What will happen to crypto exchanges in the future?

[bitmit.exchange]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

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[Upgrade00]

However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges?

Digital money is not a competition to Bitcoin which serves as an alternative asset and an investment.
Digital money is already wide spread around the globe at this time with lots of people using it, and those who don't, do not use Bitcoin either, so it's safe to say both have the same consumer base at this time.

I do not see the connection between spread of digital money and need for crypto exchanges. Bitcoin would thrive regardless and would need a platform for exchange.

[Charles-Tim]

How about the fiat we spend using credit cards and the ones we send using bank apps and through the web which are all digital transfers? This has been common many years ago.

Or you meant the CBDCs which are still new and more countries are planning to create their own. CBDBs are fiat and nothing more than being fiat.

Fiat and bitcoin are completely different, bitcoin is just an alternative and people adopted it more which makes its price to be increasing and now seen as a means of investment.

Crypto exchanges depend on cryptocurrencies, but bitcoin does not depend on exchanges. You do not have to use any exchange before purchasing bitcoin.

[noorman0]

If people's volatility needs have been exhausted, then the continuity of the exchange will also be exhausted. I think the habit of people trading bitcoin will not stop using it for payments even though it will be adopted globally. They already love it and even bitcoin can become the most important investment asset in the future.

[Aanuoluwatofunmi]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

If few manage to remain in operation by then, the whole majority of bitcoiners would have advanced in learning how to remain private with having their asset away from centralized exchanges, people will now know the relevance of holding their keys which is the aceess point to their coins ay any given time, also as long as people realizes that altcoins need no financial investment to be made upon because of the risk whereby everyone is indeed investing on bitcoin, then the centralized exchanges begin o loose their hold and many begins to run down into closure since they can't afford to maintain a steady market as before with other cryptocurrencies they advertised, bitcoin would have been the only available options for them.

[Plaguedeath]

Digital money and cryptocurrency are different, people who's more interested with cryptocurrency will still need to use exchange since it's hard and not really safe to find a person or someone who willing to trade with me (peer to peer trading). I think when digital money or CBDC already officially launched, centralized exchange will list CBDC and that's still make people to use exchange. I don't see exchange will die, but centralized exchange will become bankrupt after got a critical hack.

[NeuroticFish]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

First of all, CBDCs don't matter much in the equation, they are just another representation of fiat.

Now, sooner or later Bitcoin will most probably get accepted everywhere as payment. Of course, most businesses will still receive fiat, since that's how they pay taxes and for the merchandise. So a conversion will be done.
In the same way as now, if you pay in US with an EU card, VISA, MasterCard or your bank will automatically convert from EUR to USD. But if you don't want them do the conversion (because of the higher fees), you can go to an exchange office and get yourself USD for your trip.
This will happen with bitcoin too. If you want to do the conversion yourself, or you want to buy more bitcoin from your fiat salary, you'll use an exchange. A cryptocurrency exchange.

Then, in the same way people and businesses play on Forex, they do play and will continue playing on crypto exchanges.


So while I expect many of those will become huge businesses, offering also banking, loaning and many other things, some others may even merge with banks, crypto exchanges will remain, in a way or another, offering their services to everybody.

[Kakmakr]

The Exchanges are not only for Crypto to Fiat conversions.... people also use it as a trading platform to trade in and out of Alt coins, so they will still exist in the future for that purpose. 

I predict that more and more people will use it as a wallet too, because they are used to custodial services protecting their money. (Which is the last thing you should do, but people do not listen) 

[stompix]

However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges?

Absolutely!
First, for their main purpose you ills till needed exchanges to change fiat into coins, this will be on for a long long time, as nobody sees fiat getting replaced any time soon, not in a few decades' time at least.
Second, the main business of CEXs now it's no longer just people exchanging their coins for fiat or the other way around but constant trading just as fx markets.
So no, nothing is threatening CEXs anytime soon, they will most likely prosper for quite a while, especially since some have started using them as wallets, they offer debit cards linked to your account, interest accounts, and many other ways of making you lose money for their profits.

But now, thinking this over, you as an exchange owner are asking yourself this truly, or you're just doing this to promote yourself?  

[Wexnident]

Digital money isn't going to fight crypto or anything, they'd still be used by whoever wants to use them. We're not seeing crypto die due to fiat, I hardly doubt a digital version of one would do much. We haven't even seen much adoption of crypto itself and exchanges are already prospering, so I reckon we're going to see exchanges last quite a long time before it dies out (if it ever will). Exchanges also serve as trading platforms for other coins, it's more like an investment hub now, a market for buying and selling.

