A system and method for arbitrating exchange identifier assignments for I/O operations are disclosed. In an exemplary embodiment, the method comprises receiving, by a storage system, a data command from a host system. The data command is directed to a virtual device of the storage system, the virtual device comprising a plurality of physical devices of the storage system. A range of exchange identifier values are allocated to the data command. The range may include a predefined number of exchange identifiers, the predefined number determined prior to the receiving of the data command. A plurality of I/O operations corresponding to the data command are issued, where each of the plurality of I/O operations is directed to a physical device of the plurality of physical devices of the storage system. An exchange identifier within the range of exchange identifier values is associated with each of the plurality of I/O operations.