#CEXvsDEX101
🚨 CEX vs DEX — What’s Riskier? 🤔
Before you trade your $BTC , $ETH , or $SOL , understand the risks behind where you trade 👇
🧷 Centralized Exchanges (CEX) Risks:
You don’t hold your keys 🗝️ – If the exchange is hacked, mismanaged, or collapses (like FTX), your funds can vanish.
Prime targets for hackers 💻 – Billions have been lost from CEX hacks.
Single point of failure – Server down = no access to your funds.
Regulation drama – Governments can freeze accounts or shut them down.
Privacy issues – Your KYC data can get leaked. 👀
🔐 Decentralized Exchanges (DEX) Risks:
Self-custody – You lose your keys, you lose your crypto.
Smart contract bugs 🐞 – A small code error = big losses.
Front-running by bots – On-chain trading isn’t always fair.
Low liquidity = high slippage – You may not get the price you want.
No customer support – You’re on your own if things go wrong.
💡 Summary:
CEX = convenience but risk of central failure.
DEX = more freedom but needs more caution.
Which one do you use more? Drop a 💬
🔁 Share this with someone who needs to know.
📌 Disclaimer: Not financial advice. Always DYOR before investing.