decred-exchanges.md

Interacting with exchanges

Having spent some time pursuing exchange listings and breaking the hearts of potential bribees I have gleaned some insights that may be of use to others who are undertaking this endeavor.

I will preface my comments with the following disclaimer: The main reason that I am currently only focusing on a very short list of exchanges that have fiat on-ramps is that I feel we are already on all the most important pure crypto exchanges. I no longer feel it is worth the effort for me to get listings at sparsely used exchanges. That is not to say there aren't still some worthwhile opportunities and it isn't my place to tell other contractors what to do, however I'm hoping I can provide guidance so we can avoid wasted time and frustration.

1. All exchanges are not created equally. I sometimes joke that "exchanges are the new ICOs" and in some cases, exchanges have literally done ICOs. Very few have a sustainable business model. Many of them will likely fold as their only source of revenue is listing fees, only top tier exchanges can generate meaningful revenue from trading fees. It's important to check how much volume exchanges have (also, note that volume is often faked) using https://coinmarketcap.com/rankings/exchanges/

2. Fees are usually a non-starter. There are very few scenarios in which it would make sense to pay listing fees, you are not likely to ever encounter one of these scenarios. Fees will usually be exorbitant and assume projects are desperate for listings. There are also many sneaky ways fees will be pitched without calling them fees to make them seem benign.

3. People are being paid to waste your time. If you're being cold called on LinkedIn or you are randomly reaching out to exchanges you're wasting your time and stakeholder funds if you are a contractor. Desireable exchanges don't use these practices. I will give an example of a worthwhile pursuit: If you are living in say Brazil and are using an exchange you know to be popular locally which potentially offers fiat pairs, it makes sense to pitch them Decred. You possess intel about the local market as well as their product. There is in my opinion, zero benefit to Decred being listed on a hundred third rate exchanges that may not even be functional, even if there is no cost other than your time.

So, to summarize, some major red flags for exchanges are:

• Obscene listing fees.
• Having done an ICO.
• Requesting an "airdrop".
• Requesting a marketing budget.
• Offering to provide "market making" services.
• Not being operational yet.