Is Binance too big to fail?

[tvplus006]

Binance is not only a cryptocurrency exchange, but also a Coinmarketcap rating, as well as the Binance Smart Chain blockchain. In addition, Binance is an affiliated owner of many cryptocurrency projects. Therefore, Binance is currently a monopolist in the cryptocurrency market, and it would be right if antitrust laws were applied to it.

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[fortunecrypto]

What are your thoughts? Is Binance too big to fail? If not, why? Do you think Binance has too much power/influence over the crypto/Blockchain industry? How will it affect crypto (either positively or negatively) in the long term? Your input will be greatly appreciated. Thanks in advance.

As a leading innovator in the exchange industry, yes Binance failure can create a disruption in the market and the confidence of the investors and traders will diminish, but what kind of failure will that be, if it's about hacking a disruption could be bigger than failure coming from the failure to comply with regulators, one of thing that we don't want to read is exchange hacking especially if it comes from a leading exchange, the impact will be double if it's coming from the number one exchange.

[bryant.coleman]

The biggest issue for Binance is not the competitors or the hackers, but the authorities. As we all know, the SEC is gearing up for a lawsuit against Binance. They are not comfortable with the relaxed KYC requirements for the Binance users. So either Binance needs to fall in line and do KYC for all their users, or they will face a heavy financial penalty from the SEC. However, I have a feeling that the SEC wants to go slow against Binance, especially after their recent setbacks in the case against Ripple. Anyway, the Binance management needs to remain prepared.

[Cling18]

As for me, Binance has a strong foundation already and it wouldn't fail that easy. It has been through a lot and most investors trust it. It's well-established that they could face and solve all the lawsuits or other cases that might be thrown at them. They have been hacked before yet they're able to solve it and rise again.

[mr.robot8]

binance has been able to gradually conquer the lidership of the market, and has become the reference point in the exchanges sector because in addition to traditional trading / exchange options where there are more than 400 pairs of altcoins, it offers very tempting other ways to earn such as futures, etf, staking, provide liquidity, now they also have their own debit card, binance will not fail but not because it has become one of the largest exchanges on the market but for its seriousness and for the dedication of the team that manages it

[BOAEDAN]

binance failed? are you kidding ? binance is a very extraordinary platform and currently the binance platform has an important influence on the lives of coin developers when it is registered on a binance exchange it will usually provide high trading volume because there are so many investors using the binance platform.

[bamb]

To big to fail concept applies to banking system of fractional reserve that is wholly supported by government!  In the case of binance,  I do not see any government supporting it!  CZ seem to have a hang on how to keep binance from falling.  It is however dangerous for Cryptocurrency ecosystem that a centralized point of failure is controlling large percentage of Cryptocurrency market share!

[Republikcoin.com]

This is bad because it'll make crypto heavily centralized.

The battle against idealism is very hard when you are faced with the realistic nature of humans. We all need money to live, humans who have a mainstream pattern of life, will only be carried away by the flow of which choice is more comfortable. And in the cryptocurrency world, more people are more comfortable with Binance Exchange than decentralized exchangers. That means cryptocurrency enthusiasts have been divided into two sides since the existence of centralized companies that instill the doctrine "that centralized platforms are not bad either".

If you want money, then be part of centralized.
If you want inner satisfaction, use a completely decentralized service.

Can you see? now life is a choice

[herurist]

nothing is impossible here. in crypto even the impossible becomes possible.
In fact, if we look at Binance, it will be very difficult to fall because now Binance is in great demand by investors and traders because the prospects and fundamentals are very good.
Besides that, consistent burn makes Binance more loved by fans and I am one of them.
but it would be too much to say binance couldn't fall. Of course there are many risks that occur if we enter this world as well as binance which is very risky, indeed it is unlikely that binance will fall but we still cannot say that binance will not fall.
Of course I didn't expect this because I'm also one of the people who trade on Binance but just in case why don't we stay alert.

[livingfree]

nothing is impossible here. in crypto even the impossible becomes possible.
In fact, if we look at Binance, it will be very difficult to fall because now Binance is in great demand by investors and traders because the prospects and fundamentals are very good.

I agree things are still possible despite Binance's huge demand.

If something wrong has to happen then it will happen for Binance. But Binance has gained experience how they're going to tackle those problems that they might face.

And so far they've handled those very well and that's why it's unlikely to see them fail as of the moment. But in the future, if they will maintain their state, we're really unlikely to see unexpected things to happen for them.

[BaeSuzy]

Agree Binance is already too big to fail. Especially Binance is the biggest market in cryptocurrency so i don't think they gonna fall in the future. If they don't make any stupid mistake, i believe this coin will keep growing bigger then bigger every year.

[MoneyJ]

On my observation Binance is too big to fail and it offers a better alternative to ethereum which is so expensive. Anyway some killer apps from ethereum are going to let its token co-exist between 2 (or more) blockchains.

[Samayuki]

Binance can't fail, let's put business and money making apart, there is something else about CZ himself and his team members, they actually want crypto to survive on the long term, they care more about the adoption of crypto so this is enough to keep the exchange going

[Abiky]

To big to fail concept applies to banking system of fractional reserve that is wholly supported by government!  In the case of binance,  I do not see any government supporting it!  CZ seem to have a hang on how to keep binance from falling.  It is however dangerous for Cryptocurrency ecosystem that a centralized point of failure is controlling large percentage of Cryptocurrency market share!

