With the advent of Bitcoin (2009) and Ethereum (2015) so far, the cryptocurrency market has seen many extreme price fluctuation.
In just one year from 2017 to 2018, Bitcoin skyrocketed from ~ $ 1,000 to ~ $ 20,000 and quickly plummeted to $ 3,200 in just 12 months after peaking.
The industry capitalization increased from 100 billion USD (before 2017) to 800 billion USD (2018) and quickly evaporated more than 700 billion USD. The current market capitalization ~ 350 billion USD.
This makes investing in Bitcoin and other cryptocurrencies in general highly ROI but also comes with a very high RISK.
However, according to Bloomberg, crypto exchanges have emerged as one of the biggest beneficiaries of the crypto fever DESPITE PRICE VOLATILITY OF BITCOIN AND OTHER ALTCOINS.
Estimates show that the world’s largest exchanges currently have revenue from: $ 1 million per day, to more than $ 1 billion in profits per year making the business of cryptocurrency exchanges become extremely attractive than ever.
Binance was born later but has risen to the top position in the world in terms of trading volume, making Changpeng Zhao (Founder & CEO) the world’s fastest billionaire after just 7 months after launch.
Currently, the crypto market is showing signs of recovery, especially DeFi applications have accumulated more than 7 billion USD, plus unfavorable natural conditions such as Covid-19 translation, the risk of crisis. The next time the world economy takes place close by, investing and trading Bitcoin and other cryptocurrencies becomes extremely exciting. Exchanges will always play an important role in connecting blockchain projects and cryptocurrencies to the community of users and will likely replace the banking system in the future.