If you're stopping by for the first time and you haven't already and you want to, please subscribe.

Central trading platforms are collapsing while bitcoin market activity moves quickly, and decentralized platforms are taking center stage.

 Several large cryptocurrency trading platforms had trouble staying open and in business during Wednesday's market crash, which saw Bitcoin and Ethereum lose 30% and 40% of their value respectively within 24 hours.


Coinbase, the leader in the US crypto market, reported intermittent crashes throughout the morning, while the world-popular Binance trading platform temporarily halted withdrawals of Ethereum-related cryptocurrencies. 

Gemini reportedly encountered delays in processing transactions, and Kraken indicated problems with Connection.


 While the decentralized trading platforms managed to remain operational despite the high volumes resulting from yesterday's selling.


Centralized trading platforms such as Coinbase allow people to buy, sell and trade cryptocurrencies via an exchange platform.


In this business model, trades are not recorded on the blockchain, but rather within the platform's private wallets; The platform takes custody of cryptocurrencies.


In contrast, decentralized trading platforms help peer-to-peer trading and do not keep users' assets.


One of the advantages of decentralized trading platforms is that they are often immune to the interruptions facing their central peers.


This is because they are distributed protocols that use smart contracts on a public blockchain, often Ether, operating it.


As long as the blockchain is in operation, the decentralized trading platforms also continue to trade.


Blockchain networks contain built-in redundancy so that they get rid of downtime, as millions of computers run programs around the world.


Ashley Shab, head of growth at Uniswap, a pioneer in the decentralized platform arena, said the platform was running this Wednesday morning.


But all this does not mean that trading via the DEX decentralized trading platform does not have a downside.


For starters, tradable cryptocurrencies are often limited to those that use the same blockchain as the DEX decentralized trading platforms, which makes purchasing assets like Bitcoin less easy.


Yet, one can purchase a laminated version that mimics the price of Bitcoin as “wBTC”.


The "THORChain" blockchain has also appeared, which is integrated with the "ShapeShift" trading platform, eliminating the need for encapsulated Bitcoin completely.


The disadvantages of decentralized trading platforms are the high fees, network congestion, and the difficulty of use as they are characterized by user interfaces, unlike centralized trading platforms.


However, it remains one of the solutions that can be resorted to at a time when the central trading platforms are stopped, which has become common and usual.

Comments

Post a Comment


To stay up-to-date with all of our latest content, please consider following us on social media.




Popular posts from this blog

Create a Payza account Free in 2 minutes!

Image
Payza is a free online payment service, like Paypal, Neteller and Payoneer, allowing you to send, transfer and receive money online very easily and securely. And you can also transfer money to your bank account or add it to your Payza account. How to open / create a Payza account? Registration is quick and easy, just click here www.payza.org then: - Click on "Sign up" and choose your type of account you want "Personal Account or Business". - Fill in your personal data correctly: Your no name and first name, email address and password "Enter at least 8 characters, include capital letters, lowercase letters, numbers and symbols". After your registration do not forget to check your mailbox to confirm your registration. Wait! Things are not done yet, let's talk about services, which Payza offers its members: 1. Opening an account for free and without annual fees. 2. Send money fast and safely. 3. Receive your payments quickly and sec...
Read more

Digital encapsulated tokens issued by FTX or Alameda are no longer redeemable!

Image
  Following FTX's Chapter 11 bankruptcy filing, the encapsulated cryptocurrency issued by crypto exchange FTX or its sister trading partner Alameda Research has now been hit by a significant drop in prices. According to Coingecko data, the bitcoin encapsulated on Sollet has fallen by more than 60% in the past 24 hours, significantly below the value of the original bitcoin. In contrast, the price of Ethereum encapsulated on Sollet also fell but by only 8% over the same 24-hour time frame. It should be noted that for both encapsulated digital tokens, soETH and soBTC, Coingecko displays a warning notice on its website that: SOBTC digital tokens are encapsulated with bitcoin tokens issued by FTX or ALAMEDA. These two entities have filed for Chapter 11 bankruptcy, so the original cryptocurrency is no longer recoverable. Cryptocurrencies, such as Bitcoin or Ethereum, on Solana make these assets available for use on the Solana blockchain so that users can hold or trade them in place of ac...
Read more

Huobi Group Announces the Launch of its Huobi Ventures Fund

Image
  Huobi Group, one of the world's leading crypto companies, has announced the launch of its “Huobi Ventures” investment fund. The subsidiary will have a $ 100 million investment fund that will focus on growing Huobi's investment portfolio and supporting various blockchain projects through long-term investment strategies. The new investment arm will put $ 100 million in blockchain and decentralized financing projects, DeFi, in its early stages over the next three years. The fund is also expected to be used to make strategic acquisitions to diversify and expand the "Huobi" portfolio and to create a dedicated non-exchangeable tokens (NFT) fund worth $ 10 million. Huobi Ventures integrates a number of existing investment vehicles including Huobi Eco Fund, Huobi Capital and Huobi DeFi Labs together. The new entity is now expected to lead Huobi's investment strategy. The new Huobi Ventures Fund is Huobi’s latest move to diversify its operations away from trading. This c...
Read more

Binance Launches $500 Million Loan Program to Support Bitcoin Miners, Who Can Get It?

Image
 Binance Pool, a mining subsidiary of Binance, has launched a $500 million lending project to support the cryptocurrency mining industry. It will provide loans to private Bitcoin (BTC) miners. According to an official blog post published on October 14, Binance Pool will provide access to a $500 million loan fund with several terms, which include the tenure of 18 to 24 months, and interest rates from 5% to 10%, against certain physical or digital assets. as a guarantee. To determine a borrower's creditworthiness, the company will look at various metrics, including current performance, mining strength, and security. Binance Pool will also launch cloud mining products, directly buying cloud mining hash power from bitcoin mining digital infrastructure providers. Speaking, a Binance spokesperson clarified that the potential lending criteria will only accept secured lenders: “One of the requirements is that the applicant must be classified as a Binance VIP user and have a minimum of PH/...
Read more

Create a Paysera bank account

Image
How to open/create a Paysera account? Paysera Bank is one of the best electronic banks in 2021 and was founded in 2006, with its headquarters in Lithuania. Paysera bank started as a real bank and not electronic, then after that it modernized and developed its services and became the owner of electronic bank services as well, surpassing its counterparts from other electronic banks. Advantages of Paysera card You can have a bank account with them for free. Provides the Visa Paisera card service that helps you activate your PayPal account. Currency exchange service that includes about 32 multiple currencies. More than 150 countries around the world can transfer money with the Paisera card Bank. The lowest commission and costs among its counterparts from other electronic banks. You can order up to five Visa cards for each account you hold with them. It has a high degree of security and account protection. You can transfer your paysera account to your WebMoney account or to your Payza bank...
Read more