringing decentralized to the world by cryptocurrency and save us from banks , but have we really gotten the decentralized we talking about because I can't imagine exchange taking so much from us through buying the tokens and still not save by keeping our funds in their cares , this makes me think that are we really in decentralized world we talking about or just a mere thinking,

These exchange makes money even more than banks from us, which mean we are enriching someone by doing so,

Do we really need to pay that much for exchanging of token for btc or any other cryptocurrency if some exchange are charging 0.25% and one is charging 0.15% and even offer 50% discount if their token is use to pay for the fees and still record millions as a profit every month and also take more than what miner takes as charge fees when sending out from their wallet like 0.0005 which is equal to 3$ compare with normal fee which is less to 1$ , and if anything happen to your fund they are less concern ,

dont you think we are in centralized crypto market even if we can gain from those token we bought and what do you guys think is the best way to really curb this centralized thing from the world ?

Do we really need DEX to stop this and are we really save in DEX also has some were hacked just of recent .

What do you guys think is the best solution for the fees and how can we really decentralized crypto world ?

Bank in now a days is something that will gives you a paper money loan and will impose a very high interest rate in return of it and it will go through many difficulties in passing of your loan and on the contrary bitcoin is like a boon in which you can borrow it from anyone and it also provides you the peer to peer transactions that two users can buy and sell bitcoins to each other and there is no need of mediators in between them so the bitcoin investment is better than bank in every aspect.

[Simon241084]

bitcoin, the fact is not created to be traded / used in exchange. The smallest thing you can do is use them and report bugs so the dev can fix them.

[Jennifer Daviess]

Cryptocurrency uses a distribution network to allow peer-to-peer trading systems, peer-to-peer transactions without the need for third parties. For security, the code uses mathematical algorithms and a public ledger.
To ensure every transaction is legitimate, each account and the virtual amount that the account holder wants to spend are linked together by complex mathematical equations. Users, often referred to as "miners", use their computer resources to solve equations and often receive a small amount of money.

[Shirley Monizz]

Cryptocurrency  is supported by mathematical technology, not by governments or financial institutions. The rare degree of e-money is based on mathematics and can not be adjusted by any group of people or individuals. They are not associated with material goods, such as gold, which can not be issued by governments or financial institutions like the dollar. This is the difference between bank and cryptocurrency exchange .

[orions.belt19]

There’s really nothing much that you can do to get rid of the fees from exchanges. If you’re so against the fees of an exchnage, then simply don’t use one. Keep in mind that they’re providing a service and every service needs compensation. An exchange is very much different from a bank. You can’t an exchange to simply eradicate all fees and continue providing service just for the sake of decentralization? crypto is still decentalized as it is.  In many ways, you still have more decentralization in an exchange.

[demenBTC]

Come to think of it, we said blockchain is bringing decentralized to the world by cryptocurrency and save us from banks , but have we really gotten the decentralized we talking about because I can't imagine exchange taking so much from us through buying the tokens and still not save by keeping our funds in their cares , this makes me think that are we really in decentralized world we talking about or just a mere thinking,

not all exchanges take expensive fees on a transaction, it depends on the exchange itself

These exchange makes money even more than banks from us, which mean we are enriching someone by doing so,

I never think so, exchange is a means for us to buy token tokens, so I think it's mutually beneficial

[Msworld83]

There’s really nothing much that you can do to get rid of the fees from exchanges. If you’re so against the fees of an exchnage, then simply don’t use one. Keep in mind that they’re providing a service and every service needs compensation. An exchange is very much different from a bank. You can’t an exchange to simply eradicate all fees and continue providing service just for the sake of decentralization? crypto is still decentalized as it is.  In many ways, you still have more decentralization in an exchange.

Am not against the exchange rather am not using one but my questions still remain about high fee and withdraw charge that it's too much and need to be moderate , assuming a fee of 0.25% of 1billion trx which is 2.5million a day and also the 0.0005 permanent fee for transferring btc out of the exchange is what am pointing at that is there something to do with it and am sure we are going to have more exchange to use this as their strategy to gain customer just like binance did with 0.15 and 50% if use bnb , soon others will less to that and what am pointing out here will be clear to you because I believe for that fees alone made binance what it is today .

[Ucy]

I agree bro.

In regards to hacked DEXs,  we need to understand why the hackers were able to hack the  exchanges. Are the exchanges really Decentralized or semi Decentralized?  Are they Peer to Peer?

By the way, the most important reason we need Decentralized exchange is to avoid censorship.

[RocketSingh]

Banks do a hundred other activity than mere currency conversion.

[burgerpatty]

Some things can make difference but both have similar procedures exchange is doing transaction in cryptocurrency and bank is doing in fiat currency but exchange all transactions is digitally and bank's transaction is digitally and paper based. in banks all procedure is very lengthy but exchanges transaction is very simple and easy.

[Peter Bailey]

An exchange is where you buy/sell cryptocurrencies. A wallet is where you keep cryptocurrencies you’ve bought or have received.

No, an exchange cannot be a wallet. However exchanges usually come with a wallet.

Coinbase, for instance, is an exchange and the account you create with them already comes with a wallet from them. This wallet is controlled by you but “owned” by them. I say owned because if they’re website crashes you have no access to “your wallet”. That’s why most people suggest you create a wallet using example MyEtherWallet where you are in complete control.

No. You need an exchange or interface to send or purchase cryptocurrencies. However you don’t need any of these to receive cryptocurrencies from someone who is sending to your wallet address. You don’t even need to be online. It’s rather that person who needs the interface to send to you.