Why make New Crypto Exchanges

[DarkDays]

There is a lot of reason but the main reason is to make money. Don't think of it really hard since there are more exchanges coming from the next following years. They all want to make money andtake advantage of the continuous increase in numbers of altcoins in the market. By that reason, it is enough for them to make new exchanges.

There's some truth to that. Unfortunately, the main reason for initiate a new exchange is not to make it better or safer. NO, it is a money making project. Sure, you invest some initial money and time into it, enough to make it last until you get enough customers, get some money and ditch.
So, I'm yet to understand why we need any more exchanges when we already have the likes of Binance and Bitfinex.

[1714619482]

1714619482

[1714619482]

1714619482

[dunfida]

There is a lot of reason but the main reason is to make money. Don't think of it really hard since there are more exchanges coming from the next following years. They all want to make money andtake advantage of the continuous increase in numbers of altcoins in the market. By that reason, it is enough for them to make new exchanges.

There's some truth to that. Unfortunately, the main reason for initiate a new exchange is not to make it better or safer. NO, it is a money making project. Sure, you invest some initial money and time into it, enough to make it last until you get enough customers, get some money and ditch.
So, I'm yet to understand why we need any more exchanges when we already have the likes of Binance and Bitfinex.

We dont need lots but they do keep on building and making one yet they do know that this is a profitable business when you do really get some sufficient users of your platform
which would be the most or main challenge on any new platforms out there.They dont get enough users until they do die and vanish and the cycle continue.As long this market
do still have money to involved on and do able to make profits with it then they wont be stopping on making one.This is a big profitable business when you do able to get some
sufficient marketshare but same as you said that we arent needing lots if there are already some existing which do already make the job done well.

[AjithBtc]

There is a lot of reason but the main reason is to make money. Don't think of it really hard since there are more exchanges coming from the next following years. They all want to make money andtake advantage of the continuous increase in numbers of altcoins in the market. By that reason, it is enough for them to make new exchanges.

There's some truth to that. Unfortunately, the main reason for initiate a new exchange is not to make it better or safer. NO, it is a money making project. Sure, you invest some initial money and time into it, enough to make it last until you get enough customers, get some money and ditch.
So, I'm yet to understand why we need any more exchanges when we already have the likes of Binance and Bitfinex.

The very first response of the thread will give a better understanding about having new exchanges.

Whats the need of more cryptocurrencies coming into existence. If one has got the answer, then he'll understand the need of new cryptocurrency exchanges. Everything is tied to money, if cryptocurrencies weren't associated with money this could've never been this popular.

The market keeps widening and to meet the needs we're in need of more exchanges, even when we've got reputed exchange platforms like Binance and bitfinex.

[Nellayar]

Lately i see many new crypto exchanges / shitcoin exchanges.
I find that creating new exchanges these days isnt profitable anymore, why would someone switch from a long known exchange like binance/coinbase/etc. to some brand new exchange? Even with a marketing campaign, theres not much you can innovate. All exchanges that promise "no KYC fiat trading" is either a scam or will be shut down due to AML policies.
Exchanges which allow anyone to list their own coin ( exists ) are very vulnerable to Dip and Ditch schemes.

Overall i find working on a new Crypto Exchange a waste of time, money and effort unless you have some truly insane idea.

Am i wrong? Correct me if im wrong, willing to hear all your opinions.

Why study medicine and become a doctor while there are hundreds of thousands of doctors that are very good at what they are doing?

Why become a software engineer and make apps while there are apps with the same functionality exist already?

Why open up a Chinese bistro when there are many?

Why?

Because they can do it and they can still make money of it. That's why.

This is one of the good analogy that tells why there are many existence of a certain business or jobs even there is a lot of competition here. Exchanges become more numerous because of the profits it give to the users and owners of the exchange. There are many exchanges in cryptocurrency because it can be brought all over the world. Even there is a great competition, the usage and other utilities that exchange can give to the traders will make an edge for them to have an advantage to the market. Just take a look at binance, it is really a great exchange which has good security and liquidity. So, even there are many exchanges exist and will exist, they will outnumber them all.

[TedMosby]

we have 4.66 billion internet users today.
https://datareportal.com/global-digital-overview#:~:text=The%20number%20of%20internet%20users,875%2C000%20new%20users%20each%20day

The current number of unique active users of cryptocurrency is estimated to be 101 million or more.
https://news.bitcoin.com/cambridge-universitys-third-crypto-study-records-101-million-cryptocurrency-users-worldwide/

so the ratio will be,

101 million : 4.66 billion
it's just 2.17%

you can still compete to get the rest.

