Steemit Crypto Academy Contest / S1W2 – Reviewing Centralized Exchanges by victoh78

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Good day everyone and thank you onces more for visiting my blog, today I would be attempting crypto academy week 2 assignment which borders on centralized exchange and our individual views on certain aspect.

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Discuss briefly Centralized exchanges and its Benefits to crypto users.

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What is an exchange

In common terms an exchange is the process where by goods and services are swapped for likely ones.

An exchange in relation to crypto

In crypto terms and exchange is a process where by crypto currencies are exchange for either one another or for fait tokens.

For an exchange to take place in crypto they have to be a facilator an exchange institution who oversees the whole process for seemless transcations.

Centralized exchange

This is a financial authority which intervenes in the buying and selling of crypto tokens.

They create the market place where the process of buying and selling takes place. Centralized exchanges are the most popular form of exchange as they are Widely used amongst individuals this is because they have easy to user interface and they can be held accountable buy users in the eventuality of any mishaps.

In today's crypto environment CEX has a really strong presence as majority of all those engaged in crypto-currencies use one or two institution of centralized exchange.

Some of the popular exchange are bianace, roque, huobi, and so many other.

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Benefits of centralized exchange

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Security

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With centralized exchange users are offered more security than they would get elsewhere, this is because the centralized exchange insures the deposit of consumers so incase of any hack they are not the ones to directly suffer it.

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User interface

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The user interface of centralised exchange are very easy to understand, this is because the creators of centralized exchange have tailored these Plattfoems to serve the public as best as possible as they are the prime customers of exchanges.

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Customer care

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In the eventuality of any mishaps users of centralized exchange have the opportunity to speak with an active customer care who is always present 24/7 to listen and attend to our needs

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Choice

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Using centralizee exchange users are exposed to a variety of crypto coins to choose to from, this tokens are first verified by the exchange before they are then Listed for users to trade.

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Special futures

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The use of centralised exchange comes with some special feature such as future trading , launchpad, staking and various other. this features are not available to users of decentralized exchange.

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What do I consider when choosing a centralized exchange

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They exist alot of centralised exchanges out there so it's imperative that when choosing a centralized exchange we be specially careful.

The following critea are worth looking into when choosing a centralised exchange.

Trustworthy

Trust is very essential when doing any form of business and most especially when using an exchange.
most centralized exchange often require KYC in order to use thier platform hence I need to be able to trust an exchange, that my details won't be used for any other purpose other than for verification of my identity.

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User interface

After having a trustworthy exchange the next big step in choosing an exchange should be finding one that has an easy to use interface as this would enable one to quickly acclimate and perform efficiencly on the platform.

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Deposit and withdraw process

After having a good interface I ought to know what payment method are accepted by the exchange and what methods are available for withdrawing ones money.

Often time it's best to try the withdrawal immediately after the deposit cause it would be sad having made so much money from crypto trading and not being able to remove such money due to one or two reasons.

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My favorite centralized exchange

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Binance is my favorite exchange for Soo many Reasons which i would share with you.

The largest exchange

Bianace is the largest centralised exchange out there by measure of volume and exchange score according to source the average market cap of. Bianace is $17b which is very impressive and also enough for me to love it..

This huge market cap gives me a sense of security and tells me about the solidity of the business.

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Launch pad.

With bainace I get to be one of the very first people to buy into new and exciting prospect through the binance launch pad.

The launch pad offers common individuals like you and I the opportunity to buy into ieos and own tokens at discounted prices before wthey are released to the public.

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P2P

When they first banned all form of crypto trading in Nigeria many centralized exchange were rendered obsolete as individuals had no means of retrieving thier money from thier account and also no way to put money into thuer exchange account.

Binance came about with a solution to this problem Through the process of P2P which enables individuals to trade amongst themsleves.

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The ability or trade futures

Through bianace I can trade futures which is a form of trading which involves you leveraging your money x times the original value in order to make astonishing returns.

Basically futures trading is just like forex trading and bianace offers users the unique opportunity to carry out this form of trading on their platform.

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Things I would like changed and short comings

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Though bianance is my favorite exchange they are some certain things in which I would like to be changed so as to attract more users and for better user experience.

KYC process

The process of kyc using binance is often very tedious as documents must be presented in pristine condition if not they would be rejected. Often times users end up not using the platform due to long KYC waiting times or error messages that often arrises as a result of the KYC process.

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Banning of account

Alot of close friends or mine have had thiee trading accounts banned over some minor concerns , this is very painful and annoying for those of us who trade we are often afriad of when it would be our turn.

This is because most of the users who's account end up getting banned committed little or no offence and have little or no power to claim their accounts back.

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How users funds can be safe guaranteed

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The most important thing for every user of an exchange is knowing that his or her funds are safe, for DEX such is ensured with the use of private keys but in the case of CEX they are no private keys so it becomes problematic as users are often not sure of the security of thier tokens.

To ensure individual of the safety of thier tokens on a centralised exchange.
Bianace introduced what is known as 2factor authenticator which addss as an added layer of security.

What 2Factorbauthenticator does is that whenever your are trying to sign-in to your binance account you would be required to provide a private key which changes for each login.

Hence even if your password is compromised the intergrity of your account is still guaranteed as only you would have the second key, which ideally would be linked to your email, phone number or you could get the Google authenticator..

Conclusion

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It is very essential vthat individuals know about centralized exchanges as they are the easiest exchanges to use.

It is ideal for new users to first start with a central lized exchange before gljg to a decentralized exchange as often times the decentralized exchange are very complicated to use.

I would like to invite @ronindboss and @weasell to participate in this contest.