#CEXvsDEX101 **#CEXvsDEX101: Key Differences in 2024**

Centralized exchanges (CEXs) like Binance and Coinbase offer high liquidity, user-friendly interfaces, and regulatory compliance but require users to trust a third party with their funds. Decentralized exchanges (DEXs) like Uniswap and PancakeSwap enable peer-to-peer trading via smart contracts, ensuring self-custody and transparency. However, DEXs often face liquidity fragmentation and higher slippage.

In 2024, CEXs dominate volume, but DEXs are growing with advancements in Layer 2 solutions and cross-chain swaps. Regulatory scrutiny on CEXs is pushing some traders toward DEXs, while hybrid models emerge to bridge both worlds. Choose based on security, control, and trading needs!