Now a days, I have observed that out of ten projects three or four are of new exchanges. At the moment there are so many exchanges available for cryptocurrencies. When we invest in other projects and its token got listed in one of the new exchange, we have to create account with that exchange to trade those tokens.
Do you really think that there is a need of so many exchanges? isn't it very complicated and lengthy to keep accounts in many exchanges?
Please share your views.
diversity is good for reducing your risk at your investments. It is also same in terms of exchanges. With more exchanges you can divide your budget and so distribute your risk.
It does not mean deposit your money to shit exchanges, without any volume, without real address. There are many scam projects at crypto and also there are many scam exchanges at crypto.
Also do not trust the volume of known exchanges. Most of them using wash trade. There was a report previous week, wash trade of Huobi was around more than 60% and Okex was 90%.
And Okex CEO announced that they can show that they have more than 10% real volume 😊
For diversity I think 4 exchanges is OK.
Binance, bitfinex, coinbase and you can use the 4th one 😊