#CEXvsDEX101 CEX vs DEX 101: Understanding the Basics
*CEX (Centralized Exchange)*:
- A platform that facilitates buying and selling of cryptocurrencies through a central authority.
- Examples: Binance, Coinbase, Kraken.
*DEX (Decentralized Exchange)*:
- A platform that enables peer-to-peer transactions without a central authority.
- Examples: Uniswap, SushiSwap, PancakeSwap.
*Key differences:*
- *Centralization*: CEXs are controlled by a central authority, while DEXs operate on a decentralized network.
- *Security*: DEXs are considered more secure since users control their assets.
- *Liquidity*: CEXs typically have higher liquidity.
*Which one is right for you?*
- *CEX*: Suitable for users who value ease of use and high liquidity.
- *DEX*: Suitable for users who prioritize security and control over their assets.
Want to know more about CEXs and DEXs?