Quote from: Iamcrypticguy on October 14, 2023, 10:45:38 AM

Quote from: Palazodeen on October 13, 2023, 06:18:22 PM

Personally, I would say FTX collapse is a blessing in disguise because if not for that, the subject of regulation might perhaps not have surfaced till date. I think regulations is what has been missing all this years hence the reason why some exchanges could just overnight announced that they are bankrupt. Taking the traditional financial institution for example where banks are under regulations from the various central banks, it's hard to hear issue of a bank collapsing with users money because there is a certain amount of deposit to be made to this bodies to ensure customer funds are safe and I think government bodies have realized this hence the reason for many countries now implementing regulations of crypto which is a welcome idea. Although crypto is meant to be decentralized but we cant ignore the importance of cex in ensuring noobs are able to buy crypto because not many have good knowledge of Dex. Am a bit surprised to see that some exchanges are reluctant to be regulated for reasons best known to them. However some exchanges have shown commitments towards been regulated which is a good sign that will give users peace of mind in keeping their assets on such platforms.

Crypto regulations come with both advantages and disadvantages, but given recent events, I believe they are a necessary step. I commend platforms such as Bitget, Binance etc for their commitment to transparency by publicly disclosing their Proof of Reserves. The former, in particular, offers an additional layer of security through its protection funds, which are currently valued at over $300 million.

But there were also doubts about whether these funds were actually held by them as collateral. In fact, we can never know 100% how things are inside the exchange. Therefore it is better to keep the money in your wallet.