Data safety on Centralized exchanges

[thesmallgod]

Privacy is a great concern in cryptocurrency and this is the reason why some will consider DEX unless they hold big amount of crypto which is not even advisable to put on any exchange. users data can be hacked into and sold on black web. If big corporation such as google are facing issue of data leak, I do not think it is something strange if we see the same thing happening to some centralized exchanges. This is the reason why it is very important to be carryout security auditing ones every month and always seek for the best technology to protect users data from blackhat hackers. It would be a big mistake if truly the company mistakenly leak the users data. They are going to face a little setback because people will not trust such platforms with their information anymore.

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[FireBallex]

If you care so much about your information and identity pls don't go near Centralized exchanges, even if top exchanges are more reliable because of their reps they can still become victims to hacks and vital informations can be exposed, DEXs wins the data security in crypto space, it's why I wish that DEX can be as good as Centralized exchanges someday.

[Reid]

I think most of the members here know that except for newbies of course.
The ones who just started knowing what cryptocurrencies are and then exchanges.

Also, the reason why I don't do KYC's on some exchange platform.
Binance for example. You still have a 2 BTC limit so if you are trading below that then, there is no need for a KYC.
You are in Bitcointalk. Discussions about privacy mean a lot.

[modellao6]

If it is a big centralized exchange，that should be relatively safe，but it's certainly not foolproof. And the important is，we all know decentralized exchange is better，but the reality is the trading volunme of centralized exchange is much larger than decentralized exchange‘s. So i think that existed is rational.

[tbterryboy]

You still think that your data is save on Centralized exchanges? Think again, today australian crypto exchange accidentally expose users information, over 270,000 customers data is exposed, what kinda mistake is this anyways?

https://ia.acs.org.au/article/2020/australian-crypto-exchange-exposes-emails.html

This is a normal thing, that’s why we as individuals has to be very careful. Centralized institutions will always tell you that they are offering the best of security, but at the end there will likely end up being an issue of identity theft where they will lose their customers' information to hackers. This is not an issue with only cryptocurrency exchanges, it happens everywhere, you sign up with your email and info and due to some hack or bug on their system they will expose your info.

I am always cautious these days with the kind of information I am putting online these days, so that I don’t end giving an information that will affect me later in the future.

[shoreno]

your asking if what kind of mistake is that of course it was accidental or accident and they didnt mean it to happen so dont judge them too quick . i think that mistake do happend to on fb and on other site if i still remember , see ? they arent alone to make that mistake . we cant also say that we wont give our personal credentials online because we also need the service and we cant use them if we dont comply on that simple rule . lets just hope that your data arent going to be used for bad purpose if your one of those affected in the accident .

[IkonaDro4ku]

When you give money to the exchange, you should expect that you will not receive it back because you may be asked to provide documents, money can be stolen from the exchange or the api key can be stolen be responsible for trading

[pixie85]

I don't think that many people still believe in data security anywhere in the Internet. If they do they're young or childish.

Even banks and other big and regulated companies had leaks. Facebook comes to mind as one of them.

Centralized exchanges can not only leak data but also have it stolen by its employees or even sell it. There were exchanges that went bankrupt and then sold user data to make some money.

[kpierce77]

When you give money to the exchange, you should expect that you will not receive it back because you may be asked to provide documents, money can be stolen from the exchange or the api key can be stolen be responsible for trading

Still, this is definitely a problem with CEX which is currently complicated to solve, as they have complete control over the customer's account. they can easily freeze the assets on the account if they think it's "suspicious"

[Kvalentine]

Centralized exchanges are all under the law, SEC have power of them, they can easily be regulated as well but not decentralized, that's why we need more DEX in crypto space, not just anyhow DEX platforms but DEX with better and easier dashboard, less confusing to newbies, presently only Uniswap makes sense, others are rubbish

[VDraci]

There will definitely be problems with centralized exchanges in near future, if government and law gets too closer to centralized exchanges they will start losing customers and people will be forced to stick with DEX and accept DEX problems as it is, people like having control over everything and that's what DEX is all about but due to lack of volumes many have no choice but to stick with top exchanges, that might change any time soon

[Greatchu]

Users data aren't safe with centralized exchanges, even if a certain exchange plans to never expose or use users data all centralized exchanges aren't above the law, I prefer using CEX over DEX, no doubt about that but if centralized exchanges feels like unsafe haven for traders many will abandon CEX, moreover DEX has better security, total control of funds, DEX only lacks volumes

[cryptworld]

Everyone should be careful when it comes to centralized exchanges. I suggest that you should not use your personal email and of course password which you use in other places.

