#CEXvsDEX101
💡 CEX vs DEX 101: Understanding the Key Differences 💡
When it comes to trading crypto, you’ve probably heard of Centralized Exchanges (CEX) and Decentralized Exchanges (DEX), but what’s the difference? Let’s break it down:
🔹 CEX (Centralized Exchanges):
These are platforms like Binance, Coinbase, and Kraken, where a central entity controls all operations.
They provide high liquidity, easy-to-use interfaces, and customer support.
However, you have to trust them with your funds, and your assets can be at risk if the exchange gets hacked.
🔹 DEX (Decentralized Exchanges):
Think Uniswap, SushiSwap, and PancakeSwap – no central authority.
They let you trade directly from your wallet, maintaining control over your funds.
Lower liquidity and often more complex, but greater privacy and security.
💥 Which one should you choose?
CEX is great for beginners and traders looking for convenience and speed.
DEX is ideal for privacy-focused users and those seeking more control over their assets.
What’s your preference? Drop your thoughts below!
#CryptoBasics #Blockchain #Cryptocurrency