People are giving too much importance to exchanges

[Ale88]

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

First of all you are mixing Binance and Binance US, and those are two completely separate entities. If Binance created Binance US is exactly to avoid problem with the main exchange because they know how things (don't) work in the US thanks to the SEC. Now let's talk about exchanges: does bitcoin need exchanges? No. Do ordinary people need exchanges because they're the simplest way to buy crypto? I would say yes. If you care only about bitcoin's existence then you're fine, if you care also about bitcoin's value then you shouldn't be here hoping that exchanges fail.

[Texac]

If you are not interested in the exchange, you should not create this topic you should continue to hold your bitcoins. Everyone has the right to choose, you can't force everyone to follow your opinion.  i'm not a fan of centralized exchanges, but I don't hate them either, but to be fair, they're not as bad as you say.  they really have many utilities and benefits for us, I think without them, the crypto industry wouldn't be as strong as it is today.

[nullama]

If you are not interested in the exchange, you should not create this topic you should continue to hold your bitcoins. Everyone has the right to choose, you can't force everyone to follow your opinion.  i'm not a fan of centralized exchanges, but I don't hate them either, but to be fair, they're not as bad as you say.  they really have many utilities and benefits for us, I think without them, the crypto industry wouldn't be as strong as it is today.

Yeah, exchanges are important to help with the transition from fiat to Bitcoin.

As long as people keep getting paid in fiat for their goods and services, there will be a need for having exchanges.

The moment people realize they can skip that middleman by getting paid in Bitcoin directly, then everything would be better and exchanges won't be needed. It's a temporary solution.

[isaac_clarke22]

That's true, a lot of people I've seen complaining about their exchange accounts getting compromised and their assets being stolen because they have been keeping all their assets in their exchange account which is a big mistake, someone should only keep a specific amount of money in exchange, the money that they use as their trading capital if they are making trades regularly.

If someone doesn't make trades on a daily or a regular basis, they should simply keep their assets in a non-custodial wallet where they will be the only ones to have access to them and no one can access them unless they leak their seed phrase or private keys.

To be fair, it's kinda hassle for some people to move in and out their funds between exchange and their wallet and to be honest back then, I was like that when I was day trading in Binance. After I learned the horror stories of people getting their funds frozen, I started to slap myself so bad that I would not do that every again.

It's the worst thing you could possibly encounter aside from being scammed around crypto. Just recently I found out that my local web wallet has been upgrading the wallets and I just found my funds being moved from another app and my heart almost sank finding that out. Good thing that I did not lose the funds though.

[Abiky]

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

Exactly. I'd say 99% of cryptocurrencies are centralized, while only a small few are truly decentralized. It's all about money these days, so exchanges will list coins that will bring the most profits (even if they're utterly-centralized). This is sad because it strips away crypto's original purpose of eliminating the middleman for good. Even ETH became centralized with the PoS upgrade. It's going to get worse if developers successfully increase the minimum ETH for staking from 32 ETH to 2048 ETH. The number of DEXs are also declining, as CEXs are taking over the whole industry.

It's not that people are giving importance to exchanges, but rather VCs and institutional investors alike. Crypto is now in the hands of Wall Street. Centralization will go on top of everything else just to satisfy the government. There's been renewed interest into crypto from institutional investors, so market prices will only go up in the future. Who knows how far BTC will go? Just my thoughts

[carlfebz2]

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

Exactly. I'd say 99% of cryptocurrencies are centralized, while only a small few are truly decentralized. It's all about money these days, so exchanges will list coins that will bring the most profits (even if they're utterly-centralized). This is sad because it strips away crypto's original purpose of eliminating the middleman for good. Even ETH became centralized with the PoS upgrade. It's going to get worse if developers successfully increase the minimum ETH for staking from 32 ETH to 2048 ETH. The number of DEXs are also declining, as CEXs are taking over the whole industry.

It's not that people are giving importance to exchanges, but rather VCs and institutional investors alike. Crypto is now in the hands of Wall Street. Centralization will go on top of everything else just to satisfy the government. There's been renewed interest into crypto from institutional investors, so market prices will only go up in the future. Who knows how far BTC will go? Just my thoughts

Nothing surprising on which these institutional investors or even to those government sectors who do quietly making up some accumulation in silent is really that something happening without us noticing.

