Who doesn't love Binance?
The killjoys don't love Binance!
Just kidding though. But seriously, Binance is a very good exchange, with a superior trading engine and the lowest fees on the market.(They're basically not there)
And they have grown since 2017 to be one possibly the world's most used and most famous exchange for simple spot trading. Simply everyone recommends Binance.
But as Uncle Ben said: "with great power comes great responsibility". And that, or the lack thereof is the case today.
Now, I'm not saying that Binance is irresponsible or any of that kind of stuff. It's just that they're more or less centralising the crypto world very, very slowly. I think the plan is to eventually control every single part of the crypto space.
Why do I think so?
Well, there are majorly 3 parts of the crypto space(aside from miners which, spoiler alert, Binance has started making steps to control):
- Information dissemination sites
Binance essentially controls every single part of this, at least to some extent.
They recently acquired Coinmarketcap, the world's leading database for cryptocurrency market cap rankings, as well as exchange rankings. They also bought the infamous WazirX exchange which was growing at an alarming rate due to the crypto ban lift in India.
They equally acquired the Trust Wallet for a few million dollars from its creator.
So, as you can see, Binance now owns some of the most prolific crypto services.
So why is this bad news?
Well, that's called centralisation. Centralisation is simply one body controlling a large number of bodies. It seems great for us the users in the short term, but eventually Binance will acquire all the crypto businesses we know and love.
They are trying to become the God of this market. They recently released a lending scheme, and have branched out into mining pools.
And I feel that we'd hear more deals in the future.
While this should be great for the price of BNB in the long run, BNB is also a centralised coin owned by Binance.
The power at hand for Binance us becoming way too much. Unfortunately, we can't do much to stop it.
There are more decentralised exchanges today, but no one really uses them because the volumes can't match up to 1 billion dollars a day.
There are also decentralised wallets, and while these are the best for everyone else, beginners who mostly use their mobile phone for everything would prefer the trust wallet. After using it for a while, they see no reason to switch to another wallet if this one is so good.
With all this power comes problems for users in the future. Because when Big Brother Binance says yes, we won't be able to say "no", because we aren't a decentralised community under a decentraland body anymore. We're just a bunch of people who think that were a decentralised community, but essentially are being controlled by the largest centralised body in crypto today.
Thanks for reading guys.