#CEXvsDEX101 Are you new to the crypto world and hear a lot about CEX and DEX?
Here’s a brief comparison 👇
🔵 Centralized Exchanges (CEX) – like Binance
✔️ A trusted intermediary that facilitates trading.
✔️ Advantages:
User-friendly interface for beginners
Fast transaction execution
Direct customer support
High liquidity
Trading cryptocurrencies against fiat (like BTC/USDT)
⚠️ Challenges:
Requires KYC (Know Your Customer)
The platform temporarily manages your funds
🟣 Decentralized Exchanges (DEX) – like PancakeSwap / Uniswap
✔️ Operates on the blockchain without an intermediary.
✔️ Advantages:
Full control over your funds
No need for KYC
Censorship-resistant
⚠️ Challenges:
Less user-friendly interfaces
Self-responsibility for securing your wallet
Gas fees can be high
Liquidity can be limited at times
💡 Summary for beginners:
Start with CEX to gain experience safely and easily, and gradually transition to using DEX when you are ready to manage your keys and wallet.
Learn, experiment, and only invest what you can afford to lose.
🔔 Note: This post is not considered investment advice. Always do your own research before making any financial decisions.