It wont really be shocking on how they would really be getting some involvement due to the things that sees some opportunity to make money. The only coins which i do consider out to be fully decentralized is Bitcoin, ZCASH, XMR and some which it is true that as we do go farther ahead on which centralization becomes more evident which it is really that totally opposing the general idea of cryptos existence in the first place.
Well, lets just embrace out and as if we do have other choice? of course none but dealing up with exchangers does have that kind of benefit which is something that brings convenience
but in exchange for that exposing ourselves. 

[Ale88]

That's true, a lot of people I've seen complaining about their exchange accounts getting compromised and their assets being stolen because they have been keeping all their assets in their exchange account which is a big mistake, someone should only keep a specific amount of money in exchange, the money that they use as their trading capital if they are making trades regularly.

If someone doesn't make trades on a daily or a regular basis, they should simply keep their assets in a non-custodial wallet where they will be the only ones to have access to them and no one can access them unless they leak their seed phrase or private keys.

To be fair, it's kinda hassle for some people to move in and out their funds between exchange and their wallet and to be honest back then, I was like that when I was day trading in Binance. After I learned the horror stories of people getting their funds frozen, I started to slap myself so bad that I would not do that every again.

It depends on what you use the exchanges for: if you do daily trading then you have to leave the funds on the exchange, there is no other solution. Is it a risk? Yes, of course. If you buy for the long term and you leave the funds on the exchange because you're lazy it's a totally different story. Personally I just leave on exchanges some shit coins, I would never leave a single satoshi.

[Bushdark]

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

This is why we should never plan to keep our coin on exchanges because this might make us lose some good amount of money if the exchange crash. The people that have big funds in FTX cannot still access there funds till today because of the mismanagement of funds if customers by the team. Exchanges are using our money to make themselves richer when we swap our coins and trade on the platform.

If many of these exchanges crash, many investors are going to lose there money because many people are not still ready to remove there funds from exchanges or reduce the amount of money they have there maybe in case they want to swap or trade on the platform. Bitcoin will always fall and rise so we need to be ready for anything the market want to do.

[Blitzboy]

I think cryptocurrencies are not decentralized, only a few are decentralized, and the rest are centralized. Decentralized exchanges have existed for a long time, but so far, it has not been able to compete with centralized exchanges for several reasons. And I also don't believe in the future, it can replace CEXs, very unlikely. Although many people will not like this, but CEX will never completely disappear, if Binance collapses, there will be one and many others to replace it. This is an area that makes a lot of money, I don't think people will ignore it.

Exactly. I'd say 99% of cryptocurrencies are centralized, while only a small few are truly decentralized. It's all about money these days, so exchanges will list coins that will bring the most profits (even if they're utterly-centralized). This is sad because it strips away crypto's original purpose of eliminating the middleman for good. Even ETH became centralized with the PoS upgrade. It's going to get worse if developers successfully increase the minimum ETH for staking from 32 ETH to 2048 ETH. The number of DEXs are also declining, as CEXs are taking over the whole industry.

It's not that people are giving importance to exchanges, but rather VCs and institutional investors alike. Crypto is now in the hands of Wall Street. Centralization will go on top of everything else just to satisfy the government. There's been renewed interest into crypto from institutional investors, so market prices will only go up in the future. Who knows how far BTC will go? Just my thoughts

Crypto-world is indeed flooded with centralized altcoins, isnt it? These newbies, clamoring for exchange stardom, ironically stray from crypto's original intent. Bitcoin, our founding father, aimed to bypass financial middlemen. But it seems that fresh coins care more about market monopoly and profits than preserving Satoshi's dream.

Even Ethereum's switch to Proof of Stake (PoS) has drawn flak, with fears that raising the staking minimum from 32 to 2048 ETH will concentrate power. The ascent of Centralized Exchanges (CEXs) over Decentralized Exchanges (DEXs) stirs debate. Yet, I contest its a sign of cryptos demise. Remember, Bitcoin, the decentralization lighthouse, still rules. Its soaring value could usher in more decentralized offshoots.

[nullama]

~snip~
This is why we should never plan to keep our coin on exchanges because this might make us lose some good amount of money if the exchange crash. The people that have big funds in FTX cannot still access there funds till today because of the mismanagement of funds if customers by the team. Exchanges are using our money to make themselves richer when we swap our coins and trade on the platform.