[pixie85]

The simplest answer is: because you can do it better.

If you think there's not enough quality services around you and especially if there's not enough or no good exchanges that use your local currency making a new one is a great idea.

If I had the money and a few trusted partners, I'd think about launching one myself.

[Prince Malik]

And the worst is that all those new exchanges will give you nothing better than the other and also the majority if them have a huge withdrwal fee...but this not mean that there will not be any new exchange that can be better than binance

[Fredomago]

The simplest answer is: because you can do it better.

If you think there's not enough quality services around you and especially if there's not enough or no good exchanges that use your local currency making a new one is a great idea.

If I had the money and a few trusted partners, I'd think about launching one myself.

If you have enough funds and good understanding about to this business, investing or taking your chances to build your own exchange is worth risking your money. This industry has lots of potentials so probably if you do have enough funds to use as start-up and you also have good knowledge within this market then proceeding is not bad.


Answering OP, this is business and if there's an open market for business why not grab the
opportunities and take advantage, it's your guts that will fit you in any business venture that
you'll going to take.

[Innerpumper]

Am i wrong? Correct me if im wrong, willing to hear all your opinions.

You're right. Now there are so many new exchanges of AMM type where all exchanges will be done with automatic swaps without any bids and offers, there only have liquidity and can be revoked at any time and it will make a loss to anyone who buys them instantly. In fact it seems to have an impact on the cost of gas transactions on eth. you can check it directly at https://ethgasstation.info/. I hope it can be handled by some new project in the future or even when eth 2.0 is properly released perfectly.

[swiftbits]

It's either they want to compete or just scam people; we demand exchanges that offer ease.
I still remember the new launching exchange called Bitmora in 2017. They actually get huge support here but never get to deploy their website.
End up, never paid their bounty participants, which ruined their reputation.
I guess allocating funds in building exchange should be prioritized, and users will follow.

[Gotumoot]

Lately i see many new crypto exchanges / shitcoin exchanges.
I find that creating new exchanges these days isnt profitable anymore, why would someone switch from a long known exchange like binance/coinbase/etc. to some brand new exchange? Even with a marketing campaign, theres not much you can innovate. All exchanges that promise "no KYC fiat trading" is either a scam or will be shut down due to AML policies.
Exchanges which allow anyone to list their own coin ( exists ) are very vulnerable to Dip and Ditch schemes.

Overall i find working on a new Crypto Exchange a waste of time, money and effort unless you have some truly insane idea.

Am i wrong? Correct me if im wrong, willing to hear all your opinions.

To try and make a better one compare to the old and existing ones that we have.
It is same as asking why we need to grow and use new invention or technology.
I think it isn't just for the profit but for a better experience for every trader that is why they are still creating a new one.

[btc78]

Lately i see many new crypto exchanges / shitcoin exchanges.
I find that creating new exchanges these days isnt profitable anymore, why would someone switch from a long known exchange like binance/coinbase/etc. to some brand new exchange? Even with a marketing campaign, theres not much you can innovate. All exchanges that promise "no KYC fiat trading" is either a scam or will be shut down due to AML policies.
Exchanges which allow anyone to list their own coin ( exists ) are very vulnerable to Dip and Ditch schemes.

Overall i find working on a new Crypto Exchange a waste of time, money and effort unless you have some truly insane idea.

Am i wrong? Correct me if im wrong, willing to hear all your opinions.

Some of them are just Making their name so a chance of Having a Big fish victim is there,and also some of them are working together with scam project operator to Make the fake project look legit since there are already exchange that waits their Bogus project.
 
you dont have to work with them,nor Use them because like what you said there are existing legit exchange to use and these newbies are just baiting Victims.

and also Good project usually listed in good exchange,simple logic as that.

[acroman08]

why would someone switch from a long known exchange like binance/coinbase/etc. to some brand new exchange?

many factors can be considered why there are people who switch to new exchanges. some of it may be its availability in the area, convenience to use, new features and etc...

Overall i find working on a new Crypto Exchange a waste of time, money and effort unless you have some truly insane idea.

not really, an insane Idea can come once you have started your business or in this case crypto exchange. as long as there is a market and it can be profitable it is not a waste of time. it will only be a waste of time, money and effort if you don't properly run your business or you are missing something that other businesses have and you don't.

