JP Morgan is bullish about Centralized Crypto Exchange, Know what he said

JP Morgan is bullish that the centralized crypto exchange will still be a leader.
The switch to decentralized exchanges is not inevitable: JP Morgan.

JP Morgan, a global leader in financial services offering solutions is still very bullish that the centralized cryptocurrency exchange will still be a leader. After the happenings that are continuing for the past few months shocking the market, JP Morgan is bullish that a switch to decentralized exchanges is not inevitable.

With FTX plunging to collapse, several clients have doubts and also asked about the time span of centralized dominance in the market. Still, JP Morgan has made sure that any kind of shift from centralized exchanges will not be happening for a life long.

The collapse of FTX was dissimilar from anything the crypto industry has faced. Apparently in one night, one of the largest crypto exchange platforms on the globe got bankrupt. Moreover, the scam and contagion of their bankruptcy contaminated most of the industry which is further revealed to them.

These things have resulted in many to declare the approaching collapse of the centralized exchange platform. Furthermore, various experts trust that the answer to the scandal generated by FTX is not in governance, but in the hype and acceptance of Decentralized Finance and decentralized crypto platforms.

Is Decentralized Exchange not that secure?

One of the very famous names in banking, although, is not so bullish about that. A report from a reliable media source has highlighted a user note from JP Morgan on November 24 from the bank’s analyst, Nikolaos Panigirtzoglou.

That very media source has reported “Decentralized Exchanges minimized transaction speeds, pooling of assets and order identifibilty features are probably to restrict institutional membership,” was included in the note. Moreover, it highlighted the innate risk as a big restraint to its potential growth.

The note further went on to state that “The control, direction, and auditing of Defi protocols without meeting each other halfway too much on security and centralization is a massive challenge.” Still, there is no rejection that the vogue of the decentralized exchange has increased since the collapse of FTX.

Data from DefiLlama reveals that the trading volumes are up 68%. in addition to this, it struck $97.22 billion in October itself. Furthermore, there is growing activity in platforms of decentralized exchange such as DeXGuru, dYdX, and Uniswap. JP Morgan can discount how clients are so far replied to the FTX scandal.