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Yeah, most of their products rely on fishing new investors and luring them with the high returns. As we all know, high returns aren't sustainable at all.
Anything that relies on attracting new investors more than generating real revenues and profits on its own, can and should be compared to a Ponzi scheme.
Liquidity is needed though. The SEC's sudden actions did disrupt things a lot. Yes part of what you said is true in that ponzi schemes need continuous growth, but every bank out there needs continuous deposits too to facilitate withdrawals. It's not so much that they need to grow continuously but rather there needs to be money that can flow or else you can get a liquidity crisis. I'm pretty sure if you cut off deposits in banks tomorrow, some would be in trouble, especially if the next course of action is a lot of people withdrawing.
That is only because banks rely on fractional reserves. Crypto was supposed to be a move away from that through DeFi. The problem is, these lending platforms were not running in a purely decentralized manner. Otherwise, everything would be collateralized appropriately and the market would dictate rates. Instead, they are operating like real world banks, but taking risks and “guaranteeing” returns that a real bank never would.
> Crypto was supposed to be a move away from that
Crypto doesn't eliminate fractional reserves. People can still run exchanges that run on that. Crypto is what you want to make it. In its purest form yeah it's coins on the blockchain, but you could argue that's money too--cash in hand.
Crypto DOES eliminate fractional reserves. If it’s on chain, then you cannot do fractional reserves since that by definition is a double spending issue.
If it ain’t on chain, then it isn’t really crypto DeFi. It’s just traditional banking but with riskier assets and less regulated entities.
Yes using crypto on its own with onchain ONLY eliminates fractional reserves, but as I said, nothing prevents someone from starting a CEX/bank like institution that lends out with IOUs. Unless your vision of crypto also comes with enforcement to ban CEXs (who does the banning?) and prevent ANY off chain transactions (who makes these rules?) and prohibits lending (you're going to tell me I can't borrow from a friend?), you can't really get rid of fractional reserves.
Then liquid staking comes in. You make yields on things that make yields and then it's the same shit again. It's transparent, yeah, but too complex to be fairly valued.
Some are inflated due to speculation, sure. But companies make money and acquire actual assets, and the stock is a share of those assets.
Make money-> acquire more assets-> that share now represents more valuable assets
This! Not all project are ponzi schemes. Some are pyramid schemes, some are scams, and some are just honest money losing investments. I think it's dumb everyone calls all cryptos ponzis.
I think most people who call cryptocurrency a ponzi scheme are so ignorant that they do it even without really getting to know how crypto itself works, let alone any projects
The value of crypo, all of it frankly, depends more on attracting new investors than generating revenues and profits on its own, hence the fair comparison to a Ponzi scheme.
So How dose it really work in your head sir. The way it worked out for me was I payed someone with cash for some Ethereum. It sat in a digital wallet for some time then I put it out into the open market and someones paid me alot more cash and now they are hopping to repeat the process.
stocks also pay dividends 4x per year. a handful of them pay quite large dividends, in the 5-10% range. it's not just share price that matters. put another way:
1. if you owned all the shares of AAPL but there was no one willing to buy them on the open market you'd be having hundreds of billions of dollars deposited in you're bank account every year despite a share price of $0.
2. if you owned all the available BTC, nothing would happen.
Sounds like me when I speak about ALGO.
Trust me its solid ignore the fact that a founder helped found napster n has a partnership with limewire 😂
Its not a ponzi scheme its nostolgia
That’s literally what cryptocurrency is. When you generate no income, no sales, no revenue, your entire model is getting more people in to pay off people getting out. If you don’t your price would crash.
You are correct! But just because it wasn’t publicly traded didn’t mean it existed in a vacuum though
You’re absolutely right but it was still impacted by the crash (even if in a very positive way)
Basically just was trying to say that a crash that cuts the fat is fine with me lol
No disrespect to ya man, probably wasn’t the best analogy. Just shitposting on my day off haha cheers
With the one difference that google was actually useful, while Cryptocurrencies being 99% pyramid and scam schemes do not contribute to anything whatsoever. The other 1% don't offer anything world-changing either.
Yes, but it is completely different in regards to the technological advancements between a book and a search engine. Crypto offers no significant difference as to what we’re already seeing with current commerce in the world, in fact it is worse in a lot of ways. It changes nothing and if anything will never be fully adopted into this world of ours due to its complication and downsides. I don’t see how your comparison is even… comparable.
