Cryptocurrency Exchange Types Used by Traders

Cryptocurrency Exchange Types Used by Traders
Cryptocurrency Exchange Types Used by Traders

Proof Point

Encrybit found majority of cryptocurrency traders use either Centralized or Decentralized type of exchanges during transactions in 2018

Cryptocurrency Exchange Types Used by Traders

August 2018 (percentage)

Note: Data from Encrybit’s online survey of 10,003 cryptocurrency traders and investors from 161 countries last August 2018

Proof Point Findings

  • Centralized Exchanges (CEX) – Operates with third-party, allows Fiat conversions, have better speed, volume and liquidity compared to DEX and stores private keys in system (e.g. Bittrex, Binance, Kraken)
  • Decentralized Exchanges (DEX) – Have no third-party operators, does not allow Fiat exchanges, have no private keys and not prone to hacking compared to CEX (e.g. IDEX, Ether Delta, AirSwap, WavesDex)
  • Centralized vs Decentralized Exchanges – 39% of participants in Encrybit survey trade on CEX in 2017, with DEX closely following at 35% usage
  • Hybrid Type – 18% of respondents answered to using hybrid exchanges that combined best features of both CEX and DEX for fairer trading (e.g. Qurrex)
  • Uninformed Participants – 8% claimed to have no idea on different types of exchanges or which type they are currently using
  • Key Growth Drivers – Include proliferation of cryptocurrencies and crypto exchanges, rising number of crypto traders, and increasing consumer and investor interest in traditional currency alternatives



Date Last Updated

January 17, 2019

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