Why do we need so many cryptocurrency exchanges?

[denzkilim]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

Who said we need many Crypto Currency trading platforms? Most of the new exchanges that are sprouting all over are illegal and they don't have any license to operate their businesses and most of these exchanges do not care for its customers and they only wanted our money. We don't need many exchanges we only need the legit ones with high volumes and with real people who are trading with it.

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[Raul Lopez]

More exchange, more competitors, lower comissions for the users. I think is good that there are so many exchanges but, are all they safe? For me, that point is more important. What do you think?

[pushups44]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

We don't need so many exchanges, but we do need the competition that will sort the good from bad ones. Sooner or later decentralized exchanges will arise. Those exchanges that do not provide value to traders will gradually disappear.

[Wayan_Pedjeng]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

We don't need so many exchanges, but we do need the competition that will sort the good from bad ones. Sooner or later decentralized exchanges will arise. Those exchanges that do not provide value to traders will gradually disappear.

Why do we need competition among the exchanges? Competition should be between the crypto-currencies and not between the exchanges. That said, I don't want any monopoly among the exchanges. But to prevent the monopoly, we don't need more than a dozen exchanges. But then no harm is there if we have a thousand instead of a dozen.

[XinXan]

I noticed some exchanges have region restrictions now like what bitfinex did back at the end of 2017 with not allowing any customers from united states to have an account with them.
Also bitmex http://www.bitcointradingsites.net/bitmex-usa
Bittrex had to open a separate entity operating out of malta because of these restrictions associated with us customer base. https://bitcoinist.com/bittrex-segregates-us-traders-with-launch-of-international-exchange

USA costumers will usually use Coinbase because it's fully regulated there. A lot of big players use Bitmex which is kind of surprising, considering how shitty it is, every time there is a big move happening their system crashes, you can't place orders and have to click 100 times to make it work.

The thing with bitmex is all those people using it are only using it to gain leverage so to cash in on bitcoin when it rises or falls. It is not an exchange but a tool for those who are into trading on shorts and longs.
I dont use them so I couldnt tell you how lucrative this could be.

So? My point is that there are really big fish on bitmex, people there have millions of dollars. I mean you cant even withdraw at all times, only once per day

[Dingdongjl]

Its not that we need it, its a business and in every business there is competition and we cant stop that.

In the other side it is good for us because we can choose among those exchange where we will trade our coins with higher value.

[olamidey]

I'm happy seeing this thread. I've used virtually all the exchanges and I wonder why the multiplication of exchange. Agreed we all started with different exchange at a time and depending on the tokens we had, moved to other exchanges. It's becoming scary with exchange opening almost everyday. Some don't even have use cases or a clone of existing ones. Yes, competition is needed but when value lacks in this new exchange, it's easier for them to be hacked and go under 

[iMark]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

As I seen there is lots of exchanges popping up every day . It’s having big advantage and disadvantage . First thing is that most of the coins are getting listed in this exchanges where they are not having option to listed in big exchanges . Cons is these exchanges are not backing with real bitcoin or ethereum its just a digital indicator or number.

Yeah there are lots of exchanges, and I was very surprised because I see lots of exchanges that I had never heard before, many of these new exchanges, mostly listed ICO or some small altcoins which did not have a market in a big exchange. of course there are advantages and disadvantages, the advantages are there are many options that you can use to trade, marketcaps are getting bigger, but the drawback is the risk will be even greater, many exchanges will emerge then a lot of scam exchanges, or shitcoin that is traded freely

[angeliza]

Thanks for this interesting discussion!

[Wingo]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

We really don't need many of the existing exchanges. It's like a business, exchange platforms is one of the most profitable platforms we can easily think of if we are talking about assets. If we try to see the good thing about it, the new exchanges are providing competition to this domain of the market. This made many exchanges provide a better user experience, and provide benefits to their users and many other schemes to attract more users.

[kudil]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

That is competition, each exchange give the best service for all users, such user-friendly, low fees, fast-transaction, etc. So that's why new exchange always present with the best offering, better, but sometime it's only expectations.

I guess, at least we need one exchanges in each country (local exchange), so they will provide us FIAT pair or Local currency on the exchange.

Personally, I like the presence of many exchanges, I can use it and choose the best for me, for trade or hodl my coin (so, not only in local exchange, hehe).

[Eraldo Coil]

It is not that we need a lot of cryptocurrency exchanges. But having your own cryptocurrency exchange sites means having money or business. And every exchange sites has a different goal. There may be a lot but only few of the exchange sites will emerge as top quality exchange sites where everyone of us can trust.

[ice18]

We dont need too many exchanges problem is no volume, no liquidity, what we need is real volume and real trading activities not by bots to manipulate volumes like Digifinex, we need exchanges like Binance or Bittrex, the only reason I can see why too many exchanges is because its business and money is easy.

[dioanna]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

when it comes to token or coins its a plus for me if it is listed in more than 5 exchangers
it means the supply is well divided and the price would be more stable i guess
but talking about exchangers i think there is too many of them right now but few are supported by many traders

[Kevs Young]

In addition to the exchanges listed on the CMC, there are many other exchanges.I have a question WHY do we need so many exchanges?What do You think the new exchange will be able to attract potential users?

Actually it is really not a need. It is just because promoting or advertising new incoming exchanges brings out new features that are being push through into potential investors to have innovation because improvement does not primarily stop at some point but it just continue to grow nearly for perfection but since nothing is perfect, there goes many releasing exchangers with promising features to have choices that is dependent on the specifications of the user on which exchanger suits to comply on all his needs and wants.

[john_nautica]

We dont need too many exchanges problem is no volume, no liquidity, what we need is real volume and real trading activities not by bots to manipulate volumes like Digifinex, we need exchanges like Binance or Bittrex, the only reason I can see why too many exchanges is because its business and money is easy.

real volume becomes the main one, maybe it only requires one large exchange like binance but has a high trading volume rather than having to have lots of exchanges but no price development is very detrimental.

[thirdlight]

I think this is not bad.  Therefore, the more the competition in the market, the better for us.  The more exchanges there are, the better they will be for us.

[Vishnu.Reang]

I think this is not bad.  Therefore, the more the competition in the market, the better for us.  The more exchanges there are, the better they will be for us.

Competition is good. But you need to remember that there is only a limited number of cryptocurrency users who are active right now, and therefore the total revenues that can be accumulated every year is limited. In case the number of exchanges increase beyond a certain point, then the revenues will fall to a threshold which is below the sustainable level.

[MMS2017]

If only one exchange in the wold then monopoly will be exist and the performance may be affected but due to many exchanges like an exchange for Islamic point of view is good for muslin's and they will easily come to this exchange for trading coins while they will invest through this exchange instead of others so if we have multiple exchanges we can easily do trade and investment in our local community and country as well so i prefer that we have multiple exchanges in the world.

[ethereumhunter]

I think this is not bad.  Therefore, the more the competition in the market, the better for us.  The more exchanges there are, the better they will be for us.

Competition is good. But you need to remember that there is only a limited number of cryptocurrency users who are active right now, and therefore the total revenues that can be accumulated every year is limited. In case the number of exchanges increase beyond a certain point, then the revenues will fall to a threshold which is below the sustainable level.

Yes, by competition, I am sure that every cryptocurrency exchanges wants to give the best things they can to their members and I am sure that they want to reach more traders who will trade in their site. If they can gather more traders, it means they can collect more profit from the fee of trading. Besides that, the benefits for traders is they can use one exchange to search the profit from the other site, and they could also try to do arbitrage trading.