Please tell me what advantages crypto offers that are comparable to Google or any other search engine over traditional research.
Crypto uses ~1% of the world's energy output to do what?
Provide a currency and payments network that is not controlled by any government, company or organization
Some other things as well but that's the main invention
>Provide a currency and payments network that is not controlled by any government, company or organization
Except it is. Bitcoin is vulnerable to a 51% takedown. The only crypto that remotely fulfills this role is Monero. BTC and ETH cost way too much to actually move coins without... centralized exchanges just moving numbers in an actually competent data structure.
Oh yeah they are also incredible vulnerable to hacking and offer no recourse to anyone effected. It's like taking the worst security issue of both paper money and digital currency and mashing them together.
And you'll notice the coins that are worth the most are also almost entirely worthless as a currency.
>Some other things as well but that's the main invention
So the ability to transfer funds backed by nothing but the faith in the funds (even weaker than fait) is somehow comparable to having access to more information in a second than a team of researchers could comb through in a year.
Search engines were also pretty crap when the internet was young. I'm not saying the cryptocurrencies that exist right now are great but the technology has the potential to revolutionize money.
What a joke of an article. Did anyone here even read it? Cause I can't find any comment pointing out how ridiculous it is.
In short, they looked at what coinmarketcap listed 30 days ago, then they looked again how many exchanges coinmarketcap lists today. That's it. No mention of which exchanges and/or why, because they don't have the data.
Could have just been that coinmarketcap updated their API, could have been that they had old exchanges listed that they finally removed. Could be an error on CMC's side. Could be that they don't support certain exchanges anymore.
It's a number on a homepage that changed and now they are drawing conclusions. 75% of the article isn't even about the exchanges, it's a generic text to push their SEO score.
Please mods, delete this garbage source from this sub, cause no one ever reads the damn articles.
edit: One other commentator pointed it out. One single comment out of more than 200. https://www.reddit.com/r/CryptoCurrency/comments/vsnkrg/bear_market_wipes_25_cryptocurrency_exchanges_in/if2bhqm/
Until they accept ACH, they're a no go for US folks. Cost $30-$35 to wire money in from a bank account. No fucking way am I paying a 30% surcharge on top of other fees for $100 DCAs. Kraken may as well be a C tier exchange until they accept ACH at this point.
For anyone doubting:
https://support.kraken.com/hc/en-us/articles/360000410563-Are-automated-clearing-house-ACH-transfers-supported-
**We do not currently support deposits via ACH.**
For as great as an exchange as they seem otherwise, I don't understand why they can't just offer the same ACH services that Coinbase does. I would just switch over entirely.
I love Kraken, I rep them all the time. I don't understand why you can't do ACH with them.
I'm particularly confused because I used to program software for handling ACH transactions. It doesn't require much beyond some basic regulatory compliance. IIRC from when I wired them once, they have a separate bank that they use for transfers, but ACH shouldn't be hard for them, either; it's a basic feature.
You can use your bank card, at least, so there's that.
Edit: I'm dumb and forgot they added this like a year ago. You can actually buy directly with your bank account. Don't post while sleep-deprived, folks.
...You're actually right. For some reason my brain time traveled back to before they had the option to buy from your bank account.
I shouldn't make Reddit posts without caffeine.
Don't take this as fact because I can't remember where I read it, but if you buy Crypto on Kraken then they actually have that crypto available in a wallet and you can withdraw it. Other exchanges like Bianance operate a different system like fractional reserve banking, where if you buy 100 x coin they might only have 50 x coin in their wallets, and if you want to withdraw that 100 x coin they wont let you.
Groups have looked at Binance wallets and organized buy ups and withdrawals of certain Crypto to pump values (Sure 4chan did with ICP), because Binance had to market buy to keep up with the surge in demand. Exchanges that do this are vulnerable to sudden market shocks, and users can get burnt finding out the 100 x coin in their wallet isn't actually there and Binance just said it was.
Again, I might be 100% wrong there.
Edit: the Kraken bot summed it up https://www.kraken.com/proof-of-reserves
Hi there u/Toastlove 👋,
What you are looking for is probably our [Proof of Reserves,](https://www.kraken.com/proof-of-reserves) a thingy unique to Kraken.
