Despite FTX's collapse, centralized #exchange are key to mass crypto adoption

Hybrid, non-custodial crypto exchanges could help restore confidence in the #crypto sector, while remaining key to attracting new users. Centralized cryptocurrency exchanges (CEX) are still the key to attracting more users mainstream retail, as the sector recovers from the collapse of the FTX exchange.

Despite the collapse of the infamous exchange, which caused the loss of at least $8.9 billion in user funds, CEXs remain the first level of interaction for retail users purchasing their first cryptocurrencies.

According to Ruslan Fakhrutdinov, founder and CEO of cryptocurrency trading platform X10, the next 100 million retail users will likely enter the industry through CEXs. Speaking exclusively to Cointelegraph, Fakhrutdinov said centralized exchanges will likely drive user adoption:

“For now, centralized exchanges are leading the pack. However, as new users enter the industry, it is much easier to move them from a centralized exchange to a hybrid one, rather than introducing them to a completely new context.” The main reason why new investors opt for CEX is the element of trust in the underlying company, as well as a more intuitive #trading experience.#DeFi