The co-founder of Ethereum, Vitalik Buterin, has stated that he would like to see centralized exchanges of cryptocurrencies "burn in hell as much as possible," although he admits that they may still have a moment of rest.
He made these statements yesterday at the TC Sessions Blockchain 2018 event that took place in Zug, Switzerland.
Responding to a question from the host about whether decentralized exchanges will one day gain a larger market share than centralized exchanges, Vitalik responded:
I definitely hope personally that centralized exchanges will burn in hell as much as possible. In practice, especially on the cryptographic side, it is very difficult to decentralize because ultimately it is interconnecting with the fiduciary world, and the fiat world only has basically centralized access routes. Valuable services are provided that are very difficult to decentralize. "
Buterin continued to predict that in terms of crypto trade, the solutions of decentralized exchanges will one day become the most desirable because they offer a simple and direct user experience without registration, web interfaces and account openings. In his opinion, the world of cryptography will see more and more exchanges of this kind.
However, he expressed uncertainty as to which option large-scale merchants, professional traders and high-frequency merchants will choose. Ultimately, in his opinion, even if centralized exchanges do not disappear altogether, the increase in decentralized exchanges can only be a good thing because it eliminates what he described as a "power of influence" of the exchanges.
Explaining this point he said:
We can really take this stupid king away from the power of these centralized exchanges where they have the ability to decide which chips become big by deciding to list them and then collect these crazy quote rates of USD $ 10 million to USD $ 15 million . The more we can get away from that world and become something that really satisfies Blockchain's values of openness and transparency, the better. "
In March 2018, Binance, the largest cryptocurrency exchange in the world by volume, announced that it was finalizing plans to open a decentralized exchange. Huobi also announced in June that it plans to eventually convert its entire platform to a decentralized exchange.
In what could be a growing trend with cryptocurrency exchanges, OKEx also recently made public its plans to create a decentralized exchange platform as many analysts continue to advocate for the adoption of the DEX model.