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Beware: Many exchanges are especially dodgy, and possibly insolvent. (Bitfinex in particular!) If the market price plummets, the exchange might collapse and you

• martinko 9y ago
  Care to post any proof? Bitfinex had the opportunity to close shop after being hacked, yet they chose to pay everyone back.
  • testloop 9y ago
    Not the parent, but the way in which Bitfinex paid everyone back was extremely dodgy[0]. They also decided to help themselves to 15% of everyone's BCH after the August 1 fork[1]. I don't understand why anyone would trust them. [0]https://medium.com/@bitfinexed/bitfinex-never-repaid-their-tokens-bitfinex-started-a-ponzi-scheme-86a9291add29 https://medium.com/@bitfinexed/bitfinex-never-repaid-their-t... [1]https://news.bitcoin.com/bitfinex-bitcoin-cash-deposits-withdrawals-credits-15-less/ https://news.bitcoin.com/bitfinex-bitcoin-cash-deposits-with...
• Slartie 9y ago
  True, but unfortunately you'll need the services of an exchange if you want to short. Longing is possible by putting cryptos in a wallet you have the private keys for, but not shorting. As I think about it, this is actually another benefit of longing over shorting - it allows you to eliminate the risk of putting value on exchanges, at least if you're okay with limiting your ability to quickly react to market action.