In the fast-paced realm of cryptocurrency trading, where every second counts, instant exchanges are the gatekeepers to a world full of opportunities and risks. In this article, we reveal five closely guarded facts that cryptocurrency exchanges seldom share, showing details that could significantly impact traders and investors. We, the Swapzone team, would love to share some of the insights that might help you ‌navigate the nature of cryptocurrency exchanges, and sometimes, even avoid some of the issues that might appear during its journey.
Table of contents
1 – Liquidity Dependency
Most of the time, ‌instant crypto exchanges are dependant on the exchanges, so the exchange speed is dependant on the amount of a particular cryptocurrency and on the exchange rates given to users at the moment. Therefore, limited assets cause low exchange speeds, particularly for rare coins with low liquidity. In such cases, the completion of transactions at the given rate may take longer. Be mindful of these factors, as they directly influence the efficiency and speed of instant exchanges, providing valid decisions in a dynamic market.
2 – Block Confirmation vs Transaction Speed
Cryptocurrency instant exchanges never disclose information about network block confirmations during transactions. It significantly impacts transaction speed, as additional confirmations are needed for security matters. These processes are never transparent, because showing such details could make the exchange vulnerable to hacking attempts. If users are confronted with a delayed exchange, users get help from the support team of the exchange. However, instant exchanges might delay help. On the other hand, if you do the exchange via Swapzone, we connect with any of the exchange instantly. We do our best to provide the resolution in a shorter time, by connecting to the core of the partners team and directing the problem.
3 – User Mistakes
Sometimes, your funds may get temporarily stuck for an uncertain amount of time. One of the reasons, it happens because of typing mistakes or incorrectly given parameters. In those cases, the instant exchange is unable to scan your transaction automatically and gets the manual expertise, which is undoubtedly causing delays. The example of these mistakes are: repetitive usage of deposit address; missing memo; wrong network; wallet address misspell.
To provide a smooth transaction experience, it’s crucial to double-check details and be careful. Always keep your funds with care in cryptocurrency transactions and avoid typing errors.
4 – Non-Custodial, Yet Funds in Custody
Despite the claims of being non-custodial, instant crypto exchanges can get your funds and certainly can‌ keep it in custody during ‌emergencies. For example, AML security checks can cause ‌funds to be stuck. Or in a worst-case scenario, where the untrustworthy instant exchange could hold transactions for a long time, it’s important to choose them carefully. This is where Swapzone suggests the solution for choosing: 15 instant exchanges are collected to be compared and to complete the secure exchange for you.
5 – Fund Origins and Secure Exchange
In the cryptocurrency world, the usage of crypto expands, and the sources can be widely diverse. To make sure your funds aren’t tied to anything illegal, use special services for a quick check. These checks provide you with the understanding that received funds are clear, and services have no plot for investigation. It also lets you reach out to the sender for address clarifications, connecting with them immediately. Beware of making your digital financial interactions smooth and secure, otherwise, the experience of using crypto might cause an interrogation with the services and collecting a ton of documents during your exchange.
Conclusion
After showing these aspects of cryptocurrency exchanges, we hope that you are informed and educated enough. By being aware of these facts, you can navigate the cryptocurrency market with more confidence and maximize your profits. Swapzone, as an exchange aggregator, helps you with DYOR, providing all of the data of the 15 exchanges collected in one place. Check out the exchanges, read trusted reviews, and make a choice towards the best exchange and the best rates.