#CEXvsDEX101 CEX vs DEX: Understanding the Key Differences

Centralized Exchanges (CEXs) and Decentralized Exchanges (DEXs) serve the same purpose—facilitating crypto trading—but differ greatly in structure and user control. CEXs like Binance or Coinbase are managed by a central authority, offering high liquidity, advanced trading features, and customer support. However, users must trust the platform with their funds and personal data.

DEXs, such as Uniswap or PancakeSwap, operate without intermediaries, allowing peer-to-peer trading directly from wallets. They prioritize privacy and control, but often suffer from lower liquidity and limited trading tools.

CEXs are preferred for beginners or those seeking ease and speed. DEXs are ideal for experienced users who value decentralization and anonymity. Each has its pr