Couldn't agree more with you, mate. CZ is the only one backing Binance right now. A major hack or a full government crackdown should put Binance on its feet. What's concerning is the huge dominance Binance has over the crypto market. If it fails, it will bring down the whole crypto/Blockchain space with it. This will lead us back to the events of Mt Gox. where Bitcoin went all the way down the drain in an instant. While crypto will most likely recover, it may take quite some time before it goes back to its former glory. Things would've been worse if crypto/Blockchain tech was centralized. It would put an end to the revolution as we know it.

Nonetheless, we could say that nothing lasts forever. History has shown us that empires have seen their demise with even the most insignificant things. The same can happen with Binance if it faces an undesired situation where there's no point for recovery. What matters is that crypto stays resilient after a big downfall in price. I believe things will carry on as usual after Binance's demise, as a new exchange becomes the "new leader" of the market. Binance or not, crypto will be here to stay for a long, long time. Just my thoughts

[conected]

nothing is impossible here. in crypto even the impossible becomes possible.
In fact, if we look at Binance, it will be very difficult to fall because now Binance is in great demand by investors and traders because the prospects and fundamentals are very good.
Besides that, consistent burn makes Binance more loved by fans and I am one of them.
but it would be too much to say binance couldn't fall. Of course there are many risks that occur if we enter this world as well as binance which is very risky, indeed it is unlikely that binance will fall but we still cannot say that binance will not fall.
Of course I didn't expect this because I'm also one of the people who trade on Binance but just in case why don't we stay alert.

- Agree, the binance system is currently the platform with the most strong support and is honored as the great king of the exchange, a few stomps of it are enough to cause huge fluctuations in the market, sometimes I feel that its threat is much bigger than bitcoin because the control of assets here is so huge. Relatively worried and also wary about the case that binance will fail but I think binance has too many solid bases to exist, it is difficult to force it and cause failure unless binance intentionally let loose in system problems and wants to run away

[7788bitcoin]

CZ seem to have a hang on how to keep binance from falling.  It is however dangerous for Cryptocurrency ecosystem that a centralized point of failure is controlling large percentage of Cryptocurrency market share!

We have seen some big failures in the past and you never know when they are sinking until the last moment and we have many exchanges who looked invincible but ended up closing down after a few months after a major hack and Binance is not stranger to hackers as they lost millions and we have no idea whether they have tested everything and can very well vouch that nothing like that can happen again, i doubt they can vouch like that.

[wheelz1200]

Binance has grown into a force to reckon with since its establishment in 2017. In just 4 years since inception, Binance dominates the crypto market being the largest cryptocurrency exchange in the world. Its most successful venture has been the launch of a public smart contract platform dubbed "Binance Smart Chain". The native cryptocurrency "BNB" went from being worth cents to hundreds of dollars (USD) in just a few years since inception.

It seems to me that Binance has huge influence over the crypto/Blockchain industry. Sometimes I wonder if the world's biggest crypto exchange is too big to fail. With no signs of decline, Binance is on a road to widespread success in the mainstream world. This is bad because it'll make crypto heavily centralized.

What are your thoughts? Is Binance too big to fail? If not, why? Do you think Binance has too much power/influence over the crypto/Blockchain industry? How will it affect crypto (either positively or negatively) in the long term? Your input will be greatly appreciated. Thanks in advance.

Definitely not to big to fail.  Wait until serious players start entering the crypto exchange game.  Exchanges are only as good as the latest fad.  Another exchange can easily catch on and blow them away.  Remember poloniex, Remember mintpal, crypts, etc etc. 

[pedrillo0]

I will only answer one of your questions, although no one will have the most precise answer of what will happen in the future...

What are your thoughts?... I see a future where any user can choose whether they want their money to be centralized or
decentralized. Donce the most astute will be able to have both systems in harmony and without fear of regional economic blockages
and without paying high taxes. 

[no-ice-please]

Binance has grown into a force to reckon with since its establishment in 2017. In just 4 years since inception, Binance dominates the crypto market being the largest cryptocurrency exchange in the world. Its most successful venture has been the launch of a public smart contract platform dubbed "Binance Smart Chain". The native cryptocurrency "BNB" went from being worth cents to hundreds of dollars (USD) in just a few years since inception.

It seems to me that Binance has huge influence over the crypto/Blockchain industry. Sometimes I wonder if the world's biggest crypto exchange is too big to fail. With no signs of decline, Binance is on a road to widespread success in the mainstream world. This is bad because it'll make crypto heavily centralized.

What are your thoughts? Is Binance too big to fail? If not, why? Do you think Binance has too much power/influence over the crypto/Blockchain industry? How will it affect crypto (either positively or negatively) in the long term? Your input will be greatly appreciated. Thanks in advance.

Definitely not to big to fail.  Wait until serious players start entering the crypto exchange game.  Exchanges are only as good as the latest fad.  Another exchange can easily catch on and blow them away.  Remember poloniex, Remember mintpal, crypts, etc etc. 

What speaks against too big to fail is the theory of create destruction. There have been so many businesses where nobody could imagine in the slightest that they might once disappear. Some of the largest banks failed, companies disappear because of changing technologies and so on. For now they have an incredibly safe position.

[Dexion]

Agree Binance is already too big to fail. Especially Binance is the biggest market in cryptocurrency so i don't think they gonna fall in the future. If they don't make any stupid mistake, i believe this coin will keep growing bigger then bigger every year.

It will only be a joke to those who think binance will fail, as you said, binance is currently the biggest market in crypto plus more people are switching to binance instead of eth which has high transaction fees, the binance project is also getting more and more, so chances of failure very little.