#CEXvsDEX101

Centralized Exchanges (CEX) and Decentralized Exchanges (DEX) differ in structure and control. CEXs, like Binance or Coinbase, act as intermediaries, holding users' funds and facilitating trades with fast execution, high liquidity, and customer support. However, they require KYC and are vulnerable to hacks. DEXs, such as Uniswap or PancakeSwap, operate without intermediaries using smart contracts on blockchain networks. They offer greater privacy, user control of funds, and censorship resistance, but often face lower liquidity, slower transactions, and higher fees. While CEXs are user-friendly and regulated, DEXs prioritize decentralization and security. Each suits different needs based on user preference and experience.