You can simply look at digital fiat as credit card #1, and Bitcoin as credit card #2 really, they wouldn't really have that many conflicts, if any at all.

[witcher_sense]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

Cryptocurrency exchanges will continue to operate normally because they are the tool that governments utilize to control the flow of cryptocurrency assets. When Bitcoin becomes a widely-accepted medium of exchange, the need for flow control is going to increase even more. There will be two types of Bitcoin: a "clean" version and a "tainted" version. Please note, however, that given that bitcoin is as fungible as any other "hard" asset, any division is highly subjective and based only on the fact from which source a particular chunk of bitcoin has come. If it is coming 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.

[dothebeats]

Fiat currencies will never cease to exist, and so even if bitcoin or other crypto managed to sit beside, or even overtake, fiat in terms of usage, people will always have that need to switch in-between currencies especially if they needed one but can't use the other. This will only emphasize the need for crypto exchanges. Also, exchanges aren't only used to trade between fiat currencies and bitcoin, you can also use it to trade with other altcoins. That's another use-case for exchanges that I think will only help it stay even if bitcoin/crypto gains the upper hand against fiat.

[m2017]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

I believe that there will undoubtedly be crypto currency exchanges in the world of the future. The question is, what will it look like? I suppose that most likely, some exchanges will cease to exist, while others will change. For example, Binance is already developing in many directions and includes various functions, providing different services to its users. This is already a kind of multi-platform. Perhaps the largest exchanges will become something like this and will expand their areas of activity. In any case, those exchanges that will not adapt to changes in the world and to the demand of their users will simply cease to exist.

[cryptoaddictchie]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

Yes it will. Even though adoption is widely spared, exchange are still there to produce volatility and trading for different tokens and coins. This is their primarily used and I dont see it gone even a global massive adoption happened.

Also in addition, there are other projects thry wanted to claim or get hold of their asset which isnt on other exchange so the demand on using it still valid.

[DaveF]

I think we will see the same as we see with banks here in the US, there will be a few huge exchanges, a lot of large exchanges, a very large amount of mid-sized and a ton of small exchanges that nobody cares about unless you use them.

The large banks handle large businesses, smaller ones for smaller people and so on down to your local bank / Credit union.
Not to say a mega corp can't open an account / use a smaller place but it really does not help either of them. The smaller places may not be able to handle what they need. Same goes the other way, MegaBank will let me open an account with them, but I will not get the personalized service I get from some small local place.

There will be more regulations as time goes on, but once again for the exchanges, adapt or die.

-Dave

[rendravolt]

Even if bitcoin can be used globally, of course it will still be needed in exchanges because people not only exchange from crypto to fiat but also some who do investment businesses such as trading and staking, both of which are options to increase income. There are also beginners who participate in bounty and airdrop work when the coins are listed on the exchange, of course they will sell them to fiat and withdraw them to the bank. This process has been going on for the last decade and it will continue.

[avikz]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

Bitcoin has a long long way to go before it can become an everyday's thing. It are not anywhere close! Also digital money and bitcoin are two different things. They are not interconnected and structurally different. So let's not mix these two things.

I believe that cryptocurrency exchanges will be required to seamlessly integrate cryptocurrency with the fiat. If in future we see that bitcoin is accepted in 90% of the business establishments, then we probably would not need exchanges that much, but for now, it is one of the most important players in the crypto ecosystem.

[DanWalker]

Bitcoin is becoming more and more popular and applicable everyday and there are plenty of companies and businesses accepting it as a common type of payment. However, when digital money is globally accepted, would there still be a need for cryptocurrency exchanges? Any thoughts on this?

As long as fiat remains the primary currency and the demand for fiat remains, even if crypto is globally accepted, exchanges will still operate. If crypto is widely accepted and used, it means that regulations will be enacted and exchanges will become even more necessary as governments will use it to control us. They will push the centralized exchange to develop further and even turn it into a crypto bank to control and track us again.

[crwth]

That's not the sole purpose of cryptocurrency exchanges, though. It's usually a way to convert and trade your coins as you go along. It's going to be a little weird that cryptocurrency exchanges cease to exist just because it is globally accepted. I don't think it will work that way. Unless everyone has easy ways to have P2P or trade easily, to non-tech savvy people, there would still be cryptocurrency exchanges. Probably be many more in the future.

[ethereumhunter]

I think there will still be a need to exchange cryptocurrencies for fiat currencies. While bitcoin will eventually stabilize, the market still has plenty of coins that can trade for profit.

But getting there still takes a lot of time, especially in countries that still don't allow crypto as a commodity that can be used to be traded freely in their country. And also, crypto still needs to wait until all countries can accept it as digital money that can function as a means of payment or investment.