#CEXvsDEX101

The hashtag #CEXvsDEX101 typically refers to an introductory or basic-level explanation comparing Centralized Exchanges (CEX) and Decentralized Exchanges (DEX) in the world of cryptocurrency.

🔁 CEX (Centralized Exchange)

Examples: Binance, Coinbase, Kraken

✅ Pros:

User-Friendly: Easier for beginners.

High Liquidity: Fast order matching and trades.

Customer Support: Help desks for issues.

Fiat On-Ramps: Support for buying crypto with credit cards, bank transfers, etc.

❌ Cons:

Custodial: You don’t own your private keys ("Not your keys, not your coins").

Centralized Control: Subject to regulations and potential shutdowns.

Security Risk: Target for hacks (Mt. Gox, FTX).

🔁 DEX (Decentralized Exchange)

Examples: Uniswap, SushiSwap, PancakeSwap

✅ Pros:

Non-Custodial: You control your funds and keys.

Privacy: Often requires no KYC/AML.

Permissionless: Open to anyone with a wallet.

❌ Cons:

Lower Liquidity: Can have higher slippage.

Slower Transactions: Dependent on blockchain speed.

Technical Complexity: Not ideal for complete beginners.