#CEXvsDEX101

🔍 CEX vs DEX: What’s the Difference?

In the crypto world, understanding the difference between Centralized Exchanges (CEX) and Decentralized Exchanges (DEX) is crucial. CEXs like Binance or Coinbase act as intermediaries that manage trades, offer liquidity, and often require identity verification (KYC). They are beginner-friendly and efficient but require users to trust the platform with their funds. On the other hand, DEXs like Uniswap or PancakeSwap allow users to trade directly from their wallets without intermediaries, giving more control and privacy. However, they often have lower liquidity and may be harder for newcomers to navigate. Knowing the pros and cons of both helps in making informed trading choices.