What makes a good crypto-exchange? - II
posted

A well-run crypto-exchange should have much in common with a well-run street market. What should you look for?

Transparent and fair prices.  In most cities where they can be found, street markets are well known by local people for the low prices and high quality of the produce that the stallholders offer. Regardless of what you may be looking for – fruit, vegetables, meats, fish, cheeses and/or much else besides – it is almost always on offer from more than one stall. The competition means that all stallholders have to offer a fair deal to customers like you. If the crypto-coin that you want is traded on more than one crypto-exchange, do some homework to ensure that you are not paying above the odds as a buyer. If the crypto-coin that you want is only traded on the one exchange, be sure that you can rationalise the price that you are paying.

Best execution. Execution is simple in a street market. You agree to buy something at the prevailing price, make payment (with stallholders preferring cash to cards in many places) and take delivery. If you are buying a crypto-coin through a crypto-exchange, you should ensure that the price at which you are buying is fair relative to the prices at which other people are buying the same crypto-coin at about that time. If the price of the crypto-coin rises sharply at the time that you are buying, the implication is that the market is illiquid or that, for some other reason, you are not getting best execution. 

Payment against delivery. As noted above, ownership of goods changes in a street market at the moment that you make payment. In the Crypto World, there may be a delay between the time that you pay for a crypto-coin in an Initial Coin Offering (ICO) and the time that you have the ability to do what you wish with the crypto-coin. If you are buying an existing coin, though, you should have control of it from the moment that payment is made.

Custody. A street market generally does not provide custody services. Once a customer has made a purchase, he/she is responsible for the safekeeping of the goods. Fresh foodstuffs that are not consumed immediately are preserved in the fridge. Some crypto-exchanges do not provide custody services. Once you have bought a crypto-coin, you are responsible for keeping it safe – ideally in a cold wallet. If, however, the crypto-exchange that you are dealing with does hold your crypto-coins for you, you should ensure that you will be compensated for any losses due to theft by hackers.

Accessibility. Street market stallholders typically work long hours, and often over six days a week, in order to provide you, and the other customers, with the convenience that you need. In most places, street markets are easily accessed by public transport. A crypto-exchange should be accessible by Internet from anywhere in the world on a 24/7 basis.

Variety. Some street markets specialize in just vegetables; others, in meat or fish. In many street markets, though, you can find dozens of stalls, which offer a bewildering variety of fresh produce, other foodstuffs, clothing, leathergoods and much more. The street market as a whole can therefore serve as your ‘one stop shop’. The greater the number of people who come to the market, the greater the opportunities for each of the stallholders. The same is true of crypto-exchanges. A crypto-exchange where fewer than 10 crypto-currencies are actively traded is much less attractive than, say, one where 50 or more are traded.

Globality. Street markets are very much In Real Life. They are associated with particular cities and communities. The stallholders are locals. Because much of the produce that is being sold is perishable, and is consumed shortly after sale, it usually comes from farms that are nearby. Nevertheless, in larger and more varied street markets, some of the stallholders will offer exotic foods and other goods that come from around the world. The greater the diversity of sources, the easier it will be for you to find exactly what you might want. A crypto-exchange should be able to accommodate ICOs from many countries, and clearly attract investors and traders from around the world.

Regulation. Most street markets are subject in some way to regulation by the city council and the health authorities. If stallholders are dealing in fresh produce, the market place will have to be kept clean. For these reasons, the areas in which street markets can operate are usually clearly marked. Often there will be a very obvious police presence – to ensure security and tranquility in places that can become very crowded. Overall, there will be an atmosphere of trust. The stallholders will trust each other and the customers that they serve. The customers will trust the stallholders. Ideally, a crypto-exchange will be overseen by a well-respected regulator. The greater the trust in the crypto-exchange, the more likely it is that people will deal through it. A crypto-exchange that is not formally regulated should at least show that it maintains the same standards and procedures as one that is so regulated.

