🟡 Crypto Trading Series – Lesson 5: What’s an Exchange?
🏦 An Exchange is where you buy, sell, or trade crypto.
Think of it like a marketplace — but instead of apples 🍎 or gold 🪙, you’re trading Bitcoin, Ethereum, and other coins.
---
⚙️ Two main types of exchanges:
1️⃣ Centralized Exchange (CEX) – like Binance
Company controls the platform
You deposit money into their system 🏦
They hold your coins until you withdraw 🎒
Example: Binance, Coinbase, Kraken
2️⃣ Decentralized Exchange (DEX) – like Uniswap
No middleman, just smart contracts 🤖
You connect your wallet directly 🔑
You always control your funds
Example: Uniswap, PancakeSwap
---
📊 Pros of CEXs (like Binance):
✔️ Super easy for beginners
✔️ Fast transactions with high liquidity
✔️ Advanced trading tools (spot, futures, margin)
⚠️ Cons of CEXs:
❌ Company holds your funds
❌ Requires ID (KYC)
❌ Risk if the exchange gets hacked
---
💡 Pro Tip:
Use CEXs for active trading because they’re fast and convenient.
But for long-term storage, always move your funds to your personal wallet 🔒.
#FaisalCryptoLab #Write2Earn #writetoearn #SOLTreasuryFundraising #MITOBinanceWalletTGE
