#CEXvsDEX101
*CEX vs DEX 101: A Brief Comparison*
Cryptocurrency exchanges come in two primary forms: Centralized Exchanges (CEX) and Decentralized Exchanges (DEX). Here's a brief overview:
*CEX (Centralized Exchange)*
- *Central authority*: A single entity controls the exchange.$BNB
- *Custodial*: Users' funds are held by the exchange.
- *Faster transactions*: Higher transaction speeds.
*DEX (Decentralized Exchange)*
- *Decentralized network*: No single entity controls the exchange.
- *Non-custodial*: Users retain control of their funds.
- *Enhanced security*: Less vulnerable to hacking.
*Key differences:*$SOL
- *Control and security*: CEX holds users' funds, while DEX allows users to retain control.
- *Transaction speed*: CEX is generally faster, while DEX can be slower.
Ultimately, the choice between CEX and DEX depends on your priorities: ease of use, security, and control.$BTC