Question about how exchanges like Shapeshift handle profitability when they sell from their own stock.

Hi all,

I don't know if this kind of a question is allowed for this sub but I am curious about how exchanges like shapeshift guarantee their profits. As fas as I know they sell crypto from their stocks but the market is extremely volatile. How it is possible to keep refilling their reserves and selling to customers with competitive prices without taking the risk of losing money at the end of the day if price moves in wrong direction? What kind of a risk minimizing system is there for this? I believe this is the same situation for traditional fiat money exchange offices as well.

Thanks for any explanation.

submitted by /u/rotirahn
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