How important are exchanges?

[roslinpl]

Their are huge crypto currency exchanges,but not all are safe to trade the crypto currency.In some exchange,the deal amount is very huge.Some exchange will not allow the traders to withdraw with few dollars.In order to get more attention to the exchanges,some exchanges uses bot.It’s essential to verify kyc of the exchange Launchpad.Without verifying the platform don’t use your money to inverse on certain exchange.

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[Twentyonepaylots]

Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?

Before the development of cryptocurrency exchanges, consumers could only purchase cryptocurrency by mining or by setting up transactions in different online and offline forums.

For me, exchange is important for bitcoin because it is not necessary for bitcoin users of decentralized exchanges to transfer their funds to a third party. As a result, bitcoin users may be sure to be more secure from hacking, fraud, or theft.

[GxSTxV]

If you want my personal opinion about exchanges, they are so important for a crypto user to at least use an exchanger once up on an time, for example you have an amount of bitcoin then you decided to invest in some project you sill need to exchange  that bitcoin you have to Ethereum for example, you cannot do that without an exchange, there are also many types of exchanges as Dex and Cex. Personally i use binance to do much exchanges and also to deposit on casinos or withdraw to cash. They are very important i would say

[dlightag]

Cryptocurrency Exchange is very important market and is very easy to sell and buy, which has been empower many people as a part time and full time jobs empowerment as trader, in other words Bitcoin can also work without any exchange while can be used as a online digital payment.

[Xxmodded]

Crypto exchange market is most necesary by all trader and investor when purchasing Bitcoin or altcoin, almost 90% we need exchange market for selling Bitcoin and Altcoin. Without have exchange market seems difficult to cashout money or investing in bitcoin trough not jave option how to buy bitcoin or altcoin. Exchange market have early launching before several altcoin available to buy on pre sale or listed at market, actually without have exchange market we don't know about many altcoin kinds and earn profit trough trading.

[GeorgeJohn]

Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?

From my perspective it depends, because before the awareness of exchanges to the grassroots people from different perspective or countries have being making use of Bitcoin through peer to peer, but the introduction of exchange is what makes it easier to everyone, i could remember in 2017 i was still exchanging my Bitcoin with p2p. So Bitcoin can stay or stand without exchange.

[Antonas1]

~

Quite unique regulation, i never heard something like this, i wonder if other countries can do something like this instead of banning bitcoin/crypto which they called as "tool for money laundering". ~

Not unique actually. There are already some countries that have the same regulations or maybe earlier than Indonesia. As far as I know, countries like Canada and Australia use the same regulations for cryptocurrencies; they are not allowed Bitcoin to be payment tools but allowed to be traded as a commodity asset. You can read the full list on Countries Where Bitcoin Is Banned or Legal In 2022.

[dezoel]

The exchange is very important for Cryptocurrency/Bitcoin and all other Coins, imagine if the exchange didn't exist, surely everyone wouldn't want to sell Bitcoin using individuals, what's more, there are scams and have to use third parties, of course it will take quite a while , and again there is no price retrieval in deciding the price per coin, stocks only need an exchange to find out how much their shares are worth on world exchanges, gold also has its exchanges in their respective fields, so basically whatever it is, it will certainly require an exchange in terms of selling or buy something we want to invest..

Won't you like it, if everyone doesn't want to sell? It only means that bitcoin will grow continuously but even if without exchanges there are still p2p trades in the forum or at our locals so there will always be people that will sell.

BTC is a currency so they can also be used immediately without needing to sell them but the support for them is limited so people need to use exchanges first to sell or exchange their coin to a more supported coin. I think back in time, we have no exchanges but it's still possible for them to identify if what is the value of BTC. Same thing could happen to stocks and other assets if there are no exchanges about them.

[TheUltraElite]

Cryptocurrency Exchange is very important market and is very easy to sell and buy, which has been empower many people as a part time and full time jobs empowerment as trader, in other words Bitcoin can also work without any exchange while can be used as a online digital payment.