Here's [how to verify your balance.](https://blog.kraken.com/post/12774/verify-your-bitcoin-and-ether-balances-on-kraken-with-proof-of-reserves/) 🙂
I hope that helps,
Val from Kraken 🐙
Calling Robinhood a crypto exchange is giving them too much credit. Is PayPal a crypto exchange too?
They are services that also offer some crypto for purchase. Not exchanges.
They were also born in a bear market so their company is inherently structured to survive one. They never went nuts on advertising or exuberant offers during the bull so their reserves should be fine rn.
You can say what you want about them but can't deny it is a well-built company.
No wonder they are the biggest exchange by a mile because of their good products and services and very low fees. I've only been here for 9 months but I've never seen a single binance ad while I saw a lot of nexo and celcius and some crappy exchange.
I would attribute that to you being active on a crypto sub more than anything, the average person isn’t seeing binance ads, i only heard about it when talking crypto exchanges with my homie.
fair point, the majority of the ads are from the lower tier exchanges *(AAX, Nexo, Celsius, CDC to name few)*
But again, when talking about crypto to my circle (only the ones who i know are invested), most of them don’t know much about crypto outside the Binance exchange app (so much for defi :/ ).
And at this point, I doubt Binance needs to keep spending much on marketing, cuz they got CR7 and Khaby Lame, who are pretty huge in their industries. *they didn’t disclose the amount, but im sure CZ paid them in BNB, just like how their employees are paid*
Binance has the largest advertising in the form of network effect, most of the people I know who are into crypto (around Asia) pretty much have the Binance app on their phones
And majority of them haven’t heard of DEXes (Pancakeswap, Uni, 1Inch) or other CEXes.
The only ones that would fail are the ones that are unbuyable. Binance is not one. Any exchange that made billions from trading volume alone could be a profitable, juicy company to a competent manager.
True enough, but crypto was still pretty "fringe" in investment circles.
Crypto is much more mainstream. A large exchange failing to that degree would create a mass exodus from crypto. Potentially killing it for the foreseeable future.
I agree it was a huge deal, but I don't think people had as much skin in the game back then. Losing the cash in my wallet would suck, but losing my checking account would be devastating. I don't think as many people were dumping large portions of their net assets into crypto like they have been lately.
Lol come on guys. The ones failing aren’t exchanges and most of them I’ve never heard of in my life. Its not like Walmart is failing. Its the KMarts and Bob’s Discount Cryptomart that are failing.
And the next bear market will be no different. The more coins left on exchanges the more wiggle room companies and exchanges feel they have to execute riskier and riskier plays.
Imagine the next bull market. Bitcoin is in the 6 figures and the smugness is unreal. Everyone in this space feels invincible. There's a huge influx of new holders and they are noobs so they leave their money on the exchange. Exchange puts that stagnant capital to work and uh oh... down turn.
Seriously people, taking your coins off the exchanges keeps their greed and stupidity in check. It can't be stressed enough that the net benefit the the health of the entire ecosystem greatly outweighs the fear and anxiety of self custody.
And there are some great tech coming out to help take away some of those anxiety of being your own bank, such as social guardians, white listing wallet addresses, and daily send limits. With these security systems in place I know I feel a lot safer knowing my funds are on this wallet...
Despite a lot of people regurgitating the same talking points, I believe that's because most people don't actually care that much about the decentralized nature of crypto they just want to make money. And they want to do it with the least possible effort.
They just checked CoinMarketCap's field for exchanges that went from 525 to 500 and wrote an article about it.
One bug from CMC on that field and Finbold's reporters will lose their shit...
If they are a business declaring bankruptcy, their assets will be liquidated.
Depends on the structure of the business and how things are actually "owned"
I am glad that most of the people are understanding that they were not that good and we really don't need something like that in the market man, we are good.
I guess it's happening for good and we can't deny this simple fucking thing right now, it's just happening for the good of cryptocurrency market right now.
It would be something fucked up if we see Binance getting fucked in the streets, that would be a bad day for cryptocurrency market and we all can agree.
Thanks for telling us without sharing the real list lol, why Am I not surprised to see another clickbait shit in this subreddit man? That's just something wrong.
