The aim behind crypto trading is to make the exchange valuable and flawless. But security concerns are mounting the issues. As of now, 99% of crypto trade happens via centralized exchanges (CEXs). CEXs will remain the primary medium of crypto trade for the foreseeable future. There is no denial that CEXs are fast and easy to use. But it requires a deposit in an account controlled by the same exchange.
Many traders feel uncomfortable about it and do believe their sovereignty and assets are not safe. Decentralized exchanges (DEXs) are way forward in the future, but traders are not yet ready to accept them. So, authorities need to find a way to build bridges in order to protect customer sovereignty.
Many customers do believe that centralized exchange machines are making them vulnerable. They are not very confident about transferring their funds into accounts. Any misfortune incident can take place, they can lose their money in the hacking attempt, in case of any cybercrime activity, and they can lose their money.
The biggest crypto scam happened back in 2014. As a result Bitcoin exchange filed for bankruptcy. After 650,000 customers went missing their payments.
These sorts of crypto risks still remain unsolved as of today. In the Month of April, the founder of Turkish exchange ‘Thodex’ escaped after stealing $2 billion from one of its customers. Hence, well-capitalized traders are keenly looking for more secure payment methods to carry out their trade. The credit payment mechanism is secure and acceptable. Recently Visa and Master Card companies also jumped into the cryptocurrency. These measures are very positive for the future. Some traders have also demanded intermediaries to provide services.
Nowadays, decentralized exchanges can offer solutions. The use of (DEXs) will connect the buyers and sellers to an anonymous virtual platform. Where traders can lock their amount in liquify zone. This will return yields in return. The IT-based virtual trading platform idea is acceptable for the majority of crypto traders as it provides them with more control over their investment and decision-making.
However, there is one major loophole. In case of network collapses people will not be able to carry out the trade at all. To overcome these issues network providers are working on developing an alternative system. This will allow traders to load funds directly to another platform. These innovative (DEXs) will protect data hacks, the network developers will also be held responsible for any financial mishaps.
The evolving digital technologies are opening new doorways for the crypto community. In the future crypto, visa, and master crypto digital cards will further simplify crypto trading. This will create an unparalleled trading environment for traders. Emerging digital technologies will play their role to smooth the crypto trading process.