Community. This is perhaps the most important feature of a street market. A successful street market is based around a strong sense of community. In many places, people will live in, around and above the street market. Many of the stallholders will have had a presence for years (or generations) and will look out for each other. Having to work year-round and in any weather conditions, the stallholders are seriously committed to the life and community of the market. Whether or not there is an organization that actually markets the street market, it will be well known within its own city. Often there will be good reasons for you to go to the street market even if you do not want to buy anything. You may want to go to a restaurant or café that is next to the street market – or you may just want to go to enjoy the atmosphere. A good crypto-exchange is one which clearly makes efforts to develop and promote a community through education, marketing and much more. You should want to engage with the crypto-exchange even if you are not actively looking to buy or sell crypto-coins.

  • 189
Featured Posts
Featured Posts
Dacxi's Big Announcement! 📢

Dacxi's Big Announcement! 📢

  • · 
  • · Dacxi
Here’s our big announcement! 😱We want to demonstrate our belief in crypto by offering DAC Coin via our ICO at the Bitcoin exchange rate of US$10,000! Details: https://dacxi-ico.com #WeBelieveInCrypto #Dacxi
Let the Markets Decide: Why Crypto Exchanges Became Hubs for Growth in 2017 and 2018

Let the Markets Decide: Why Crypto Exchanges Became Hubs for Growth in 2017 and 2018

  • · 
  • · Dacxi
META: Marketplaces are evolving, and the building of new exchanges is driving the evolution of the crypto space, both in outreach and in applied technology.Think back a few years ago. Crypto exchanges were rudimentary, a necessary evil, even downright risky. The best thing one could hope for was to learn to maneuver around Poloniex well enough, and pray that exchanges like HitBTCand YoBit did not go down in flames. Frequent outages, lost wallets, lost coins and a generally bad user experience — all of these had to be braved in order to buy or exchange crypto assets.Alongside the best-visited exchanges, there existed a retinue of small-scale markets with a shady
The Future Model for Crypto Exchanges

The Future Model for Crypto Exchanges

  • · 
  • · Dacxi
META: Exchanges are not what they used to be - but what is the next step? Decentralised exchanges are hot, but are they the only solution? A mix of decentralised exchanges and community-fuelled marketplaces may be the best answer.How do you figure out the game of crypto trading? Personal trial and error is one way. Crypto trading has a steep learning curve, and just like any learnable skill on the Internet, it tends to generate discussion, and create communities. Those organic communities may be pointing at something important – the idea that just maybe, we don’t have to figure it out on our own.Some services, like eToro, have already included social trading. But classical e
Exchange Coins

Exchange Coins

  • · 
  • · Dacxi
Exchange coins are assets that have fuelled both the creation of a new breed of crypto exchange, and helped with liquidity and price discovery. Binance, KuCoin, Huobi are the most prominent examples of a native exchange-linked coin. DAC is next. 💪🏻🤛
A Short-Term Campaign Based On A Long-Term View

A Short-Term Campaign Based On A Long-Term View

  • · 
  • · Dacxi
With crypto’s constantly evolving ecosystem, it can be challenging to keep a long-term time horizon in mind. With the news cycle moving so quickly, the notoriously volatile crypto market is prone to sudden price movements, whether bullish or bearish. In these exciting but extreme conditions, it is all too easy to lose sight of the big picture.At Dacxi we approach crypto asset investing with an investor mindset. That means long-term thinking. We believe that the world is in the early stages of a multi-generational technological and economic revolution. We are participating in the birth of a brand-new asset class that is fast gaining legitimacy. The creation and
Join our ICO and purchase DAC today

Join our ICO and purchase DAC today

  • · 
  • · Dacxi
DACXI ICOThe world’s first Community Crypto Exchange.Pioneering the next trillion-dollar category of exchangePrice at the ICO start date: 1 DAC = 1 centPrice at the ICO end date: 1 DAC = 1.6 centExchange listing price: 1 DAC = 2 cents  (100% more than at ICO start date price)Start Date: 11th June 2018 6:00 GMTEnd Date: 25th July 2018 6:00 GMTSoft Cap: $3M USDHard Cap: $10M USDTotal DAC Coin Supply: 10,000,000,000 DACJOIN IN:📖ICO website & Whitepaper: https://dacxi-ico.com/ 📈Exchange: https://exchange.dacxi.com/ 🌱Community: https://dacxi.com/ ▶️ Telegram: https://t.me/dacxiglobal 📰Medium: https://medium.com/@dacxi 💙Facebook: https://www.facebook.com/Dac
How to pick good ICO or new crypto currency to invest in

