#CEXvsDEX101 What is the main difference between a CEX and a DEX?

A Centralized Exchange (CEX) is managed by a company that oversees transactions, while a Decentralized Exchange (DEX) operates without intermediaries using smart contracts.

Which is safer: CEX or DEX?

DEXs offer more security since users control their funds, reducing hacking risks, while CEXs are more vulnerable due to centralized control.

Which exchange type offers better liquidity?

CEXs typically offer higher liquidity because they have more users and resources to manage large trading volumes, unlike most DEXs.

Are CEXs more user-friendly than DEXs?

Yes, CEXs usually have intuitive interfaces and customer support, making them more beginner-friendly compared to the often complex interfaces of DEXs.

Do DEXs have trading fees like CEXs?

DEXs generally have lower fees, but users must pay network gas fees. CEXs charge standard trading fees but handle transactions off-chain.