[el kaka22]

People are afraid of their data now? I mean for the past 20 years online business and companies have been collecting as much data about you as possible, they have been giving you tests to solve like a joke or entertainment while on the backend use those answers to sell you stuff and basically use you like a wallet for their services, and NOW you are worried about your data?

Believe me, between what Facebook and Google type of companies do, these crypto world will be nothing comparatively speaking, there are trillions of data not only at the hands of one of the cruelest business ventures in the world, but also there are a lot of your data leaked into online worlds for anyone to use or sell if they want to. So, giving few KYC information to CEX will not change anything at all.

[TheGreatPython]

People are afraid of their "data" being stolen in everywhere they go online, they are afraid that their information will leak into internet and will be there forever. What people are forgetting about is the fact that most of the time when there is a data available to sell, it is not your personal information most of the time, it is more about what you like or dislike so that these places can sell it to marketing companies and other companies who would like to sell your something.

You think facebook really cares who you vote for? Or which brand of coffee you like? They do not care about it at all, but they will take it so they can sell it to coffee brands in order to try to sway to their brands. Centralized exchanges do not have any information that people could really use, if hackers can get to your money that is fine, but that is about it of what you can get there.

[cryptopediabd]

You still think that your data is save on Centralized exchanges? Think again, today australian crypto exchange accidentally expose users information, over 270,000 customers data is exposed, what kinda mistake is this anyways?

https://ia.acs.org.au/article/2020/australian-crypto-exchange-exposes-emails.html

You know dude i am not surprise at all. You can see this kinds of gossips everyday on internet. You will probably find this news like app selling data information. Nowadays application personalal data is mostly selling online. It was happened before USA election.

It's most causes online survey application. And now with cryptocurrency data information. I heard some days ago about one exchange, "i forgot" actually it's happening majority times.

[Paycoinzzz]

You still think that your data is save on Centralized exchanges? Think again, today australian crypto exchange accidentally expose users information, over 270,000 customers data is exposed, what kinda mistake is this anyways?

https://ia.acs.org.au/article/2020/australian-crypto-exchange-exposes-emails.html

It is not at all error, this is a problem due to outside influence, maybe the hacker has broken into the database and tried to steal it to sell to the outside. All exchanges that require KYC to do so intend to sell all of our information.
Even with Binance, they do the same thing. When tens of thousands of KYC sets were leaked in 2018 by a hacker, they alleviated users' anger by allowing them to transact without KYC. But anyway, it all came out and exchanges have the same mechanism. So we should only trade with exchanges that don't require KYC provision, which makes it much safer for us.

[Samayuki]

Presently binance and many other top exchanges haven't compulsory KYC to their users, if you aren't trading with huge amount of money you won't have problem with the limited 24hrs withdrawal on binance exchange and other top exchanges, to say the truth DEX isn't a good place for trading but if in near future the SEC or law force top exchanges to start rejecting non-verified users off the Exchanges we will have no choice but to complete the KYC verification

[bittick]

Don't talk data safety when you still trust your data to an exchange in which you don't even know who's the team running that exchange. Imagine handing over credentials to these strangers.
Leaked email is some measly thing compared to the valid government ID being leaked. But, people always overlooked such thing and let it go as if it's not gonna give them bad effect in the long run.

[NextDoor125]

Thanks to the incarnation of a relevant discussion, centralized exchanges will increase security on their systems to a much greater extent just as business transactions will be smoother and data will be secure.