#CEXvsDEX101 *CEX vs DEX 101: Understanding the Difference*
*CEX (Centralized Exchange)*:
1. *Examples*: Binance, Coinbase, Kraken
2. *Characteristics*: Centralized authority, order books, high liquidity
3. *Pros*: User-friendly, fast transactions, high trading volumes
4. *Cons*: Security risks, potential for censorship, fees
*DEX (Decentralized Exchange)*:
1. *Examples*: Uniswap, SushiSwap, PancakeSwap
2. *Characteristics*: Decentralized, peer-to-peer transactions, blockchain-based
3. *Pros*: Enhanced security, transparency, autonomy
4. *Cons*: Complexity, lower liquidity, potential for price volatility
*Key differences*:
1. *Control*: CEX has centralized control, while DEX operates on decentralized networks.
2. *Security*: DEX prioritizes security through blockchain technology, while CEX relies on centralized security measures.
*Which one is right for you?*