#CEXvsDEX101 User-Friendly Interfaces:
CEXs are designed with intuitive dashboards and tools, making them accessible for both novice and experienced traders.
Regulatory Compliance:
CEXs are generally more compliant with regulations, offering a degree of security and trust through Know Your Customer (KYC) procedures.
Market Making:
CEXs utilize market makers who strategically place orders, providing liquidity and reducing price slippage, as explained by Atomic Wallet.
On-and Off-Ramps:
CEXs facilitate the flow of capital in and out of the cryptocurrency market, providing on- and off-ramps for users.
Security and Trust:
While CEXs hold users' funds and private keys, many also implement robust security measures and compliance with standards like Level 1 PCI DSS.
In summary, CEXs are important for their speed, liquidity, user-friendliness, regulatory compliance, and role in facilitating the flow of capital into and out of the cryptocurrency ecosystem.