79 cryptocurrency exchanges will disappear in 2021 – even more than 2020 – press release Bitcoin News
Press release. In November 2021, the leading encryption service comparison website-Cryptowisser, announced its annual encryption Exchange cemeteryThis list is the only existing extensive database of “dead” cryptocurrency exchanges. In the past year, many exchanges have become victims of regulatory regulations, hacking attacks, and fiercely competitive growth markets. Since the actual exchange was a scam, the six exchanges in the detailed report were even shut down.
It has been another difficult year for cryptocurrency exchanges, as the dust has settled on nearly 80 exchanges, but why are there more and more exchanges even though the cryptocurrency market is booming and continues to be accepted by mainstream economics? Perish?
The Kiss of the Regulatory Death
As the market develops and cryptocurrencies are more widely accepted, countries and governments are forced to kneel down to find a way to accept cryptocurrencies, followed by regulation. Whether the aforementioned government enforces stricter regulations or completely prohibits encryption, there are several potential factors that may affect transactions with these countries/regions.For example, with China’s recent crypto ban, major exchanges such as Bit Z Fell on the side of the road.
Hacking death penalty
Despite being one of the smallest dead contributors on the list, hacking should not be ignored. According to reports, there were 3 fatal hacking attacks last year.this Atomic swap, A promising exchange from Seychelles, known for its security, was a victim of hacker attacks caused by internal work, and has been unable to rebound since.
Despite the increasing number of crypto users, it is difficult for smaller exchanges to compete with giants like this Binance with KucoinThese well-known cryptocurrencies continue to eat up most of the market share and trading volume of new users, making it difficult for small exchanges to compete. Looking at the local coins of these giants, it is clear that they are experiencing tremendous growth and occupying market share. Binance’s native token (Bitcoin) It was worth 27 US dollars a year ago and is currently worth 628 US dollars. KuCoin’s native tokens have shown greater growth. KuCoin tokens were worth only 85 cents a year ago and are now worth more than 21 US dollars.
Defi death experience
Decentralized exchanges have been launching centralized exchanges for some time. They usually have lower fees, fewer KYC requirements, and higher security, which makes them an attractive choice for many traders. When large DeFi exchanges like Uniswap showed great signs of growth-just a year ago, their token market value was close to 900 million U.S. dollars, and today it reaches an astonishing 15 billion U.S. dollars.
The number of deaths on exchanges has increased year by year, but with more regulatory sanctions and cryptocurrency awareness around the world, it can be said that these regulations can stabilize the number of cryptocurrency exchanges in the market. In the hope of the best bull market, the days from the opening trade are gone. In order for new exchanges to flourish, they need to comply with all regulatory requirements and be able to pay all related costs, and not only have to compete with big names that already provide trust, security and acceptable fees, but they also need to grab market share and users every day Of decentralized exchanges.
Cryptowisser is a cryptocurrency service comparison website with a list of the world’s largest, most frequently updated and trusted cryptocurrency exchanges, wallets, debit cards and merchants. With more than 1,000 reviews on various exchanges, debit cards, wallets, and merchants, they can help you make all your purchasing decisions and service choices in the cryptocurrency world.
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