Quote from: nullama on January 03, 2023, 06:48:30 AM

Quote from: Hispo on January 03, 2023, 01:53:57 AM

~snip~
My prediction of Bitcoin without centralized exchanges it would be a market with less volatility and less daily volume, the price would be about the same maybe, I am not sure.
With enough time the lack of convenience and comfort would have gotten solved, though. There is already one project of decentralized exchange for Bitcoin which I have heard of (Bisq), but we all got used to businesses like Binance and Coinbase.

If you remove all the "IOU Bitcoin" from centralized exchanges, the price per unit of Bitcoin would just go incredibly higher.

Think about why companies like FTX went bankrupt, they just don't have the money that people put in there. They lend it to other people, they gamble it, etc. Basically they try to create more money out of thin air, but you cannot do that with Bitcoin.

The moment people withdraw Bitcoin to their own wallets, that means they actually have to give them real money. And that's when they go bankrupt. They tried to create more Bitcoins, but of course failed to do so.

So, if there's less Bitcoin available, price would go up.

I agree with you, but we can't deny that centralized exchanges is better than decentralized in terms of "faster transactions". And this is one of the reasons why Bitcoin price increased so high. There are many people attracts to Bitcoin because of that and its features not difficult to understand. But the only advantage for me is it's transaction fee.