It is very likely that when looking for information about some Cryptocurrency or perhaps looking for an online site where these digital assets can be purchased, you have come across the term “Exchange”.
An Exchange is a digital platform that acts as an exchange center for Cryptocurrencies for Fiat money (different currencies) and even for other digital assets. If we compare it with another concept, it is very similar to exchange houses, where the value of digital currencies is established through supply and demand.
An Exchange is always in a totally digital environment, on these platforms users can make purchase and sale orders for the Cryptocurrencies that are available within said platform.
As a general rule, the exchanges have a system or software that controls the purchase and sale operations, to maintain control of the price of all the digital assets they offer, it is for this reason that sometimes you can find different prices of the same Cryptocurrency in different exchange platforms, because each one operates with a unique system that adjusts to the user traffic within the platform and the number of operations per minute.
Due to the popularity that Cryptocurrencies have had in recent years, it is very common to find a relatively large number of platforms that offer the Cryptocurrency exchange service, even having specialized sites that offer interesting features, such as conversion between Cryptos, sending among multiple networks, the purchase option through business partners, and others.
But many times the registration in these platforms can be complicated or even very complex, because currently these platforms have rigorous security rules and control in user identification, to prevent malicious agents from using the platform as a means of money laundering.
It is also normal that there are some restrictions with citizens of certain nationalities due to the policies that a country has regarding this type of platform or directly with the Cryptocurrency trade.
As we all know, the beginning of the Cryptocurrency ecosystem began with the birth of Bitcoin in 2009 by Satoshi Nakamoto, but as time has passed, new technologies and ways of trading Crypto assets have been developed.
As we mentioned before, the concept of an exchange is not very complex, since it is basically an internet site where Crypto assets can be exchanged safely for real money, which is why when Bitcoin appeared in 2009, many enthusiasts were quick to create what will lay the foundation of current exchanges.
In 2009, just a few months after the entry of Bitcoin, the first exchange of this Cryptocurrency would take place, being responsible for said transaction a web page called NewLibertyStandard that it was more like a P2P than an exchange; a few months later in 2010 the platform would be launched Bitcoinmarket that would develop the fundamental characteristics of what we know today as an exchange.
The success of this first exchange would be dwarfed by a competitor called Mt.Gox which would quickly become known as the most important Cryptocurrency exchange in the world, but its success would be short-lived since in 2011 it would be affected by a hack to its accounts where they managed to steal around 2,000 BTC, and then in 2014 would occur something that to this day is considered as one of the biggest hacks in the history of Cryptocurrencies where a group of hackers managed to violate the exchange again at Mt.Gox but this time taking around 850,000 bitcoins (460 million dollars) leaving this platform practically bankrupt.
Thanks to all these events today we can see that new exchanges have been created that are much safer and with higher quality in terms of the exchange service, with the appearance of large exchanges such as Binance, Kraken, Coinbase, Bitfinex, among others, They have managed to improve all the characteristics that made these platforms vulnerable, helping to build trust with their millions of users and contributing more and more to the ecosystem of Crypto assets.
Not all Cryptocurrency exchange platforms are the same or offer the same services, sometimes we will find businesses that are oriented to a certain audience or that promote a specific Crypto asset.
It is the most recognized and popular type of exchange platform among the Crypto asset community, it is characterized by allowing its users to buy and sell digital assets at a price that is based on the market price. As a general rule, these platforms have a strict access control or registration system for their users, where they have to comply with all the rules of KYC (Know Your Customer) and AML (Anti-money laundering).
These entities charge for the use of their services and tools, in addition to allowing their users excellent management of their Crypto assets thanks to their specialized systems. Among these platforms we can find Binance, Coinbase, Bitfinex or Kraken.
Brokers are instant Cryptocurrency trading platforms where users can exchange their Crypto assets for others of their choice; The offer in the diversity of digital assets in this type of trade is much more limited than in standard exchanges, but they are widely used when a user wants a quick exchange from one currency to another.
OTC are platforms that are very similar to a conventional exchange house, except that Crypto assets are traded in a totally digital way. Basically, the platform offers its users a limited catalog of Cryptocurrencies at a price slightly higher than the value market, since their main source of income is commissions for the exchanges made, they also allow the sale of Cryptocurrencies but at a slightly lower price than market value. OTCs are used by users who require a fast and secure exchange of Cryptocurrencies for Fiat money without having to go through control processes like standard exchanges.
Decentralized exchanges are basically a copy of standard exchanges in terms of service and the only difference is that this platform model is not controlled or governed by a company or organization and is self-sufficient thanks to a complex network of smart contracts that allow for autonomy of the platform.
This type of business was born thanks to the evolution of the most complex smart contracts and the development of DApps or decentralized applications that allow the creation of this type of platform.
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Ccoins is the fastest and safest platform to trade crypto assets
No, Ccoins is a P2P Cryptocurrency platform, which, although it is true, is used to trade Crypto assets, P2P platforms do not have a controller for purchase and sale orders and they keep a certain amount of control over the price of a Cryptocurrency, instead the users are who decide the price at which they want to trade.
Each person who wishes to trade safely must carry out research on the security tools that each of the different exchanges can offer us, since each one adapts to different situations and characteristics of trade, which affects the different levels of security. that they can offer.
In general, the majority of exchanges that carry out a rigorous identity identification process, ask their users for some document that supports the identity such as an Identification card, a Passport or Driver’s license, it is also common that they request a commercial invoice or bank that supports said information, and on certain platforms they request the user to perform a biometric recognition analysis. Let’s remember that all this information is necessary on some platforms to be able to be part of it, since security is paramount in this type of business.