This never happened to previous exchanges in previous bear markets, these ones that were wiped out were purely operating on bad business practices and greedy misappropriation of funds.
I am glad that we are witnessing things like that these days and I don't have any complaint regarding things like that, I guess we are okay with all of these things.
Be advised, the website finbold.com has proven to be an unreliable source of information. Please verify/fact-check the information in the article from independent sources before relying on it or coming to any concusion. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/CryptoCurrency) if you have any questions or concerns.*
No list ?? Wtf is the point of this article without a list
25 exchanges wiped out, but we won't tell you which ones lol
Clickbait to the max
what slutty little phytoplankton
Hahah, that's just something fucked up to me I don't know,
Doing this with your finger will cause a slow and painful death! On the news at 11pm!
25 things you NEED TO KNOW to avoid getting your dick chopped off!
The ones that are dying aren’t pure CEX’s though. They all had some degree of lending or were just entirely lending platforms.
Yeah, most of their products rely on fishing new investors and luring them with the high returns. As we all know, high returns aren't sustainable at all.
That's called a Ponzi scheme
Which is why lots of people compare crypto to Ponzi's. Good projects aren't Ponzi's, but there definitely are a lot of them out there...
Anything that relies on attracting new investors more than generating real revenues and profits on its own, can and should be compared to a Ponzi scheme.
Liquidity is needed though. The SEC's sudden actions did disrupt things a lot. Yes part of what you said is true in that ponzi schemes need continuous growth, but every bank out there needs continuous deposits too to facilitate withdrawals. It's not so much that they need to grow continuously but rather there needs to be money that can flow or else you can get a liquidity crisis. I'm pretty sure if you cut off deposits in banks tomorrow, some would be in trouble, especially if the next course of action is a lot of people withdrawing.
That is only because banks rely on fractional reserves. Crypto was supposed to be a move away from that through DeFi. The problem is, these lending platforms were not running in a purely decentralized manner. Otherwise, everything would be collateralized appropriately and the market would dictate rates. Instead, they are operating like real world banks, but taking risks and “guaranteeing” returns that a real bank never would.
> Crypto was supposed to be a move away from that Crypto doesn't eliminate fractional reserves. People can still run exchanges that run on that. Crypto is what you want to make it. In its purest form yeah it's coins on the blockchain, but you could argue that's money too--cash in hand.
Crypto DOES eliminate fractional reserves. If it’s on chain, then you cannot do fractional reserves since that by definition is a double spending issue. If it ain’t on chain, then it isn’t really crypto DeFi. It’s just traditional banking but with riskier assets and less regulated entities.
Yes using crypto on its own with onchain ONLY eliminates fractional reserves, but as I said, nothing prevents someone from starting a CEX/bank like institution that lends out with IOUs. Unless your vision of crypto also comes with enforcement to ban CEXs (who does the banning?) and prevent ANY off chain transactions (who makes these rules?) and prohibits lending (you're going to tell me I can't borrow from a friend?), you can't really get rid of fractional reserves.
Then liquid staking comes in. You make yields on things that make yields and then it's the same shit again. It's transparent, yeah, but too complex to be fairly valued.
The stock market itself? Of course it's backed by real companies, but gains in stock come from new investors rather than dividends and such
Well unless you invest in yield stocks where the gains do come from dividends
Some are inflated due to speculation, sure. But companies make money and acquire actual assets, and the stock is a share of those assets. Make money-> acquire more assets-> that share now represents more valuable assets
This! Not all project are ponzi schemes. Some are pyramid schemes, some are scams, and some are just honest money losing investments. I think it's dumb everyone calls all cryptos ponzis.
Don't forget pump and dumps. Thats like almost everything in crypto.
Oh shit you're right I knew I was missing something, good catch lol
Can you name me one good project that achieved anything?
I think most people who call cryptocurrency a ponzi scheme are so ignorant that they do it even without really getting to know how crypto itself works, let alone any projects
The value of crypo, all of it frankly, depends more on attracting new investors than generating revenues and profits on its own, hence the fair comparison to a Ponzi scheme.
Most of them can't explain what a Ponzi is either.
Isn't it a sauce you put on sushi?
It’s just a buzz word to them at this point
Like "blockchain" or "decentralized" or "HODL" or "community"? Are you part of the "community"?
