#CEXvsDEX101
In the world of digital trading, two main types of platforms stand out: centralized platforms (CEX) like Binance and Coinbase, and decentralized platforms (DEX) like Uniswap and PancakeSwap. The essential difference between them lies in control, security, and privacy.
✅ Centralized platforms (CEX):
- Easy to use for beginners.
- Support fiat/cryptocurrency transfers.
- Subject to regulations that may provide some protection.
- But they require trust in a third party (depositing funds on the platform).
🛡️ Decentralized platforms (DEX):
- Do not control your funds (you are solely responsible for your wallet).
- Direct trading between users without an intermediary.
- Highest level of privacy.
- But they may be complex for beginners and lack support for traditional currencies.