Trading as a job is a bit longshot, agreed that it can make you money, but keeping a close eye on it turning from a hobby to a obsession would save that person from a lot of troubles. The important thing is that we need some working exchanges that accept our local currency and allows us to trade freely.

Without exchanges there would be problems, which the first generation of bitcoin owners faced before the first bitcoin exchange appeared. This is before I started so I cant comment much. Currently we have so many exchanges that seeing the crypto space without one seems like a odd one.

Trading can be done on OTC too, but that carries it own risks and cons. It is better to be the average joe and trade on an exchange.

[Woodie]

To know the importance of these exchanges we need to go back in time when exchanges were not in existence, during this era we only relied upon peer to peer ways of exchanging crypto and prices had high markups because fiat was regarded as high risk because of possibilities of charge backs. But now that we have exchanges, price to buy crypto as small markups and now we can get our hands on crypto with ease using  different fiat assets.

[Kelvinid]

To know the importance of these exchanges we need to go back in time when exchanges were not in existence, during this era we only relied upon peer to peer ways of exchanging crypto and prices had high markups because fiat was regarded as high risk because of possibilities of charge backs. But now that we have exchanges, price to buy crypto as small markups and now we can get our hands on crypto with ease using  different fiat assets.

Exchanges make our life easier to buy and trade. Perhaps, they exist for a good reason but for now, some exchanges exist to scam us. I would say they are very important in the very first place but too unfortunate that they are also the reason why some traders are even afraid to take risks knowing that many of these platforms have been a reason why many had to lose their money, they'll somehow ruining the trust of many individuals. But if I were going to compare it to P2P, the use of exchanges is even better and safe. We only just need to use check their reputation.

[Renampun]

to this day exchanges have become a meeting place between bitcoin buyers and sellers, there are 2 types of exchanges in this world, namely CEX and DEX - the existence of both is important in sustaining the circulation of bitcoin in the market.
the volume of bitcoin circulation on CEX reaches more than $ 10 billion, which means the majority of bitcoin traders or sellers use exchanges as a place to transact.

[Piesel]

Their are huge crypto currency exchanges,but not all are safe to trade the crypto currency.In some exchange,the deal amount is very huge.Some exchange will not allow the traders to withdraw with few dollars.In order to get more attention to the exchanges,some exchanges uses bot.It’s essential to verify kyc of the exchange Launchpad.Without verifying the platform don’t use your money to inverse on certain exchanges.

One of the setbacks of exchanges is the fact that exchange has aided more centralization of the cryptocurrency industry because most of the exchanges are KYC compliant and have taken traders' documents and control of their assets.

Exchanges are just like banks, they are tools in the hand of the government to monitor and tax crypto users.

[PX-Z]

One of the setbacks of exchanges is the fact that exchange has aided more centralization of the cryptocurrency industry

It can't be helped, most non techy bitcoin users who doesn't know how to use dex will just use centralized exchange for them to trade and or use a custodial wallet that has built-in exchange to convert bitcoin to fiat. Besides these kind of people mostly categorize dex as not safe because it it's not regulated by authorities, that's how others are thinking.

[Piesel]

One of the setbacks of exchanges is the fact that exchange has aided more centralization of the cryptocurrency industry

It can't be helped, most non techy bitcoin users who don't know how to use dex will just use centralized exchange for them to trade and or use a custodial wallet that has built-in exchange to convert bitcoin to fiat. Besides this kind of people mostly categorize dex as not safe because it it's not regulated by authorities, that's how others are thinking.

Yes, the importance of centralized exchange can not be undermined, and exchange like the binance of other centralized ones has helped newbies to be able to trade and exchange from one coin to the other without the need to know all the technicalities involved.

But the point I was trying to make is that the exchange has made centralization of the cryptocurrency industry no doubt about that since to carry out such activities one needs to give out personal details for KYC verifications.

[famososMuertos]

It is in a certain way a part of the equation that helps to carry out transactions, but that does not imply that they are fundamental in organic adoption, which is the one that really matters.

Sometimes it is sad to think that many come to own bitcoin because they arrive with the guidance of a link or a commercial offer, that led them to have bitcoin.