All exchanges that promise "no KYC fiat trading" is either a scam or will be shut down due to AML policies.

yeah, and should be avoided.

[erikoy]

Lately i see many new crypto exchanges / shitcoin exchanges.
I find that creating new exchanges these days isnt profitable anymore, why would someone switch from a long known exchange like binance/coinbase/etc. to some brand new exchange? Even with a marketing campaign, theres not much you can innovate. All exchanges that promise "no KYC fiat trading" is either a scam or will be shut down due to AML policies.
Exchanges which allow anyone to list their own coin ( exists ) are very vulnerable to Dip and Ditch schemes.

Overall i find working on a new Crypto Exchange a waste of time, money and effort unless you have some truly insane idea.

Am i wrong? Correct me if im wrong, willing to hear all your opinions.

Why study medicine and become a doctor while there are hundreds of thousands of doctors that are very good at what they are doing?

Why become a software engineer and make apps while there are apps with the same functionality exist already?

Why open up a Chinese bistro when there are many?

Why?

Because they can do it and they can still make money of it. That's why.

Nice answer. Hopefully more and more reputable decentralized exchange will come up and ready to be used especially in this bullish trend for bitcoin where one can sell or buy bitcoin without getting scared of being account being held freeze for investigation for some irregularities. We know that this usually happen especially during a bull run where bitcoin can record the ATH. I think for now bitcoin could go either 20K$-25k$ and that will depend on the market and the demand from the people trusting bitcoin.

[Shallow]

You are not wrong though and i clearly understood your point because most new exchanges hardly live up to anything good, so begging the question on why creating new ones, and to add to that, the number of exchanges are much while only few are worthwhile.
But looking at the world today, people will always have ideas and out of all these ideas, some will work, some will not, some will build their idea to help humanity while some will build theirs just to enrich themselves and so on. Therefore, having this in mind and bringing it to the crypto space, we see new projects everyday, and each promises new idea but yet only few are actually good. Also, it is not possible to stop developers from building new exchanges, if not the likes of Uniswap won't be here, even Binance might not have been created, so in essence, anyone is free to bring in their ideas, work on it and so on, while it's left for the community to see something unique in them and invest or not.

[iv4n]

Why study medicine and become a doctor while there are hundreds of thousands of doctors that are very good at what they are doing?

Why become a software engineer and make apps while there are apps with the same functionality exist already?

Why open up a Chinese bistro when there are many?

Why?

Because they can do it and they can still make money of it. That's why.

Good examples, and I am sure we can come up with many other good examples, basically in this world there're a lot of everything, but still people are coming up with new ideas, they are finding ways to do it better than others, more interesting...
The bottom line is that you need to try it in order to find out! Can someone do it or not, can someone make profit or not? We can discuss it, but if someone doesn't try he will never know! And for sure we have many examples of people who succeeded in their plans, and we have even more people who have failed! It's on us to try something, it's on us to come up with an idea, to develop that idea, to cover everything we can, and to work hard to make something great!

[jeniferqueen0409]

Nowadays, there are a lot of altcoins born every day, along with a lot of new investors. In my opinion, it is not bad that there are many crypto exchanges. because social development must have competition and what comes after may be better than the first. The developers of their projects incorporate new crypto exchanges in order to motivate investors to go to the trading site and to collect a lot of service fees from those crypto exchanges.

[AicecreaME]

It's all about business and taking advantage of course in cryptocurrency. Not all of the exchanges supports every coins, whether it's a shit coin or not, also they have different prices when it comes to altcoins, that's why traders could choose on which exchange they are going to buy and sell altcoins. The question of yours is like asking that why bother posting here if there's so many people posting already?

I hope you get the logic.

E D I T: Exchanges that doesn't requires KYC will not be shutdown at all. Look at Binance for example

[ChrisPop]

Exchange business are very profitable once you acquire a certain base of users. I think there is still room for capturing a share of the market and it will always be. The design matters a lot for exchanges. One might choose a new exchange if the fees are smaller or if the funds are insured.

I'd say there are many ways to innovate. IMO Binance is trying to expand their services too much instead of improving the trading functionalities and marketing.

[RapTarX]

Do you know Binance is here since 2017 & within this time they have been the top exchange in today’s world and they have acquired a lot of others things regarding crypto. If they thought like you, there would be no exchange namely Binance today.
Still I guess a lot of space is there for new entry and if new exchanges can run with honesty and best service, they will grow bigger certainly.