What is a Dex? 🤷👀
A Dex (decentralized exchange) is a cryptocurrency trading platform between users, where there is no intermediary.
This is done directly on the blockchain using smart contracts such as Uniswap, Curve, etc.
The main characteristics are:
Decentralization: No entity controls your assets, only you have access to them through a wallet like Binance Web3 wallet. (your keys, your crypto)
Peer-to-peer transactions: The exchange is done directly user to user through the smart contracts applied on the blockchain.
Privacy: Most Cex's do not require KYC (identity verification)
Risks:
Difficulty: These exchanges are for experienced people in crypto.
Gas Fees: Charge of commissions in the native currency of the network for each transaction.
Malicious contracts: There is a risk that a smart contract could be manipulated maliciously.
After seeing the pros and cons of each exchange, which one would you choose?
