Cryptoexchanges 2020: “paper bitcoins”, blockchain control, tokenization

Index
    Биржи криптовалют 2020
    Cryptocurrency exchanges 2020

    Bitcoin breaks out of the global triangle, and if everything works out, it can be a signal to the beginning of a real an uptrend that will drive the price of updating the historical maximum:

    Движение цены биткоина
    Bitcoin price movement

    If there is again a false start, then there is every chance take a walk in the direction of $ 6,000. But regardless of the direction of the bitcoin price, cryptocurrency exchanges , which earn regardless of the current trend in the market.

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    it is worth recognizing It’s obvious that exchanges are needed by the industry, because without them the industry would not have received such an influx of money that led to new developers and users. But they are not going to stop there and are constantly evolving in order to earn even more on us.

    What are cryptocurrency exchanges doing today and what will they turn into tomorrow?

     

    Derivatives

    Криптовалютные деривативы
    Cryptocurrency derivatives

    What unites banks, brokers, insurance companies, stock exchanges and, of course, crypto? All of them declare that they set a goal to provide their clients with access to financial services. But in fact, they all exist in order to earn money on their customers, and for this they have two ways. The first - trade commissions and paid functions. And the second - reduction of own expenses for processing transactions on the platform.

    And if you go along the second path, then trading crypto derivatives is much more convenient than cryptocurrency . Because transaction processing with the so-called “paper bitcoins” simplifies working with user balances and allows you to set a huge marginal leverage.

    Now the ceiling seems to be at 125x. In addition, the margin - is an additional way of earning by providing borrowed funds, which in fact may not be, because these are cryptodirects. And also remember about pumps and dumps, when the exchange clears deposits of risky traders during the liquidation of their positions.

    BitMEX has been a leader in this market for a long time, but nothing lasts forever. At the time of writing, the daily crypto derivatives trading chart is as follows: Huobi holds first place, Binance holds almost the same position and OKex holds third place. But BitMEX is on the fourth with a result less than one and a half times. And this is not a daily anomaly - according to The Block study over the past six months, BitMEX has lost 50% of the market:

    It’s worth adding to the last result that the bad BitMEX indicators are associated not only with their personal losses, although there really is a significant outflow of deposits on the site and a decrease in traffic, but also with the growth of the crypto derivatives market on other exchanges.

    Traders like “paper bitcoins” for access to trading with leverage, and this is also beneficial for exchanges, you can say they found each other.

    Tokenization

    Токенизация активов
    Tokenization of assets

    Cryptocurrency exchanges adopted a lot from the stock market [1945901] but they don’t mind going further and also offer their users access to stocks and commodities. This can be done through asset tokenization. And the pioneer in this area is the Belarusian exchange Currency.com.

    In addition to trading cryptocurrencies paired with each other or with fiat, Currency has access to transactions with shares of various companies, including Tesla, which, by the way, draws a very similar chart for bitcoin in 2017 .

    There are also basic index funds, gold, oil and more, whereby you do not need to open a brokerage account, pass an exam for a qualified investor and you can even make transactions with these assets for bitcoin or ether.

    It works as follows: you trade on the platform like on any other cryptocurrency exchange. But as a pair for a transaction, you are offered tokens , tied to specific stocks, indices or goods. And the exchange, with the help of partners, assumes the obligation to provide these tokens with assets, so that you can earn not only on the price difference, but also due to dividends.

    Such tokenized securities in the future may be the only opportunity to invest in the US stock market, especially if the Russian Central Bank continues to tighten its screws.

    We dare to assume that in the future cryptocurrency and stock exchanges will undergo a certain merger process and platforms with tokenized assets will cease to be an exception.

    Blockchain

    Блокчейн криптовалютных бирж 
    Blockchain of cryptocurrency exchanges

    Next we will talk a lot more about Binance , because they were the first to launch through the ICO and then decided that the BNB token could be more than just a way to collect money for the start. They began to actively promote it through their own platform, inventing the so-called exchange tokens, which are issued by the platform itself and allow you to use discounts on trading and other special functions.

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    This model was extremely successful, so at one time BNB was the most profitable cryptocurrency, and now many exchanges have issued their tokens, or will do so in the near future.

    But Binance did not stop there and went on. They developed their own blockchain , transferred their token to it and launched an additional decentralized platform on its basis.

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    The official reason for such actions is Binance does not want to remain a centralized exchange all the time, but they dream of turning into a decentralized community of traders over time.

    But we have our own view on this situation and it is that the blockchain - is another way to make more money on users.

    Firstly , due to the high volatility and wild liquidations, many lost their confidence in centralized sites. As a result, the turnover on decentralized exchanges this year already amounted to $ 2 billion.

    The difference between such exchanges is that the user controls the funds, and Binance, like the others, does not want to miss out hands this market. Therefore, they proposed their own decentralized exchange , where everything is exactly the same, only the blockchain on which it works is under their full control, but many do not pay attention to such a nuance.

    Secondly , using a decentralized exchange, it is possible to circumvent the requirements of regulators. The most active countries in the issue of regulation of crypto-exchanges are the USA, Japan and South Korea, so the sites have to open separate subsidiaries there with a reduced number of assets and limited functionality. But due to your own blockchain, you can avoid such inconvenience.

    Thirdly , no one wants to be dragged through the courts, as is now happening with Pavel Durov with his unreleased cryptocurrency Gram . He is charged that this is a security and no lawyers can do anything, because under American law virtually any token can be recognized as unregistered security. But it also says that over time, he can change the classification from a security to a commodity, and the launch of his own blockchain allows this to be done. And the maximum that there will then be an exchange for violating this legislation is a fine, which, given their income, will seem like a trifle.

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    One could also talk about the fact that centralized exchanges not only store your assets, but also do not hesitate to use them.

    Well, if for staking and then they share profit with users. It’s bad when they take your cryptocurrency and use it to appoint validators and make other decisions on managing various networks.

    A good example was the blockchain scandal Steem and Justin Sun. Who cares what happened there and how it ended:

    Read also:

    Binance transformation: more than the exchange

    Cryptocurrency exchanges 2.0 what to expect in 2020?

    Bitcoin patterns: which charts does the main cryptocurrency draw

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