Can someone explain why when depositing Bitcoin to an exchange, it sometimes generates new, but sometimes gives old (user have already deposited there) address? Or creates a different address for each user who deposit? Why not just make a few hundred of address and ask users to deposit only there? Instead, for example Binance,
has 15,000,000+ users worldwide. Means exchange manage minimum 15 million address. I understand this is all security measures, but dont understand why manage so many addresses.
Bascially, it's worked like this: whenever a new user is going to deposit bitcoin, exchanges give them a new address in order to track that ( that address will be used for that user until exchanges upgarde their system/nodes). And usually bitcoin's transfered from that user address into exchanges hot wallet whenever user triggers any trade. This whole system is done by back-end software of that exchange and none is needed to manage their user's addresses, imo.