BTCNEXT & Platinum Q DAO to restore the trust to crypto exchange

Cryptocurrency exchanges are of vital importance to the growing crypto economy. Apart from providing the ability to trade cryptocurrencies, exchanges also offer deep insights into investor sentiment and market movements. There are more than 250 cryptocurrency exchanges around the world with at least some trade volumes. With so many incumbents vying for the attention of crypto traders, how does one go about choosing the best?

For a beginner, choosing a cryptocurrency exchange can be an intimidating experience. There are centralized and decentralized exchanges, some are global and some work in specific regions and jurisdictions, some offer top-notch security and some offer great liquidity. So, what are the things one needs to consider when trying to zero in on the right cryptocurrency exchange?

Compliance and location

While cryptocurrencies have become a global phenomenon, not all governments have a positive outlook towards them. There is still a disparity between how various countries perceive this new asset class. While some countries such as Malta, Gibraltar, and Estonia have created a crypto-friendly regulatory setup, other major economies like the US, India, and China still see them with apprehension and it is difficult for people to transact with crypto in these countries.

Cryptocurrency exchanges will always set up base in regions where there are crystal clear and beneficial regulations. It is easy for them to comply with these exacting standards rather than start operations in an indecisive regulatory landscape. It is also noteworthy that a large number of cryptocurrency exchanges that run operations in countries with lax or ill-defined regulations deal in illegal activities like money laundering and wash trading. As a crypto enthusiast, you should always look out for an exchange that runs its operations in countries that have a decisive regulatory framework, like those in the US, the UK, Australia, Europe, and Japan.

Regulatory uncertainty in India has forced many exchanges to shut down. Last year, a notice from India’s central bank (Reserve Bank of India) directed all banks to not provide services to accounts dealing with cryptocurrency transactions. This made it difficult for Indian traders to cash out their crypto profits through their bank accounts. This had a massive impact on all India-based crypto exchanges and they were forced to shut down their operations. ZebPay and CoinDelta were the two major exchanges that shuttered down due to compliance issues.

Transaction fees and liquidity

These are important aspects since they will directly affect your daily trading activities. Liquidity is the ease with which you can convert your crypto assets into cash. Bitcoin and most top cryptocurrencies are highly liquid and will eventually cost the trader less. The exchanges with high liquidity will often charge less to the trader for transactions, depending on volumes; higher the volumes, lesser the fees, and vice versa.

However, there have been instances where the order book has been manipulated by the exchange to display high liquidity in a bid to attract unsuspecting traders, often beginners.

Liquidity is a key driver in the functioning of a cryptocurrency exchange and there have been instances when illiquidity has been the reason for an exchange shutting down its operations. Early this year, Ukraine-based exchange Liqui shut down citing lack of liquidity.   

Security

There have been numerous instances where cryptocurrency exchanges have been hacked due to lapses in security and millions of dollars’ worth of cryptocurrencies have been stolen, much to the consternation of the traders who lost their funds.

Hack attacks have been occurring since the early days of cryptocurrencies and yet many exchanges fail to perceive this threat in its full potentiality. It is imperative for the trader to choose an exchange that takes its security most seriously and has plans and processes in place to keep all transactions safe and secure.

There have been innumerable cases of security breaches on many crypto exchanges. The latest to face the brunt of a brutal hack is the world’s top exchange Binance. A few days ago, the crypto world received a massive shock when it was discovered that Binance was hacked and ripped off of more than $40 million worth of crypto assets.

Prior to this, many reputed exchanges like Mt. Gox, BitFloor and Poloniex, have been hacked and millions of dollars worth of funds were stolen.

Customer service

Starting to trade on a crypto exchange can be a daunting task for the beginner. You will, most likely, need assistance and that is where good customer service can help. Customer support of a cryptocurrency exchange is different from other platforms because the exchange runs 24/7. Also, the volatility associated with crypto prices means that a monetary delay may prove to be the difference between profitability and loss.

The customer service of the chosen crypto exchange needs to be proactive, intuitive and lightning fast. It should understand the concerns, questions, and issues of the customer and offer a quick resolution. This will endear it to the customers.

Some crypto exchanges are downright scandalous

The recent Bitfinex scandal has rocked the crypto world. The audacity with which a popular exchange played with the trust and faith that people had put in it is terrifying. It was found that Bitfinex had lost $850 million of its funds and had subsequently used funds from Tether to cover its losses.

Tether is supposed to be a stablecoin and it is backed by cash reserves held by the controlling company. However, Bitfinex (also run by the same company that manager Tether) had access to Tether’s reserves and took around $700 million to hide its losses. Meanwhile, Tether was already in the news of issuing more tokens than it had dollars backing it.   

Why BTCNEXT offers a better alternative

BTCNEXT is a next-gen cryptocurrency exchange that offers the next level of security features to secure traders’ funds and safeguard all transactions. All of BTCNEXT’s systems go through rigorous internal multi-run audits and external audits. The servers of the exchange are located in duly certified data centers and feature the full range of all required layers for digital and physical security.

BTCNEXT also provides 24/7 customer service to help customers resolve their issues and problems as soon as possible, so that there is no break in their trading experience. The exchange combines security, a great UI/UX and intuitive customer service to address the pain points of current platforms to create an enhanced experience for the crypto community.

BTCNEXT is developed and managed by a highly experienced team of Platinum Q DAO Engineering that has already implemented several successful projects and has a significant background in the blockchain and crypto trading industry, including providing IEO, listing, and market making services. The exchange is actively listing coins and developing new services, including the mobile app.

BTCNEXT has partnered with the Q DAO ecosystem’s stable coins, that are fully decentralized, backed by Bitcoin (as well as other top 10 cryptocurrencies in the future) and pegged to fiat currencies, including USD (USDQ), KRW (KRWQ), JPY (JPYQ), SGD (SGDQ), HKD (HKDQ), CNY (CNYQ), RUB (RUBQ). They all will be available on BTCNEXT in the near future. Traders will fall in love with the new stablecoins, which allow them to store funds in fiat while continuing holding a crypto token. There is no need to have an exit into fiats anymore. The ability to continuously operate within the crypto industry may be the spur that the crypto community needs for the next big move in the mass adoption across the globe.

BTCNEXT leverages the power of blockchain technology and has developed a new generation of the crypto ecosystem that provides enhanced security and an easy-to-use intuitive user interface to offer a great trading experience to the beginner as well as the expert trader.

About BTCNEXT

BTCNEXT exchange, the next generation spot, and margin-trading platform have been developed by Platinum Q DAO Engineering, which has also brought USDQ and KRWQ to the market, looking to edge together innovative solutions in collateralization. They plan to achieve it by using stabilizing mechanisms and neural networks for high-endurance stable coins.

The one aspect of USDQ which makes it unique is that this stablecoin is decentralized. It has Bitcoin as a collateralized cryptocurrency debt backing up its value, instead of a centralized authority holding dollar bills, as in the case of Tether (USDT).

In order to protect investors’ funds, BTCNEXT developers have implemented more than 300 security measures. In the near future, users will be able to trade over a hundred types of tokens including Bitcoin, Ethereum, and Litecoin. For more information, visit their website and follow them on Twitter, Instagram, Telegram, Facebook, Medium, or LinkedIn.

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