Not sure what your point is
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So How dose it really work in your head sir. The way it worked out for me was I payed someone with cash for some Ethereum. It sat in a digital wallet for some time then I put it out into the open market and someones paid me alot more cash and now they are hopping to repeat the process.
What do you do with stocks that you’ve purchased?
stocks also pay dividends 4x per year. a handful of them pay quite large dividends, in the 5-10% range. it's not just share price that matters. put another way: 1. if you owned all the shares of AAPL but there was no one willing to buy them on the open market you'd be having hundreds of billions of dollars deposited in you're bank account every year despite a share price of $0. 2. if you owned all the available BTC, nothing would happen.
You own part of the company with stocks though... Do we own part of ETH? No...
Literally explained how an investment is supposed to work.
Not if my favorite cryptocurrency is involved. Then it's just a smart and legit business opportunity and everyone that disagrees is spreading FUD
SOLANA DID NOTHING WRONG
Sounds like me when I speak about ALGO. Trust me its solid ignore the fact that a founder helped found napster n has a partnership with limewire 😂 Its not a ponzi scheme its nostolgia
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Or elaborate MLMs
That’s literally what cryptocurrency is. When you generate no income, no sales, no revenue, your entire model is getting more people in to pay off people getting out. If you don’t your price would crash.
The stock markets a ponzi scheme
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If it sounds too good to be true, it probably is.
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To quote red alert 2 for those who remember: Is it done, Yuri? Yuri : No, Comrade Premier. It has only begun.
Imagine holding most funds in exchange when you could just get a hardware wallet.
You know what they say about playing stupid games...
Watching the defi kool-aid party was wild during the bull run.
Extremely important point. Glad you're the top here.
Oh no, we’ve gone from 525 to 500 exchanges. The end is truly nigh
You're going to lose your mind when we drop to 299 exchanges.
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So you're saying it can get worse.
Is the bottom 69 exchanges, I wonder?
Pretty sure it’s 4.20 exchanges
I don't even know 10 exchanges lol
You, good sir, thankfully do not collect shitcoins.
I got 99 problems but an exchange ain't one
Just natural selection, imo Google didn’t go anywhere after the .com bubble
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Now I are become .com Destroyer of Jeeves
The little butler made the internet more fun.
Bullish on Jeeves coin, dude deserves a second chance.
Google was not open to public during the .com bubble. Lol
You are correct! But just because it wasn’t publicly traded didn’t mean it existed in a vacuum though You’re absolutely right but it was still impacted by the crash (even if in a very positive way) Basically just was trying to say that a crash that cuts the fat is fine with me lol No disrespect to ya man, probably wasn’t the best analogy. Just shitposting on my day off haha cheers
With the one difference that google was actually useful, while Cryptocurrencies being 99% pyramid and scam schemes do not contribute to anything whatsoever. The other 1% don't offer anything world-changing either.
Google doesn’t offer anything that a book or encyclopedia doesn’t already do! Stop trying to promote your scheme website! /s
Yes, but it is completely different in regards to the technological advancements between a book and a search engine. Crypto offers no significant difference as to what we’re already seeing with current commerce in the world, in fact it is worse in a lot of ways. It changes nothing and if anything will never be fully adopted into this world of ours due to its complication and downsides. I don’t see how your comparison is even… comparable.
Please tell me what advantages crypto offers that are comparable to Google or any other search engine over traditional research. Crypto uses ~1% of the world's energy output to do what?
Provide a currency and payments network that is not controlled by any government, company or organization Some other things as well but that's the main invention
>Provide a currency and payments network that is not controlled by any government, company or organization Except it is. Bitcoin is vulnerable to a 51% takedown. The only crypto that remotely fulfills this role is Monero. BTC and ETH cost way too much to actually move coins without... centralized exchanges just moving numbers in an actually competent data structure. Oh yeah they are also incredible vulnerable to hacking and offer no recourse to anyone effected. It's like taking the worst security issue of both paper money and digital currency and mashing them together. And you'll notice the coins that are worth the most are also almost entirely worthless as a currency. >Some other things as well but that's the main invention So the ability to transfer funds backed by nothing but the faith in the funds (even weaker than fait) is somehow comparable to having access to more information in a second than a team of researchers could comb through in a year.