So it is possible that in the future the exchanges (they currently have it) will fight commercially speaking for users.

In other words, just as it happens with traditional banking, we will have a niche of companies that will manage the traffic of users who wish to exchange bitcoin.

A fact today, there are millions of people who still do not have access to physical money in easy ways, in fact there are organizations that struggle to have access to an ATM in many poor countries of the world.

It is easy to think that or believe better to say, that we all have access to technology to receive FiAT money, but such a thing is not so and in fact bitcoin should have enough advantage in that relative because the hardware infrastructure in bitcoin is very simple to be able to make or receive a transaction.

[nullama]

We need exchanges in the intermediate phase were Bitcoin is not yet the universal way of paying.

When your salary is given to you in Bitcoin, and you pay your bills in Bitcoin, then there's no reason to have exchanges.

In reality, we will always have exchanges, just like we will always have cash even though you can pay electronically today.

[BALIK]

Bitcoins can exist without exchanges, but would you support the argument that the existence of exchanges are among the factors facilitating the popularity and accessibility that people have to bitcoins?

From my perspective it depends, because before the awareness of exchanges to the grassroots people from different perspective or countries have being making use of Bitcoin through peer to peer, but the introduction of exchange is what makes it easier to everyone, i could remember in 2017 i was still exchanging my Bitcoin with p2p. So Bitcoin can stay or stand without exchange.

Of course, bitcoin can stay and stand without an exchange because bitcoin was created before all those exchanges and it must be said that exchanges are in dire need of bitcoin today, if the exchange is not listed bitcoin, no one will use them.

But exchange is necessary for the market, exchange also makes bitcoin and cryptocurrencies more popular. Nowadays for a newbie, buying bitcoins on exchanges is much safer and easier than the p2p method. In addition, fiat is still the main currency of the world today so there is still a need for an exchange platform that makes it easy for us to exchange from bitcoin to fiat.

[witcher_sense]

I already said it in another post but the topic got deleted: cryptocurrency exchanges will continue to exist as regulated entities because they are the tool that governments use to control the flow of bitcoin and alternative cryptocurrency assets. When Bitcoin becomes a widely-accepted means of payment, the need for financial control, read censorship, is going to increase even more. There will be two types of Bitcoin: a "clean" permissioned asset and a "tainted" decentralized one. But he thing is that given that bitcoin is as fungible as any other "hard" asset, any division will be highly subjective and based only on the source from which particular chunk of bitcoin has come. If it came from a regulated cryptocurrency exchange, it will be considered good even if it has had connections with criminal activity. However, if it comes from individuals who participate in anonymous peer-to-peer exchanges, it will automatically be deemed criminal money, even if there were no such connections. So, we can assume that in the future, exchanges will play a major role as government's means of control.

[Piesel]

I already said it in another post but the topic got deleted: cryptocurrency exchanges will continue to exist as regulated entities because they are the tool that governments use to control the flow of bitcoin and alternative cryptocurrency assets. When Bitcoin becomes a widely-accepted means of payment, the need for financial control, read censorship, is going to increase even more. There will be two types of Bitcoin: a "clean" permissioned asset and a "tainted" decentralized one. But he thing is that given that bitcoin is as fungible as any other "hard" asset, any division will be highly subjective and based only on the source from which particular chunk of bitcoin has come. If it came from a regulated cryptocurrency exchange, it will be considered good even if it has had connections with criminal activity. However, if it comes from individuals who participate in anonymous peer-to-peer exchanges, it will automatically be deemed criminal money, even if there were no such connections. So, we can assume that in the future, exchanges will play a major role as government's means of control.

I accept all the point you outline on exchange and it role in bitcoin adoption and government attempt to regulate and control digital asset such as Bitcoin, the only point you failed to mention is that.
Government will eventually allow the use of Bitcoin exchange most especially centralized exchange will be use by government to monitor members Bitcoin asset and how tax  the income.

I just like i have said it before, Bitcoin may be impossible to be regulated because of Bitcoin decentralization but then other Bitcoin services such as exchange can easily be regulated