#CEXvsDEX101 💡
.CEX and DEX are two types of digital trading platforms, but they differ in many aspects. Here is an article about the difference between CEX and DEX:
What is CEX?
- *Centralized Exchange*: CEX is a centralized trading platform, where all transactions are managed by a third party.
- *Centralized Control*: CEX controls all transactions and ensures the security and integrity of trading.
What is DEX?
- *Decentralized Exchange*: DEX is a decentralized trading platform, where transactions are executed directly between users without the need for a third party.
- *Decentralization*: DEX does not control the transactions, instead, they are executed automatically through smart contracts.
The difference between CEX and DEX
- *Control*: CEX is centralized and controls all transactions, while DEX is decentralized and does not control transactions.
- *Security*: CEX provides higher security for users due to centralized control, while DEX relies on smart contracts to ensure security.
- *Fees*: CEX often charges higher fees than DEX due to administrative costs.
- *Privacy*: DEX offers higher privacy for users due to decentralization and the lack of need for registration.
Features of CEX
- *Ease of Use*: CEX is often easier to use for beginners.
- *Higher Security*: CEX provides higher security for users due to centralized control..
