Vitalik Buterin and Changpeng Zhao Argue Decentralization
Following a recent interview, Vitalik Buterin, the creative mind being Ethereum expressed great disapproval of centralized exchanges and hoped they would “burn in hell” and stresses on the importance of decentralized cryptocurrency exchanges. According to Buterin, his resentment towards any centralized exchange is due to the abusive-like method of operations and the outrageous fees they charge for any cryptocurrency listing.
After Ethereum’s founder made his comments, Changpeng Zhao, founder of Binance, responded to Buterin’s remarks, debating them and stating that complete decentralization is non-existent and that Vitalik is in more possession of power than any exchange out there. He adds that Buterin knows this and has used his “king-like” power to advise on several upcoming projects and influence their directional growth.
Zhao also commented further on the matter, stating that decentralization is by no means safer as proven by the Bancor attack resulting in $12 million USD worth of Ether stolen. Right after Zhao’s response, Vitalik then chose to respond to a teasing post by Blockchain.io on Twitter, a new crypto-exchange operating in France and asked the founder if their decentralized status would cause problems.
Buterin then replied by saying that decentralized exchanges were stronger and more efficient than centralized ones although it fails to address another complication due to the fact that centralized trading platforms can essentially decide on which cryptocurrencies receive the most time in the spotlight.
IDEX, another incredibly established cryptocurrency exchange with some centralization to it, offers several features from both stances of crypto-exchanges, decentralized features, and centralized ones. As of now, the company holds the 91st position in rank among the total trading of all involved digital exchanges on a daily basis.
Other than IDEX, only a few decentralized platforms within the leading 100 seeing complete domination by centralized platforms. As of now, the journey for decentralized exchanges and their adoption is still very far down the road although both, Buterin and Zhao, do seem to meet eye to eye on the fact that decentralization of cryptocurrency exchanges is the right move forward. Earlier this year, Binance revealed plans to operate a decentralized exchange and an open-source blockchain. Additionally, more centralized exchanges may possibly begin adopting decentralized aspects, utilizing both forms to operate as one like IDEX.