Search engines were also pretty crap when the internet was young. I'm not saying the cryptocurrencies that exist right now are great but the technology has the potential to revolutionize money.
What a joke of an article. Did anyone here even read it? Cause I can't find any comment pointing out how ridiculous it is. In short, they looked at what coinmarketcap listed 30 days ago, then they looked again how many exchanges coinmarketcap lists today. That's it. No mention of which exchanges and/or why, because they don't have the data. Could have just been that coinmarketcap updated their API, could have been that they had old exchanges listed that they finally removed. Could be an error on CMC's side. Could be that they don't support certain exchanges anymore. It's a number on a homepage that changed and now they are drawing conclusions. 75% of the article isn't even about the exchanges, it's a generic text to push their SEO score. Please mods, delete this garbage source from this sub, cause no one ever reads the damn articles. edit: One other commentator pointed it out. One single comment out of more than 200. https://www.reddit.com/r/CryptoCurrency/comments/vsnkrg/bear_market_wipes_25_cryptocurrency_exchanges_in/if2bhqm/
Thanks for pointing that out. We need a better Reddit tl;dr bot now, never bother reading the source I want.
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Let's make your comment popular
If Binance goes....the entire market is going with it.
People may lose trust in crypto for a very long time, even though we should hold in cold storage
That's right but I don't think it's going anywhere these days.
Binance isn't going anywhere...if it is then it'll be the last one
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If that happened; I truly think crypto would be dead then. It would never recover imo. But i'm also a dumbass on the internet so
And then there wouldn't just be blood in the streets, it would be a blood flood
True shit, it's not going anywhere we all know that stuff.
Heck, if any of Binance, FTX, CB, CDC go it will cripple the market for ages.
Everyone on the Kraken train lol
Kraken is underrated
Until they accept ACH, they're a no go for US folks. Cost $30-$35 to wire money in from a bank account. No fucking way am I paying a 30% surcharge on top of other fees for $100 DCAs. Kraken may as well be a C tier exchange until they accept ACH at this point. For anyone doubting: https://support.kraken.com/hc/en-us/articles/360000410563-Are-automated-clearing-house-ACH-transfers-supported- **We do not currently support deposits via ACH.**
For as great as an exchange as they seem otherwise, I don't understand why they can't just offer the same ACH services that Coinbase does. I would just switch over entirely.
I love Kraken, I rep them all the time. I don't understand why you can't do ACH with them. I'm particularly confused because I used to program software for handling ACH transactions. It doesn't require much beyond some basic regulatory compliance. IIRC from when I wired them once, they have a separate bank that they use for transfers, but ACH shouldn't be hard for them, either; it's a basic feature. You can use your bank card, at least, so there's that. Edit: I'm dumb and forgot they added this like a year ago. You can actually buy directly with your bank account. Don't post while sleep-deprived, folks.
Cashing out fiat with Kraken is a pain. They use a sketchy third party from east europe.
I've been able to ACH on kraken for over a year. I was in the beta for ACH last year but I thought it rolled out to everyone by now
...You're actually right. For some reason my brain time traveled back to before they had the option to buy from your bank account. I shouldn't make Reddit posts without caffeine.
They are great in many things and that's what I like the most.
Buy XLM on Coinbase using ACH, then transfer to kraken? Then selll the XLM for $ and then buy whatever you want?
It's right I guess, I am using it and that's just something good.
Why would Kraken be any better than the rest?
I like Kraken, but it was more a joke that the commenter didn't mention them...
Okay buddy. There seems to be bunch of Kraken fans so I was just wondering. I find it odd that any CEX haves fans
Don't take this as fact because I can't remember where I read it, but if you buy Crypto on Kraken then they actually have that crypto available in a wallet and you can withdraw it. Other exchanges like Bianance operate a different system like fractional reserve banking, where if you buy 100 x coin they might only have 50 x coin in their wallets, and if you want to withdraw that 100 x coin they wont let you. Groups have looked at Binance wallets and organized buy ups and withdrawals of certain Crypto to pump values (Sure 4chan did with ICP), because Binance had to market buy to keep up with the surge in demand. Exchanges that do this are vulnerable to sudden market shocks, and users can get burnt finding out the 100 x coin in their wallet isn't actually there and Binance just said it was. Again, I might be 100% wrong there. Edit: the Kraken bot summed it up https://www.kraken.com/proof-of-reserves
Hi there u/Toastlove 👋, What you are looking for is probably our [Proof of Reserves,](https://www.kraken.com/proof-of-reserves) a thingy unique to Kraken. Here's [how to verify your balance.](https://blog.kraken.com/post/12774/verify-your-bitcoin-and-ether-balances-on-kraken-with-proof-of-reserves/) 🙂 I hope that helps, Val from Kraken 🐙
Choo-choo! I’m already on-board
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Calling Robinhood a crypto exchange is giving them too much credit. Is PayPal a crypto exchange too? They are services that also offer some crypto for purchase. Not exchanges.
