The winter has come. At least in the world of cryptocurrency. And it has shed a lot of victims, in particular among cryptocurrency exchanges.
According to information from cryptowisser.com, the company maintaining the world’s largest cryptocurrency exchange list listing more than 370 different cryptocurrency exchanges, more than 10% of all exchanges that were up and running in March 2018 have now closed down their respective operations.
It makes perfect sense though. Cryptocurrency exchanges main sources of income are trading fees, listing fees, and advertisement fees. In a bear market, less people want to trade and therefore the exchanges receive less income in trading fees. In a bear market, fewer ICO-projects are likely to succeed. As a result, fewer ICO-projects wants to list their coins/tokens at various exchanges and the exchanges receive less income in listing fees. Finally, the Google-search behaviour is also affected by the bear market. The searches for “Bitcoin” on Google dropped with more than 90% from December…