WebsCrypto
  • News
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFTs
  • Markets
  • Business
  • Opinions
  • Press Releases
Facebook X (Twitter) LinkedIn Telegram
WebsCryptoWebsCrypto
  • News
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFTs
  • Markets
  • Business
  • Opinions
  • Press Releases
Bitcoin (BTC) $26,230.03 0.13%Ethereum (ETH) $1,594.29 0.34%BNB (BNB) $212.60 1.25%XRP (XRP) $0.501506 0.32%Cardano (ADA) $0.245925 0.06%Solana (SOL) $19.07 1.58%Dogecoin (DOGE) $0.060686 0.40%Polkadot (DOT) $4.01 1.50%Shiba Inu (SHIB) $0.000007 0.48%Dai (DAI) $0.999639 0.04%TRON (TRX) $0.084845 0.52%Polygon (MATIC) $0.510638 1.66%Avalanche (AVAX) $9.07 1.74%Uniswap (UNI) $4.27 0.05%Litecoin (LTC) $63.90 0.70%
Crypto Prices
WebsCrypto
Business

Changpeng Zhao: Great Liquidity Is One of the Best Consumer Protection Mechanisms

By WebsCryptoJuly 31, 20221 Min Read
Changpeng Zhao: Great Liquidity Is One of the Best Consumer Protection Mechanisms
Share
Facebook Twitter Telegram LinkedIn Reddit Email

Changpeng Zhao, CEO of Binance, said on social media that large liquidity is one of the best consumer protection mechanisms because it prevents market manipulation, market volatility and reduces liquidation. Imagine if we divided liquidity into 180 countries, this would make it 180x easier for large traders to swing the market and significantly increase volatility.

At this point there will be arbitrage traders trying to balance prices, but they are not as efficient as an order book, and which arbitrage traders will make money (paid by consumers) between both buyers and sellers.

Advertisements

Another misconception people sometimes have: On exchanges, users don’t choose counterparties, they just trade with an order book, but in fact the order plays the role of a broker. Greater liquidity also provides users with better prices, tighter spread, and reduced slippage, which is a very important form of consumer protection.

DISCLAIMER: The information provided by WebsCrypto does not represent any investment suggestion. The articles published on this site only represent personal opinions and have nothing to do with the official position of WebsCrypto.
Binance Exchange
WebsCrypto
  • Website
  • Facebook
  • X (Twitter)
  • Instagram

WebsCrypto is your best bet for the latest crypto news from around the world.

Recommended Reading

Markets September 25, 2023

NFT Market Faces Significant Decline Amidst Broader Crypto Challenges

Business September 24, 2023

Crypto Companies Shift Focus Outside the U.S. Amid Regulatory Pressures

Markets September 22, 2023

Bitcoin and Ethereum Navigate Volatile Waters Ahead of FOMC Decision

Business September 22, 2023

PayPal Brings PYUSD Stablecoin to Venmo

Markets September 19, 2023

Stablecoin Ecosystem Holds Firm Despite Lackluster Activity

Markets September 19, 2023

Bitcoin’s Dominance in the Cryptocurrency Market Surges to 50%

The Latest
Markets September 25, 2023

Bonds Surge in Appeal as Bitcoin and S&P 500 Navigate Third Quarter Downturn

Markets September 25, 2023

NFT Market Faces Significant Decline Amidst Broader Crypto Challenges

Business September 24, 2023

Crypto Companies Shift Focus Outside the U.S. Amid Regulatory Pressures

News September 22, 2023

Robert Kiyosaki: Cryptocurrency is the Future, Fiat Money is on the Decline

Markets September 22, 2023

Federal Reserve Holds Steady on Interest Rates; Bitcoin Maintains Support at $27,000

EDITOR’S CHOICE
Ether (ETH) Prices are Trading at 27% Discount to Fair Value, New Research Shows
Robert Kiyosaki: Cryptocurrency is the Future, Fiat Money is on the Decline
Crypto Companies Shift Focus Outside the U.S. Amid Regulatory Pressures
Bonds Surge in Appeal as Bitcoin and S&P 500 Navigate Third Quarter Downturn
News
  • News
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFTs
  • Markets
  • Business
  • Markets
Information
  • Opinions
  • Guides
  • Press Release
  • Sponsored
Price Indexes
  • Market Cap
  • Bitcoin Price
  • Ethereum Price
  • Cardano Price
  • Solana Price
  • Polkadot Price
  • Polygon Price
Services
  • About Us
  • Contact Us
  • Advertise
  • Privacy Policy
  • Terms of Service
WebsCrypto
X (Twitter) Facebook Telegram LinkedIn RSS
© 2023 WebsCrypto

Type above and press Enter to search. Press Esc to cancel.