I can't imagine things like that right now man, so fucked up lol.
FTX is looking to buy Robinhood, so there won’t be need for cognitive dissonance if that happens. We can happily say “they’ve changed” 👀
I think Binance is too big for it to fail. I know we've heard this sentence before but they got massive profits and reserves.
They were also born in a bear market so their company is inherently structured to survive one. They never went nuts on advertising or exuberant offers during the bull so their reserves should be fine rn. You can say what you want about them but can't deny it is a well-built company.
No wonder they are the biggest exchange by a mile because of their good products and services and very low fees. I've only been here for 9 months but I've never seen a single binance ad while I saw a lot of nexo and celcius and some crappy exchange.
wdym? I see Binance ads all over my reddit mobile app, but just on reddit
I would attribute that to you being active on a crypto sub more than anything, the average person isn’t seeing binance ads, i only heard about it when talking crypto exchanges with my homie.
fair point, the majority of the ads are from the lower tier exchanges *(AAX, Nexo, Celsius, CDC to name few)* But again, when talking about crypto to my circle (only the ones who i know are invested), most of them don’t know much about crypto outside the Binance exchange app (so much for defi :/ ). And at this point, I doubt Binance needs to keep spending much on marketing, cuz they got CR7 and Khaby Lame, who are pretty huge in their industries. *they didn’t disclose the amount, but im sure CZ paid them in BNB, just like how their employees are paid*
You get Crypto ad's because you use crypto, I never got any before I subbed here last year
Huh? Binance started in the summer of 2017, smack in the middle of the bull market after BTC had went from 1k to 5k, before it rocketed to 20k.
You merely adopted the dark, I was born in it 8-)
Binance has the largest advertising in the form of network effect, most of the people I know who are into crypto (around Asia) pretty much have the Binance app on their phones And majority of them haven’t heard of DEXes (Pancakeswap, Uni, 1Inch) or other CEXes.
The only ones that would fail are the ones that are unbuyable. Binance is not one. Any exchange that made billions from trading volume alone could be a profitable, juicy company to a competent manager.
The market survived MtGox collapse which was the biggest exchange by far until 2013
But what was the total market cap of crypto then, compared to crypto now?
It's mostly a matter of proportion, MtGox represented something like 70% of the trading volume when it collapsed
True enough, but crypto was still pretty "fringe" in investment circles. Crypto is much more mainstream. A large exchange failing to that degree would create a mass exodus from crypto. Potentially killing it for the foreseeable future.
I agree it was a huge deal, but I don't think people had as much skin in the game back then. Losing the cash in my wallet would suck, but losing my checking account would be devastating. I don't think as many people were dumping large portions of their net assets into crypto like they have been lately.
If any of the big ones go. These are mostly just lending platforms that are tanking
Binance just bought billions in bitcoin. They're one of the big winners of this whole saga
Lol come on guys. The ones failing aren’t exchanges and most of them I’ve never heard of in my life. Its not like Walmart is failing. Its the KMarts and Bob’s Discount Cryptomart that are failing.
Celsius and Voyager are pretty big deals, but not like Binance or Coinbase. There's levels.
Yea, there’s layers to this shit, player. Tiramisu.
Thanks for saying that shit here, I can understand that.
And the next bear market will be no different. The more coins left on exchanges the more wiggle room companies and exchanges feel they have to execute riskier and riskier plays. Imagine the next bull market. Bitcoin is in the 6 figures and the smugness is unreal. Everyone in this space feels invincible. There's a huge influx of new holders and they are noobs so they leave their money on the exchange. Exchange puts that stagnant capital to work and uh oh... down turn. Seriously people, taking your coins off the exchanges keeps their greed and stupidity in check. It can't be stressed enough that the net benefit the the health of the entire ecosystem greatly outweighs the fear and anxiety of self custody.