How to pick good ICO or new crypto currency to invest in

Some useful tips -Learn more about the investors and founders of the companyRead the whitepaper to understand the road-map and future plansCredible companies will be transparent about how the funds will be usedConsider long-term use for the coins that you’re purchasingSearch on social media channels to check the activitiesGreat companies will have a great customer support structure. Try to ask questions on the support platform.Good luck and have fun!
Cryptocurrencies & Blockchain Technology Adoption - การนำสกุลเงินดิจิทัลและเทคโนโลยีบล็อกเชนมาใช้ในชีวิตจริง

Cryptocurrencies & Blockchain Technology Adoption - การนำสกุลเงินดิจิทัลและเทคโนโลยีบล็อกเชนมาใช้ในชีวิตจริง

  • · 
  • · peith
*บทความนี้ไม่ใช่คำแนะนำทางการเงิน ผมไม่ใช่ Financial Advisor โปรดศึกษาข้อมูลก่อนตัดสินใจลงทุน - This is not financial advice. I am not Financial Advisor, please do your own research.“Bitcoin และ สกุลเงินดิจิทัล (Cryptocurrency) ต่างๆที่มีอยู่ในปัจจุบันส่วนใหญ่กว่า 90% ทำงานโดยเทคโนโลยีบล็อกเชน (Blockchain)”สาเหตุที่ผมเขียนบทความนี้1. เพื่อให้ทุกท่านที่กำลังลงทุนหรือวางแผนจะลงทุนในอนาคต เข้าใจเกี่ยวกับเทคโนโลยีบล็อกเชนมากขึ้น โดยไม่มองว่าสิ่งที่กำลังลงทุนเป็นการเก็งกำไรเท่านั้น2. สำหรับเจ้าของธุรกิจมองเห็นโอกาสในการนำเทคโนโลยีบล็อกเชนมาใช้ในธุรกิจจริง3. สถาบันการศึกษา และหน่วยงานต่างๆ นำประโยชน์ของเทคโนโลยีบล็อกเชนมาใช้ได้จริง“เทคโนโลยีบล็อกเชน (Blockchain) ในช่วงก่อนหน้าถึงปัจจุบัน อาจเปรียบ
Millennials will transform the economy

Millennials will transform the economy

Fun Facts about MillennialsNearly a third of millennials say they'd rather own Bitcoin than stocksMillennials seem to favor Bitcoin, Ethereum and other digital currencies.  A new report released by Finder.com found that millennials (between the ages of 22 and 37) had a 17% cryptocurrency ownership rateIn developed countries, 54% of the millennials started or plan to start their own business, while 27%  are already self-employedAlmost 90 percent of millennilas can't walk for more than 15 minutes without checking their phone
A “Bitcoin store” has opened doors in Croatia. It sells bitcoin and other cryptocurrencies, and even issues receipts.

A “Bitcoin store” has opened doors in Croatia. It sells bitcoin and other cryptocurrencies, and even issues receipts.

  • · 
  • · Clem
The shop is a welcome addition to the steadily growing crypto sector in the Balkan country. The team behind the project plans to expand to all major Croatian cities and even other countries in the region.https://news.bitcoin.com/new-store-sells-cryptocurrencies-for-regular-old-cash-in-croatia/
What were you doing at 26 y-o?

What were you doing at 26 y-o?

  • · 
  • · Clem
Meet the 26-year-old ex-Googler who got $133 million for a cryptocurrency startup that could replace money completelyBasis CEO Nader Al-Naji just got $133 million to fund his stable cryptocurrency startup Basis, from top tier investors like GV (formerly Google Ventures), Bain Capital Ventures, Lightspeed Venture Partners, Andreessen Horowitz, and Sky9 Capital.Al-Naji's passion for cryptocurrencies began with a bitcoin mining rig he built in his Princeton dorm.Al-Naji quit his job at Google in order to work on his cryptocurrency, called Basis, which has a stable value determined algorithmically. In theory, that will make it more useful as a currency, and not just a vehicle for speculation.htt

Close