Do you use Specific Crypto Exchange to swap to Fiat or you Transact only with Cryptos?
After the whole FTX fiasco that led to a new circle of crypto downfall with BTC reaching 15k, i start wondering what most people use in order to transact in the crypto world. I also want to stay a bit on the FTX matter because i believe it's quite serious.
So FTX filed for bankruptcy and his CEO Bankman-Fried lost around 16 billion which was all his fortune. At the same time around 1-2 billion are missing and some reports mentioned that were transferred to another company Bankman had invested and ofc a lot of people that managed to do so had all their money out of FTX. The rest are afraid that they lost their money.
Another bad thing for the whole crypto industry is that when a big player like that basically goes away the competition gets a bit scarce and the top players like Binance can actually do whatever they want and even manipulate the prices. Hopefully, other crypto exchanges will erupt or shine and help by bringing some balance. Finally, without having any evidence and by simply sharing my point of view i believe Bankman has some money left somewhere and he won't die of poverty.
Now as i mentioned that got me thinking about how people store their cryptos and how they transact. Correctly if i am wrong but i think the best way to actually convert your crypto to fiat is by using one of those exchanges like Binance for example. There are also some ATMs around some cities but the fees are quite high. I don't know any other way, to be honest.
The other thing is to actually don't use fiat at all and transact only with cryptos. For example, let's say you can 1000$ in BTC and you want to buy a new phone or book a hotel. There are some websites that are accepting cryptos for that purpose.
At the same time there is the big question of whether you store your cryptos in a big exchange like FTX for example with risks like hacking, bankruptcy, or locks on sells/withdraws from time to time, or you have a ledger device or you use a DEX. By far the safest method is the ledger and dex but many people prefer let's say Binance or Coinbase because it's more user-friendly for example.
As far as it concerns me i have 90% of my belongings either here on Hive or on a ledger device and 10% on exchange. The way i think it is that the cryptos i wanna hold are more safely stored and those that i can cash out when i want to buy something i can access almost immediately. The FTX fiasco reminded me that i will need to stick to that practice and don't trust these centralized exchanges at all.
So what about you?
Posted Using LeoFinance Beta
