#CEXvsDEX101
CEX vs DEX: Understanding the Differences
*CEX (Centralized Exchange)*
- Centralized platform that facilitates the buying and selling of cryptocurrencies.
- Examples: Binance, Coinbase.
- Advantages: User-friendly interface, high liquidity, variety of assets.
- Disadvantages: Centralized security risk, transaction fees.
*DEX (Decentralized Exchange)*
- Decentralized platform that allows for direct exchange of cryptocurrencies between users.
- Examples: Uniswap, SushiSwap.
- Advantages: Decentralized security, complete control over funds, lower fees.
- Disadvantages: Complexity for beginners, variable liquidity.
What is your preference? CEX or DEX?