Can you trust a cryptocurrency exchange?

[carter34]

Trusting an exchange depends , is not all exchange that can be depended upon but generally for me, I'm always doubtful about genuity of some of the exchange since they are not really regulated like the forex platforms. So I do prefer to keep my coin in my own wallet and hodl if I buy from exchange.

[iv4n]

When you plan to trade on some exchange, to deposit money and leave money sitting there you need to trust it! You can't make profit if you deposit and withdraw for every trade, I'm not saying it's impossible, but than you trade with huge amounts and in mid or long term, and you never hold your funds on exchange for more than a couple of hours!
I have money in two exchanges all the time, sometimes more or less, depends, but I trust those two exchanges with my money. Many exchanges got hacked, luckily I never had any funds in those exchanges, so maybe I am risking that amounts, but it's the risk I can take!

[South Park]

Can you trust a cryptocurrency exchange?

The whole point of bitcoin was to create a cryptocurrency which did not needed a third party for your transactions to go through, relying on a centralized exchange goes against bitcoin's nature, however I understand that it is inevitable to use them if you want to be a trader or an investor, so what you can do? The best thing for you to do is to minimize as much as possible the time that your coins are in an exchange that way the risk of being hacked becomes really low.

[Periodik]

Can you trust a cryptocurrency exchange?

100%? Of course I don't, but do we have a choice?

At least I am trying to be safer by choosing the top ones rather than those that are promoting themselves as better exchanges but have yet to prove that they really are the safest choices.

[BitcoinTurk]

I literally do not trust any service, however, it is possible to answer partially if specifically asked "is this service reliable?" Although many users do not fully trust these services, there is a fact that some of these services have proven their reliability. I do not want to specifically praise a service or abuse a service in this post, but there is a fact that some services have gained more user trust than others. For example, even though I do not fully trust all the services, if I am asked a question like "A service is more reliable or B service?", I will of course prefer one or show it as a suggestion. Briefly, in this way, no service can gain the full trust of users, but it can gain partial and comparative purposes.

[Twentyonepaylots]

Can you trust a cryptocurrency exchange?

The whole point of bitcoin was to create a cryptocurrency which did not needed a third party for your transactions to go through, relying on a centralized exchange goes against bitcoin's nature, however I understand that it is inevitable to use them if you want to be a trader or an investor, so what you can do? The best thing for you to do is to minimize as much as possible the time that your coins are in an exchange that way the risk of being hacked becomes really low.

Yeah, the creation of bitcoin was mainly to be a peer to peer electronic cash system which disallow any form or middle men to avoid extra cost. There is the ironic part of decentralized cryptocurrency going into centralized exchanges but the degree is not the same, like the category bitcoin is decentralized because it is not govern by any group or organization but it do not goes the same as exchanges because centralized exchange means there is a central command for which the transactions are being gathered.

[dothebeats]

To some extent, yes. You can trust the platform provided that they are fully registered to operate as an exchange and has a license to operate. Otherwise, you would be fooling yourself to believe that someone on the internet can facilitate trades in a platform without anything backing their credentials whatsoever. With the number of hacks targeting exchanges each day, it's better to be safe and put some room for doubt against the exchange you're working with. Do not place a substantial amount of money and let it sit there for an unknown amount of time. Just check the famous hacks involving exchanges and use them as guidelines on how much would you trust your exchange with everything that they are asking and everything that you are giving.

[7788bitcoin]

The whole point of bitcoin was to create a cryptocurrency which did not needed a third party for your transactions to go through, relying on a centralized exchange goes against bitcoin's nature, however I understand that it is inevitable to use them if you want to be a trader or an investor, so what you can do?

To transact you still do not need a third party, if you want to purchase you need to go to the exchanges or find a seller and exchanges are the safest option rather than trusting a random seller and hence it is not against bitcoin's nature.

@OP, you can trust the top exchanges which are registered in the US because they need to comply with the rules and most probably will not run away, coinbase can be trusted and as suggested by many, never keep the coins in any exchanges if you are not trading.

[el kaka22]

Sure, the stock exchanges are trusted because they are working with the government however most of the time they only care about what they make and nothing else, you do not have the freedom you usually have, and if they go too deep into trouble they are saved and you are not. There was literally millions of people who lost money in 2008 because of stock exchanges, whereas stock exchanges were saved, so how did they got "saved" when people still lost money?

Crypto could be more risky, there are a ton of hacking going on, and I am sure eventually they will find a way to stop that, but in the end I think the best thing about crypto exchanges is, they are mute point, you and some other person trade, and they are just helping you find each other and that's it.

[AakZaki]

Believe it or not it is the right of each individual.
Some cryptocurrency exchanges do have good quality and are widely used for trading. But there are also some Exchange that has no credibility and some that are scams.

The most popular and widely used Exchange cryptocurreny is Binance. Binance has a quality that will protect the user's assets well.