It is impossible to overstate the importance of cryptocurrency exchanges within the blockchain industry as it is the means by which most people acquire and are able to trade in cryptocurrency and acts as a link between the fiat currency world and the cryptocurrency world. The fortunes of cryptocurrency exchanges are also reflective of the state of the industry as a whole and as the industry continues to grow and expand, there will be even a greater need for cryptocurrency exchanges and a such, they can be considered a pillar of the industry.
According to an October 23, 2019 report, crypto exchanges also serve as a major source of employment within the industry as according to a study, 42 percent of those employed within the blockchain industry work at crypto exchanges.
The study analyzed 158 companies and found that 7,700 employees were working across 30 exchanges which makes crypto exchanges one of the biggest employers of labor within the industry and as exchanges continue to expand, this number is only bound to grow. After the 42 percent being employed by exchanges, another 11 percent were employed by crypto mining firms and another 10 percent are employed by crypto governing bodies such as Ripple on TRON.
When crypto exchanges where analyzed, Bitmain, Huobi, Coinbase and OKEx took the lead in terms of employment with 1500, 1300, 1000 and 950 employees respectively.
However, this report could be an argument for the overrepresentation of cryptocurrency within the blockchain industry. While we know that cryptocurrency is perhaps one of blockchain’s most famous products, many have stated that there is too much emphasis on cryptocurrency and the financial industry attached to it and not enough on the underlying technology and it’s possible application. During the last few bear runs, there was talk about diversifying and making sure that the future of blockchain is not tied exclusively to the fortunes of cryptocurrency. Hopefully, what time, these figures will adjust and there will be more employment taking place from within the development of blockchain itself as well as crypto exchanges.