THREE THINGS CRYPTO EXCHANGES MUST IMPROVE
I don't know if these are going to be existing exchanges or new ones, but either way I believe the following needs to be improved upon.
I don't know if exchanges need to produce their own tokens or buy into others to do this, but the cost to transact on the exchange needs to come down to near zero if not zero moving forward. I'm all for exchanges making money, but I find some of them to be out of proportion for the amounts that are being handled.
I don't know if this means they create their own blockchains or maybe grab SMTs from STEEM or something similar to help finance what they're doing, but something will have to be done in order to improve enough for mass adoption of crypto.
FIAT DIRECTLY TO MORE CRYPTO
I know there are laws in different countries which govern this, but somehow, the next generation crypto exchange is going to need to get from fiat to crypto, such as STEEM and many others, without going to Bitcoin, Litecoin, Ethereum or some other 'acceptable' cryptocurrency.
The sooner this can happen, where more people can go straight from their fiat to their crypto of choice, the faster the mass adoption of crypto takes place. There are just too many holes to jump through back and forth that need to be smoothed out, however that happens, and however it can happen quickly.
And it needs to happen without giving up privacy, security or giving into regulation. It's almost like the exchanges need to operate outside of any national or governmental jurisdiction as their own entities, regardless of the laws in which they are headquartered in, or the laws that specific nations are trying to use to govern them.
Maybe this is how the first two improvements are achieved, or maybe decentralization brings up its own issues, but things such as scalability, speed of transaction, security, privacy, liquidity, etc., all need to be addressed to some degree, and done in such away that no one entity has undue influence over them. If that means going the route of the blockchain with servers in various different countries with a need to reach a supermajority in order to have consensus, or some other means, the overhead to produce these transactions, the machinery to make it work, the encryption strong enough to keep safe, an increase in anonymity and speed by which these transactions can occur all need to happen.
BONUS—DISRUPTIONS TO ZERO
For whatever reason, markets fluctuate up and down. If there is questionable activity going on, there needs to be a way to identify it quicker, contain it or quarantine it rather than shutting down the whole exchange to actual legal and ethical transactions. They also need to find ways to keep up with the hard forking of the blockchains they're linking to, which isn't necessarily their fault, but somehow they need to keep trading despite how the hard fork is going on an individual blockchain.
There is plenty that needs to be worked out, and it's still early days on all of this, but the sooner things can keep going with all legitimate investment and transactions, the sooner confidence in these exchanges can cement and mass adoption can begin.
I think the existing crypto exchanges must work on the following three areas to make it a better exchange for a customer:-
We still need more security as most of the crypto exchanges whose liquidity is high. The crypto exchanges catering more then 96% of the exchanges are centralized exchanges and we all know that centralized exchanges have been the subject of hacking and there have been many such cases in the past.
So in a crypto exchnage various features like advanced threat prevention, Intrusion detection, Trade survillience system should be there. Real time detection of malicious activity should be also bethere to protect the funds of the user.
Scalability is still the issue for crypto exchanges and that is why we are not being able to see the decentralized crypto exchanges flourishing and it is the centralized exchanges which still dominate in the industry because they have better scalability.
I think this issue can be solved with high performance matching-engine, multi-chain system and with low latency and it should be able to scale at least 1 million transaction per second, otherwise it can not be at par with the real standards of an exchange.
I think liquidity is still a issue for some of the exchanges, if not for all.
The solution to liquidity for decentralized exchange is to bridge between all the decentralized exchanges and the ability to become inter-operable so as to make the cross-chain transaction happen easily. Good liquidity is needed to curb the big gap between bid and ask and a customer can have a seamless experience in exchanges.
Thank you and Have a great day.
They are some many areas in which existing crypto must work to improve on but I will talk little briefly about three due to my low steem power which is preventing me from commenting more on the topic. The issues are :
1. Stability : the crypto should really work on stability, all the existing crypto currencies are not stable and it's one are they should all improve on. If the crypto want to be trusted more, then having a stable value is one way of going about it
2. By having official local exchanges all over the world will go a long way toward improving the trust and status of a crypto
3. Existing crypto should work more on their marketing strategies.. Online advertising doesn't just cut it again, it should be published on newspapers, mounted on a billboard, advertised on TV and so on. The more the people investing in crypto, the better