#CEXvsDEX101

CEX (Centralized Exchange) and DEX (Decentralized Exchange) each offer distinct advantages. CEXs (e.g., Binance, Coinbase) excel in user-friendliness, high liquidity, comprehensive trading features, and fiat on/off-ramps. They suit beginners prioritizing customer support and convenience. However, they carry centralization risks, require KYC, and involve third-party control over your funds ("not your keys").

DEXs (e.g., Uniswap, PancakeSwap) provide full asset control (self-custody), greater privacy (no KYC), and access to new tokens. They are ideal for those prioritizing decentralization and censorship resistance. Their drawbacks include being less user-friendly, potentially lower liquidity, limited features, and no direct fiat on-ramps. The best choice depends on your priorities: convenience versus control and privacy.