If many of these exchanges crash, many investors are going to lose there money because many people are not still ready to remove there funds from exchanges or reduce the amount of money they have there maybe in case they want to swap or trade on the platform. Bitcoin will always fall and rise so we need to be ready for anything the market want to do.

Yes, you should always keep your bitcoin in your own wallet.

Exchanges should be used only to exchange bitcoin, as the name implies. There's nothing good about storing your bitcoin at their wallets. Ideally you should setup an automatic transfer after a threshold is reached, and always keep your money off exchanges.

[RockBell]

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

One thing about the Bitcoin market is that it always goes with the trend, which is why the price is always affected whenever there is bad news, just like you said about FTX. When you tell people that exchanges are not safe to keep your money on, people don't believe you. What happened with FTX should be a lesson to many.

People who do not learn will continue to deposit their money in exchanges because they believe it is safe and easy to transact with, which is why they constantly keep their money there.

[Forever101]

Well , the only solution to what you just said is until people start holding their bitcoins on non custodial wallet so that the effect of any exchange will not matter too much to them. Secondly, users should use different exchanges  to avoid any shock from exchanges

[nullama]

~snip~
One thing about the Bitcoin market is that it always goes with the trend, which is why the price is always affected whenever there is bad news, just like you said about FTX. When you tell people that exchanges are not safe to keep your money on, people don't believe you. What happened with FTX should be a lesson to many.

People who do not learn will continue to deposit their money in exchanges because they believe it is safe and easy to transact with, which is why they constantly keep their money there.

History repeats itself.

Mt.Gox should have been the only time when this happened, and people should have learned and realized the dangers of leaving your bitcoin in exchanges.

Instead, people continued leaving their bitcoin in exchanges and they kept collapsing.

This will continue to happen in the future as well.

[Abiky]

Crypto-world is indeed flooded with centralized altcoins, isnt it? These newbies, clamoring for exchange stardom, ironically stray from crypto's original intent. Bitcoin, our founding father, aimed to bypass financial middlemen. But it seems that fresh coins care more about market monopoly and profits than preserving Satoshi's dream.

Even Ethereum's switch to Proof of Stake (PoS) has drawn flak, with fears that raising the staking minimum from 32 to 2048 ETH will concentrate power. The ascent of Centralized Exchanges (CEXs) over Decentralized Exchanges (DEXs) stirs debate. Yet, I contest its a sign of cryptos demise. Remember, Bitcoin, the decentralization lighthouse, still rules. Its soaring value could usher in more decentralized offshoots.

Exactly. Everything is heading off course. Crypto is slowly being taken to the hands of "Wall Street" players. Expect CEXs to become bigger and stronger than ever before. With centralization at stake, governments can do anything they want to control crypto use around the world. They can simply target CEXs and manipulate them for their own benefit. DEXs, and the other hand, are much difficult (or almost impossible) to control, rendering governments' efforts useless. However, these exchanges represent a small market share compared to their centralized counterparts.

You can still use crypto with a DEX even with government restrictions in place, but you won't get the same convenience as a CEX. I'm afraid the industry will move away from Satoshi's original vision in the long run. At least, not all hope is lost. As long as there's one decentralized cryptocurrency (mainly BTC), we should have nothing to worry about. Just my thoughts

[Mrengage]

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

I use binance  for a long time now, but with what is happening around between SEC and BINANCE I won't even recommended anyone leaving funds in exchange. but I noticed many are very comfortable with binance the interface is user friendly, so it will be kind of hard for many to master other exchanges in my opinion. Am just using them for P2P purposes nothing more and nothing less.

[mendace]

I use binance  for a long time now, but with what is happening around between SEC and BINANCE I won't even recommended anyone leaving funds in exchange. but I noticed many are very comfortable with binance the interface is user friendly, so it will be kind of hard for many to master other exchanges in my opinion. Am just using them for P2P purposes nothing more and nothing less.

Binance will be the next FTX sooner or later it will be inevitable and will leave all the chickens who have funds inside speechless.  Unfortunately the human being never even learns from the mistakes already made because he is greedy and then complains that he has been screwed ... fuck

[cytpoway121]

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

The best way to defeat the fear and panic that comes from Exchanges (Centralized or SDecentralized) being attacked in the news is to keep your funds in your wallet. I believe this is why it gets repeated time and time again that if you keep funds in an exchange platform; it is not yours!>

Also, one exchange especially a reputable one going down is enough to cause fuds and force weak hands off their hodlings; it is only natural. Bitcoin is here to stay, bitcoin is going to be around for a very long time too.

