Steemit Crypto Academy Contest / S1W2 – Reviewing Centralized Exchanges by @yakspeace

Hello dear stemains, I welcome you once again to my blog.and I'm so happy to participate once again in this week steemit challenge contest,last week was good and I learned alot from different users by reviewing there article I most say the steemit engagement contest is beautiful and amazing idea from the steemit team. Today I will be reviewing centralized exchange contest organized by the steemit crypto academy and I hope you learn something from my review.

A centralized exchange is an online platform created for crytocurrencies transection where all the users can buy and sell assets or goods.It is one of the most important way for digital currency investors and in this exchange all your transection will be done involving the middle men that is to say the centralized exchange is been carried out by another person or a third party,in the centralized platform others do help in conducting the transection of every users unlike the decentralized system were ever user have the right to do his or her transections without taking any permission or help from any third party.The investors and the buyers trust there third party to handle there transections and this type of exchange platform is most common in our banking sector where a user will trust the management of a particular bank and start up there transections by allowing the bank to save there money without any regrets because the bank provide security and also monitors the account to make sure that it's secured from attacks or hacker. The centralized exchange work with the same pattern as that of the bank.and also the platform make use of the users network in other to help them fine trading partners that will buy and sell there assets.

For a user to choose an exchange for trading,he or she most have seen the beauty of that platform or better still the bad aspect of it as well.so in that case one have to look deep on all the exchange platform before making the decision to use it. The things i look out for when choosing an exchange to trade crypto assets are;

• The first thing i will look out before choosing an exchange to trade is accessibility, i will look out the possibility if my location or my country accept buying and selling of cryptocurrency, because there are some part of the country and states that are not in support of buying and selling any cryptocurrency.

• Security: It is very important for everyone to look into this aspect of security when choosing an exchange to trade because there are so many hacker and frustrate out there who are looking for people that they will destroy and steal there heard end money.to be Frank with you all, many cases of hackers are now tampered in this country so before i chose any exchange to trade i most look critically and issue that the platform is very safe and secured.

• Another thing i will look out for is the reliability of the platform in term of transections and how they communicate with there users.

• I will also look out for the transaction fees, this one is very important because some of the exchange platform have high transection fees as such not every user can buy and sell in there platform.

• Another thing i look out for is the liquidity, because i like exchange that have enough trade volume in other for its users to make sell at anytime.

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3.Review your favorite centralized exchange and explain its unique features

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Source

Founder of binance exchange

Unique features of binance

• Binance Blockchain has a greater advantage than other Blockchains available, it's is been known for it's lesser fee payments made during transactions.
• The binance exchange is less complicated, very easy to use in terms of accessibility.
• Transactions are made fast without delay using the p2p channel and has no door for fraudulent activity.
• Another features of the binance exchange is that, the platform is user-friendly.
• It also have a comprehensive charting options with it's users and many cryptocurrencies

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4.Is there anything about your favorite exchange you will like to be changed? Discuss.

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5.What shortcomings do you see on centralized exchanges and how do you think user funds can be protected since we don’t have access to our wallet private keys?

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Some of the shortcomings of a centralized exchange are;

• high rate of hacking risk because they are incharge of all the activities, keys and holdings of there users.as such it will be very easy for someone hack their system, but I will suggest if the centralized exchange platform will allow their users to have authority over some of the keys then I think the high rate of hackers and theft will reduce.
• another shortcomings is there transaction fee, most of the centralized exchange platform have high transection rate, and this case users fine it so difficult to buy and sell in their platform most expecially the newbies.so i suggest they should look into it and make adjustments on the transection fees.

Thank you.....