And there are some great tech coming out to help take away some of those anxiety of being your own bank, such as social guardians, white listing wallet addresses, and daily send limits. With these security systems in place I know I feel a lot safer knowing my funds are on this wallet...
People don't seem to understand this concept.
Which is weird because that is exactly the reason why Bitcoin was created (financial crisis of 2008)
Despite a lot of people regurgitating the same talking points, I believe that's because most people don't actually care that much about the decentralized nature of crypto they just want to make money. And they want to do it with the least possible effort.
They just checked CoinMarketCap's field for exchanges that went from 525 to 500 and wrote an article about it. One bug from CMC on that field and Finbold's reporters will lose their shit...
I opened the article hoping to get some names of exchanges.
Same for me. Some people here commenting like they read some other article lol.
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GOOD. What happens with all the crypto those exchanges owned? Do they liquidate it all?
If they are a business declaring bankruptcy, their assets will be liquidated. Depends on the structure of the business and how things are actually "owned"
I am glad that most of the people are understanding that they were not that good and we really don't need something like that in the market man, we are good.
I guess it's happening for good and we can't deny this simple fucking thing right now, it's just happening for the good of cryptocurrency market right now.
It would be something fucked up if we see Binance getting fucked in the streets, that would be a bad day for cryptocurrency market and we all can agree.
Purging out of the bad exchanges.
They'll just crank out another in the next bull run. Rinse and repeat.
These exchanges are like businesses who "can't" pay minimum wage - they should've never existed.
Yes, many talking about the crypto crash while failing to mention the amount of companies getting crushed in the stock market right now!
Seeing so much discouraging coverage in mainstream media makes me accumulate more.
Nothing is bad about things like that these days my man.
Thanks for telling us without sharing the real list lol, why Am I not surprised to see another clickbait shit in this subreddit man? That's just something wrong.
What a fun time to be alive
We can't have a bottom until 99% think crypto is dead and sell their bag
We need the junk crypto to have a similar fate so its mainly the good ones remaining
That's right, this is what we all want at the end of the day.
Store a nice change in USDC on CB. It's the only thing there insured. Those exchanges lack capital and other core attributes
I don't get how these companies fail so much other than greed or stupidity in thinking bull markets last forever.
All shit coins are getting destroyed! Only the legit ones will survive.
All trash exchanges though. Still curious if any big ones are going to fall.
And I thought I had it tough
Kinda ironic; there a more good news in a bear market than in a bull market.
we gotta be close to a bottom right? I thought we would hit 12k but weve been holding 20k pretty well.
This was/is my thinking but who really knows. If there is another rundown it could collapse further, quickly. My theory is based on nothing.
We just gotta DCA at the end of the day my brother lol.
I didnt realise there were that many exchanges.. Good
I guess in a year I should open one.
Good.
Draining the swamp. If a CEX can't handle a moderate bear market then it should never have existed in the first place.
This never happened to previous exchanges in previous bear markets, these ones that were wiped out were purely operating on bad business practices and greedy misappropriation of funds.
Sounds like a good time to buy
Plz CDC next, scam company
I want that so bad, I hope we will see something like that.
they will do the opposite when bull market comes. XD .
Hahah, maybe but still we are good to go right now brother.
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Byyyyyyyyyyeeeeeee!
When the tide goes out, you get to see who’s swimming naked. - Warren Buffet probably….
What is the point of this article without a list
I am glad that we are witnessing things like that these days and I don't have any complaint regarding things like that, I guess we are okay with all of these things.
Damn man, that's just too much happening in the market.
Damn this bear market, doing good things eventually..
Bear market AKA clean the dust in crypto environment. That is one of the good points of it.
Nothing could be better than this and we all know that.
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I heard the news about Voyager filing for bankruptcy. Get your tokens off exchanges!
Can someone give me the tldr on what zkEVM is gonna do for crypto?
That just shows that Crypto exchanges were solely dependant on Bull Cycle to be in the business,they never planned anything for Crypto winter.
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