Finally, i care about binance and other reputable cex haha; they are the safest source of p2p for me.

[milewilda]

Crypto-world is indeed flooded with centralized altcoins, isnt it? These newbies, clamoring for exchange stardom, ironically stray from crypto's original intent. Bitcoin, our founding father, aimed to bypass financial middlemen. But it seems that fresh coins care more about market monopoly and profits than preserving Satoshi's dream.

Even Ethereum's switch to Proof of Stake (PoS) has drawn flak, with fears that raising the staking minimum from 32 to 2048 ETH will concentrate power. The ascent of Centralized Exchanges (CEXs) over Decentralized Exchanges (DEXs) stirs debate. Yet, I contest its a sign of cryptos demise. Remember, Bitcoin, the decentralization lighthouse, still rules. Its soaring value could usher in more decentralized offshoots.

Exactly. Everything is heading off course. Crypto is slowly being taken to the hands of "Wall Street" players. Expect CEXs to become bigger and stronger than ever before. With centralization at stake, governments can do anything they want to control crypto use around the world. They can simply target CEXs and manipulate them for their own benefit. DEXs, and the other hand, are much difficult (or almost impossible) to control, rendering governments' efforts useless. However, these exchanges represent a small market share compared to their centralized counterparts.

You can still use crypto with a DEX even with government restrictions in place, but you won't get the same convenience as a CEX. I'm afraid the industry will move away from Satoshi's original vision in the long run. At least, not all hope is lost. As long as there's one decentralized cryptocurrency (mainly BTC), we should have nothing to worry about. Just my thoughts

Time comes that every platforms that touches up fiat transactions would really be legalized. This is the main difference in between CEX and DEX is that the other side do engage up with fiat transactions on which it would be understandable that government would really be trying out to take advantage into that. Yes, its really that convenient on making use of these centralized platforms on which you could really be able to make out conversions of your coins to fiat and directly sent out into your bank account which undeniably that convenient for any traders or investors out there and this is why we do really touch up this area because of such reason.
This is why when it comes to risk management then it would really be that depending or according into your own approach on how you would really be handling your assets despite of this gradual dominance of government
on trying out to control on everything. Its inevitable i would say but its true that we could still get a hold of our Bitcoins without being known which this is the only thing we could really be that confident on.

[nullama]

~snip~
The best way to defeat the fear and panic that comes from Exchanges (Centralized or SDecentralized) being attacked in the news is to keep your funds in your wallet. I believe this is why it gets repeated time and time again that if you keep funds in an exchange platform; it is not yours!>

Also, one exchange especially a reputable one going down is enough to cause fuds and force weak hands off their hodlings; it is only natural. Bitcoin is here to stay, bitcoin is going to be around for a very long time too.

Finally, i care about binance and other reputable cex haha; they are the safest source of p2p for me.

Companies, like exchanges, come and go over time.

Bitcoin, on the other hand, is here to stay for the long term.

If you keep your bitcoin in your own cold wallet, it will be there tomorrow, and in the next few years.

If you trust your bitcoin with a third party, well, anything can happen, and you are not guaranteed to see it tomorrow, or in the next few years. The reason why the company doesn't have your bitcoins will be irrelevant, it can be many things.

[tread93]

6 months ago, my savings went down because of the FTX debacle. I've never used FTX, I've never been a customer of this company, but my savings are in BTC, and because of that failure, BTC's value went down, and so went my savings.

Today, bis repetita. I've never used Binance. I've never been a customer of this company, but because the SEC sues Binance, BTC is down, and so are my savings, so I have a message to all bitcoiners out there.

Exchanges and BTC are 2 different things. One exchange going down doesn't mean BTC must follow.
Binance will disappear? I don't give a damn.

A lot of what causes the change in the price is market speculation, and so naturally a decrease in the price due to SEC throwing down sanctions on Binance would definitely affect consumer sentiment on their investments that are on Binance, for example, and if I still had money on there I would have been rushing to get it out and off of the exchange. In this scenario you can see how a lot of people probably got all their coins off and sold right away. Just an example, I mean I definitely see where you're coming from but your personal feelings on current events wont change this haha